FAC Explorer

Finding 390368 (2023-007)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-03-29
Audit: 301192
Organization: City of Amsterdam, New York (NY)
Auditor: Rbt CPAS LLP

AI Summary

  • Core Issue: The City failed to prepare a complete and accurate Schedule of Expenditures of Federal Awards (SEFA).
  • Impacted Requirements: Compliance with federal and state regulations for reporting expenditures.
  • Recommended Follow-Up: The City should enhance its understanding of SEFA preparation to ensure accurate annual data compilation.

Finding Text

Finding 2023-007 Schedule of Expenditures of Federal Awards Type of Finding: Internal Control Deficiency and Compliance Finding Condition: The City did not prepare a complete and accurate Schedule of Expenditures of Federal Awards and State Transportation Assistance ("SEFA"). Criteria: The Schedule of Expenditures of Federal Awards and State Transportation Assistance is required to be prepared by the Auditee under federal and state regulations. Cause: Federal and state expenditures are not tracked by funding source. Reimbursements from funding sources are not always allocated accurately to federal and state revenue accounts when received. Effect: Total expenditures of federal awards and state transportation assistance reported on the SEFA as required for the single audit was not accurate, requiring additional research and audit adjustments. Repeat Finding: Not a repeat finding. Recommendation: RBT recommends that the City obtain a clearer understanding of the SEFA and the preparation process such that the annual compilation of data is complete and accurate. Auditee's Response: See corrective action plan.

Corrective Action Plan

The City Controller, City Engineer and Director of Community and Economic Development have held recent meetings to discuss the development of a SharePoint site for all grant documentation. Thus far, there has not been a centralized location for award documents that can be accessed by all necessary parties. A draft SEFA worksheet will be created and updated on an ongoing basis throughout the fiscal year. This will improve the accuracy of internal federal award data. Louise Biron will be responsible for this finding and the anticipated completion date is June 30, 2024.

Categories

Reporting Internal Control / Segregation of Duties Cash Management

Other Findings in this Audit

  • 390369 2023-008
    Significant Deficiency Repeat
  • 390370 2023-009
    Significant Deficiency
  • 390371 2023-010
    Significant Deficiency
  • 966810 2023-007
    Material Weakness
  • 966811 2023-008
    Significant Deficiency Repeat
  • 966812 2023-009
    Significant Deficiency
  • 966813 2023-010
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $843,349
21.027 Coronavirus State and Local Fiscal Recovery Funds $433,587
20.205 Highway Planning and Construction $269,603
97.039 Hazard Mitigation Grant $91,765
16.607 Bulletproof Vest Partnership Program $990