Finance: Recurring Significant Internal Control Deficiencies
||First Year Reported
||Because of limitations in its automated accounting systems, the State has not complied with the provisions of the U.S. Office of Management and Budget (OMB) Circular A-133 requiring auditees to prepare a schedule of expenditures of federal awards that includes the total federal awards expended for each individual federal program.
|Remains uncorrected/agree with finding. The State's accounting system will require substantial modification to comply with federal and state requirements. Finance received approval for a new integrated statewide financial management system, the Financial Information System for California (FI$Cal). The new system is anticipated to have the capability to provide total expenditures for each federal program as required by OMB Circular A-133.