Finding Text
023-001: Completeness of the Schedule of Expenditures of Federal Awards (SEFA)
Information on the Federal Program: Assistance Listing Number 93.575
Child Care and Development Block Grant
Criteria: Non-federal entities are required to report all expenditures for federal awards for
direct support and pass-through funds.
Condition and Context: ‘Aha Pūnana Leo did not originally report this program on the SEFA
for the year ended December 31, 2023. This resulted in the SEFA being understated by
$433,677.
Cause: ‘Aha Pūnana Leo has a process of reviewing awards and grants for inclusion on the
SEFA. This program was not timely identified for reporting on the SEFA for the year ended
December 31, 2023.
Effect or Potential Effect: The SEFA is required to be presented fairly in all material respects
in relation to the financial statements as a whole. Failing to timely report amounts on the
SEFA can lead to inaccurate identification of major programs for testing in accordance with
the Single Audit Act. Also, understating the SEFA can be misleading to the users of the
SEFA particularly the federal agency awarding the funds.
Questioned Costs: $0
Recommendation: We recommend that ‘Aha Pūnana Leo strengthen its system of internal
controls when identifying federal awards for reporting on the fiscal year-end SEFA in a
timely manner.
Views of Responsible Official: We are reviewing grants and awards from federal and
nonfederal sources and identify and track all federal funds. We will strengthen our internal
controls over reviewing the accuracy and completeness of the SEFA for financial reporting
purposes.