Finding Text
2022 ? 003 Federal agency: U.S. Department of Treasury Federal program title: Corona Virus State and Local Fiscal Recovery Funds Assistance Listings Number: 21.027 Pass-Through Agency: State of California Pass-Through Number(s): CAPP-PN-2021-06 / 68-0281986 Award Period: March 4, 2020 through June 15, 2021 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matter Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Post Federal Award Requirements requires that the financial management system of a non-Federal entity provide for accurate, current, and complete disclosure of the financial results of each Federal award or program in accordance with reporting requirements. Condition: Expenditures were incurred that were outside of the award period. Questioned costs: Known questions costs of $304. Based on the error rate of the population sampled, likely questioned costs are approximately $25,400. Context: 2 of 40 samples tested had questioned costs of Cause: Account balance changes took place between the time arrearage credits were calculated and the time they were posted. Effect: Credits were made to utility customer accounts on balances is excess of the balance that was in arrears during the program period. Repeat Finding: No. Recommendation: We recommend that the City review its procedures for the preparation and review of reporting for Federal grants, whereby amounts included on reports are reconciled to the City's accounting records.