Finding Text
Federal Program: All Criteria or Specific Requirement - Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Section 508 ? Auditee Responsibilities, requires the auditee to prepare a schedule of expenditures of federal awards. The schedule must provide the total federal awards expended for each individual federal program and the Assistance Listings Number. Condition - While performing audit procedures on the initial schedule of expenditures of federal awards (?SEFA?) provided, we noted several errors in the reported amounts as expenditures of federal awards. Cause - The internal controls in place to report expenditures of federal awards for reporting on the SEFA were not operating effectively. Effect - The initial SEFA did not accurately reflect the expenditures of federal awards for several programs. Questioned Costs - None Context - In performing audit procedures over the initial SEFA, we identified discrepancies for two programs where the expenditures of federal awards listed on the initial SEFA did not agree with confirmations received from the corresponding cognizant agency. Additionally, in performing audit procedures over grants, we identified three programs where the expenditures of federal awards were not included in the original SEFA. The final and correct amounts for those programs were $36,835. Repeat Finding - No Recommendation - We recommend that management review the current procedures in place for preparation of the SEFA. We also recommend that the SEFA be prepared by a qualified individual in the accounting department, and that review is performed by the Chief Financial Officer, or an equivalent individual.