Finding Text
2022-001 ALN 21.027 ARPA Coronavirus State and Local Fiscal Recovery Fund Subrecipient Monitoring: Non-Compliance with Grant Requirements Criteria - Per the grant requirements within the 2022 OMB Compliance Supplement, subrecipient's risk of noncompliance should be evaluated and policies and procedures should be in place for subrecipient monitoring and risk assessment. As part of these requirements, records should be maintained of all award agreements identifying or otherwise documenting subrecipients' compliance obligations. Condition- No monitoring policies or procedures have been implemented for the County's subrecipient awards. Questioned Costs- N/A Context- We tested subrecipient awards made by the County related to our audit period and determined that no monitoring procedures were performed. Cause- This grant program and the reporting requirements were new for the County in fiscal year 2022. Subrecipient awards were issued late in the fiscal year and the County did not get monitoring policies or procedures implemented. Effect- Failure to establish effective subrecipient monitoring procedures will allow possible irregularities to exist and continue without notice. Recommendation- We recommend that the County implement policies and procedures to ensure controls are in place to properly monitor subrecipient awards. Views of Responsible Officials- See Corrective Action Plan.