FAC Explorer

Audit 10037

FY End
2023-06-30
Total Expended
$6.51M
Findings
8
Programs
14
Organization: Verona Area School District (WI)
Year: 2023 Accepted: 2024-01-08
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
7697 2023-001 Significant Deficiency - I
7698 2023-001 Significant Deficiency - I
7699 2023-001 Significant Deficiency - I
7700 2023-001 Significant Deficiency - I
584139 2023-001 Significant Deficiency - I
584140 2023-001 Significant Deficiency - I
584141 2023-001 Significant Deficiency - I
584142 2023-001 Significant Deficiency - I

Programs

ALN Program Spent Major Findings
84.425D Elementary and Secondary School Emergency Relief III $1.84M Yes 0
84.027A Idea Flow Through (eis) $1.40M - 0
10.555 National School Lunch Program $1.11M Yes 1
93.778 Medical Assistance Program $648,983 - 0
84.010 Esea Title I-A Basic Grant $503,212 - 0
10.553 School Breakfast Program $442,340 - 1
10.555 National School Lunch Program - Non-Cash Assistance (commodities) $263,859 Yes 1
84.365 Esea III-A English Language Acquisition Formula $113,544 - 0
84.367 Esea Title II-A Teacher/principal Training $78,938 - 0
84.048 Carl Perkins Act Formula Allocation Grant $34,076 - 0
84.173A Idea Preschool Entitlement $30,458 - 0
84.424 Esea Title IV-A Student Support and Academic Enrichment $29,662 - 0
84.425W Elementary and Secondary Schools Emergency Relief Fund - Homeless Children and Youth $26,036 Yes 0
10.555 National School Snack Program $1,974 Yes 1

Contacts

Name Title Type
M1ADGQHWN8U5 Peter Grender Auditee
6088454300 Amber Drewieske Auditor
No contacts on file

Notes to SEFA

Title: FOOD DISTRIBUTION Accounting Policies: Revenues and expenditures in the schedules are presented in accordance with the modified accrual basis of accounting and are generally in agreement with revenues and expenditures reported in the District’s 2023 fund financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and State Single Audit Guidelines, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Accrued revenue at year-end consists of federal and state program expenditures scheduled for reimbursement to the District in the succeeding year while unearned revenue represents advances for federal and state programs that exceed recorded District expenditures. Because of subsequent program adjustments, these amounts may differ from the prior year’s ending balances. De Minimis Rate Used: N Rate Explanation: The District has not elected to charge a de minimis rate of 10% of modified total costs. Nonmonetary assistance is reported in the schedule of expenditures of federal awards at the fair market value of the commodities received and disbursed.
Title: OVERSIGHT AGENCY Accounting Policies: Revenues and expenditures in the schedules are presented in accordance with the modified accrual basis of accounting and are generally in agreement with revenues and expenditures reported in the District’s 2023 fund financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and State Single Audit Guidelines, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Accrued revenue at year-end consists of federal and state program expenditures scheduled for reimbursement to the District in the succeeding year while unearned revenue represents advances for federal and state programs that exceed recorded District expenditures. Because of subsequent program adjustments, these amounts may differ from the prior year’s ending balances. De Minimis Rate Used: N Rate Explanation: The District has not elected to charge a de minimis rate of 10% of modified total costs. The federal and state oversight agencies for the District are as follows: Federal – U.S. Department of Education State – Wisconsin Department of Public Instruction
Title: BASIS OF PRESENTATION Accounting Policies: Revenues and expenditures in the schedules are presented in accordance with the modified accrual basis of accounting and are generally in agreement with revenues and expenditures reported in the District’s 2023 fund financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and State Single Audit Guidelines, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Accrued revenue at year-end consists of federal and state program expenditures scheduled for reimbursement to the District in the succeeding year while unearned revenue represents advances for federal and state programs that exceed recorded District expenditures. Because of subsequent program adjustments, these amounts may differ from the prior year’s ending balances. De Minimis Rate Used: N Rate Explanation: The District has not elected to charge a de minimis rate of 10% of modified total costs. The accompanying schedules of expenditures of federal and state awards for the Verona Area School District are presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and the State Single Audit Guidelines issued by the Wisconsin Department of Administration. The schedules of expenditures of federal and state awards include all federal and state awards of the District. Because the schedules present only a selected portion of the operations of the District, it is not intended to and does not present the financial position, changes in net position, or cash flows of the District.

