Finding Text
Financial Management
Fiscal year finding initially occurred: 2021
CONDITION: While performing our audit procedures for FY 22, there were
numerous instances of revenue and expense transactions being miscoded between
federal grant program funds and transactions being duplicated between funds. In
addition, reconciliations of grant revenues to grant expenditures were not being
performed which could lead to over drawing federal funds.
CRITERIA: 2 CFR 1.200.302(b) Financial Management requires that the financial
management system of a non-Federal entity must provide records that identify
adequately the source and application of funds for federally funded activities. These
records must contain information pertaining to Federal awards, authorizations,
financial obligations, unobligated balances, assets, expenditures, income and interest
and be supported by source documentation.
CAUSE: Reconciliation and review of detailed general ledger account balances were
not performed in a timely manner during FY 22EFFECT: Inaccurate and incomplete financial statement reports may be submitted to
users of the financial information.
RECOMMENDATION: All detailed general ledger account balances should be
reviewed and reconciled on a monthly basis to ensure complete and accurate financial
information is provided to all users of the financial information.