Finding Text
Name: Community Development Block Grants/State's Program and Non-Entitlement Grants in Hawaii. ALN: 14.228. Federal Grantor: U.S. Department of Housing and Urban Development. Pass-Through Entity: State State Department of Housing and Community Development. Award No.: Various. Year: 2023/2024. Compliance Requirement: Other. Criteria - Internal control over the Schedule of Expenditures of Federal Awards (SEFA) requires that the City provide accurate Federal expenditure information to the City Auditor timely. Condition - During out test of major programs we noted that the SEFA provided by the City at the beginning of audit fieldwork we contained errors in the federal expenditures. Expenditures included in the SEFA provided at the beginning of the audit were less than actual expenditures by $621,669 in the major program listed above. Cause - The City did not reconcile the federal expenditure claims to the SEFA that was provided to us at the start of the audit. Effect -Federal expenditures reported on the original SEFA provided at the beginning of fieldwork was not materially correct and expenditures were understated by $621,669 in the major program listed above. Questioned Cost - No questioned costs were identified as a result of our procedures. Context - The condition noted above was identified during our procedures related to reconciling federal expenditures to the SEFA. Repeat Finding - This is not a repeat finding. Recommendation - We recommend that the City reconcile federal expenditures claimed to the City’s general ledger and SEFA. Views of Responsible Officials and Planned Corrective Action - Refer to separate Management's Corrective Action Plan for views of responsible officials and management’s responses.