FAC Explorer

Audit 14534

FY End
2023-06-30
Total Expended
$2.60M
Findings
6
Programs
13
Organization: Watkins Glen Central School District (NY)
Year: 2023 Accepted: 2024-01-30
Auditor: Insero & CO Cpa's LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
10846 2023-002 - Yes C
10847 2023-002 - Yes C
10848 2023-002 - Yes C
587288 2023-002 - Yes C
587289 2023-002 - Yes C
587290 2023-002 - Yes C

Programs

ALN Program Spent Major Findings
10.555 National School Lunch Program $376,332 - 1
84.010 Title I Grants to Local Educational Agencies $336,462 - 0
10.553 School Breakfast Program $123,415 - 1
93.276 Drug-Free Communities Support Program Grants $88,713 - 0
84.027 Special Education_grants to States $52,585 - 0
84.425 Education Stabilization Fund $44,400 Yes 0
10.649 Pandemic Ebt Administrative Costs $35,384 - 0
84.367 Improving Teacher Quality State Grants $34,565 - 0
84.424 Student Support and Academic Enrichment Program $26,818 - 0
10.559 Summer Food Service Program for Children $15,511 - 1
84.287 Twenty-First Century Community Learning Centers $11,808 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $6,203 - 0
84.173 Special Education_preschool Grants $5,855 - 0

Contacts

Name Title Type
LFQGH89PQQE6 Kyle Percey Auditee
6075353223 Patrick Jordan Auditor
No contacts on file

Notes to SEFA

Title: Matching Costs Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs administered by the Watkins Glen Central School District (the School District), an entity as defined in Note 1 to the School District's basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards. The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore some amounts presented in this schedule may differ from amounts presented, or used, in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. Matching costs, such as the School District's share of certain program costs, are not included in the reported expenditures.
Title: Non-Monetary Federal Program Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs administered by the Watkins Glen Central School District (the School District), an entity as defined in Note 1 to the School District's basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards. The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore some amounts presented in this schedule may differ from amounts presented, or used, in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. The School District is the recipient of a federal award program that does not result in cash receipts or disbursements termed a “non-monetary program.” During the year ended June 30, 2023, the School District received $44,156 worth of commodities under the National School Lunch Program (ALN #10.555).
Title: Subrecipients Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs administered by the Watkins Glen Central School District (the School District), an entity as defined in Note 1 to the School District's basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards. The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore some amounts presented in this schedule may differ from amounts presented, or used, in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. No amounts were provided to subrecipients.
Title: Other Disclosures Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs administered by the Watkins Glen Central School District (the School District), an entity as defined in Note 1 to the School District's basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards. The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore some amounts presented in this schedule may differ from amounts presented, or used, in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. No insurance is carried specifically to cover equipment purchased with federal funds. Any equipment purchased with federal funds has only a nominal value and is covered by the School District’s casualty insurance policies. There were no loans or loan guarantees outstanding at year end.

