Finding Text
Condition: Management was not aware of and had not been internally tracking federal expenditures and was not able to provide all information required for the Schedule of Expenditures of Federal Awards in part due to the accounting records being cash basis. Criteria: Management is responsible for identifying all federal awards received and for preparing the schedule of expenditures of federal awards including disclosures. Management is also required to arrange for a Single Audit when required. Cause: Staff turnover lead to training deficiencies in regards to federal award tracking and reporting. Effect: The potential exists that not all federal funds are properly included or reported on the Schedule of Expenditure of Federal Awards or that a Single Audit is not performed when required. Recommendation: Management should review all current and future awards to determine if there are any federal funds included, then track the federal portion by ALS number to be able to prepare the Schedule of Expenditures of Federal Awards and determine if a Single Audit is required.