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HomeMy WebLinkAboutSingle Audit of Federal Financial Assistance Programs for Fiscal Year 2019 - 2020COUNTY OF HAWAII STATE OF HAWAII SINGLE AUDIT OF FEDERAL FINANCIAL ASSISTANCE PROGRAMS Fiscal Year Ended June 30, 2020 Doi W, N.K PA ,Inc. rr ACC OUV ppANryS(-D1",JSFIfdPS 999 BISHOP STREET, SUITE 2200 1 HONOLULU, HAWAII 96813 T (808) 524-2255 F (808) 523-2090 1 nkcpa.com - Kk,,9 F, ;A� N&K CPAs, Inc. ACCOUNTANTS I CONSULTANTS July 21, 2021 To the Chair and Members of the County Council County of Hawaii 999 BISHOP STREET, SUITE 2200 HONOLULU, HAWAII 96813 "f (808) 524-2255 F (808) 523-2090 We have completed our financial audit of the basic financial statements and other supplementary information of the County of Hawaii, State of Hawai'i (the County), as of and for the fiscal year ended June 30, 2020. Our report containing our opinions on those basic financial statements is included in the County's Comprehensive Annual Financial Report. We submit herein our reports on the County's internal control over financial reporting and on compliance and other matters, compliance for each major federal program and internal control over compliance, and schedule of expenditures of federal awards required by the Uniform Guidance. OBJECTIVES OF THE AUDITS The primary purpose of our audits was to form opinions on the fairness of the presentation of the County's basic financial statements as of and for the fiscal year ended June 30, 2020, and to comply with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), which establishes audit requirements for state and local governments that receive federal financial assistance. More specifically, the objectives of the audits were as follows: To provide a basis for an opinion on the fairness of the presentation of the County's basic financial statements. 2. To report on internal control over financial reporting and compliance with provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements in accordance with Government Auditing Standards. 3. To report on internal control over compliance related to each major federal program and an opinion on compliance with federal statutes, regulations, and the terms and conditions of federal awards that could have a direct and material effect on each major federal program in accordance with the Single Audit Act Amendments of 1996 and the Uniform Guidance. E N&K CPAs, Inc. ACCOUNTANTS I CONSULTANTS SCOPE OF THE AUDIT Our audit was conducted in accordance with auditing standards generally accepted in the United States of America as prescribed by the American Institute of Certified Public Accountants; Government Auditing Standards, issued by the Comptroller General of the United States; and the audit requirements of the Uniform Guidance. The scope of our audits included an examination of the transactions and accounting records of the County for the fiscal year ended June 30, 2020. ORGANIZATION OF THE REPORT This report is presented in four parts as follows: • Part I - Our report on internal control over financial reporting and on compliance and other matters. • Part II - Our report on compliance for each major federal program; report on internal control over compliance; and report on schedule of expenditures of federal awards required by the Uniform Guidance. • Part III - The schedule of findings and questioned costs. • Part IV - The summary schedule of prior audit findings. We wish to express our sincere appreciation for the excellent cooperation and assistance extended by the staff of the County. Sincerely, N&K CPAs, INC. Chad K. Funasaki Principal 3 COUNTY OF HAWAI`I, STATE OF HAWAI`I TABLE OF CONTENTS Page PART I REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS Independent Auditor's Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 6-7 PART II REPORT ON COMPLIANCE FOR EACH MAJOR FEDERAL PROGRAM; REPORT