Finding 959102 (2022-008)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2024-03-20
Audit: 296246
Organization: County of Delta (MI)

AI Summary

  • Core Issue: The County Airport failed to submit required FAA forms, indicating a material weakness in internal controls.
  • Impacted Requirements: Noncompliance with federal reporting requirements for the Airport Improvement Program.
  • Recommended Follow-Up: Establish formal written policies for report preparation and submission to ensure compliance.

Finding Text

2022-008 – Report Preparation and Submission Finding Type: Material Weakness in Internal Controls and Noncompliance (Reporting) Federal Program: U.S. Department of Transportation – Airport Improvement Program (AL #20.106); all project numbers Criteria: Sponsors of commercial airports are required to submit FAA Form 5100-127, Operating and Financial Summary (OMB No. 2120-0569), which captures revenues and expenditures at the airport, including revenue surplus. Sponsors of commercial airports are also required to submit FAA Form 5100-126, Financial Government Payment Report (OMB No. 2120-0569), which captures amounts paid and services provided to other units of government. Condition: The County Airport did not file FAA Form 5100-127 or FAA Form 5100-126. Cause: The County Airport does not have controls in place to ensure all required reports are filed. The Airport grants operate outside of the general County processes and internal control system given the administration assistance provided by the State and other consultants. Also, Airport management has experienced significant turnover. Effect: As a result of this condition, the County did not comply with the grant requirements. Questioned Costs: No costs have been questioned as a result of this finding. Recommendation: We recommend that the County and the Airport adopt formal written policies related to report preparation and submission as soon as practical. Views of Responsible Officials: The County will work to update policies and procedures related to report preparation and submission.

Categories

Material Weakness Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 382653 2022-006
    Material Weakness Repeat
  • 382654 2022-006
    Material Weakness Repeat
  • 382655 2022-006
    Material Weakness Repeat
  • 382656 2022-007
    Material Weakness Repeat
  • 382657 2022-007
    Material Weakness Repeat
  • 382658 2022-007
    Material Weakness Repeat
  • 382659 2022-008
    Material Weakness
  • 382660 2022-008
    Material Weakness
  • 382661 2022-009
    Significant Deficiency
  • 382662 2022-010
    Significant Deficiency
  • 959095 2022-006
    Material Weakness Repeat
  • 959096 2022-006
    Material Weakness Repeat
  • 959097 2022-006
    Material Weakness Repeat
  • 959098 2022-007
    Material Weakness Repeat
  • 959099 2022-007
    Material Weakness Repeat
  • 959100 2022-007
    Material Weakness Repeat
  • 959101 2022-008
    Material Weakness
  • 959103 2022-009
    Significant Deficiency
  • 959104 2022-010
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.38M
20.106 Airport Improvement Program $1.01M
15.226 Payments in Lieu of Taxes $411,258
10.665 Schools and Roads - Grants to States $228,469
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $63,519
16.922 Equitable Sharing Program $51,904
93.563 Child Support Enforcement $48,598
16.575 Crime Victim Assistance $39,186
16.738 Edward Byrne Memorial Justice Assistance Grant Program $38,227
97.012 Boating Safety Financial Assistance $18,400
93.658 Foster Care_title IV-E $14,174
97.042 Emergency Management Performance Grants $10,898
16.034 Coronavirus Emergency Supplemental Funding Program $4,890
20.703 Interagency Hazardous Materials Public Sector Training and Planning Grants $3,612
97.067 Homeland Security Grant Program $201