signed_federal_single_audit_report FY21

TOWN OF WATERFORD, CONNECTICUT 
 
FEDERAL SINGLE AUDIT REPORT 
 
JUNE 30, 2021 
 

 
 
TOWN OF WATERFORD, CONNECTICUT 
FEDERAL SINGLE AUDIT REPORT 
JUNE 30, 2021 
TABLE OF CONTENTS 
Independent Auditors’ 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 
1-3 
Schedule of Expenditures of Federal Awards 
4-5 
Notes to Schedule of Expenditures of Federal Awards 
6 
Independent Auditors’ 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 
7-8 
Schedule of Findings and Questioned Costs 
9 
 

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1 
Independent Auditors’ 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 
Board of Finance 
Town of Waterford, Connecticut 
Report on Compliance for Each Major Federal Program 
We have audited the Town of Waterford, Connecticut’s 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 Town of Waterford, Connecticut’s major federal programs for the year ended June 30, 
2021.  The Town of Waterford, Connecticut’s major federal programs are identified in the summary of 
auditors’ 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. 
Auditors’ Responsibility 
Our responsibility is to express an opinion on compliance for each of the Town of Waterford, 
Connecticut’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 Town of Waterford, Connecticut’s compliance with those requirements and 
performing such other procedures as we considered necessary in the circumstances.   
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 Town of Waterford, 
Connecticut’s compliance. 

 
2 
Opinion on Each Major Federal Program 
In our opinion, the Town of Waterford, Connecticut, 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 year ended June 30, 2021.   
Report on Internal Control over Compliance 
Management of the Town of Waterford, Connecticut, 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 Town of Waterford, Connecticut’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 Town of Waterford, Connecticut’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 a 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. 
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.   

3 
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, 
each major fund and the aggregate remaining fund information of the Town of Waterford, Connecticut, 
as of and for the year ended June 30, 2021, and the related notes to the financial statements, which 
collectively comprise the Town of Waterford, Connecticut’s basic financial statements.  We issued our 
report thereon dated December 17, 2021, 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 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 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. 
CliftonLarsonAllen LLP 
West Hartford, Connecticut 
May 3, 2022 

TOWN OF WATERFORD, CONNECTICUT  
  
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS   
FOR THE YEAR ENDED JUNE 30, 2021  
Assistance
Passed
Federal Grantor/Pass-Through Grantor/
Listing
Pass-Through Entity
Through to
 Program or Cluster Title
Number
Identifying Number
Subrecipients
Expenditures
United States Department of Agriculture
Passed Through the State of Connecticut Department of Education: 
Child Nutrition Cluster: 
National School Lunch Program
10.555
12060-SDE64370-20560
$
31,974
        
National School Lunch Program
10.555
12060-SDE64370-20560
356,268
      
National School Lunch Program
10.555
12060-SDE64370-29572
108,786
      
National School Breakfast Program
10.555
12060-SDE64370-29576
61,297
        
School Breakfast Program
10.553
12060-SDE64370-20508
129,733
      
$
$
688,058
         
United States Department of Transportation
Passed Through the State of Connecticut Department of Transportation: 
Highway Safety Cluster: 
State and Community Highway Safety
20.600
12062-DOT57513-20559
6,119
          
National Priority Safety Programs
20.616
12062-DOT57513-22600
6,298
          
12,417
           
United States Department of Education 
Passed Through the State of Connecticut Department of Education: 
Special Education Cluster (IDEA): 
Special Education_Grants to States
84.027
12060-SDE64370-20977-2021
378,883
      
Special Education_Grants to States
84.027
12060-SDE64370-20977-2020
190,398
      
Special Education_Grants to States
84.027
12060-SDE64370-20977
5,399
          
Special Education_Preschool Grants
84.173
12060-SDE64370-20983-2021
17,193
        
Special Education_Preschool Grants
84.173
12060-SDE64370-20983-2020
14,532
        
606,405
         
Title I Grants to Local Educational Agencies
84.010
12060-SDE64370-20679-2021
317,453
      
Title I Grants to Local Educational Agencies
84.010
12060-SDE64370-20679-2020
27,309
        
Title I Grants to Local Educational Agencies
84.010
12060-SDE64370-20679-2019
232
             
344,994
         
Career and Technical Education -- Basic Grants to States
84.048
12060-SDE64370-20742-2021
2,456
          
Career and Technical Education -- Basic Grants to States
84.048
12060-SDE64370-20742-2020
12,609
        
15,065
           
Improving Teacher Quality State Grants
84.367
12060-SDE64370-20858-2021
51,058
        
Improving Teacher Quality State Grants
84.367
12060-SDE64370-20858-2020
5,950
          
57,008
           
Title IV - Student Support
84.424
12060-SDE64370-22854-2021
232
             
Title IV - Student Support
84.424
12060-SDE64370-22854-2020
4,378
          
Title IV - Student Support
84.424
12060-SDE64370-22854-2019
3,436
          
8,046
             
ESSERF K-12 Fund
84.425D
12060-SDE64370-29571-2021
236,501
      
ESSERF K-12 Fund
84.425D
12060-SDE64370-29571-2020
248,458
      
484,959
         
Passed Through the LEARN: 
English Language Acquisition State Grants
84.365
7,755
             
Total United States Department of Education 
-
                     
1,524,232
      
United States Election Assistance Commission
Passed Through the State of Connecticut Secretary of State: 
Help America Vote Act Requirements Payments
90.401
12060-SOS12500-21465
13,991
           