ON INTERNAL CONTROL OVER COMPLIANCE; AND REPORT ON SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS REQUIRED BY THE UNIFORM GUIDANCE Independent Auditor's Report on Compliance for Each Major Federal Program; Report on Internal Control over Compliance; and Report on Schedule of Expenditures of Federal Awards Required by the Uniform Guidance 9 - 11 Schedule of Expenditures of Federal Awards Notes to Schedule of Expenditures of Federal Awards PART III SCHEDULE OF FINDINGS AND QUESTIONED COSTS Schedule of Findings and Questioned Costs PART IV SUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS Status Report 12-23 24 26-27 29 2 PART I REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS 10i IF, ;1� N&K CPAs, Inc. ACCOUNTANTS I CONSULTANTS 999 BISHOP STREET, SUITE 2200 HONOLULU, HAWAII 96813 T (808) 524-2255 F (808) 523-2090 INDEPENDENT AUDITOR'S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the Chair and Members of the County Council County of Hawaii We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business -type activities, the discretely presented component unit, each major fund, and the aggregate remaining fund information of the County of Hawaii, State of Hawaii (the County), as of and for the fiscal year ended June 30, 2020, and the related notes to the financial statements, which collectively comprise the County's basic financial statements, and have issued our report thereon dated December 30, 2020. Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the County's internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the County's internal control. Accordingly, we do not express an opinion on the effectiveness of the County's internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. 0 N&K CPAs, Inc. ACCOUNTANTS I CONSULTANTS Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified. Compliance and Other Matters As part of obtaining reasonable assurance about whether the County's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity's internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Honolulu, Hawaii December 30, 2020 7 PART II REPORT ON COMPLIANCE FOR EACH MAJOR FEDERAL PROGRAM; REPORT ON INTERNAL CONTROL OVER COMPLIANCE; AND REPORT ON SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS REQUIRED BY THE UNIFORM GUIDANCE 0 10i IF, ;1� N&K CPAs, Inc. ACCOUNTANTS I CONSULTANTS 999 BISHOP STREET, SUITE 2200 HONOLULU, HAWAII 96813 T (808) 524-2255 F (808) 523-2090 INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE FOR EACH MAJOR FEDERAL PROGRAM; REPORT ON INTERNAL CONTROL OVER COMPLIANCE; AND REPORT ON SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS REQUIRED BY THE UNIFORM GUIDANCE To the Chair and Members of the County Council County of Hawaii Report on Compliance for Each Major Federal Program We have audited the County of Hawaii, State of Hawai`i's (the County) compliance with the types of compliance requirements described in the OMB Compliance Supplement that could have a direct and material effect on each of the County's major federal programs for the fiscal year ended June 30, 2020. The County's major federal programs are identified in the summary of auditor's results section of the accompanying schedule of findings and questioned costs. Management's Responsibility Management is responsible for compliance with federal statutes, regulations, and the terms and conditions of its federal awards applicable to its federal programs. Auditor's Responsibility Our responsibility is to express an opinion on compliance for each of the County's major federal programs based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and the audit requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Those standards and the Uniform Guidance require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the County's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. 