FAC Explorer

Audit 13983

FY End
2023-06-30
Total Expended
$17.63M
Findings
10
Programs
23
Organization: Illinois Central College District 514 (IL)
Year: 2023 Accepted: 2024-01-26
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
10322 2023-001 Significant Deficiency - N
10323 2023-001 Significant Deficiency - N
10324 2023-001 Significant Deficiency - N
10325 2023-001 Significant Deficiency - N
10326 2023-002 Material Weakness - L
586764 2023-001 Significant Deficiency - N
586765 2023-001 Significant Deficiency - N
586766 2023-001 Significant Deficiency - N
586767 2023-001 Significant Deficiency - N
586768 2023-002 Material Weakness - L

Programs

ALN Program Spent Major Findings
84.063 Federal Pell Grant Program $6.46M Yes 1
84.268 Federal Direct Student Loans $3.13M Yes 1
11.300 Investments for Public Works and Economic Development Facilities $2.41M Yes 0
84.425 Education Stabilization Fund $1.23M Yes 0
11.307 Economic Adjustment Assistance $897,151 Yes 1
84.031 Higher Education_institutional Aid $610,908 - 0
84.042 Trio_student Support Services $425,524 - 0
84.048 Career and Technical Education -- Basic Grants to States $406,764 - 0
84.047 Trio_upward Bound $289,967 - 0
84.215 Fund for the Improvement of Education $270,999 - 0
84.044 Trio_talent Search $250,327 - 0
84.007 Federal Supplemental Educational Opportunity Grants $243,720 Yes 1
84.002 Adult Education - Basic Grants to States $220,119 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $220,000 - 0
17.268 H-1b Job Training Grants $93,000 - 0
93.575 Child Care and Development Block Grant $82,812 - 0
17.258 Wia Adult Program $78,162 - 0
84.033 Federal Work-Study Program $56,130 Yes 1
84.116 Fund for the Improvement of Postsecondary Education $55,758 - 0
10.558 Child and Adult Care Food Program $48,758 - 0
10.902 Soil and Water Conservation $30,088 - 0
20.205 Highway Planning and Construction $26,102 - 0
17.259 Wia Youth Activities $10,946 - 0

Contacts

Name Title Type
KKRNX8RMLSE8 Bruce Budde Auditee
3096945477 Adam Pulley Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principals contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. As of and during the year ended June 30, 2023, the District did not receive any noncash federal assistance, federal insurance, or loan guarantees. De Minimis Rate Used: N Rate Explanation: The District has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Illinois Central College District 514 (the District) under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of operations of the District, it is not intended to and does not present the net position, revenues, expenses, and changes in net position, or cash flows of the District.
Title: DIRECT LOAN PROGRAMS Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principals contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. As of and during the year ended June 30, 2023, the District did not receive any noncash federal assistance, federal insurance, or loan guarantees. De Minimis Rate Used: N Rate Explanation: The District has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. During the fiscal year ended June 30, 2023, students and their parents were awarded $3,127,146 of federally guaranteed loans under the Federal Direct Student Loan Program (programs include Stafford Loans, Parents’ Loans for Undergraduate Students, and Unsubsidized Stafford Loans). The District is responsible only for the performance of certain administrative duties with respect to the federally guaranteed student loan programs and, accordingly, balances relating to these loan programs are not included in the District’s basic financial statements.
Title: BACKGROUND INFORMATION ON GRANT ACTIVITY Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principals contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. As of and during the year ended June 30, 2023, the District did not receive any noncash federal assistance, federal insurance, or loan guarantees. De Minimis Rate Used: N Rate Explanation: The District has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Restricted Adult Education Grants/Federal Assistance Listing #84.002 Federal Basic: Grant awarded to Adult Education and Family Literacy providers to assist adults in becoming literate and obtain the knowledge and skills necessary for employment and self-sufficiency; to assist adults who are parents in obtaining the educational skills necessary to become full partners in the educational development of their children; and to assist adults in completing a secondary school education. Career and Technical Education – Basic Grants to State (Perkins)/Federal Assistance Listing #84.048 Grant awarded to community colleges as a result of the Carl D. Perkins Vocational and Technical Education Act of 1998 (Perkins III). This grant is intended to help accomplish the new vision of vocational and technical education for the 21st century. The central goals of this new vision are improving student achievement and preparing students for postsecondary education, further learning, and careers. The grant allows community colleges to focus on those programs and student populations they feel will allow for the greatest improvement in overall performance while assuring success for all students in career and technical education programs.

