Finding Text
Finding 2025-009; Reporting All Assistance Listing Numbers and Federal Agencies 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 City’s internal record keeping did not adequately separate federal award expenditures for each ALN, but instead combined federal awards with separate ALNs. 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. 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 and excludes state awards. Views of Responsive Officials and Planned Corrective Action: In the future, on all projects involving the use of federal funding, the City will pay careful attention to projects with multiple funding sources to ensure that all funds are accounted for by source to ensure accurate source allocation and accounting.