Latest state audit again takes issue with how Edmonds handled COVID grant monitoring

The Washington State Auditor's Office criticized Edmonds for failing to adequately monitor COVID relief grant subrecipients in 2023, marking a recurrence of issues identified in past audits. The audit, covering January 1 to December 31, 2023, revealed serious compliance deficiencies that led to a formal finding, the highest level of reporting from the SAO. Despite this, the city received an “unmodified opinion” for its financial statements, indicating a clean audit opinion. Auditor Erika Davies stated that while Edmonds had started to address compliance issues, turnover in the finance department affected the implementation of necessary processes. The audit specifically spotlighted weaknesses in internal controls regarding procurement and subrecipient monitoring, which are crucial for ensuring compliance with federal regulations.

The city had entered interlocal agreements to procure police vehicles using COVID funds, but did not adhere to federal purchasing requirements. The public will have access to the final audit report online starting June 19. These findings underscore ongoing challenges in managing federal relief funds effectively.