Finding Text
2022-007 Reporting
Prior Year Finding Number: N/A
Repeat Finding Since: N/A
Type of Finding: Internal Control Over Compliance and Compliance
Severity of Deficiency: Significant Deficiency and Other Matter
Federal Agency: U.S. Department of Commerce
Program: 11.307 Economic Adjustment Assistance
Award Number and Year: 06-79-06176; URI 223578, 2020
Pass-Through Agency: Direct
Criteria: Per the Standard Terms and Conditions for Construction Projects, Title II of the Public Works and Economic Development Act of 1965, the recipient shall submit a “Federal Financial Report” (Form SF-425) on a semi-annual basis for the periods ending March 31 and September 30 no later than 30 calendar days following the end of each period. Additionally, the recipient shall submit Quarterly Project Progress Reports no later than 30 calendar days following the end of each quarterly period.
Condition: The County did not submit the Form SF-425 for the period ending March 31, 2022, by April 30, 2022. Additionally, the County did not submit the June 30, 2022, Project Progress Report by July 31, 2022.
Questioned Costs: None.
Context: The County submitted the Form SF-425 on May 26, 2022, for the period ending March 31, 2022, and submitted the Project Progress Report for the period ending June 30, 2022, on August 10, 2022. Subsequent reports tested during the year were submitted in a timely manner.
The sample size was based on the guidance from chapter 11 of the AICPA Audit Guide, Government Auditing Standards and Single Audits.
Effect: The County did not meet the reporting requirements for the program which could affect future funding.
Cause: This was a new program to the County, and staff were not fully aware of the reporting deadlines.
Recommendation: We recommend County staff establish procedures to ensure the reports for this program are submitted in a timely manner to meet reporting requirements.
View of Responsible Official: Concur