Finding Text
2023 – 003: Reporting
Federal Agency: U.S. Department of Transportation
Federal Program Name: Airport Improvement Program
Assistance Listing Number: 20.106
Federal Award Identification Number and Year: 3-06-0190-019-2022
Award Period: September 12, 2022 to September 22, 2026
Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matter
Criteria or Specific Requirement: The City's agreement the U.S. Department of Transportation
Federal Aviation Administration indicates that a SF-425 (Federal Financial Report), should be submitted
by December 31st of each year the grant is open.
Condition: No SF-425 was submitted as of December 31, 2022.
Questioned Costs: None
Context: 1 of 1 SF-425 reports tested.
Cause: There was a gap in the City's tracking system for submitting reports causing the requirement to
submit the SF-425 to be overlooked.
Effect: The City was out of compliance with reporting requirements for this grant.
Repeat Finding: No
Recommendation: We recommend that the City review its process for identifying and tracking
reporting requirements to ensure that all required reports are submitted timely.
Views of Responsible Officials: We acknowledge the single audit finding that the SF-425 report was
not submitted as of December 31, 2022. However, we would like to clarify that the project in question
did not commence until June 2023. As such, there were no financial activities to report. We recognize
the importance of timely submission of financial reports to ensure compliance with federal grant
requirements and will ensure the SF-425 report will be appropriately filed.
Upon review, we found that this oversight was due to miscommunication with the grantor regarding
reporting deadlines. We have been in communication with the grantor and are in the process of
completing and filing the required form.
To prevent future occurrences, we are revising internal review procedures and establishing automated
calendar reminders, to ensure that in the future, SF-425 reports will be submitted for all reporting
periods. We are fully committed to maintaining compliance with all federal reporting requirements and
will continue to improve our processes to prevent such issues in the future.