Finding Text
Schedule of Expenditures and Federal Awards (Significant Deficiency)
Condition:
The Schedule of Expenditures and Federal Awards (SEFA) was prepared without supervisor
review, resulting in several auditor corrections.
Criteria:
Segregation of duties and review procedures should be applied to federal award workpapers.
Cause:
Town has not established written internal control policies with regard to federal awards.
Effect:
Risk that the Town’s information in the SEFA is not accurate, complete, or appropriately
presented in accordance with Uniform Guidance.
Recommendation:
Management should develop and implement written internal control policies.
Views of Responsible Officials and Planned Corrective Action:
We agree with the finding and we’re working towards developing a written policy.