Finding 588936 (2022-003)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-02-06
Audit: 17024
Organization: City of Gallup (NM)

AI Summary

  • Core Issue: The City missed the April 30, 2022 deadline for the Project and Expenditure Report due to a technical error in the online Treasury Submission Portal.
  • Impacted Requirements: The City is not compliant with U.S. Treasury reporting requirements for ARPA funds, which mandate timely submission of financial reports.
  • Recommended Follow-Up: The City should submit future reports earlier and promptly seek assistance for any technical issues to meet deadlines.

Finding Text

Statement of Condition During our testing of compliance over reporting for the ARPA major program, we determined the City had not yet completed and submitted their annual Project and Expenditure Report due by April 30, 2022, via the online Treasury Submission Portal. The City attempted to complete the reporting, but received a technical error which prevented them from going further in the online Treasury Submission Portal. The City reached out to the website?s help contact, but did not receive adequate assistance to resolve the error in the online Treasury Submission Portal. The City was able to resolve the technical error, complete, and submit their report on November 1, 2022. Criteria Per the U.S. Treasury: ? Project and Expenditure Report: Report on financial data, projects funded, expenditures, and contracts and subawards over $50,000, and other information. Project and Expenditure Reports are due on a regular, recurring basis after the Interim Reports. The reporting frequency and deadlines vary by type of recipient and total allocation amount. Per the U.S. Treasury Coronavirus State and Local Fiscal Recovery Funds website, the City of Gallup is a nonentitlement unit of government (NEU). NEUs were required to submit their annual Project and Expenditure Report on April 30, 2022 and then annually thereafter. Cause The City attempted to complete the reporting prior to the deadline, but received a technical error which prevented them from going further in the online Treasury Submission Portal. The City reached out to the website?s help contact about once a month, but did not receive adequate assistance to resolve the error until November 2022. Effect The City is not in compliance with the reporting requirements of the ARPA funds. Recommendation We recommend the City complete their Project and Expenditure Report via the online Treasury Submission Portal earlier than the required due date. Additionally, if the system gives a technical error we recommend the City contact the help contact more timely, in order to be able to submit the report by the deadline.

Categories

Reporting Subrecipient Monitoring Allowable Costs / Cost Principles

Other Findings in this Audit

  • 12494 2022-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.62M
93.933 Demonstration Projects for Indian Health $1.41M
15.552 Navajo-Gallup Water Supply Project $956,470
14.872 Public Housing Capital Fund $663,029
11.307 Economic Adjustment Assistance $256,083
16.034 Coronavirus Emergency Supplemental Funding Program $88,716
59.075 Shuttered Venue Operators Grant Program $59,738
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $49,394
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $46,818
66.458 Capitalization Grants for Clean Water State Revolving Funds $29,452
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $27,535
45.310 Grants to States $26,742
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $16,232
20.106 Airport Improvement Program $13,000
14.871 Section 8 Housing Choice Vouchers $8,701
14.850 Public and Indian Housing $8,562
93.788 Opioid Str $3,550
93.053 Nutrition Services Incentive Program $1,217