0 N&K CPAs, Inc. ACCOUNTANTS I CONSULTANTS We believe that our audit provides a reasonable basis for our opinion on compliance for each major federal program. However, our audit does not provide a legal determination of the County's compliance. Opinion on Each Major Federal Program In our opinion, the County complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs for the fiscal year ended June 30, 2020. Report on Internal Control over Compliance Management of the County is responsible for establishing and maintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and performing our audit of compliance, we considered the County's internal control over compliance with the types of requirements that could have a direct and material effect on each major federal program to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for each major federal program and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the County's internal control over compliance. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified. 10 N&K CPAs, Inc. ACCOUNTANTS I CONSULTANTS The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose. Report on Schedule of Expenditures of Federal Awards Required by the Uniform Guidance We have audited the financial statements of the governmental activities, the business - type activities, the discretely presented component unit, each major fund, and the aggregate remaining fund information of the County as of and for the fiscal year ended June 30, 2020, and the related notes to the financial statements, which collectively comprise the County's basic financial statements. We issued our report thereon dated December 30, 2020, which contained unmodified opinions on those financial statements. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the County's basic financial statements. The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by the Uniform Guidance and is not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the schedule of expenditures of federal awards is fairly stated in all material respects in relation to the basic financial statements as a whole. Honolulu, Hawaii July 21, 2021 11 1q County of Hawaii, State of Hawaii SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Fiscal Year Ended June 30, 2020 Federal Grantor/Pass-Through Grantor/Program or Cluster Title DEPARTMENT OF AGRICULTURE Food and Nutrition Service Passed Through the State Department of Education: Summer Food Service Program for Children Natural Resources Conservation Service Emergency Watershed Protection Program Total Department of Agriculture DEPARTMENT OF COMMERCE National Oceanic and Atmospheric Administration Passed Through the State Department of Business, Economic Development and Tourism: Coastal Zone Management Administration Awards Hawaii Coastal Zone Management Program Subtotal CFDA 11.419 Total Department of Commerce DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT Office of Housing Section 8 Housing Assistance Payments Program Kulaimano Elderly Housing Federal CFDA Number Grant Number 10.559 N/A 10.923 NR1992510002CO04 11.419 NA18NOS4190082 NA18NOS4190082 14.195 Hl100-002001 Pass -Through Entity Identifying Number Federal Program Award Amount Total Provided Federal Through to Expenditures Subrecipients 1707-8 $ 46,466 $ 22,548 $ 4506 3,028,088 2,264,756 $ 2,287,304 $ CZM2018-19 $ 411,855 $ 17,422 $ NIA 441,762 395,922 413,344 $ 413,344 $ NIA $ 414,540 $ 269,273 $ The accompanying notes are an integral part of this schedule. W County of Hawaii, State of Hawaii SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal Grantor/Pass-Through Grantor/Program or Cluster Title Federal CFDA Number Grant Number Pass -Through Entity Identifying Number Federal Program Award Amount Total Federal Expenditures Provided Through to Subrecipients DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (Continued) Community Planning and