Finding Details

Finding 2023-001
Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.CNC Pass-Through Agency: Wisconsin Department of Public Institution Pass-Through Numbers: 2023-135901-SB-546; 2023-135901-NSL-547; 2023-135901-DPI-SK_NSL-561 Award Period: 07/01/2022 – 06/30/2023 Compliance Requirement Affected: Procurement and Suspension and Debarment Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR 200.320 Methods of Procurement outlines various purchasing methods thresholds and requirements including, but not limited to, guidance with regards to when a non-federal entity is required to obtain rate quotations and sealed bids. Additionally, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: The District did not have a procurement or suspension and debarment policy that met the requirements of the Uniform Guidance at the time the transactions took place. Context: During our testing of procurement transactions of the program we noted that the District is not following federal procurement requirements, as it relates to conflict of interest. In addition, during our testing of suspension and debarment, we noted that the District is not following federal suspension and debarment requirements nor does the currently policy include procedures relating to suspension and debarment. Cause: The District has not implemented procurement or suspension and debarment policies that meet the requirements of the Uniform Guidance. Effect: Implementing and consistently following procurement policies that meet the requirements of Uniform Guidance are required and are designed to ensure fiscal responsibility, objective contractor performance and elimination of unfair completive advantage while spending federal funds. Additionally, not verifying that an entity is debarred or suspended could result in entering into covered transactions with debarred or suspended vendors. Recommendation: We recommend the District review and update the procurement and suspension and debarment policies. We also recommend that the District ensure that approved policies that meet federal requirements are consistently followed. Views of Responsible Officials and Planned Corrective Action: There is no disagreement with the finding. Management has reviewed and updated the procurement and suspension and debarment policy to be in compliance with Uniform Guidance.
Finding 2023-001
Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.CNC Pass-Through Agency: Wisconsin Department of Public Institution Pass-Through Numbers: 2023-135901-SB-546; 2023-135901-NSL-547; 2023-135901-DPI-SK_NSL-561 Award Period: 07/01/2022 – 06/30/2023 Compliance Requirement Affected: Procurement and Suspension and Debarment Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR 200.320 Methods of Procurement outlines various purchasing methods thresholds and requirements including, but not limited to, guidance with regards to when a non-federal entity is required to obtain rate quotations and sealed bids. Additionally, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: The District did not have a procurement or suspension and debarment policy that met the requirements of the Uniform Guidance at the time the transactions took place. Context: During our testing of procurement transactions of the program we noted that the District is not following federal procurement requirements, as it relates to conflict of interest. In addition, during our testing of suspension and debarment, we noted that the District is not following federal suspension and debarment requirements nor does the currently policy include procedures relating to suspension and debarment. Cause: The District has not implemented procurement or suspension and debarment policies that meet the requirements of the Uniform Guidance. Effect: Implementing and consistently following procurement policies that meet the requirements of Uniform Guidance are required and are designed to ensure fiscal responsibility, objective contractor performance and elimination of unfair completive advantage while spending federal funds. Additionally, not verifying that an entity is debarred or suspended could result in entering into covered transactions with debarred or suspended vendors. Recommendation: We recommend the District review and update the procurement and suspension and debarment policies. We also recommend that the District ensure that approved policies that meet federal requirements are consistently followed. Views of Responsible Officials and Planned Corrective Action: There is no disagreement with the finding. Management has reviewed and updated the procurement and suspension and debarment policy to be in compliance with Uniform Guidance.
Finding 2023-001
Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.CNC Pass-Through Agency: Wisconsin Department of Public Institution Pass-Through Numbers: 2023-135901-SB-546; 2023-135901-NSL-547; 2023-135901-DPI-SK_NSL-561 Award Period: 07/01/2022 – 06/30/2023 Compliance Requirement Affected: Procurement and Suspension and Debarment Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR 200.320 Methods of Procurement outlines various purchasing methods thresholds and requirements including, but not limited to, guidance with regards to when a non-federal entity is required to obtain rate quotations and sealed bids. Additionally, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: The District did not have a procurement or suspension and debarment policy that met the requirements of the Uniform Guidance at the time the transactions took place. Context: During our testing of procurement transactions of the program we noted that the District is not following federal procurement requirements, as it relates to conflict of interest. In addition, during our testing of suspension and debarment, we noted that the District is not following federal suspension and debarment requirements nor does the currently policy include procedures relating to suspension and debarment. Cause: The District has not implemented procurement or suspension and debarment policies that meet the requirements of the Uniform Guidance. Effect: Implementing and consistently following procurement policies that meet the requirements of Uniform Guidance are required and are designed to ensure fiscal responsibility, objective contractor performance and elimination of unfair completive advantage while spending federal funds. Additionally, not verifying that an entity is debarred or suspended could result in entering into covered transactions with debarred or suspended vendors. Recommendation: We recommend the District review and update the procurement and suspension and debarment policies. We also recommend that the District ensure that approved policies that meet federal requirements are consistently followed. Views of Responsible Officials and Planned Corrective Action: There is no disagreement with the finding. Management has reviewed and updated the procurement and suspension and debarment policy to be in compliance with Uniform Guidance.
