Finding Text
Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Section (a)(1) requires the audit, the data collection form, and the reporting package must be submitted within 30 calendar days after the auditee receives the auditor’s report(s) or nine months after the end of the audit period (whichever is earlier). Condition: Washington County, Arkansas, Federal Programs (the “County”) noted its 2022 and 2021 Schedule of Expenditures of Federal Awards (“SEFA”) omitted ARPA expenditures prior to the completion of the 2023 SEFA. Cause: The County did not have effective procedures to ensure all grant activity was included in the SEFA. Effect or Potential Effect: The submission of the 2023 SEFA was delayed to correct and resubmit the audits of the 2022 and 2021 SEFA reporting. Recommendation: We recommend the County establish a review process to identify and correct omissions related to its SEFA reporting and a reconciliation of all grant activity with the County’s general ledger. This process will address funds, such as the ARPA funds, that may not have been initially directed to the grant administrator.