Audit 392910

Criteria - Entities that receive grants or program support are required to know the source of htose grants and awards as required by the U.S. Office of Management and Budget's (OMB) Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Final Rule (Uniform Guidance). An organization must be able to document the key components of the schedule of expenditures of federal awards. Condition - The schedule of expenditures of federal awards provided by management included only the name of hte program and the amount spent. It did not include key information (organized by federal program or agency, pass through entities and their identifying number, assistance listing numbers, amount of federal expenditures, etc.) required under Uniform Guidance. Context - Management has all of the information necessary to complete the schedule of expenditures of federal awards in compliance with the Uniform Guidance but had not compiled it prior to the start of the audit. Cause - Management experienced transition in the accounting department due to a resignation prior to audit fieldwork and the current Controller had not previously prepared a schedule of expenditures of federal awards. Effect - The audit firm assisted with compiling the necessary information to ensure the schedule of expenditures of federal awards was complete and accurate. Recommendation - We recommend management incorporate proper training and education on the appropriate preparation of the schedule of expenditures of federal awards. Management's Response - Management has a corrective action plan in place to address the finding as follows: Management will prepare the schedule of expenditures of federal awards as part of the year end closing process to determine their audit requirements under the Uniform Guidance and provide the schedule to the audit firm during hte financial audit process.