Finding Text
2022-006 WATERSMART GRANT - REPORTING Federal Program Information Funding agency: U.S. Department of Interior, Bureau of Reclamation Title: Reclamation States Emergency Drought Relief ALN: 15.514 Award Year: 2021 Questioned Costs: None Type of Finding: Significant Deficiency, Other Non-Compliance Condition We noted the Village is not in compliance with requirements related to the reporting of grants. During our test work, we noted the following exceptions: ? The Village did not complete the recipient share section of the federal financial reports for 1 of 2 reports tested. ? The Village did not submit semi-annual performance progress reports (PPRs) timely for 1 of the 2 reports tested. Criteria According to ?200.302 Financial management of 2 CFR Part 200, the state?s and the other non-Federal entity?s financial management systems, including records documenting compliance with Federal statutes, regulations, and the terms and conditions of the Federal award, must be sufficient to permit the preparation of reports required by general and program specific terms and conditions. Further, the financial management system of each non-Federal entity must provide accurate, current, and complete disclosure of the financial results of each Federal award or program in accordance with the reporting requirements. According to ?200.303 Internal controls of 2 CFR Part 200, the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Effect The Village is not in compliance with federal reporting requirements. Cause The Village lacks established internal controls and procedures over financial grant management to ensure submitted reports are complete.