Finding Text
Criteria ? 2 CFR 200.302(b)(1) of the Uniform Guidance states that a nonfederal entity must identify in its accounts all federal awards received and expended, as well as the federal programs under which they were received, and those amounts must be accurately and completely reported on the SEFA. Condition ? During the audit, for the year ended June 30, 2022, expenditures of federal awards for certain programs were not included in the SEFA provided by the Museum. The SEFA was subsequently corrected and one of the federal programs was identified to be a major federal award program. Cause ? The funds received and the federal expenditures for the programs were not recorded in the Museum?s general ledger in the same manner as the other federal programs, and therefore, the funds expended were not identified and reported on the SEFA. Effect or Potential Effect ? A federal program that should have been identified as a major program would not have been included on the SEFA and not subjected to the required audit procedures. Recommendation ? All expenditures of federal awards should be recorded in the general ledger in a consistent manner such that the expenditures can be readily identified in preparing the SEFA. Responsible Official?s Response and Corrective Action Planned ? Refer to the Corrective Action Plan.