Finding Text
Condition: During our testing of reporting, we noted the expenditures reported in the monthly performance reports submitted to the City of Baltimore did not agree to the underlying accounting records. Criteria: The Uniform Guidance requires organizations to establish internal controls to detect potential noncompliance. Cause: While all monthly performance reports were submitted timely and reviewed by the appropriate level of management, there were misstatements in the underlying accounting for federal awards. Effect: Expenditures reported on the monthly performance reports were inaccurate. Recommendation: We recommend that management implement control procedures to ensure the federal award subsidiary ledger is appropriate and complete prior to report submission. Views of Responsible Officials and Planned Corrective Actions: Visit Baltimore, Inc. and Subsidiary has implemented procedures to reconcile the federal award subsidiary ledger to the general ledger prior to submission of monthly performance reports. Additional review controls have been established to ensure reported expenditures agree to the underlying accounting records.