Development Community Development Block Grants/State's Program and Non -Entitlement Grants in Hawaii 14.228 B-14-DH-15-0002 NIA $ 2,677,897 $ 20,085 $ B-15-DH-15-0002 NIA 2,465,271 9,553 -- B-16-DH-15-0002 NIA 2,491,306 100,975 30,297 Program Income NIA 150 -- B-17-DH-15-0002 NIA 2,524,362 688,735 1,304 Program Income NIA 48,363 -- B-18-DH-15-0002 NIA 2,694,402 1,298,532 237,090 Program Income NIA 17,602 17,602 B-19-DH-15-0002 NIA 2,646,713 479,464 247,899 Program Income NIA 13,284 13,284 COVID-19 Community Development Block Grants/State's Program and Non -Entitlement Grants in Hawaii 14.228 B-20-EW-15-0002 NIA 1,543,033 54,232 -- Subtotal CFDA 14.228 2,730,975 547,476 Passed Through the Hawaii Housing Finance and Development Corporation: Home Investment Partnerships Program 14.239 M-15-SG-15-0100 FIN 16-04 2,852,059 235,998 -- M-18-SG-15-0100 FIN 19-11 2,857,731 486,612 -- Program Income NIA 50,300 Subtotal CFDA 14.239 772,910 Housing Trust Fund Program 14.275 F-18-SG-15-0100 FIN 19-12 1,425,000 4,107 The accompanying notes are an integral part of this schedule. County of Hawairi, State of Hawairi SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal Grantor/Pass-Through Grantor/Program or Cluster Title Federal CFDA Number Grant Number Pass -Through Entity Identifying Number Federal Program Award Amount Total Federal Expenditures Provided Through to Subrecipients DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (Continued) Public and Indian Housing Housing Vouching Cluster Section 8 Housing Choice Vouchers 14.871 H1002AF2019 NIA $ 2,092,872 $ 1,618,386 $ H1002VO 2019 NIA 18,919,925 9,993,674 -- H1002AFR2019 NIA 122,781 122,781 H1002AF2020 NIA 2.157,765 480,868 H1002VO 2020 NIA 19,906,621 9,461,255 Program Income NIA 516,537 COVID-19 Section 8 Housing Choice Vouchers 14.871 H1002AF2020 NIA 966,396 476 COVID-19 Section 8 Housing Choice Vouchers 14.871 Program Income NIA 104 -- Subtotal CFDA 14.871 22,194,081 Mainstream Vouchers 14.879 H1002DV2019 NIA 59,952 59,952 H100281`2019 NIA 3,572 3,572 H1002DV2020 NIA 18,671 3,325 H100281`2020 NIA 6,294 394 Program Income NIA 125 Subtotal CFDA 14.879 67,368 Total Housing Voucher Cluster 22,261,449 Family Self -Sufficiency Program 14.896 FS818H125722018 NIA 66,937 41,651 FSS20HI32342020 NIA 66,937 37,559 Subtotal CFDA 14.896 79,210 Total Department of Housing and Urban Development $ 26,117,924 $ 547,476 DEPARTMENT OF THE INTERIOR Office of the Secretary Payments in Lieu of Taxes 15.226 NIA NIA $ 375,137 $ 375,137 $ The accompanying notes are an integral part of this schedule cn County of Hawaii, State of Hawaii SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal Pass -Through Federal Total Provided CFDA Entity Identifying Program Federal Through to Federal Grantor/Pass-Through Grantor/Program or Cluster Title Number Grant Number Number Award Amount Expenditures Subrecipients DEPARTMENT OF THE INTERIOR (Continued) Fish and Wildlife Service National Wildlife Refuge Fund Total Department of the Interior DEPARTMENT OF JUSTICE Office of Juvenile Justice and Delinquency Prevention Passed Through the State Department of Human Services: Juvenile Justice and Delinquency Prevention -Allocation to States Subtotal CFDA 16.540 Bureau of Justice Statistics Passed Through the State Department of the Attorney General: National Criminal History Improvement Program HI Criminal Justice Data Center 2019 Computer Replacements Office for Victims of Crime Passed Through the State Department of the Attorney General: Crime Victim Assistance SANE/SAFE Program Expansion Subtotal CFDA 16.575 Violence Against Women Office Passed Through the State Department ofAttorney General: Violence Against Women Formula Grants STOP Violence Against Women SAFE On -Call Pay and SANE Coordination Subtotal CFDA 16.588 15.659 N/A N/A $ 89,640 $ 89,640 $ $ 464,777 $ -- 16.540 2018-JF-FX-0008 DHS-17-DYS-702 (Supp 3) $ 200,000 $ 57,303 $ 57,303 2019-JX-FX-0015 DHS-17-OYS-702(Supp4) 200,000 125,175 125,175 182,478 182,478 16.554 2017-RU-BX-KO32 N/A 118,943 118,943 16.575 2016-VA-GX-0063 16-VA-04 947,932 82,915 55,319 2017-VA-GX-008 17-VA-04 982,904 831,725 57,396 2018-V2-GX-0015 18-V2-15 354,824 1,623 1,623 916,263 114,338 16.588 2015-WF-AX-0024 2017-WF-AX-0042 2016-WF-AX-0022 15-VVF-17 39,197 4,659 17-WF-03 82,716 63,565 -- 16-VVF-07 55,623 55,623 55,623 123,847 55,623 The accompanying notes are an integral part of this schedule. 