Finding Details

Finding 2023-002
2023-002 School Food Account - Net Cash Resources Child Nutrition Cluster Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition:At June 30, 2023, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $572,746. At June 30, 2022, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $504,606. Cause: Revenues exceeded expenditures by $54,223 in the School Lunch Fund for the year ended June 30, 2023. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The amount over the allowable limit of $219,645 in the amount of $572,746 at June 30, 2023, and compares with the amounts over the allowable limit in years ended June 30, 2022 and 2021 of $504,606 and $353,617, respectively. Repeat Finding This Finding is a repeat of Finding 2021-002 and 2022-002 Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Views of Responsible Officials of the Auditee: The School District is committed and will be diligent in preparing meals with high quality products. Regular cooked meals with expanded menu choices will be prepared which will result in an increase in expenses. There has been unpredictability with the increase of certain goods, and we expect this to continue into the 2023-2024 fiscal year as well. The School District also participates in the Community Eligibility Provision (CEP) which provides free breakfast and lunch to every student within the district. Salaries for School Lunch employees have also been increasing year after year due to the increase of minimum wage in New York State. The minimum wage is expected to increase to $15 per hour. The School District does have a practice of transferring BOCES aid gained from the cost of the BOCES management contract to the School Lunch Fund; the aid will not be transferred in upcoming years. The School District has devised a NYSED approved plan to expend the excess funds in the School Lunch Fund through appropriating a substantial amount of fund balance to be planned for and used for the cafeteria and kitchen capital project. If needed, we will examine other avenues to ensure we do not exceed the allowable limit of cash at year end.
Finding 2023-002
2023-002 School Food Account - Net Cash Resources Child Nutrition Cluster Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition:At June 30, 2023, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $572,746. At June 30, 2022, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $504,606. Cause: Revenues exceeded expenditures by $54,223 in the School Lunch Fund for the year ended June 30, 2023. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The amount over the allowable limit of $219,645 in the amount of $572,746 at June 30, 2023, and compares with the amounts over the allowable limit in years ended June 30, 2022 and 2021 of $504,606 and $353,617, respectively. Repeat Finding This Finding is a repeat of Finding 2021-002 and 2022-002 Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Views of Responsible Officials of the Auditee: The School District is committed and will be diligent in preparing meals with high quality products. Regular cooked meals with expanded menu choices will be prepared which will result in an increase in expenses. There has been unpredictability with the increase of certain goods, and we expect this to continue into the 2023-2024 fiscal year as well. The School District also participates in the Community Eligibility Provision (CEP) which provides free breakfast and lunch to every student within the district. Salaries for School Lunch employees have also been increasing year after year due to the increase of minimum wage in New York State. The minimum wage is expected to increase to $15 per hour. The School District does have a practice of transferring BOCES aid gained from the cost of the BOCES management contract to the School Lunch Fund; the aid will not be transferred in upcoming years. The School District has devised a NYSED approved plan to expend the excess funds in the School Lunch Fund through appropriating a substantial amount of fund balance to be planned for and used for the cafeteria and kitchen capital project. If needed, we will examine other avenues to ensure we do not exceed the allowable limit of cash at year end.
Finding 2023-002
2023-002 School Food Account - Net Cash Resources Child Nutrition Cluster Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition:At June 30, 2023, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $572,746. At June 30, 2022, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $504,606. Cause: Revenues exceeded expenditures by $54,223 in the School Lunch Fund for the year ended June 30, 2023. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The amount over the allowable limit of $219,645 in the amount of $572,746 at June 30, 2023, and compares with the amounts over the allowable limit in years ended June 30, 2022 and 2021 of $504,606 and $353,617, respectively. Repeat Finding This Finding is a repeat of Finding 2021-002 and 2022-002 Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Views of Responsible Officials of the Auditee: The School District is committed and will be diligent in preparing meals with high quality products. Regular cooked meals with expanded menu choices will be prepared which will result in an increase in expenses. There has been unpredictability with the increase of certain goods, and we expect this to continue into the 2023-2024 fiscal year as well. The School District also participates in the Community Eligibility Provision (CEP) which provides free breakfast and lunch to every student within the district. Salaries for School Lunch employees have also been increasing year after year due to the increase of minimum wage in New York State. The minimum wage is expected to increase to $15 per hour. The School District does have a practice of transferring BOCES aid gained from the cost of the BOCES management contract to the School Lunch Fund; the aid will not be transferred in upcoming years. The School District has devised a NYSED approved plan to expend the excess funds in the School Lunch Fund through appropriating a substantial amount of fund balance to be planned for and used for the cafeteria and kitchen capital project. If needed, we will examine other avenues to ensure we do not exceed the allowable limit of cash at year end.
