Finding Text
From a total of 1,484 SBF Program Recovery Grants (the grants) awarded to business applicants during the year ended June 30, 2022, in the amount of $64,654,049, we performed various compliance tests and noted the following situations:
• During our audit procedures, we got knowledge that one (1) Business Applicant obtained two (2) grant awards in the aggregate amount of $96,630, under two different applications.
• We selected a sample of 121 grants awarded in the total amount of $5,301,329, to verify if the Business Applicant qualifies for the grant award under physical damages or economic losses, as required by the program’s guidelines. We noted that in two (2) cases, representing 1.65% of the total sample, the Business Applicants did not support physical damages nor economic losses and consequently do not qualify for the grant award. Total grants awarded to these business
applicants amounted in the aggregate to $66,308.
• We selected a sample of sixty-six (66) grants awarded as follows: twenty-seven (27) grants awarded for working capital purposes and thirty-nine (39) grants awarded for the purchase of equipment, in the total amount of $2,839,563 and noted the following situations:
- For the grants awarded for equipment, we reviewed the supporting documentation for required quotes and noted that in thirteen (13) cases, or 33%, some quotes provided by the Business Applicants did not have a date and in one (1) case, or 0.03%, the quotes provided by the Business Applicant did not have a date nor supplier name.
- We recomputed the amount of the grant awarded, and noted that in three (3) cases, representing 5% of the total sample, the amount of award was computed incorrectly. The amount of over payment in the aggregate was $1,150.
- We noted in one (1) case, representing 2% of the total sample, that the Bank did not require to the Business Applicant evidence about the percent (%) that represents the sales of alcohol of the total Business’ sales.
From a total of 213 grants awarded for which closeout procedures were completed during the year ended June 30, 2022, in the amount of $9,522,108, we selected twenty-five (25) cases, in the total amount of $1,178,590, and noted in one (1) case, representing a 4% of the total sample, the required three (3) quotes were not obtained from the Business Applicant in the aggregate amount of $39,433.