55 County of Hawairi, State of Hawairi SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal GrantorlPass-Through Grantor/Program or Cluster Title Federal CFDA Number Grant Number Pass -Through Entity Identifying Number Federal Program Award Amount Total Federal Expenditures Provided Through to Subrecipients DEPARTMENT OF JUSTICE (Continued) Bureau of Justice Assistance Edward Byrne Memorial Justice Assistance Grant Program 16.738 2016-DJ-BX-0226 NIA $ 120,634 $ 8,000 $ 2018-DJ-BX-0864 NIA 92,789 50,508 Passed Through the State Department of Attorney General: Statewide Multi -Jurisdictional Drug Task Force (SMDTF) 2017-DJ-BX-0190 17-DJ-01 41,613 41,613 2018-DJ-BX-0471 18-DJ-01 44,856 300 Subtotal CFDA 16.738 100,421 National Institute of Justice Passed Through the State Department of Attorney General: Paul Coverdell Forensic Sciences Improvement Grant Program 16.742 Ka Hoa 0 Palekana 2018-CD-BX-0001 18-CD-03 63,793 63,793 Office of Justice Passed Through the State Department of Attorney General: National Sexual Assault Kit Intiative 16.833 2016-AK-BX-KO05 16-AK-02 280,498 60,566 2019-AK-BX-0023 NIA 769,895 49,225 -- Subtotal CFDA 16.833 109,791 Criminal Division Equitable Sharing Program 16.922 Asset Forfeitures H1001013A NIA 1,509 1,509 H10010000 NIA 23,149 23,149 Subtotal CFDA 16.922 24,658 Total Department of Justice $ 1,640,194 $ 352,439 The accompanying notes are an integral part of this schedule. I County of Hawaii, State of Hawaii SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal GrantorlPass-Through Grantor/Program or Cluster Title DEPARTMENT OF LABOR Employment and Training Administration Passed Through the State Department of Labor and Industrial Relations: Senior Community Service Employment Program Subtotal CFDA 17.235 W10A Cluster W10A Adult Program Subtotal CFDA 17.258 W10A Youth Activities Subtotal CFDA 17.259 W10A Dislocated Worker Formula Grants MCA Rapid Response Subtotal CFDA 17.278 Total W10A Cluster Total Department of Labor Federal Pass -Through Federal Total Provided CFDA Entity Identifying Program Federal Through to Number Grant Number Number Award Amount Expenditures Subrecipients 17.235 AD-25497-14-55-A-15 PY16-SCSEP-H-HCOA $ 353,102 $ 316,007 $ -- AD-30402-17-55-A-17 PY16-SCSEP-H-HCOA 364,464 25,342 341,349 17.258 AA-30773-17-55-A-15 WIOA-17-A&DWP-H 402,162 8,174 -- AA-32233-18-55-A-15 INIOA-18-A&DWP-H 405,318 189,834 126,406 198,008 126,406 17.259 AA-30773-17-55-A-15 WIOA-17-YP-H 419,607 11,358 11,358 AA-32233-18-55-A-15 WIOA-18-YP-H 414,666 225,849 174,415 AA-33225-19-55-A-15 WIOA-19-YP-H 383,122 245,855 147,725 483,062 333,498 17.278 AA-30773-17-55-A-15 WIOA-17-A&DWP-H 277,913 2,972 -- AA-32233-18-55-A-15 WIOA-18-A&DWP-H 227,675 100,528 56,257 AA-32233-18-55-A-15 N/A 64,806 16,060 -- 119,560 56,257 800,630 516,161 $ 1,141,979 $ 516,161 The accompanying notes are an integral part of this schedule. T County of Hawairi, State of Hawairi SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal Grantor/Pass-Through Grantor/Program or Cluster Title DEPARTMENT OF TRANSPORTATION Federal Highway Administration Passed Through the State Department of Transportation: Highway Planning and Construction: Bridge Inspection/Appraisals Bridge Inspection/Appraisals Mamalahoa Hwy Widening, Mana Road Alii Drive Culvert Replacement Kamehameha Avenue Resurfacing, Wailoa Bridge to Ponohawai Street