Finding 960812 (2022-002)

Significant Deficiency Repeat Finding
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2024-03-25
Audit: 297486
Organization: The City of Frederick, Maryland (MD)
Auditor: Brown Plus

AI Summary

  • Core Issue: Significant deficiency in internal control over the Airport Improvement Program's reporting process.
  • Impacted Requirements: Inaccurate reporting of federal revenue and expenditures on Form SF-425, leading to misrepresentation of project status.
  • Recommended Follow-Up: Finance department should ensure timely and accurate accounting records are provided for the reporting period to improve oversight and compliance.

Finding Text

Federal Agency: Department of Transportation Federal Program: 20.106 Airport Improvement Program Identification Number: 3-24-0017-049-2021 Requirement: Reporting Type of Finding: Significant deficiency in internal control over major program Criteria: Federal revenue, federal expenditures and the recipient share are to be reported for the period Form SF-425 is being filed. Condition: Forms SF-425, Federal Financial Report (FFR), were completed using amounts from a varying reporting period and excluded expenditures that were incurred during the reporting period. Cause: There was no management oversight of the preparation of Form SF-425. Effect: The Department of Transportation will not have accurate information to assess the status of each project. Context: FFR for Grant 49 was filed with period-end date September 30, 2021 noting zero expenditures when actual expenditures were $5,500. Repeat Finding: This finding was reported for the years ended June 30, 2021 and 2020 as 2021-002 and 2020-004, respectively, as a material weakness and noncompliance. The issue was not as severe for the year ended June 30, 2022. Recommendation: The finance department should provide accounting records to the airport that are for the reporting period the Form SF-425 is being prepared. This will provide the Department of Transportation with an accurate accounting of where the project stands. Views of Responsible Official(s) and Planned Corrective Actions: See corrective action plan.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 384370 2022-002
    Significant Deficiency Repeat
  • 384371 2022-003
    Material Weakness
  • 384372 2022-004
    Significant Deficiency Repeat
  • 384373 2022-005
    Significant Deficiency Repeat
  • 384374 2022-006
    Significant Deficiency
  • 384375 2022-007
    Material Weakness
  • 384376 2022-008
    Material Weakness
  • 384377 2022-009
    Material Weakness
  • 384378 2022-010
    Material Weakness
  • 384379 2022-011
    Significant Deficiency
  • 384380 2022-012
    Material Weakness
  • 384381 2022-013
    Significant Deficiency
  • 384382 2022-014
    Significant Deficiency
  • 384383 2022-015
    Material Weakness
  • 384384 2022-016
    Significant Deficiency
  • 384385 2022-017
    Significant Deficiency
  • 960813 2022-003
    Material Weakness
  • 960814 2022-004
    Significant Deficiency Repeat
  • 960815 2022-005
    Significant Deficiency Repeat
  • 960816 2022-006
    Significant Deficiency
  • 960817 2022-007
    Material Weakness
  • 960818 2022-008
    Material Weakness
  • 960819 2022-009
    Material Weakness
  • 960820 2022-010
    Material Weakness
  • 960821 2022-011
    Significant Deficiency
  • 960822 2022-012
    Material Weakness
  • 960823 2022-013
    Significant Deficiency
  • 960824 2022-014
    Significant Deficiency
  • 960825 2022-015
    Material Weakness
  • 960826 2022-016
    Significant Deficiency
  • 960827 2022-017
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
20.106 Airport Improvement Program $4.76M
93.224 Consolidated Health Centers (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $1.39M
93.137 Community Programs to Improve Minority Health Grant Program $985,426
59.075 Shuttered Venue Operators Grant Program $807,851
10.558 Child and Adult Care Food Program $805,355
93.568 Low-Income Home Energy Assistance $780,504
14.231 Emergency Solutions Grant Program $660,699
21.027 Coronavirus State and Local Fiscal Recovery Funds $415,035
93.569 Community Services Block Grant $407,287
14.267 Continuum of Care Program $182,884
14.218 Community Development Block Grants/entitlement Grants $151,936
81.042 Weatherization Assistance for Low-Income Persons $133,099
93.150 Projects for Assistance in Transition From Homelessness (path) $74,103
16.738 Edward Byrne Memorial Justice Assistance Grant Program $70,867
95.001 High Intensity Drug Trafficking Areas Program $58,844
16.745 Criminal and Juvenile Justice and Mental Health Collaboration Program $27,718
10.559 Summer Food Service Program for Children $16,751
93.499 Low Income Household Water Assistance Program $16,206
97.067 Homeland Security Grant Program $9,802
20.616 National Priority Safety Programs $9,148
21.026 Homeowner Assistance Fund $7,726
21.016 Equitable Sharing $6,000
20.600 State and Community Highway Safety $5,838
66.466 Chesapeake Bay Program $3,675