Finding Text
Finding No. 2025-004: Grant Tracking and Schedule of Expenditures of Federal Awards (SEFA) Adjustments Federal Program Affected: Office of Local Defense Community Cooperation, ALN 12.618 and Impact Aid, ALN 84.041 Compliance Requirement: Reporting Questioned Costs: None. Condition and Cause: Adjustments were made to the District’s SEFA as approximately $10,700 of OLDCC expenditures incurred in FY26 were included on the FY25 SEFA. Additionally, Impact Aid revenue was initially recorded on the SEFA as opposed to expenditures. This resulted in a $2.2 million adjustment to the SEFA. Criteria and Effect: It is our responsibility to inform the School Board that this deficiency could result in a material misstatement to the financial statements that could have been prevented or detected by the School’s management. Repeat Finding from Prior Year: Yes, prior year finding #2024-003. Recommendation: Only expenditures incurred during the period should be included on the SEFA. Response/Corrective Action Plan: Management is in agreement with the finding. See Corrective Action Plan.