Finding Text
PASS-THROUGH GRANTOR: Oklahoma Department of Emergency Management and Oklahoma
Office and Management and Enterprise Services
FEDERAL AGENCY: U.S. Department of Treasury
ASSISTANCE LISTING: 21.019
FEDERAL PROGRAM NAME: Coronavirus Relief Fund
FEDERAL AWARD NUMBER: Oklahoma CARES PPE; 4530-DR-OK; SA-2242
FEDERAL AWARD YEAR: 2021
CONTROL CATEGORY: Activities Allowed or Unallowed and Allowable Costs/Costs Principles
QUESTIONED COSTS: $477,097
Condition: Upon inquiry, review, and testwork of 100% of major program expenditures, the following
exceptions were noted:
• The County was reimbursed $477,097 for payroll expenditures which were determined to be
unallowable costs to mitigate or prevent the spread of COVID-19 as required by the grant
agreement.
Cause of Condition: Policies and procedures have not been designed and implemented to ensure that the
compliance with applicable grant requirements.
Effect of Condition: These conditions resulted in noncompliance with federal grant requirements. This
could hinder the County from receiving future federal funding and could result in the repayment of grant
funds to the grantor agency.
Recommendation: OSAI recommends the County gain an understanding of requirements for this program
and design and implement policies and procedures to ensure compliance with all applicable grant
requirements.
Management Response:
District 1 County Commissioner: Ottawa County has designed and implemented policies and procedures
to ensure compliance with all applicable grant requirements.
District 2 County Commissioner: I was not in office at this time. This was a one-time grant.
District 3 County Commissioner: I did not take office until January 2023; however, District 3 will work
to better understand all requirements of federal programs and implement better procedures to follow all
guidelines and ensure compliance.
Criteria: 2 CFR § 200.403 - Factors affecting allowability costs states in relevant part,
Except where otherwise authorized by statute, costs must meet the following general
criteria in order to be allowable under Federal awards:
(g) Be adequately documented.
42 United States Code § 801 – Coronavirus relief fund Section 801(d) requires the States, Tribal
governments, or units of local government use the funds received to cover only those costs
that (1) are necessary expenditures incurred due to the public health emergency with
respect to the Coronavirus Disease 2019 (COVID-19); (2) were not accounted for in the
budget most recently approved as of March 27, 2020, for the State or government; and (3)
were incurred during the period that begins on March 1, 2020, and ends on December 30,
2020.