Kilauea Avenue, Wailoa Bridge to Puainako Street Kawailani Street Improvements, Iwalani to Pohakulani Street Manono St Improv, Lanikaula to Kekuanaca Highway 132 Road Restoration Subtotal CFDA 20.205 Federal Transit Administration Passed Through the State Department of Transportation: Federal Transit Cluster Formula Grants for Rural Areas and Tribal Transit Program Federal CFDA Number 20.205 20.509 COVID-19 Formula Grants for Rural Areas and Tribal Transit Program 20.509 Subtotal CFDA 20.509 Bus and Bus Facilities Ferrule Program 20.526 Subtotal CFDA 20.526 Total Federal Transit Cluster Pass -Through Federal Total Provided Entity Identifying Program Federal Through to Grant Number Number Award Amount Expenditures Subrecipients BR-NBIS(055) 13003 $ 160,000 $ 1,336 $ BR-NBIS(074) 18017 160,000 66,317 NH-019-1(044) 12032 20,285,600 4,995,660 STP-0186(1) 97029 9,206,313 1,728,071 STP-1910(1) 05003 12,842,182 18,148 STP-1920(005) 20005 5,581,975 3,007 STP-2760(002) 99021 21,469,625 635,163 STP-2770(004) 11043 4,062,814 37 ER-21(004) 19027 6,503,337 5,692,563 13,140,302 HI-2016-004 N/A 1,144,817 1,553 HI-2017-004 N/A 985,200 631,084 HI-2018-011 N/A 1,948,000 935,457 HI-2018-011 N/A 7,382 7,382 HI-2020-006 N/A 4,453,300 2,513,462 4,088,938 HI-2016-002 NIA 500,000 371,944 HI-2017-003 N/A 500,000 371,944 The accompanying notes are an integral part of this schedule. 743,888 4,832,826 T County of Hawairi, State of Hawairi SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal Grantor/Pass-Through Grantor/Program or Cluster Title Federal CFDA Number Grant Number Pass -Through Entity Identifying Number Federal Program Award Amount Total Provided Federal Through to Expenditures Subrecipients DEPARTMENT OF TRANSPORTATION (Continued) National Highway Traffic Safety Administration Passed Through the State Department of Transportation: Highway Safety Cluster State and Community Highway Safety 20.600 Speed Enforcement 18X9204020HI SC19-06(01-H-02) $ 111,960 $ 6,703 $ 69A37520300004020HI0 SC20-06(01-H-02) 287,715 56,095 Traffic Investigation Program 18X9204020HI PT19-01(02-H-01) 105,840 26,871 69A37520300004020HI0 PT20-01(02-H-01) 105,840 1,375 Distracted Driving 18X9204020HI DD19-10(02-H-01) 62,200 3,218 69A37520300004020HI0 DD20-09(01-H-02) 62,220 18,190 Cordless Extrication Kit HWY-V9-.5971 EM18-04(02-H-01) 96,943 96,943 Subtotal CFDA 20.600 209,395 National Priority Safety Programs 20.616 18X920405DHI17 AL19-02(3-S-D1) 143,228 84,052 18X9205464HI17 A120-02(03-5-01) 143,228 2,135 Data Grant 18X920405cH1 TR19-03(04-H-01) 56,520 38,060 69A3752030000405CHI0 TR20-03(04-H-01) 24,520 940 Seatbelt Enforcement 18X920405bH1 OP19-05(01-H-02) 50,000 12,493 69A3752030000405BHIH OP20-05(01-H-02) 90,000 26,177 Roadblock Program 18X920405DHI AL19-02(01-H-02) 65,220 15,104 18X9205464HI17 AL20-02(01-H-02) 193,435 37,453 Subtotal CFDA 20.616 216,414 Total Highway Safety Cluster 425,809 Minimum Penalties for Repeat Offenders for Driving While Intoxicated 20.608 Roadblock Program 18X9205464HI AL191 123,086 12,779 18X920405dH117 AL20-02(01-H-02) 89,150 22,012 Subtotal CFDA 20.608 34,791 Total Department of Transportation $ 18,433,728 $ The accompanying notes are an integral part of this schedule. A_ County of Hawairi, State of Hawairi SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal Pass -Through Federal Total Provided CFDA Entity Identifying Program Federal Through to Federal Grantor/Pass-Through Grantor/Program or Cluster Title Number Grant Number Number Award Amount Expenditures Subrecipients DEPARTMENT OF THE TREASURY Equitable Sharing Program 21.016 Asset Forfeitures Subtotal CFDA 21.016 Passed Through the State of Hawaii Executive Office of the Governor COVID-19 Coronavirus Relief Fund Total Department of the Treasury DEPARTMENT OF HEALTH AND HUMAN SERVICES Administration for Community Living Passed Through the State Executive Office on Aging: