Finding Text
SEFA Preparation
Criteria - In accordance with the Uniform Guidance §200.510, the organization is responsible for preparing the schedule of expenditures of federal awards (SEFA) which must include the total federal awards expended as determined in accordance with §200.502.
Condition - Adjustments were required to agree the schedule prepared by the organization to the information in the audited financial statements.
Questioned Costs and how they were computed – None
Context –The SEFA was prepared based on the accounting records that were fully created without the necessary year-end accrual adjustments.
Cause - The staff prepared the SEFA without recording all the necessary year-end accrual adjustments. Also, significant misstatements were identified during the audit which affected the SEFA.
Effect or potential effects - These errors not only misstate the SEFA but can result in noncompliance with individual grant agreements and the Uniform Guidance.
Identification of repeat findings – Repeat of finding 2022-03.
Recommendation - We recommend the organization develop, document, and implement policies and procedures to ensure accurate preparation of the SEFA.