Finding 626982 (2022-002)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2022-10-24
Audit: 51353
Organization: Iowa Finance Authority (IA)
Auditor: Eide Bailly LLP

AI Summary

  • Core Issue: Lack of documented review controls for report submissions under the Emergency Rental Assistance Program (ERA) and Coronavirus State and Local Fiscal Recovery Funds (CSLFRF).
  • Impacted Requirements: Quarterly and annual reporting requirements for ERA and monthly/quarterly reporting for CSLFRF were not adequately reviewed before submission.
  • Recommended Follow-Up: Implement a documented review process to ensure accuracy and completeness of reports prior to submission.

Finding Text

2022-002 U.S. Department of Treasury CFDA # 21.023, 2022 Award Year, Award Number: Not Provided Emergency Rental Assistance Program (ERA) U.S. Department of Treasury CFDA #21.027 2022 Award Year, award Number: Not Provided Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Reporting Significant Deficiency in Internal Control over Compliance Criteria: Quarterly and annual reports are required by Department of Treasury for ERA. Monthly and quarterly reports are by the State of Iowa for CSLFRF. Condition: There was no documented control in place to review reports prior to submission. Cause: Based on reporting requirements being new for CSLFRF, review controls were not implemented until fiscal year 2023. For ERA, another person observed the report being entered but review of the submission was not documented. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA, we tested 2 of the 4 quarterly reports required for fiscal year 2022. For CSLFRF, we tested all monthly (2) and quarterly (1) reports required. Repeat Finding from Prior Year(s): No Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. Views of Responsible Officials: Management agrees with the finding.

Categories

Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 50539 2022-001
    Significant Deficiency
  • 50540 2022-002
    Significant Deficiency
  • 50541 2022-002
    Significant Deficiency
  • 50542 2022-002
    Significant Deficiency
  • 50543 2022-001
    Significant Deficiency
  • 626981 2022-001
    Significant Deficiency
  • 626983 2022-002
    Significant Deficiency
  • 626984 2022-002
    Significant Deficiency
  • 626985 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.195 Section 8 Housing Assistance Payments Program $69.10M
14.231 Emergency Solutions Grant Program $9.74M
14.239 Home Investment Partnerships Program $5.11M
14.275 Housing Trust Fund $2.53M
21.023 Emergency Rental Assistance Program $2.47M
21.019 Coronavirus Relief Fund $1.81M
14.241 Housing Opportunities for Persons with Aids $702,364
21.026 Homeowner Assistance Fund $527,139
21.027 Coronavirus State and Local Fiscal Recovery Funds $365,000