Finding Text
Federal Grantor: All Programs Pass-through Grantor: All Programs Federal Assistance Listing No.: All Programs Program Title: All Programs Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires auditees to prepare an accurate Schedule of Expenditures of Federal Awards containing awards expended, assistance listing title and number, award number, name of the Federal agency, name of pass-through entity, and awards paid to subrecipients. Condition: During our audit, we noted that the Schedule of Expenditures of Federal Awards contained errors. The City's current internal controls over Schedule of Expenditures of Federal Awards reporting are not sufficient enough to ensure correct reporting. This finding is a repeat finding and was reported in the most recent audit for the year ended June 30, 2021. Cause: Management failed to follow reporting requirements related to the Schedule of Expenditures of Federal Awards. Effect: Federal expenditures reported in the Schedule of Expenditures of Federal Awards were incorrect. Recommendation: We recommend management develop internal controls over reporting and consult with external consultants, if necessary, to ensure an accurate Schedule of Expenditures of Federal Awards is prepared. Management's Response: Title 2 U.S. Code of Federal Regulations Part 200 is being reviewed and training sessions will be initiated by the Finance Director's office. The Finance Director is working towards capturing grant transactions in a manner sufficient to readily report the necessary information required on the Schedule of Expenditures of Federal Awards by the next audit period. The expected completion date is June 30, 2023. The phone number for the Finance Director's office is (314) 513-5040.