Finding Text
Preparation of Schedule of Expenditures of Federal Awards ("SEFA"). Criteria - The SEFA is required to be prepared in accordance with Uniform Guidance to reflect expenditures of federal awards. Condition - The SEFA, as originally prepared, was significantly misstated. Context - The SEFA did not accurately reflect the proper amount of federal expenditures. Effect - The SEFA did not properly reflect the amount and funding source of the federal awards as required by Uniform Guidance and had the potential to have an incorrect major program selected. Cause - A grant was listed on the SEFA as a federal expenditure. The terms of the grant indicated that MDC was a beneficiary. Under Uniform Guidance guidelines, beneficiaries do not record the grants on the SEFA. Auditor's Recommendations - We recommend staff training in the preparation of the SEFA and the implementation of procedures to provide oversight that ensures the completion of an accurate SEFA.