Finding 963413 (2023-001)

Assistance Listing, Federal Agency, and Program Name - 14.218, Department of Housing and Urban Development (HUD), CDBG – Entitlement Grants Cluster, Community Development Block Grants/Entitlement Grants Program (CDBG), COVID 19 Community Development Block Grants/Entitlement Grants Program (CDBG-CV) Federal Award Identification Number and Year - B-20-MC-26-0017, B-21-MC-26-0017, B-22-MC-26-0017, and COVID-19-CDBG-CV (B-20-MW-26-0017) Pass-through Entity - N/A Finding Type - Significant deficiency Repeat Finding - No Criteria - Per 24 CFR 91.520, a grantee's Consolidated Annual Performance and Evaluation Report (CAPER) is due 90 days after the close of a jurisdiction's program year. Condition - The City did not submit the Consolidated Annual Performance and Evaluation Report (CAPER) for the program year ended June 30, 2023 within 90 days after the close of the program year. Questioned Costs - None Identification of How Questioned Costs Were Computed - Not applicable as there were no questioned costs identified. Context - The City is required to file the CAPER annually and is due to the HUD within 90 days after the end of the program year. The CAPER for program year ended June 30, 2023, was due to HUD on October 1, 2023, but the City filed the CAPER on October 9, 2023. Cause and Effect - The City was aware of the CAPER due date; however, additional responsibilities of CDBG and other grants impacted the City's staff's ability to meet the deadline. Recommendation - We recommend the City build a timeline for preparation and completion of the CAPER to ensure timely filing. Views of Responsible Officials and Corrective Action Plan - Management agrees with the finding. Upon recognizing the delay in submitting the CAPER for the program year ended June 30, 2023, we have taken immediate and strategic steps to address and prevent future occurrences. These include streamlining our data collection and reporting processes for greater efficiency, enhancing staff training on reporting responsibilities, and implementing robust internal monitoring to ensure adherence to reporting deadlines. These measures, designed to address both the immediate issue and bolster our overall reporting framework, demonstrate our commitment to transparency, accountability, and continuous improvement in our program operations.