Special Programs for the Aging -Title III, Part D - Disease Prevention and Health Promotion Services Aginq Cluster Special Programs for the Aging - Title III, Part B - Grants for Supportive Services and Senior Centers COVID-19 Special Programs for the Aging - Title III, Part B - Grants for Supportive Services and Senior Centers Subtotal CFDA 93.044 Special Programs for the Aging - Title III, Part C - Nutrition Services HI001013A NIA $ 6,827 $ 6,827 $ H10010000 NIA 71,640 71,640 78,467 21.019 N/A NIA 80,009,671 2,528,376 $ 2,606,843 $ 93.043 3D-4-2018 HA2016NO3 $ 19,655 $ 7,888 $ 93.044 3B-4-2019 HA2016NO3 427,694 357,401 93.044 2001HISSC3 ASOLOG-20-198 215,475 29,560 -- 386,961 93.045 3C1-4-2019 HA2016NO3 353,738 208,632 3C1-4-2020 ASO LOG 20-198 327,318 103,157 3C2-4-2019 HA2016NO3 176,090 105,711 3C2-4-2020 ASO LOG 20-198 276,370 52,011 The accompanying notes are an integral part of this schedule. N County of Hawaii, State of Hawaii SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal Pass -Through Federal Total Provided CFDA Entity Identifying Program Federal Through to Federal GrantorlPass-Through Grantor/Program or Cluster Title Number Grant Number Number Award Amount Expenditures Subrecipients DEPARTMENT OF HEALTH AND HUMAN SERVICES (Continued) COVID-19 Special Programs for the Aging - Title III, Part C - Nutrition Services COVID-19 Special Programs for the Aging - Title III, Part C - Nutrition Services COVID-19 Special Programs for the Aging - Title III, Part C - Nutrition Services Subtotal CFDA 93.045 Nutrition Services Incentive Program Subtotal CFDA 93.053 Total Aging Cluster National Family Caregiver Support, Title III, Part E COVID-19 National Family Caregiver Support, Title III, Part E Subtotal CFDA 93.052 Substance Abuse and Mental Health Services Administration Passed Through the State Department of Health: Substance Abuse and Mental Health Services Projects of Regional and National Significance Subtotal CFDA 93.243 Total Department of Health and Human Services 93.045 2001 HICMC2 ASO LOG 20-198 $ 87,019 $ 87,019 $ 93.045 2001HIHDC2 ASO LOG 20-198 100,184 32,233 93.045 2001HIHDC3 ASO LOG 20-198 432,668 74,197 662,960 93.053 NIA NSIP18 104,483 96 N/A NSIP19 116,687 116,687 116,783 1,166,704 93.052 3E-4-2018 HA2016NO3 159,838 35,956 3E-4-2019 HA2016NO3 160,308 63,845 93.052 2001HIFCC3 ASO LOG 20-198 89,405 4,106 103,907 93.243 U79SP020167 ASO LOG NO. 16-162 6H79SP081 001 -01 M001 ASO LOG NO. 16-162 5H79SP081001-02 ASO LOG NO. 16-162 The accompanying notes are an integral part of this schedule. 100,000 6,894 100,000 23,922 110,000 53,569 84,385 $ 1,362,884 $ County of Hawaii, State of Hawaii SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal Pass -Through Federal CFDA Entity Identifying Program Federal GrantorlPass-Through Grantor/Program or Cluster Title Number Grant Number Number Award Amount Total Provided Federal Through to Expenditures Subrecipients CORPORATION FOR NATIONAL AND COMMUNITY SERVICE Retired and Senior Volunteer Program 94.002 19SRPH1001 NIA $ 151,508 $ 40,691 $ Total Corporation for National and Community Service 40,691 DEPARTMENT OF HOMELAND SECURITY Federal Emergency Management Agency (FEMA) Passed Through the State Department of Defense: Disaster Grants - Public Assistance (Presidentially Declared Disasters) 97.036 Kiholo Earthquake FEMA-1664-DR-HI NIA $ 6,626,641 $ 276 $ Kilauea Volcanic Eruption and Earthquakes FEMA-4366-DR-HI NIA 3,784,522 90,537 -- Hurricane Lane FEMA-4395-DR-HI NIA 531,616 509,282 -- N Subtotal CFDA 97.036 600,095 N Passed Through the Hawaii Emergency Management Agency: Emergency Management Performance Grants 97.042 EMF-2019-EP-00006-S01 EMF-2019-EP-00006-HIEMA-01 225,000 225,000 Pre -Disaster Mitigation 97.047 PDMC-09-HI-2107 EMF-2018-PC-004 114,750 93,957 Passed Through the State Department of Defense: Homeland Security Grant Program 97.067 State Homeland