Finding Text
Criteria: The Uniform Guidance requires the City to prepare a schedule of expenditures of federal awards (SEFA) for the period. The SEFA should include each federal program’s assistance listing number and the total federal awards expended for that assistance listing number. Condition: The original SEFA incorrectly omitted federal awards passed through the Chickasaw Nation totaling approximately $1,775,000 in charges to federal grants for the year. Cause: The City obtained multiple federal, tribal, and state funding streams for multiple large projects. Due to the complexities and numerous funding streams, certain grants were improperly misclassified or incorrectly excluded or included on the City’s original SEFA. Effect: Errors in preparing the SEFA can lead to improper major program determination that determines the necessary audit of compliance over those federal programs. Questioned Costs: None Recommendation: We recommend that the City perform a thorough review of its SEFA to verify it includes all federal expenditures of grant programs. Further, attention should be given to funding received by local Indian tribes to determine if those proceeds are federal in nature. Views of Responsible Officials and Planned Corrective Actions: The City will perform a thorough review of its schedule of expenditures of federal awards to ensure compliance with federal funding agencies.