Finding 49598 (2022-007)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2023-01-17

AI Summary

  • Core Issue: The City did not provide a complete and accurate Schedule of Expenditures of Federal Awards (SEFA) as required by Uniform Guidance.
  • Impacted Requirements: Internal controls were inadequate, leading to difficulties in preparing the SEFA efficiently and accurately.
  • Recommended Follow-Up: Improve record-keeping practices to ensure the SEFA can be prepared correctly and identify major federal programs as needed.

Finding Text

SECTION III ? FEDERAL AWARD FINDINGS AND QUESTIONED COSTS 2022-007 SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (SEFA) Criteria: Internal controls should be designed to capture the City?s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared. Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A compete and accurate SEFA was not provided to us. Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy and completeness. Questioned Costs: None Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.

Corrective Action Plan

Management will properly create a schedule of all federal awards. Contact Person: Mayor Leroy Sullivan and Sandra Williams. Anticipated Completion Date: Monthly basis.

Categories

Reporting

Other Findings in this Audit

  • 49599 2022-008
    Material Weakness Repeat
  • 626040 2022-007
    Material Weakness Repeat
  • 626041 2022-008
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.26M
14.871 Section 8 Housing Choice Vouchers $560,967
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $388,876
15.904 Historic Preservation Fund Grants-in-Aid $20,132
97.044 Assistance to Firefighters Grant $7,826