audit_findings: 10

This data as json

rowid	source	report_number	finding_number	muni_id	state	entity_name	entity_type	entity_ext_id	place_geoid	match_method	auditor	report_title	audit_type	fiscal_year	period_start	period_end	published_date	finding_category	severity	questioned_cost	cost_basis	finding_title	finding_text	report_url	fetched_at
10	wa-sao	1020019	2016-004	4	WA	City of Seattle	City/Town	0433	5363000	geoid_place	Washington State Auditor's Office	Financial and Federal audit — City of Seattle	Financial and Federal	2016	2016-01-01	2016-12-31	2019-08-19	federal_award_compliance	material_weakness	101972.0	Questioned Cost Amount: $101,972	The City did not have adequate internal controls in place to ensure compliance with federal requirements over allowable costs and subrecipient monitoring. CFDA Number and Title: 14.241 Housing Opportunities for Persons with AIDS Federal Grantor Name: Department of Housing and Urban Development, Office of Community Planning and Development Federal Award/Contract Number: WAH13-F001,WAH14-F001, WAH15	Cause of Condition The grants and contracts specialists responsible for approving subrecipient requests for payments and performing onsite visits did not have the necessary tr aining and resources to perform adequate reviews. The Department was not aware that risk evaluations are required for all subrecipients receiving money from federal awards. During our 2016 audit, the Department was made aware of this requirement and developed and implemented a new subrecipient monitoring policy manual and trained grants and contracts specialists in 2017. Effec t of Conditi on and Questio ned Cost s Without adequate internal controls in place, the Department cannot ensure the subrecipients used the program funds in accordance with t he grant agreement and federal requirements. The Department paid $101,972 to one subrecipient without performing an onsite fiscal visit or requiring adequate supporting documentation for incurred costs. Because of insufficient review of subrecipient expenditures, the City used federal funds to reimburse its subrecipient for costs that were not supported as required. As a result, we are questioning the total amount paid to this subrecipient. Washington State Auditor's Office Rec omm endations We recommend the Department establish internal controls to ensure compliance with the subrecipient monitoring requirements. Specifically, the Department should:  Provide training and resources to grants and contracts specialists to ensure they have an adequate understanding of federal requirements over allowable costs and subrecipient monitoring  Evaluate each subrecipient’s risk of noncompliance to determine the appropriate level of monitoring activities  Perform adequate financial review required by City policies through:  Requiring subrecipients to provide adequate documentation to support the incurred costs; and/or  Performing onsite visits that include a review of source documentation. City’s Respo nse The City agrees with the Auditor’s finding and had taken corrective actions to ensure compliance with federal requirements over allowable costs and subrecipient monitoring going forward. Audit or’s Rem arks We appreciate the City’s commitment to resolve this finding and thank the City for its cooperation and assistance during the audit. We will review the corrective action taken during our next regular audit. Appli cable Laws and Regulat ions The American Institute of Certified Public A ccountants defines significant deficiencies and material weaknesses in its Codification of Statements on Auditing Standards, section 935, Compliance Audits, paragraph 11. Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), Section 303, Internal controls, establishes requirements for in ternal controls for non-federal entities. Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), Section 331, Requirements for pass-through entities, establishes subrecipient monitoring and management requirements for pass- through entities. Washington State Auditor's Office Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), Section 516, Audit findings, establishes reporting requirements for audit findings. Washington State Auditor's Office	https://portal.sao.wa.gov/ReportSearch/Home/ViewReportFile?arn=1020019&isFinding=false&sp=false	2026-07-30 13:24:54