Total Federal
The accompanying notes are an integral part of this schedule
4

                                                                                                  (CONTINUED)
TOWN OF WATERFORD, CONNECTICUT  
  
SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS   
FOR THE YEAR ENDED JUNE 30, 2021  
Assistance
Passed
Federal Grantor/Pass-Through Grantor/
Listing
Pass-Through Entity
Through to
 Program or Cluster Title
Number
Identifying Number
Subrecipients
Expenditures
Total Federal
United States Department of Justice
Passed Through the State of Connecticut Department of Emergency Services and Public Protection: 
Edward Byrne Memorial Justice Assistance Grant Program
16.738
12060-DPS32523-26230
$
3,870
             
Direct: 
Equitable Sharing Program
16.922
$
4,982
             
Total United States Department of Justice
-
                     
8,852
             
United States Department of Homeland Security 
Passed Through the State of Connecticut Department of Emergency Services and Public Protection: 
Disaster Grants - Public Assistance (Presidentially Declared 
Disasters)
97.036
12060-DPS32990-21891
40,621
           
United States Department of Health and Human Services 
Direct: 
Aging Cluster: 
Special Programs for the Aging_Title III, Part B_Grants for 
Supportive Services and Senior Centers
93.044
12060-SDR63901-29556
2,442
             
United States Department of the Treasury
Passed Through the State of Connecticut Department of Education: 
Coronavirus Relief Fund
21.019
12060-SDE64370-29561
356,426
      
Passed Through the State of Connecticut Office of Policy and Management: 
Coronavirus Relief Fund
21.019
12060-OPM20600-29561
126,967
      
483,393
         
Total Federal Expenditures
$
-
                     
$
2,774,006
      
The accompanying notes are an integral part of this schedule
5

 
6 
TOWN OF WATERFORD, CONNECTICUT 
NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS 
FOR THE YEAR ENDED JUNE 30, 2021 
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 
Basis of Presentation 
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award 
activity of the Town of Waterford, Connecticut, under programs of the federal government for the year 
ended June 30, 2021.  The information in the 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 Town of Waterford, 
Connecticut, it is not intended to, and does not, present the financial position, changes in fund balance, 
changes in net position or cash flows of the Town of Waterford, Connecticut. 
Basis of Accounting 
Expenditures reported on the Schedule are reported using the modified accrual basis of accounting.  
Such expenditures are recognized following the cost principles contained in the Uniform Guidance, with 
exception of assistance listing #21.019, which follows criteria determined by the Department of Treasury 
for allowability of costs. Under these principles certain types of expenditures are not allowable or are 
limited as to reimbursement. 
2. INDIRECT COST RECOVERY  
The Town of Waterford, Connecticut, has elected not to use the 10% de minimis indirect cost rate 
provided under Section 200.414 of the Uniform Guidance.  
3. NONCASH AWARDS 
Donated commodities in the amount of $32,014 are included in the Department of Agriculture’s National 
School Lunch Program, assistance listing #10.555.  The amount represents the market value of 
commodities received. 
 

 
 CLA is an independent member of Nexia International, a leading, global network of independent  
accounting and consulting firms. See nexia.com/member‐firm‐disclaimer for details. 
 
 
CliftonLarsonAllen LLP 
CLAconnect.com 
 
 
 
7 
Independent Auditors’ 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 Members of the Board of Finance 
Town of Waterford, Connecticut 
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, each major fund and the aggregate remaining fund information of 
the Town of Waterford, Connecticut, as of and for the year ended June 30, 2021, and the related notes 
to the financial statements, which collectively comprise the Town of Waterford, Connecticut’s basic 
financial statements, and have issued our report thereon dated December 17, 2021.   
Internal Control over Financial Reporting 
In planning and performing our audit of the financial statements, we considered the Town of Waterford, 
Connecticut’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 Town 
of Waterford, Connecticut’s internal control.  Accordingly, we do not express an opinion on the 
effectiveness of the Town of Waterford, Connecticut’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. 
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. 
 

8 
Compliance and Other Matters 
As part of obtaining reasonable assurance about whether the Town of Waterford, Connecticut’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 Town of Waterford, 
Connecticut’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 Town of Waterford, Connecticut’s 
internal control and compliance.  Accordingly, this communication is not suitable for any other purpose. 
CliftonLarsonAllen LLP 
West Hartford, Connecticut 
December 17, 2021 

 
9 
TOWN OF WATERFORD, CONNECTICUT 
SCHEDULE OF FINDINGS AND QUESTIONED COSTS 
FOR THE YEAR ENDED JUNE 30, 2021 
I. 
SUMMARY OF AUDITORS’ RESULTS 
Financial Statements 
Type of auditors’ report issued: 
Unmodified 
Internal control over financial reporting: 
• Material weakness(es) identified?  
 
yes 
X 
no 
• Significant deficiency(ies) identified? 
 
yes 
X 
none reported 
Noncompliance material to financial statements noted? 
 
yes 
X 
no 
 
Federal Awards 
Internal control over major programs: 
• Material weakness(es) identified?  
 
yes 
X 
no 
• Significant deficiency(ies) identified? 
 
yes 
X 
none reported 
 
Type of auditors’ report issued on compliance for major programs: 
Unmodified 
Any audit findings disclosed that are required to be reported in 
accordance with 2 CFR Section 200.516(a)? 
 
yes 
X 
no 
 
Major programs: 
Assistance 
Listing # 
 
 
Name of Federal Program or Cluster 
 
 
 
21.019 
 
COVID 19 – Coronavirus Relief Fund 
84.425D 
 
COVID 19 – ESSERF K-12 Fund 
 
Dollar threshold used to distinguish between type A and type B programs: 
$      750,000 
 
Auditee qualified as low-risk auditee? 
  X 
yes 
 
no 
 
II. FINANCIAL STATEMENT FINDINGS  
No matters were reported. 
III. FEDERAL AWARD FINDINGS AND QUESTIONED COSTS 
No matters were reported.