Finding 982924 (2023-003)

Criteria or Specific Requirement: WIOA section 129(a)(4)(A), 128 Stat. 1506, states that a minimum of 75% of Youth Activity funds allocated to the local areas must be used to provide services to out of school youth (OSY). Condition: The City spent 72% of total youth expenditures on OSY activity. Questioned Costs: None. Context: Total program expenditures was $1,195,839, of which $861,439 was spent on OSY activity. Cause: The same finding in the prior year was issued in March 2023 and, due to staff turn over, was difficult for the City to correct by June 30, 2023. Effect: The City was not in compliance with the 75% minimum requirement on OSY activity. Repeat Finding: This is a repeat of a finding from the immediately prior year, finding number 2022 001. Recommendation: We recommend the City implement procedure to ensure actual program expenditures stay in line with the earmarking requirements throughout the year. View of Responsible Officials: There is no disagreement with the audit finding.