268876 WHI7E - CITV CIERK COUI1C11 "� �"�4�
PINK - FINANCE G I TY OF SA I NT PALT L � -
CANARV - DEPARTMENT CD Office. �
BLUE .- MAYOR . Flle NO.
,� Council Resolution
Presented By ��� ���
Referred To Committee: Date
Out of Committee By Date
RESOLVED, that upon the recommendation of the Mayor, the Council of the
City of Saint Paul does hereby approve the following budget amendment to the
City's Community Development Block Grant Year I Program:
II. Program Items
Original
Amount Increase Amended
Project 5/15/75 (Decrease Tota'�
Thomas-Dale Public :`
Improvements $280,OOQ"° ($40,000) $�40,000
. �
and be it � y
, FURTHER RESOLVED, that upon the recommendation of the Mayor, the City
Council does also approve the addition of the following new project to the
City's Community Development Block Grant Year I Program in the amount indicated
below:
' ��proved
PMOject Budget •
CD-Year I and_ II Audits $40,000
APPROVED: APPROVED AS TO FUNDING:
' 1��
3y
R chard E. chroeder, Robert Trudeau, Acting irector
Budget Director �'m Dept. of Finance & Management Services
COUNCILMEN
Yeas Nays Requested by Department of:
But�er � Community Development
Hozza [n Favor ..
Hunt � " �
Levine � __ Against BY '���� ��f
Roedler
Sylvester
Te
.A� Form Approved by ity torn
Ado by Council: Date —���-1�-
ertified Pas Cou .il Secretary BY
By �`,JQ►' �
Appr v by Mlayor: Date $ 19r,� Appro e by Mayor for Sub s n to Council
�
By BY
PUBLISHED APR �. C �977
. , „ ' . r ��°,���'�
� . ec-r�r oF s��r��r �au �
DEPARTMENT OF FINANC� AND MANAGEMENT SEP.VECES
D!VlSION O� ACCOU�TING
; 21E tiO RAN D UM
TO: Hlayor George Latimer +,�_—, -
£�: Robert W. Trudeau
�� ����' - �
Dr1TE: Marci�. 1, I9 7 7 : ,
Ps^: Audit. of the Community Development Black Grant Program -.
P.ecor�sndation: . . �
I recommend _that the State Auditor perfoz-� the .above audit. -
Background:
Ta� St. Paul. Cc�mmunity Development Block Grant Frogram is nearing -
the end of its second year, and certain Federal r�quirements must -
be met cor_ce=ning audit of the various C�BG activities. Tne City,
as the recipient of Community Development funds, is required to
provid� far audits of all CDBG activities. Tnzs is stated in :
Section 570.509 (b) of the CDBG Regulations:
"Recipient financial management systeras shall provide for
audits to be made by the recipient or at his direction,
in accordance with andit guidelines prescribed by HUD..
The recipient will schedule such audits w5.th reason�le
fr.equency, usually annuaZly, but not less f�equently, :
than once every two years" .
Some of the CDBG Year I activities carried on by outside agencies
havz bzen audited and reparts have been issued. Audits of_ Year I
autside agency subgranteeg, other than the Housing Autharity, have
been performed by Elmer Fox, Westheiner & Company, C.F.A. and
audit reports have been submitted to the Ci.ty., Elmer Fox was •
selected to do these audits because Elmer Fax had previously audited_
tn.ose same outside agencies when those agencies were funded by the
�:odel Ci�ies Program. CDBG activities rertaininc� ta be audited incl.uc3e
those operatir�g within the Housing Authority and thase operating
within various City Departments. .
Tn� State of Minnesota is legally required to perform an annual fiscal
a�sdit of the City. The State Auditors could expand upon their
r.orr�al audit to include within .the sco�e the various Federal audit
requirements. Since the activities that are to be audited at
H.R.A. are those activities which are to 3e in the new c�epartr.tent of
109 City Ha11, SaintPaul Minnesota �5'f02
, . ,
. �• • . . °�
. � ,:. . ,.- �`�����j�.
' r:a�ror George Latimer
page 2'
t��� ci�y, and �udited by tne State Auditor for 1977, it would
sezn expQdient to also engage the State Auditor to perforn audits
oL tn� H.R.?1. �ctivities funded by the Com.munity Developmsnt Block
Gr��t. -
Tne �epartr:ent af Housing and Urban Development has verbally
a�proved that the State of rlinnesota perform audits of the CDBG
activities within H.R.A. and the City. Rlso, Chapter 2, F4 of the :
hUD Audit Guide and Standards for Community Development Block
Cren� Recipients states the following: � . _ - "
�
"�•rnen the recipient. obtains an audit of its fisca� activities, .