Finding Details

Finding 2023-001
2023 – 001 Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program) Federal Award Identification Number and Year: N/A; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance; Other Matters Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of the District’s information technology, we noted the District did not maintain a comprehensive written security program that included the minimum required elements. Questioned costs: None Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The District has continued to make progress in updating the District’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Effect: The student personal information could be vulnerable. Repeat finding: No Recommendation: We recommend the District work to update the written security program to ensure compliance with all the standards. Views of responsible officials: The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.
Finding 2023-001
2023 – 001 Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program) Federal Award Identification Number and Year: N/A; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance; Other Matters Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of the District’s information technology, we noted the District did not maintain a comprehensive written security program that included the minimum required elements. Questioned costs: None Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The District has continued to make progress in updating the District’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Effect: The student personal information could be vulnerable. Repeat finding: No Recommendation: We recommend the District work to update the written security program to ensure compliance with all the standards. Views of responsible officials: The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.
Finding 2023-001
2023 – 001 Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program) Federal Award Identification Number and Year: N/A; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance; Other Matters Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of the District’s information technology, we noted the District did not maintain a comprehensive written security program that included the minimum required elements. Questioned costs: None Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The District has continued to make progress in updating the District’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Effect: The student personal information could be vulnerable. Repeat finding: No Recommendation: We recommend the District work to update the written security program to ensure compliance with all the standards. Views of responsible officials: The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.
Finding 2023-001
2023 – 001 Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program) Federal Award Identification Number and Year: N/A; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance; Other Matters Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of the District’s information technology, we noted the District did not maintain a comprehensive written security program that included the minimum required elements. Questioned costs: None Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The District has continued to make progress in updating the District’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Effect: The student personal information could be vulnerable. Repeat finding: No Recommendation: We recommend the District work to update the written security program to ensure compliance with all the standards. Views of responsible officials: The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.
Finding 2023-002
2023 – 002 Federal Agency: U.S. Department of Commerce Federal Program Name: Economic Adjustment Assistance Assistance Listing Number: 11.307 Federal Award Identification Number and Year: ED22HDQ3070089; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Material Weakness in Internal Control over Compliance; Other Matters Criteria or specific requirement: In accordance with the Federal Funding Accountability and Transparency Act of 2006 (FFATA), prime recipients of a federal grant must report each first-tier subaward or subaward amendment that results in an obligation of $30,000 or more in federal funds on a public-facing, OMB-designated, governmentwide website. The report must be submitted by the end of the following month during which the prime recipient makes the subaward (2 CFR 170). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of FFATA reporting requirements for 5 subrecipients of the Economic Adjustment Assistance program, the District failed to report information required by the FFATA for the subawards granted to each of these subrecipients. Questioned costs: None Context: FFATA requires the District to report certain information related to awards made to subrecipients greater than or equal to $30,000. Amounts passed through to all subrecipients under the Economic Adjustment Assistance program, also the total amount of subrecipient payments selected for testing totaled $226,412 during the year ended June 30, 2023. Cause: The District’s processes and controls did not ensure that FFATA requirements were met. Effect: Failure to identify awards subject to FFATA and to report subawards in accordance with FFATA results in noncompliance with federal requirements. Repeat finding: No Recommendation: We recommend the District establish procedures to identify awards subject to FFATA reporting requirements and report required subaward information in accordance with FFATA. Views of responsible officials: A procedure has been established and in place for future awards involving sub-recipients. The College closely monitors grant activity to ensure compliance with underlying grant provisions and notes that there is no financial exposure to the College or the granting agency.
Finding 2023-001
2023 – 001 Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program) Federal Award Identification Number and Year: N/A; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance; Other Matters Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of the District’s information technology, we noted the District did not maintain a comprehensive written security program that included the minimum required elements. Questioned costs: None Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The District has continued to make progress in updating the District’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Effect: The student personal information could be vulnerable. Repeat finding: No Recommendation: We recommend the District work to update the written security program to ensure compliance with all the standards. Views of responsible officials: The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.