Finding 2023-001
Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.CNC Pass-Through Agency: Wisconsin Department of Public Institution Pass-Through Numbers: 2023-135901-SB-546; 2023-135901-NSL-547; 2023-135901-DPI-SK_NSL-561 Award Period: 07/01/2022 – 06/30/2023 Compliance Requirement Affected: Procurement and Suspension and Debarment Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR 200.320 Methods of Procurement outlines various purchasing methods thresholds and requirements including, but not limited to, guidance with regards to when a non-federal entity is required to obtain rate quotations and sealed bids. Additionally, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: The District did not have a procurement or suspension and debarment policy that met the requirements of the Uniform Guidance at the time the transactions took place. Context: During our testing of procurement transactions of the program we noted that the District is not following federal procurement requirements, as it relates to conflict of interest. In addition, during our testing of suspension and debarment, we noted that the District is not following federal suspension and debarment requirements nor does the currently policy include procedures relating to suspension and debarment. Cause: The District has not implemented procurement or suspension and debarment policies that meet the requirements of the Uniform Guidance. Effect: Implementing and consistently following procurement policies that meet the requirements of Uniform Guidance are required and are designed to ensure fiscal responsibility, objective contractor performance and elimination of unfair completive advantage while spending federal funds. Additionally, not verifying that an entity is debarred or suspended could result in entering into covered transactions with debarred or suspended vendors. Recommendation: We recommend the District review and update the procurement and suspension and debarment policies. We also recommend that the District ensure that approved policies that meet federal requirements are consistently followed. Views of Responsible Officials and Planned Corrective Action: There is no disagreement with the finding. Management has reviewed and updated the procurement and suspension and debarment policy to be in compliance with Uniform Guidance.
Finding 2023-001
Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.CNC Pass-Through Agency: Wisconsin Department of Public Institution Pass-Through Numbers: 2023-135901-SB-546; 2023-135901-NSL-547; 2023-135901-DPI-SK_NSL-561 Award Period: 07/01/2022 – 06/30/2023 Compliance Requirement Affected: Procurement and Suspension and Debarment Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR 200.320 Methods of Procurement outlines various purchasing methods thresholds and requirements including, but not limited to, guidance with regards to when a non-federal entity is required to obtain rate quotations and sealed bids. Additionally, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: The District did not have a procurement or suspension and debarment policy that met the requirements of the Uniform Guidance at the time the transactions took place. Context: During our testing of procurement transactions of the program we noted that the District is not following federal procurement requirements, as it relates to conflict of interest. In addition, during our testing of suspension and debarment, we noted that the District is not following federal suspension and debarment requirements nor does the currently policy include procedures relating to suspension and debarment. Cause: The District has not implemented procurement or suspension and debarment policies that meet the requirements of the Uniform Guidance. Effect: Implementing and consistently following procurement policies that meet the requirements of Uniform Guidance are required and are designed to ensure fiscal responsibility, objective contractor performance and elimination of unfair completive advantage while spending federal funds. Additionally, not verifying that an entity is debarred or suspended could result in entering into covered transactions with debarred or suspended vendors. Recommendation: We recommend the District review and update the procurement and suspension and debarment policies. We also recommend that the District ensure that approved policies that meet federal requirements are consistently followed. Views of Responsible Officials and Planned Corrective Action: There is no disagreement with the finding. Management has reviewed and updated the procurement and suspension and debarment policy to be in compliance with Uniform Guidance.
Finding 2023-001
Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.CNC Pass-Through Agency: Wisconsin Department of Public Institution Pass-Through Numbers: 2023-135901-SB-546; 2023-135901-NSL-547; 2023-135901-DPI-SK_NSL-561 Award Period: 07/01/2022 – 06/30/2023 Compliance Requirement Affected: Procurement and Suspension and Debarment Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR 200.320 Methods of Procurement outlines various purchasing methods thresholds and requirements including, but not limited to, guidance with regards to when a non-federal entity is required to obtain rate quotations and sealed bids. Additionally, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: The District did not have a procurement or suspension and debarment policy that met the requirements of the Uniform Guidance at the time the transactions took place. Context: During our testing of procurement transactions of the program we noted that the District is not following federal procurement requirements, as it relates to conflict of interest. In addition, during our testing of suspension and debarment, we noted that the District is not following federal suspension and debarment requirements nor does the currently policy include procedures relating to suspension and debarment. Cause: The District has not implemented procurement or suspension and debarment policies that meet the requirements of the Uniform Guidance. Effect: Implementing and consistently following procurement policies that meet the requirements of Uniform Guidance are required and are designed to ensure fiscal responsibility, objective contractor performance and elimination of unfair completive advantage while spending federal funds. Additionally, not verifying that an entity is debarred or suspended could result in entering into covered transactions with debarred or suspended vendors. Recommendation: We recommend the District review and update the procurement and suspension and debarment policies. We also recommend that the District ensure that approved policies that meet federal requirements are consistently followed. Views of Responsible Officials and Planned Corrective Action: There is no disagreement with the finding. Management has reviewed and updated the procurement and suspension and debarment policy to be in compliance with Uniform Guidance.
Finding 2023-001
Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.CNC Pass-Through Agency: Wisconsin Department of Public Institution Pass-Through Numbers: 2023-135901-SB-546; 2023-135901-NSL-547; 2023-135901-DPI-SK_NSL-561 Award Period: 07/01/2022 – 06/30/2023 Compliance Requirement Affected: Procurement and Suspension and Debarment Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR 200.320 Methods of Procurement outlines various purchasing methods thresholds and requirements including, but not limited to, guidance with regards to when a non-federal entity is required to obtain rate quotations and sealed bids. Additionally, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: The District did not have a procurement or suspension and debarment policy that met the requirements of the Uniform Guidance at the time the transactions took place. Context: During our testing of procurement transactions of the program we noted that the District is not following federal procurement requirements, as it relates to conflict of interest. In addition, during our testing of suspension and debarment, we noted that the District is not following federal suspension and debarment requirements nor does the currently policy include procedures relating to suspension and debarment. Cause: The District has not implemented procurement or suspension and debarment policies that meet the requirements of the Uniform Guidance. Effect: Implementing and consistently following procurement policies that meet the requirements of Uniform Guidance are required and are designed to ensure fiscal responsibility, objective contractor performance and elimination of unfair completive advantage while spending federal funds. Additionally, not verifying that an entity is debarred or suspended could result in entering into covered transactions with debarred or suspended vendors. Recommendation: We recommend the District review and update the procurement and suspension and debarment policies. We also recommend that the District ensure that approved policies that meet federal requirements are consistently followed. Views of Responsible Officials and Planned Corrective Action: There is no disagreement with the finding. Management has reviewed and updated the procurement and suspension and debarment policy to be in compliance with Uniform Guidance.
Finding 2023-001
Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.CNC Pass-Through Agency: Wisconsin Department of Public Institution Pass-Through Numbers: 2023-135901-SB-546; 2023-135901-NSL-547; 2023-135901-DPI-SK_NSL-561 Award Period: 07/01/2022 – 06/30/2023 Compliance Requirement Affected: Procurement and Suspension and Debarment Type of Finding: Significant Deficiency in Internal Control Over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR 200.320 Methods of Procurement outlines various purchasing methods thresholds and requirements including, but not limited to, guidance with regards to when a non-federal entity is required to obtain rate quotations and sealed bids. Additionally, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Condition: The District did not have a procurement or suspension and debarment policy that met the requirements of the Uniform Guidance at the time the transactions took place. Context: During our testing of procurement transactions of the program we noted that the District is not following federal procurement requirements, as it relates to conflict of interest. In addition, during our testing of suspension and debarment, we noted that the District is not following federal suspension and debarment requirements nor does the currently policy include procedures relating to suspension and debarment. Cause: The District has not implemented procurement or suspension and debarment policies that meet the requirements of the Uniform Guidance. Effect: Implementing and consistently following procurement policies that meet the requirements of Uniform Guidance are required and are designed to ensure fiscal responsibility, objective contractor performance and elimination of unfair completive advantage while spending federal funds. Additionally, not verifying that an entity is debarred or suspended could result in entering into covered transactions with debarred or suspended vendors. Recommendation: We recommend the District review and update the procurement and suspension and debarment policies. We also recommend that the District ensure that approved policies that meet federal requirements are consistently followed. Views of Responsible Officials and Planned Corrective Action: There is no disagreement with the finding. Management has reviewed and updated the procurement and suspension and debarment policy to be in compliance with Uniform Guidance.