Finding 480967 (2023-002)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-08-12
Audit: 317088
Organization: City of Dillingham (AK)

AI Summary

  • Core Issue: The City failed to submit the project performance report on time, violating federal reporting requirements.
  • Impacted Requirements: Compliance with Uniform Guidance mandates timely financial and performance reporting to ensure program effectiveness.
  • Recommended Follow-Up: The City should improve processes to ensure timely submission of reports in line with Uniform Guidance standards.

Finding Text

Finding 2023-002: Late Reporting and Noncompliance with Reporting Requirements Federal Agency: U.S. Department of the Treasury Pass through agency: State of Alaska Department of Commerce Community and Economic Development Federal Programs: Coronavirus State and Local Fiscal Recovery Funds and Local Government Lost Revenue ALN 21.027 Grant Numbers: AK0031 and 22-LGLR-07 Award Period: 2022 Type of Finding: Significant Deficiency/ Noncompliance Condition and context: The City did not adhere to the Uniform Guidance requirement of submitting the project performance report by the annual deadline. Criteria: All recipients of federal funds must complete financial, performance, and compliance reporting as required and outlined in Part 2 of this guidance. Expenditures may be reported on a cash or accrual basis, as long as the methodology is disclosed and consistently applied. Reporting must be consistent with the definition of expenditures pursuant to 2 CFR 200.1. The nonfederal entity must submit performance reports at the interval required by the federal awarding agency or pass-through entity to best inform improvements in program outcomes and productivity as outlined in 2 CFR 200.329. Cause: Due to staff turnover the City was unable to access their reporting log in within the required timeframe, and subsequently were also late in submission of the expenditure Report. Effect: The City is not in compliance with Uniform Guidance requirements. Questioned Costs: None. Repeat finding: No. This appears to be an isolated instance of noncompliance. Recommendation: The City needs to work on getting financial information more timely (i.e. submit the reporting package with the guidelines of Uniform Guidance). Management Response: Management concurs with this finding. See Corrective Action Plan.

Corrective Action Plan

Finding 2023-002 Late Reporting and Noncompliance with Reporting Requirements Name of Contact Person: Anita Fuller, Finance Director Corrective Action Plan: Proposed Completion Date: Immediately

Categories

Reporting Subrecipient Monitoring Significant Deficiency Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 480964 2023-001
    Material Weakness Repeat
  • 480965 2023-002
    Significant Deficiency
  • 480966 2023-001
    Material Weakness Repeat
  • 1057406 2023-001
    Material Weakness Repeat
  • 1057407 2023-002
    Significant Deficiency
  • 1057408 2023-001
    Material Weakness Repeat
  • 1057409 2023-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $496,247
15.226 Payments in Lieu of Taxes $480,895
66.458 Capitalization Grants for Clean Water State Revolving Funds $146,538
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $70,410
45.311 Native American and Native Hawaiian Library Services $11,827
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $4,800
45.310 Grants to States $3,872