Finding 605154 (2022-001)

Finding 2022-001 Assistance Listing Number: 21.027 COVID-19 ? Coronavirus State and Local Fiscal Recovery Funds Federal Agency: U.S. Department of Treasury Pass-Through Agency: Illinois Department of Commerce and Economic Opportunity Award Numbers/Years: ARPA 21-413010 / 2021-2022 Criteria: According to 2 CFR 200.332, all pass-through entities must ensure that every subaward is clearly identified to the subrecipient as a subaward and include specific award identification data as detailed in the Uniform Guidance. Condition/Context: Out of the three executed subrecipient agreements selected for testing, none of them included the subaward information required by the Uniform Guidance. Our sample was not statistically valid. Effect: Subrecipients may not receive the appropriate subaward information. Questioned Costs: None noted. Cause: The County did not have a process to ensure that the subaward information was included in the subrecipient contracts for this award. Recommendation: We recommend the County develop a template with the required subaward information and share it with the subrecipients of this award program. In addition, this process should be incorporated into the regular subrecipient contracting procedures. Views of Responsible Officials: Lake County acknowledges that subaward information required by the Uniform Guidance was not provided to subrecipients in a separate notice. The County had previously incorporated the information in various clauses of the contracts/agreements with each subrecipient. The County has since developed a single notification form with the required subaward information which it includes with the initial contract and upon any modifications or change orders.