Finding 2023-001
2023 – 001 Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program) Federal Award Identification Number and Year: N/A; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance; Other Matters Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of the District’s information technology, we noted the District did not maintain a comprehensive written security program that included the minimum required elements. Questioned costs: None Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The District has continued to make progress in updating the District’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Effect: The student personal information could be vulnerable. Repeat finding: No Recommendation: We recommend the District work to update the written security program to ensure compliance with all the standards. Views of responsible officials: The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.
Finding 2023-001
2023 – 001 Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program) Federal Award Identification Number and Year: N/A; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance; Other Matters Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of the District’s information technology, we noted the District did not maintain a comprehensive written security program that included the minimum required elements. Questioned costs: None Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The District has continued to make progress in updating the District’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Effect: The student personal information could be vulnerable. Repeat finding: No Recommendation: We recommend the District work to update the written security program to ensure compliance with all the standards. Views of responsible officials: The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.
Finding 2023-001
2023 – 001 Federal Agency: U.S. Department of Education Federal Program Name: Student Financial Assistance Cluster Assistance Listing Number: 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program) Federal Award Identification Number and Year: N/A; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance; Other Matters Criteria or specific requirement: The Gramm-Leach-Bliley Act (Public Law 106-102) requires financial institutions to explain their information-sharing practices to their customers and to safeguard sensitive data. (16 CFR 314) The Federal Trade Commission considers Title IV-eligible institutions that participate in Title IV Educational Assistance Programs as “financial institutions” and subject to the Gramm-Leach-Bliley Act (16 CFR 313.3(k)(2)(vi)). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of the District’s information technology, we noted the District did not maintain a comprehensive written security program that included the minimum required elements. Questioned costs: None Context: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Cause: The District has continued to make progress in updating the District’s written security program to become in compliance with all requirements; however, due to capacity and demands on the information technology individuals, this is still a work in process. Effect: The student personal information could be vulnerable. Repeat finding: No Recommendation: We recommend the District work to update the written security program to ensure compliance with all the standards. Views of responsible officials: The College meets or exceeds the system and data security requirements as stipulated in the GLBA and best industry practice and standards for IT system security. There are no identified weaknesses or concerns for the security of College data. Formal documentation of procedures and process are in place and being formalized by the Institution and the College will be in compliance with the requirement for formal written standards going forward.
Finding 2023-002
2023 – 002 Federal Agency: U.S. Department of Commerce Federal Program Name: Economic Adjustment Assistance Assistance Listing Number: 11.307 Federal Award Identification Number and Year: ED22HDQ3070089; 2022-2023 Pass-Through Agency: N/A Pass-Through Number(s): N/A Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Material Weakness in Internal Control over Compliance; Other Matters Criteria or specific requirement: In accordance with the Federal Funding Accountability and Transparency Act of 2006 (FFATA), prime recipients of a federal grant must report each first-tier subaward or subaward amendment that results in an obligation of $30,000 or more in federal funds on a public-facing, OMB-designated, governmentwide website. The report must be submitted by the end of the following month during which the prime recipient makes the subaward (2 CFR 170). The Code of Federal Regulations 2 CFR 200.303 requires the District to establish and maintain effective internal controls over Federal awards. Condition: During our testing of FFATA reporting requirements for 5 subrecipients of the Economic Adjustment Assistance program, the District failed to report information required by the FFATA for the subawards granted to each of these subrecipients. Questioned costs: None Context: FFATA requires the District to report certain information related to awards made to subrecipients greater than or equal to $30,000. Amounts passed through to all subrecipients under the Economic Adjustment Assistance program, also the total amount of subrecipient payments selected for testing totaled $226,412 during the year ended June 30, 2023. Cause: The District’s processes and controls did not ensure that FFATA requirements were met. Effect: Failure to identify awards subject to FFATA and to report subawards in accordance with FFATA results in noncompliance with federal requirements. Repeat finding: No Recommendation: We recommend the District establish procedures to identify awards subject to FFATA reporting requirements and report required subaward information in accordance with FFATA. Views of responsible officials: A procedure has been established and in place for future awards involving sub-recipients. The College closely monitors grant activity to ensure compliance with underlying grant provisions and notes that there is no financial exposure to the College or the granting agency.