Finding Text
2022-004 - Control Deficiency on Identifying the Award and Applicable Requirements Program: Building Resilient Infrastructure and Communities Criteria: The pass-through entity (the Village) must identify the award and applicable requirements to the subrecipient at the time of the subaward. Condition: The pass-through entity did not provide a signed agreement to the subrecipient detailing the information required by the Uniform Guidance. Questioned Costs: Not applicable. Context: The State agency awarding the grant to the pass-through entity was in direct contact with the subrecipient. The subrecipient was aware of the grant requirements. Effect: The absence of an agreement between the pass-through entity and the subrecipient could create confusion on who is responsible for other grant requirements. This could lead to noncompliance. Information: Isolated instance. Prior Year Finding: This was a prior year audit finding numbered 2021-004. Recommendation: The pass-through entity should obtain a signed agreement with the subrecipient detailing the information required by the Uniform Guidance. Management?s Response: At the time of this audit report, the grant period is nearly over and obtaining a signed agreement at this point would not be productive. This was a one-time grant for a large construction project and the subrecipient worked directly with the State agency on grant compliance. In the future, the Village will obtain signed agreements for pass-through grants.