Finding 1167948 (2025-002)

2025-002 Reconciliation of Federal Award Expenditures and Revenues Condition: During the audit, it was discovered that both revenues and expenditures related to federal awards were not properly reconciled. Cause: Metro United Way did not have a process in place at fiscal year-end to ensure that federal award accounts were monitored and accounting records were reconciled timely and agreed to underlying supporting documentation. Effect: Management was required to review revenues and expenditures related to certain grants to ensure amounts were recorded in the correct accounts and to ensure the Schedule of Expenditures of Federal Awards (SEFA) was accurate. This resulted in adjustments to Metro United Way’s financial statements for the year ended April 30, 2025. 2025-002 Reconciliation of Federal Award Expenditures and Revenues (Continued) Recommendation: Implement and document processes to reconcile federal award accounts monthly and review SEFA prior to audit. Views of Responsible Officials: Metro United Way, Inc. agrees with the finding and the recommendation noted above will implement for fiscal year-end April 30, 2026.