Audit 408913

Criteria: The schedule of expenditures of federal awards must accurately represent financial results as it pertains to federal programs. The schedule of expenditures of federal awards must be reconciled to the accrual basis trial balance. Condition: During audit testing of compliance and internal controls over compliance, it was discovered the schedule of expenditures of federal awards was not accurate and not reconciled to the accrual basis trial balance. Cause: Lack of adherence to established accounting policies and corresponding review procedures coupled with failure to meticulously track and document federal expenditures. Effect: Failure to produce an accurate schedule of expenditures of federal awards, and failure to reconcile the schedule of expenditures of federal awards to the accrual basis trial balance could result in grant termination and loss of future awards. Recommendation: Management should implement procedures to ensure an accurate schedule of expenditures of federal awards with a corresponding reconciliation to the accrual basis trial balance. It is recommended that management establish and enforce review and approval procedures related to the schedule of expenditures of federal awards and the accrual basis trial balance.Views of Responsible Officials and Planned Corrective Actions: The County acknowledges the importance regarding the accuracy of the schedule of expenditures of federal awards and corresponding reconciliation to the accrual basis trial balance. The County is considering providing additional training for current personnel along with the employment of additional personnel with suitable knowledge, skills, and experience to fulfill the fund-based accounting duties and other fiscal duties of the Treasurer’s office. Planned completion date for corrective action plan: Fiscal year 2026