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Agenda 06/28/2016 Item #16D11 6/28/2016 16.D.11. EXECUTIVE SUMMARY Recommendation to approve budget amendments in the amount of$244,978.36 to restore the U.S. Department of Housing and Urban Development(HUD) CDBG Grant Program available balances from the reconciliation of the 2001-2010 program years(net fiscal impact of$66,268.07). OBJECTIVE: To restore the available CDBG balances in prior years(2001-2010)within Housing Grant Fund(121)and Fund(705)in order to expend remaining grant funds available to the County. CONSIDERATIONS: Community and Human Services (CHS) staff has been working in collaboration with OMB Grants Compliance Office to reconcile all older HUD grant awards from inception. This task was performed over a period of three years due to the complexity, burden of research and availability of staff time. The line item detail of expenditures and revenues were reviewed by each award year from 2001 through 2010 as posted in the County's fmancial system and compared against the data within the grantor's draw down and reporting system known as the Integrated Disbursement and Information System(IDIS). IDIS has been in place since inception of the HUD funding, and as such provides a running balance of available funds by program award year. The reconciliation identified expenditures that were posted incorrectly in the County's financial system from award years 2006, 2007 and 2008. Due to corrective accounting actions not taken in the same period or within a reasonable amount of time shortly thereafter, expenditures in the amount of$66,268.07 have become ineligible and require local revenues to fund these expenditures. The reconciliation also identified the County's appropriated level of HUD revenues • including program income for award years 2001 through 2010 were $178,710.29 less than what was available within IDIS. To bring the County's financial system(SAP) in sync with the grantor's financial system(IDIS), a series of budget amendments are outlined below to appropriate both HUD(including program income) and local revenues.This one time administrative corrective action will re-establish the HUD CDBG available budget from prior award years so that staff may administer the actual unspent balance per IDIS. Consideration should be given that draws have not been performed on ineligible expenditures and pose no audit risk. HUD CDBG award years 2011-2015 are in good standing and require no corrective actions. HUD Revenue/ Program Project Program Income to Local Revenue to Year Number Appropriate Appropriate Total Appropriation 2010 33088 $ 644.37 $ 644.37 2008 44500 $ 334.95 $ 10,539.96 $ 10,874.91 2007 34525 $ 21,720.73 $ 55,333.71 $ 77,054.44 2006 34520 $ 394.40 $ 394.40 2004 34510 $ 8,065.00 $ 8,065.00 2003 34505 $ 2,700.00 $ 2,700.00 2002 34500 $ 133,602.48 $ 133,602.48 2001 33024 $ 11,642.76 $ 11,642.76 TOTAL $ 178,710.29 $ 66,268.07 $ 244,978.36 Packet Page-1268 6/28/2016 16.D.11 . FISCAL IMPACT: As shown in the table above, budget amendments are required within Housing Grant Fund (121)Projects 33024,34500,34505,34510,34520,34525,44500 in the amount of$244,333.99 and Housing Grant Fund(705)Project 33088 in the amount of$644.37. The local funding contribution is available within CHS Client Assistance Cost Center via a General Fund(001) transfer of$66,268.07. The Client Assistance annual operating costs are under budget due to cost savings over the current fiscal year and as such are able to fund the results of the reconciliation. LEGAL CONSIDERATIONS: No legal issues are raised by this item which is ready for Board action. This item requires a majority vote for Board action. -JAB GROWTH MANAGEMENT IMPACT: None RECOMMENDATION: That the Board of County Commissioners approves all necessary budget amendments to restore the U.S.HUD CDBG Grant Program available balances from the reconciliation of the 2001-2010 program years. Prepared by:Maggie Lopez;Community and Human Services Division Packet Page-1269- 6/28/2016 16.D.11 . COLLIER COUNTY Board of County Commissioners Item Number: 16.16.D.16.D.11. Item Summary: Recommendation to approve budget amendments in the amount of $244,978.36 to restore the U.S. Department of Housing and Urban Development (HUD) CDBG Grant Program available balances from the reconciliation of the 2001-2010 program years (net fiscal impact of$66,268.07). Meeting Date: 6/28/2016 Prepared By Name: LopezMaggie Title: Supervisor-Accounting, Community&Human Services 6/1/2016 4:05:18 PM Submitted by Title: Supervisor-Accounting,Community&Human Services Name: LopezMaggie 6/1/2016 4:05:20 PM Approved By Name: SonntagKristi Title: Manager-Federal/State Grants Operation,Community&Human Services Date: 6/2/2016 3:38:14 PM Name: GrantKimberley Title: Division Director-Cmnty&Human Svc, Community&Human Services Date: 6/3/2016 9:57:39 AM Name: TownsendAmanda Title:Division Director-Operations Support,Public Services Department Date: 6/6/2016 11:07:37 AM Name: AlonsoHailey Title: Operations Analyst,Public Services Department Date: 6/6/2016 4:38:25 PM Packet Page-1270- 6/28/2016 16.D.11 . Name: BelpedioJennifer Title:Assistant County Attorney, CAO General Services Date: 6/7/2016 3:28:50 PM Name: RobinsonErica Title:Accountant, Senior,Grants Management Office Date: 6/10/2016 2:17:40 PM Name: CarnellSteve Title: Department Head-Public Services,Public Services Department Date: 6/13/2016 1:46:26 PM Name: KlatzkowJeff Title: County Attorney, Date: 6/16/2016 10:19:40 AM Name: StanleyTherese Title: Manager-Grants Compliance,Grants Management Office Date: 6/21/2016 3:15:06 PM Name: CasalanguidaNick Title:Deputy County Manager,County Managers Office Date: 6/22/2016 11:05:55 AM Packet Page-1271- 6/28/2016 16.D.11 . +. cnacnacncncnocnoaocnoacnaaaoaocno cva,oc,acnoar“DoDacnacnar;.aqRac“Rta glocnocnocnoocnocnacnoo00000000a E'o9-kowt,14ftwwwtoo,towcatototol ka o'osen .1 e 0 O a) = 0010000000000,FN00000)0000'.q c.mcnocnc,aoommacncqoom- a ,- cnacnoaoacncnoaa,6r--mww-,r.rvcnow CC OkatotowirtatotftwonkatotocnowwwunLow, 2 2 6.1c:''..1%'N 1i:t....`1cui acokncl CO 40 ca.co,0co, • : tewNcc. 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