Answer: Federal expenditures were misclassified in the general ledger.
Trend: This misclassification affects both the General Fund and the Water and Sewer Fund.
List: Review and correct the ledger entries for accurate reporting related to the ARPA grant.
Finding Text
FEDERAL EXPENDITURES/EXPENSES DISBURSED WERE CLASSIFIED IN THE GENERAL LEDGER IN THE GENERAL FUND AS AN EXPENDITURE TITLED "OTHER" AND AS AN EXPENSE TITLED "EXTENSIONS-SEWER" IN THE WATER AND SEWER FUND RELATED TO THE ARPA GRANT.
Corrective Action Plan
THE AUDITOR ADJUSTMENTS WERE POSTED TO CORRECT THE ACCOUNTING RECORDS.