Security Program EMW-2016-GR-00062 NIA 600,000 132,178 EMW-2017-SS-00002 NIA 705,000 286,593 EMW-2018-SS-00006 NIA 720,000 136 Subtotal CFDA 97.067 418,907 Disaster Assistance Projects 97.088 Disaster Case Management Services FEMA-4366-DR-HI NIA 1,681,135 675,764 Total Department of Homeland Security $ 2,013,723 $ The accompanying notes are an integral part of this schedule. N W County of Hawaii, State of Hawaii SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (Continued) Fiscal Year Ended June 30, 2020 Federal GrantorlPass-Through Grantor/Program or Cluster Title Federal CFDA Number Grant Number Pass•Through Entity Identifying Number Federal Program Award Amount Total Federal Expenditures Provided Through to Subrecipients EXECUTIVE OFFICE OF THE PRESIDENT High Intensity Drug Trafficking Areas Program 95.001 Hawai'i Impact G18HI0004A NIA $ 336,500 $ 184,408 $ G19HI0004A NIA 227,900 66,051 Subtotal CFDA 95.001 250,459 Total Executive Office of the President 250,459 TOTAL EXPENDITURES OF FEDERAL AWARDS $ 56,773,850 $ 1,416,076 *Audited as a major federal program for the fiscal year ended June 30, 2020. The accompanying notes are an integral part of this schedule. County of Hawaii, State of Hawaii NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Fiscal Year Ended June 30, 2020 NOTE A - BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activities of the County of Hawaii and its discretely presented component unit, the Department of Water Supply, under programs of the federal government for the fiscal year ended June 30, 2020. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the County of Hawaii , it is not intended to, and does not present the financial position, changes in financial position, or cash flows of the County of Hawaii. NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. NOTE C - INDIRECT COST RATE The County of Hawaii has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. 24 PART III SCHEDULE OF FINDINGS AND QUESTIONED COSTS 25 County of Hawaii, State of Hawaii SCHEDULE OF FINDINGS AND QUESTIONED COSTS Fiscal Year Ended June 30, 2020 SECTION I - SUMMARY OF AUDITOR'S RESULTS Financial Statements Type of report the auditor issued on whether the financial statements audited were prepared in accordance with GAAP: Internal control over financial reporting: Material weakness(es) identified? Significant deficiency(ies) identified? Noncompliance material to financial statements noted? Federal Awards Internal control over major federal programs: Material weakness(es) identified? Significant deficiency(ies) identified? Type of auditor's report issued on compliance for major federal programs: Any audit findings disclosed that are required to be reported in accordance with 2 CFR 200.516(a)? Identification of major federal programs: CFDA Number 10.923 14.228 16.575 20.205 21.019 Dollar threshold used to distinguish between Type A and Type B programs: Auditee qualified as a low -risk auditee? SECTION II - FINANCIAL STATEMENT FINDINGS No matters were reported. Unmodified yes ✓ no yes ✓ none reported yes ✓ no yes ✓ no yes ✓ none reported Unmodified yes ✓ no Name of Federal Program or Cluster Emergency Watershed Protection Program Community Development Block Grants/State's Program and Non - Entitlement Grants in Hawaii Crime Victim Assistance Highway Planning and Construction Coronavirus Relief Fund $1,703,216 ✓ yes _ no 26 County of Hawaii, State of Hawaii SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) Fiscal Year Ended June 30, 2020 SECTION III - FEDERAL AWARD FINDINGS AND QUESTIONED COSTS No matters were reported. 27 PART IV SUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS (Provided by the County of Hawaii) m County of Hawaii, State of Hawaii STATUS REPORT Fiscal Year Ended June 30, 2020 No prior audit findings which apply under the current criteria of the Uniform Guidance were noted. 29