Finding 584022 (2022-002)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2024-01-05
Audit: 9922
Organization: Horsham Township (PA)

AI Summary

  • Core Issue: The Entity's financial management procedures are incomplete and do not fully comply with 2 CFR 200.302 requirements.
  • Impacted Requirements: Effective control and accountability for funds and assets are not adequately documented.
  • Recommended Follow-Up: Update financial policies to align with 2 CFR 200.302 and ensure compliance to prevent errors in financial reporting.

Finding Text

Criteria and Condition: While the Entity has some written financial management procedures documentation, it does not meet all the recent specific requirements under 2 CFR 200.302 in the Uniform Grant Guidance. Context: The financial management requirements under 2 CFR 200.302 require each non-federal entity maintain effective control over, and accountability for all funds, property, and other assets, including having written procedures in place. Cause: Due to the turnover in staff and upper management, the Entity did not comply with this requirement. Potential Effect: Errors could occur in financial reporting. Recommendation: We recommend the Entity update its existing policies to comply with the requirements under 2 CFR 200.302. Views of Responsible Officials and Planned Corrective Actions: Management understands the importance of defining and following the necessary policies and procedures to remain in compliance with the requirements under 2 CFR 200.302 and have sufficient staff to comply. We will follow the recommendation of the Audit.

Categories

Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 7579 2022-001
    Material Weakness
  • 7580 2022-002
    Material Weakness
  • 584021 2022-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $848,064
21.027 Coronavirus State and Local Fiscal Recovery Funds $183,561