Finding Text
Criteria: Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards requires non-federal government entities that expend more than $750,000 in Federal financial assistance to have a Single Audit. All Federal expenditures should be reported on the Schedule of Expenditures of Federal Awards ("SEFA"). Condition: EPCAMR receives Federal funding from a number of different sources. During the audit it was noted that the SEFA, prepared for the audit, was not accurate and excluded some Federal expenditures. Cause: Internal controls over financial reporting do not include procedures for tracking all Federal funds received, and expended, by EPCAMR. Effect: There is an increased risk of noncompliance if EPCAMR does not have controls in place to identify and report all Federal funds received and expended. Recommendation: We recommend EPCAMR designate an individual to act as a grant coordinator. This individual would be responsible for identifying Federal awards, tracking expenditures and preparing the schedule of expenditures of Federal awards.