Finding Text
PREPARATION OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS - SIGNIFICANT DEFICIENCY
Federal Program
Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks
HOME Investment Partnership Program ALN 14.239; passed through the County of Berks
Emergency Rental Assistance ALN 21.023; passed through the County of Berks
Criteria
Per the Uniform Guidance 2 CFR 200.510, the auditee is required to prepare a schedule of expenditures of federal awards (SEFA).
Condition
The Authority provided information relating to the federal programs including grant agreements and other supporting documentation. However, the information prepared by the auditee required material adjustments as a result of audit procedures
Cause
Certain account reconciliations were not performed prior to the audit, which impacted amounts reported on the SEFA.
Effect
Amounts reported on the general ledger used to develop the SEFA were not accurate. The SEFA was subsequently updated through audit procedures, including inquiry and review of grant documentation of awards received and amounts expended.
Questioned Costs
None.
Context
Several adjustments were required in order for the schedule to accurately reflect the current year activity.
Repeat Finding
No.
Recommendation
In order to meet Uniform Guidance requirements, the Authority should prepare the SEFA from the grant award documentation and any other relevant information including the assistance listing numbers, grant award amounts, grant amounts received, grant amounts expended, and grant revenue recorded. The amounts reported in the SEFA should reconcile to the general ledger.
Management Response
See corrective action plan included in this report package.