Finding Text
2022-003 U.S. Department of Homeland Security Staffing for Adequate Fire and Emergency Response Activities Allowed or Unallowed and Allowable Costs Reporting Deficiency in Internal Control over Compliance Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires internal control procedures to be performed over expenditures. Condition: During the course of our engagement, we noted reimbursement requests and required reports were not reviewed prior to submission and the City did not have sufficient internal controls over the reporting process. Cause: The City did not have adequate internal controls to ensure control procedures over expenditures. Effect: Internal controls procedures were not properly performed over expenditures. Recommendation: We recommend the City develops internal controls specifically addressing reimbursement request approval and reporting requirements. Management Response: Management is working on a process for approving and submitting reimbursement requests and required reports.