Finding Text
2022-001 ? Subaward Reporting Requirements for Federal Funding Accountability and Transparency Act (FFATA) Significant Deficiency and Non-Material Noncompliance Federal Program CDBG-Entitlement Grants Cluster, CFDA 14.218 Criteria The requirements of 2 CFR Part 170 Appendix A states that direct recipients of grants or cooperative agreements are required to report first-tier subawards of $50,000 or more to the Federal Funding Accountability and Transparency Act (FFATA) Subaward Report System (FSRS) by the end of the following month in which the direct recipient awards such subawards. Part 3 of the compliance supplement requires this reporting at the $30,000. Condition During the audit, we noted reporting of subaward information to FSRS was not performed. Cause The City did not have controls in place to ensure FSRS reporting was completed in the required timeframe. Identification as a Repeat Finding This is not a repeat finding. Effect The City could jeopardize future grant funding due to program noncompliance. Question Costs None. Recommendation We recommend the City implement a tracking system to remind staff of the various reports due and respective deadlines. Management?s Response See Corrective Action Plan.