FAC Explorer

Finding 479525 (2023-003)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
$1
Year
2023
Accepted
2024-07-26
Audit: 316058
Organization: Missoula County (MT)
Auditor: Maher Duessel CPAS

AI Summary

  • Core Issue: The County's internal controls for ensuring accurate reporting of expenditures are ineffective, leading to discrepancies in quarterly reports submitted to the Treasury.
  • Impacted Requirements: Quarterly reports must accurately reflect all activities and expenditures, supported by accounting records, as per Treasury guidelines.
  • Recommended Follow-Up: Implement procedures to ensure accurate completion of reports, verify expenditures against the general ledger, and correct any previously submitted reports.

Finding Text

Finding 2023-003 – Reporting U.S. Department of Treasury COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) – ALN 21.027 Reporting Condition: The internal control system to ensure that the Project and Expenditure Report submitted to Treasury was accurate was not operating effectively. The County reported total expenditures on the Quarter 2 2023 Project and Expenditure Report of $6,861,504 and total expenditures on the Quarter 2 2022 Project and Expenditure Report of $4,196,958 and therefore indicated 2023 fiscal year expenditures were $2,664,546 and reported expenditures on the 2023 SEFA of $4,173,433. Criteria: Quarterly reports are required to be accurate and include all activity of the reporting period, supported by the applicable accounting records and fairly presented in accordance with Treasury requirements. The reports are to include the current period expenditures, as well as the cumulative expenditures related to the projects. Cause: Internal controls in place to ensure that the quarterly reports were completed accurately were not adequate. Effect: The quarterly reports submitted to Treasury do not contain information supported by the accounting records of the County. Questioned Costs: Unknown. Identification as a Repeat Finding: This is a repeat finding of 2022-003. Recommendation: We recommend the County implement a procedure to ensure that all required quarterly reports are completed accurately and verify that the expenditures agree to the amounts reported in the general ledger and SEFA. In addition, we recommend that the County ensure proper correction of previously submitted reports. Views of Responsible Officials and Planned Corrective Actions: Management agrees with this finding. See separate Corrective Action Plan.

Corrective Action Plan

Finding 2023-003 – Reporting U.S. Department of Treasury COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF)- ALN 21.027 Reporting – Missoula County has implemented a dual control process over CSLFRF reporting. As part of the month end process the accountant in finance will review all expenditures related to obligated ARPA programs and reconcile this activity with each department. At the end of the quarter after all months have closed and prior to Treasury reporting an additional review of quarter will occur by the Senior Accountant in finance. This documentation will be reconciled to the Treasury quarterly reports to ensure accurate reporting. Contact Person Responsible for the Corrective Action: Michelle Denman, Deputy Financial Services Director Anticipated Completion Date of the Corrective Action: June 30, 2024

Categories

Questioned Costs Reporting

Other Findings in this Audit

  • 479526 2023-003
    Material Weakness Repeat
  • 1055967 2023-003
    Material Weakness Repeat
  • 1055968 2023-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
20.933 National Infrastructure Investments $10.51M
21.027 Covid-19 Coronavirus State and Local Fiscal Recovery Funds $4.17M
97.036 Covid-19 Disaster Grants - Public Assistance (presidentially Declared Disasters) $1.78M
93.527 Grants for New and Expanded Services Under the Health Center Program $803,708
12.121 Montana, Nevada, New Mexico, Utah, Idaho, & Wyoming Environmental Infrastructure (section 595) - Arra $589,038
97.047 Bric: Building Resilient Infrastructure and Communities $367,844
21.019 Covid-19 Coronavirus Relief Fund $274,236
16.589 Rural Domestic Violence, Dating Violence, Sexual Assault, and Stalking Assistance Program $254,068
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $213,607
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $205,486
97.039 Hazard Mitigation Grant $201,518
93.658 Foster Care_title IV-E $196,854
16.575 Crime Victim Assistance $175,955
93.958 Block Grants for Community Mental Health Services $175,000
16.590 Grants to Encourage Arrest Policies and Enforcement of Protection Orders Program $167,142
10.665 Schools and Roads - Grants to States $166,258
93.069 Public Health Emergency Preparedness $145,231
97.042 Emergency Management Performance Grants $130,000
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $102,011
93.276 Drug-Free Communities Support Program Grants $96,698
93.977 Sexually Transmitted Diseases (std) Preventation and Control Grants $90,151
16.838 Comprehensive Opioid, Stimulant, and Other Substances Use Program $82,991
14.228 Covid-19 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $75,886
16.548 Delinquency Prevention Program $70,573
93.994 Maternal and Child Health Services Block Grant to the States $68,672
93.224 Covid-19 Health Center Program (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $65,500
66.818 Brownfields Multipurpose, Assessment, Revolving Loan Fund, and Cleanup Cooperative Agreements $65,195
93.898 Cancer Prevention and Control Programs for State, Territorial and Tribal Organizations $64,532
66.001 Air Pollution Control Program Support $63,332
16.585 Treatment Court Discretionary Grant Program $59,724
93.268 Immunization Cooperative Agreements $58,830
15.933 Preservation of Japanese American Confinement Sites $58,447
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $57,547
20.600 State and Community Highway Safety $54,720
93.526 Covid-19 Grants for Capital Development in Health Centers $52,296
10.557 Wic Special Supplemental Nutrition Program for Women, Infants, and Children $48,222
93.224 Health Center Program (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $44,256
93.918 Grants to Provide Outpatient Early Intervention Services with Respect to Hiv Disease $43,666
10.558 Child and Adult Care Food Program $41,679
95.001 High Intensity Drug Trafficking Areas Program $34,835
16.588 Violence Against Women Formula Grants $31,667
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $19,629
16.582 Crime Victim Assistance/discretionary Grants $16,404
16.738 Edward Byrne Memorial Justice Assistance Grant Program $13,751
10.699 Partnership Agreement Programs $12,486
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $11,285
93.665 Covid-19 Emergency Grants to Address Mental and Substance Use Disorders During Covid-19 $9,603
97.067 Homeland Security Grant Program $9,328
20.219 Recreational Trails Program $9,274
93.576 Refugee and Entrant Assistance_discretionary Grants $7,925
93.527 Covid-19 Grants for New and Expanded Services Under the Health Center Program $7,491
93.435 The Innovative Cardiovasculat Health Program $7,066
93.136 Injury Prevention and Control Research and State and Community Based Programs $6,516
20.616 National Priority Safety Programs $5,000
90.404 Hava Election Security Grants $4,918
10.170 Specialty Crop Block Grant Program - Farm Bill $4,513
10.572 Wic Farmers' Market Nutrition Program (fmnp) $4,187
93.070 Environmental Public Health and Emergency Response $1,514
93.959 Block Grants for Prevention and Treatment of Substance Abuse $913
93.426 The National Cardiovascular Health Program $333
93.461 Covid-19 - Hrsa Covid-19 Claims Reimbursements for Unisured Prog. and the Covid-19 Coverage Assist. Fund $276
81.041 State Energy Program $138