Finding 2023-002
2023-002 School Food Account - Net Cash Resources Child Nutrition Cluster Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition:At June 30, 2023, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $572,746. At June 30, 2022, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $504,606. Cause: Revenues exceeded expenditures by $54,223 in the School Lunch Fund for the year ended June 30, 2023. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The amount over the allowable limit of $219,645 in the amount of $572,746 at June 30, 2023, and compares with the amounts over the allowable limit in years ended June 30, 2022 and 2021 of $504,606 and $353,617, respectively. Repeat Finding This Finding is a repeat of Finding 2021-002 and 2022-002 Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Views of Responsible Officials of the Auditee: The School District is committed and will be diligent in preparing meals with high quality products. Regular cooked meals with expanded menu choices will be prepared which will result in an increase in expenses. There has been unpredictability with the increase of certain goods, and we expect this to continue into the 2023-2024 fiscal year as well. The School District also participates in the Community Eligibility Provision (CEP) which provides free breakfast and lunch to every student within the district. Salaries for School Lunch employees have also been increasing year after year due to the increase of minimum wage in New York State. The minimum wage is expected to increase to $15 per hour. The School District does have a practice of transferring BOCES aid gained from the cost of the BOCES management contract to the School Lunch Fund; the aid will not be transferred in upcoming years. The School District has devised a NYSED approved plan to expend the excess funds in the School Lunch Fund through appropriating a substantial amount of fund balance to be planned for and used for the cafeteria and kitchen capital project. If needed, we will examine other avenues to ensure we do not exceed the allowable limit of cash at year end.
Finding 2023-002
2023-002 School Food Account - Net Cash Resources Child Nutrition Cluster Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition:At June 30, 2023, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $572,746. At June 30, 2022, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $504,606. Cause: Revenues exceeded expenditures by $54,223 in the School Lunch Fund for the year ended June 30, 2023. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The amount over the allowable limit of $219,645 in the amount of $572,746 at June 30, 2023, and compares with the amounts over the allowable limit in years ended June 30, 2022 and 2021 of $504,606 and $353,617, respectively. Repeat Finding This Finding is a repeat of Finding 2021-002 and 2022-002 Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Views of Responsible Officials of the Auditee: The School District is committed and will be diligent in preparing meals with high quality products. Regular cooked meals with expanded menu choices will be prepared which will result in an increase in expenses. There has been unpredictability with the increase of certain goods, and we expect this to continue into the 2023-2024 fiscal year as well. The School District also participates in the Community Eligibility Provision (CEP) which provides free breakfast and lunch to every student within the district. Salaries for School Lunch employees have also been increasing year after year due to the increase of minimum wage in New York State. The minimum wage is expected to increase to $15 per hour. The School District does have a practice of transferring BOCES aid gained from the cost of the BOCES management contract to the School Lunch Fund; the aid will not be transferred in upcoming years. The School District has devised a NYSED approved plan to expend the excess funds in the School Lunch Fund through appropriating a substantial amount of fund balance to be planned for and used for the cafeteria and kitchen capital project. If needed, we will examine other avenues to ensure we do not exceed the allowable limit of cash at year end.
Finding 2023-002
2023-002 School Food Account - Net Cash Resources Child Nutrition Cluster Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition:At June 30, 2023, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $572,746. At June 30, 2022, net cash resources in the School Lunch Fund exceeded the allowable limit of cash by $504,606. Cause: Revenues exceeded expenditures by $54,223 in the School Lunch Fund for the year ended June 30, 2023. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The amount over the allowable limit of $219,645 in the amount of $572,746 at June 30, 2023, and compares with the amounts over the allowable limit in years ended June 30, 2022 and 2021 of $504,606 and $353,617, respectively. Repeat Finding This Finding is a repeat of Finding 2021-002 and 2022-002 Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Views of Responsible Officials of the Auditee: The School District is committed and will be diligent in preparing meals with high quality products. Regular cooked meals with expanded menu choices will be prepared which will result in an increase in expenses. There has been unpredictability with the increase of certain goods, and we expect this to continue into the 2023-2024 fiscal year as well. The School District also participates in the Community Eligibility Provision (CEP) which provides free breakfast and lunch to every student within the district. Salaries for School Lunch employees have also been increasing year after year due to the increase of minimum wage in New York State. The minimum wage is expected to increase to $15 per hour. The School District does have a practice of transferring BOCES aid gained from the cost of the BOCES management contract to the School Lunch Fund; the aid will not be transferred in upcoming years. The School District has devised a NYSED approved plan to expend the excess funds in the School Lunch Fund through appropriating a substantial amount of fund balance to be planned for and used for the cafeteria and kitchen capital project. If needed, we will examine other avenues to ensure we do not exceed the allowable limit of cash at year end.