Finding 1164723 (2023-004)

Criteria: The Schedule of Expenditures of Federal Awards is required to include all expenditures of Federal funds. Condition: Management originally prepared an incomplete Schedule of Expenditures of Federal Awards (SEFA). Cause: The State funder indicated that no Federal Single Audit was required. Management had not implemented a formal process for preparation of the SEFA. Effect of potential effect: Management’s Schedule of Expenditures of Federal Awards was incomplete, resulting in lack of identification of the need for a Single Audit and the delay in its completion. Questioned costs: N/A Recommendation: Management should prepare a master tracking schedule for government grants which includes the source of funding and audit and reporting requirements. The schedule should be prepared by someone with knowledge of the grant agreements and reviewed by a leader in the accounting department to ensure completeness. Views of responsible officials: Management has implemented a master tracking schedule for government grants that includes the source of funding and audit and reporting requirements. This tracker is a joint effort between finance and grants management teams.