Finding 561728 (2024-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-05-28
Audit: 357365
Organization: City of Coachella (CA)

AI Summary

  • Core Issue: The City failed to submit the required Project and Expenditure reports on time for two out of four quarters.
  • Impacted Requirements: This violates the performance reporting requirements set by the U.S. Department of Treasury for the SLFRF funds.
  • Recommended Follow-Up: Address staff turnover issues to ensure timely reporting and avoid potential sanctions from the U.S. Department of Treasury.

Finding Text

Identification of the Federal Program: Assistance Listing Number: 21.027 Assistance Listing Title: Coronavirus State and Local Fiscal Recovery Fund (SLFRF) Federal Agency: Department of the Treasury Pass-Through Entity: None Federal Award Number and Award Year: 2021 Criteria or Specific Requirement (Including Statutory, Regulatory, or Other Citation): Performance Reporting – Pursuant to the U.S. Department of Treasury 31 CFR Part 35 RIN 1505–AC77 the Supplementary Information of the interim final rule provided initial guidance on the reporting requirements for the SLFRF funds, the City is required to submit one interim report and quarterly Project and Expenditure reports. Condition: During our audit, we noted that the City did not submit the Project and Expenditure on time for two of the four quarters. Cause: The City experienced staff turnover at the department level and it created the delay in submitting the quarterly reports. Effect or Potential Effect The delay in submission of the quarter reports may lead to the U.S. Department of Treasury imposing sanctions on the City including withholding future apportionments. Questioned Costs: No questioned costs were reported. Context: See condition above for context of the finding

Corrective Action Plan

City to correct the noted deficiencies through additional review process: • The Finance Department and Grants Management will train additional staff to mitigate the effect of the staff turnover.

Categories

Subrecipient Monitoring Reporting

Other Findings in this Audit

  • 1138170 2024-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
20.205 Highway Planning and Construction $702,754
14.218 Community Development Block Grants/entitlement Grants $616,535
21.027 Coronavirus State and Local Fiscal Recovery Funds $383,750