Finding Text
Head Start Cluster: Assistance Listing No. #93.356 & 93.600 – Federal
Financial Report (FFR) SF-425 Errors
Condition: During our audit, we reviewed a sample of 12 Head Start’s FFRs. Audit
procedures identified the following issues with our sample:
Contract #04CH012398-01 Semi-Annual FFR: The reported Total
Recipient Share line I. was under-reported by $388,772.
Contract #04CH010730-05 Semi-Annual FFR: The reported Federal
Expenditures line e. was under-reported by $1,358,053.
Contract #04HP000356-04 Final FFR:
o Total Federal Share of Program Income line l. was over-reported
by $49,403.
o Program Income Expended in Accordance with Additional
Alternative line n. was over-reported by $156,299.
o Unexpended Program Income line o. was under-reported by
$106,896.
Criteria: FFRs should be completed accurately and reconciled to supporting
documentation by both the preparer and reviewer.
Cause: FFR line items were not agreed to supporting documentation.
Effect: Filed reports were not accurate. There were no repercussions from the
funding source to our knowledge.
Recommendation: Personnel responsible for preparing and reviewing the FFRs
should perform thorough reviews to ensure all line items reconcile to supporting
documentation.
Views of Responsible Officials and Planned