the audit of the CDBG funds should be included as part
of its periodic fiscal audit. As a result, in many cas�s,��� -
the audit of C�BG funds will be� an exteasi.orz o£ presen.tl.y � �
required audits of the local government rather than a � � _
separate and additional audit. " �
T;�e State of 24innesota will provide daily rates but will not provide
a total estimate of the cost involved ta perform audits of the
C�3G activities within the City and HRA or enter into a formal
a3�eenent to perforn� the audits. The Department of Finance and
�i�nagem�nt Services estimates total costs for the a�dits to be
ao�roxiraately $40,000.00. �
Co�unity Development Block Grant funds may be used to pay for the
at:3it costs. �
F�o�aever, funds have not been appropriated in the approved CDBG
budget for these expenditures. It will be necessary to approve a
budgzt revision to include ari appropriatian for audit costs befare .
tne audits can be performed. A council resolution must be agpraved
providing funds far audit costs from CDBG Funds. This �roeess will
be initiated by ;�ir. William Patton.
Actioz Requested: "
We request your concurrence to our recommendationr that. tne stat� .
Auditor be engaged to perform the remaining CDBG activities and
will appreciate your concurrence within the next week or two so
t'nat tnis audit can be started.
cc: W;a. Pattson
. I�t. A. Horrisberger, Sr.
R.yH:S°Z
r .
, -+c������ �.2{is�� . �:
.. . - ., � ' . . � . .. . . �Q'��w'- � 9���!V t:
.. . � � . � � � � . �. . , . . _ . . ..;i
� . 8 : Tlt�i OF AI�MIAtISTRATIi�E .4 ����� � �
.
..,
; .: � � ` � . � ����3��!+� ���: ; , �
�� . _ : : ��U'�',IQAIS A�l� ORDI�►b�S �� �
,,
., : . . ,.- - _ :
_. - � � � � � , :�
� � � �
. . . . f _ . . - � .�
}v
.:; .:Date: I�arch :23, 19 7 '_:. .' . _ � _ . �
,.. : .
. ; , � . .
t
: � �
�� R�0= MA3C4� G�RG T�MER ; ' . . , - . �
�'��/.�S� �ZJ.
> g�; Mr. Wi l t iam Q P ton . . �
..
�; Am�ndmtnt� to r I Prayram � ' %'
� m , .
- , �
�.. , .
. .
. �
.. � . � � � . . , � . . . - . �. . . . � . . .� � ,,;a
., . � . . . ., .
.,-. • -. . ' ... �.
„
�...�-:� .. � � . � � . . . " ..�.�'
s - �- � � . . . � . � ,- � � � "
� , � . .� .. �. .. . . . � . - � .;ti
, . �� . . . . ' . . , . .
� .� � . . . . .; .. . . .� . `:., ..���� � .-. �. . �
.. . .. ,,,. �_ . ..,
� ,. . . ' ' . .. � .:�� ,.. , ..' :�;.
.VF
.. . . . � . . .. .:.• '. .. " ' � � � ��
��. .:�...,. .�. . . '� ' . . . � � . ... . � . " . . +- • ':- .:. . �' �.. .:�_ _.'� , ...�,.� . .��
', a� ��IC1N R'�tJ�STE1�: r �` r��a1 fl� �ew CO X�ear � p���c� to �r+d�r°L��re �tu�� of .,':� ," 4
..... .......�...w�...�..�,��� .�.,._.,. ;: :
,
� a1i CD prc�,��ts '�rom '��init3ation .v# C� t��t3��n�r ��, �9�fi: �
. .
K.
, .
�� :.. ,.
. ;
.� _ � n,
.
. � . . .
, �
,... , _ , ..
.. �
,. .
,_ .
, .
, .�
.
.,
.. � _ . . , _ -„ ��;
. _ . . . ., .
. , . �
r ,
�;
. �
.
. .
, . : _.
, , �:
.
.
�.. �
.� . .
, = A;
, .
� _ ,.
. .-: ,.
.. ., f y
_ .�.. ..
PF'� . . . .. . � .. . . ' .. . . . . .. . . , . - .�.k
, .. ,.
� .
. .. . . . � ..�� . �. :.. . .- �..
,. . .. . :��.. . . �._ , �.
.-.. .� � . . . . .. . ..: � .•a
k .. .� - . .i. � . '. . .... ., . . ..:. ,.��. , .:. . :.,: . � ',:_ . .
t, ,..
k � . . .. � ... �' � � . . . � . .� ' ,�.� , ..',� ' - �,�• ,
� . . . ' 1 � . . . . . . . � - �'{ �
. �
; � . � . . - . . . . . .. ' . . . ... _.�,� ' � .:.�. .
• u
�$
Pt� ,S� 1�'ND RAT= FOR '�8T 3 ACTIt�t�; Requ i red by ,t�#1Q a�m# s��� �
� . ,.
_ manag�at p�a�tices � - _: �
,, .
- �� .
. .
. _
. ..P�
� �
. - �:
:. ; � . r:
AT�A,�TSs Cou c�t ��'Re�ofc�tion � ' � �,
�.: -
. ..�.
., , ....
. � � :
, .