Finding 601970 (2022-002)

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Requirement
P
Questioned Costs
-
Year
2022
Accepted
2023-03-02
Audit: 27042
Organization: Coloma Charter Township (MI)

AI Summary

  • Core Issue: The Township lacks formal written policies for financial management and procurement as required by the Uniform Grant Guidance.
  • Impacted Requirements: Compliance with the Uniform Guidance (specifically sections ?200.302 and ?200.318) for federal awards initiated after December 26, 2014.
  • Recommended Follow-Up: Update and document the necessary policies by the end of fiscal year 2023 to ensure compliance.

Finding Text

2022-002 - Written Policies Required by the Uniform Grant Guidance Finding Type: Immaterial noncompliance Program: Water and Waste Disposal Systems for Rural Communities (ALN 10.760) Criteria: The Uniform Guidance requires a non-federal entity that has expended federal awards for a grant awarded on or after December 26, 2014 to have written policies pertaining to financial management (?200.302) and procurement (?200.318). Condition: Although the Township has procedures in place to cover these areas, the formal written policies have not been documented in accordance with the Uniform Guidance. Cause: This condition appear to be the result of a time lag in identifying the requirements an developing a plan for compliance. Effect: As a result of this condition, the Township did not fully comply with the Uniform Guidance applicable to the USDA bond funds. Questioned Costs: No costs have been questioned as a result of this finding. Recommendation: We recommend that the Township ensures that these polices are updated to conform with the Uniform Guidance as soon as practical, but no later than the end of fiscal year 2023. View of Responsible Officials: The Township will review the current policy and get it updated to meet the criteria set out in the Uniform Guidance.

Categories

Procurement, Suspension & Debarment Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 25527 2022-001
    Material Weakness
  • 25528 2022-002
    -
  • 601969 2022-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
10.760 Water and Waste Disposal Systems for Rural Communities $1.25M