Corrective Action Plan Finding 2022-001 Finding Summary: The County does not have an internal control system designed to provide for the timely preparation of the financial statements and related financial statement disclosures. There were material entries recorded that were detected as a result of audit procedures. Further, Eide Bailly assists in the preparation of multiple cash-to-accrual entries as an approved nonattest service. Responsible Individuals: Lucy Valero, County Auditor Corrective Action Plan: It is not cost effective to have an internal control system designed to provide for preparation of the financial statements and accompanying notes. We requested that our auditors, Eide Bailly LLP, prepare the financial statements and the accompanying notes to the financial statements as a part of their annual audit. We have designated a member of management to review the drafted financial statements and accompanying notes, and we have reviewed with and agree with the adjustments proposed during the audit. Anticipated Completion Date: Ongoing Finding 2022-002 Federal Agency Name: U.S. Department of the Treasury Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF} Assistance Listing Number: 21.027 Finding Summary: Per the U.S. Department of Treasury SLFRF Compliance and Reporting Guidance, counties with a population below $250,000 that were allocated less than $10,000,000 in SLFRF funding are required to submit annual Project and Expenditure Reports. The annual report for the period March 3, 2021 - March 31, 2022 was due during the year under audit. The County reported no expenditures for the period included in the annual report, omitting expenditures incurred in the prior fiscal year. The annual report was not reviewed by an individual other than the preparer. Responsible Individuals: Terri Stahl, County Treasurer Corrective Action Plan: Dawson County does not agree with the finding, and does not believe corrective action is required due to the following circumstances. Upon advisement from TAC, the County made a transfer from the ARPA fund to the General fund before the end of the year using the interim rules, but were told NACO still had not finalized the final rule because they were looking at additional ways to help smaller counties. No checks were written out of the ARPA fund. In March 2022, NACO finalized the regulations on the ARPA funds, which allowed the County claim revenue loss of up to 10 million or to use the interim rule provisions for allowability. The County chose to claim revenue loss of up to 10 million, rather than claim allowable costs of $400,000 under the interim rule. On April 5, 2022 the Commissioners signed a resolution to declare all funds as "Lost Revenue." The money was transferred from General fund back to the AARP fund. TAC/NACO's advisement was that since no checks had been written to any businesses, the annual report needed to show no expenses. Anticipated Completion Date: 03/09/2023