FAC Explorer

Audit 1639

FY End
2023-06-30
Total Expended
$9.40M
Findings
10
Programs
16
Organization: Westwood Community School District (MI)
Year: 2023 Accepted: 2023-10-27
Auditor: Alan C Young & Associates PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
858 2023-003 Significant Deficiency - G
859 2023-004 Material Weakness - C
860 2023-004 Material Weakness - C
861 2023-004 Material Weakness - C
862 2023-005 - Yes B
577300 2023-003 Significant Deficiency - G
577301 2023-004 Material Weakness - C
577302 2023-004 Material Weakness - C
577303 2023-004 Material Weakness - C
577304 2023-005 - Yes B

Programs

ALN Program Spent Major Findings
84.425 Education Stabilization Fund $5.32M Yes 1
84.010 Title I Grants to Local Educational Agencies $1.86M Yes 2
10.555 National School Lunch Program $551,389 - 0
84.027 Special Education_grants to States $530,376 Yes 0
10.553 School Breakfast Program $297,515 - 0
84.367 Improving Teacher Quality State Grants $173,552 - 1
84.424 Student Support and Academic Enrichment Program $136,248 - 1
10.582 Fresh Fruit and Vegetable Program $48,295 - 0
84.048 Career and Technical Education -- Basic Grants to States $47,948 - 0
12.002 Procurement Technical Assistance for Business Firms $33,823 - 0
10.559 Summer Food Service Program for Children $17,064 - 0
84.173 Special Education_preschool Grants $16,167 Yes 0
84.365 English Language Acquisition State Grants $10,456 - 0
93.778 Medical Assistance Program $7,265 - 0
10.185 Local Food for Schools Cooperative Agreement Program $6,148 - 0
10.649 Pandemic Ebt Administrative Costs $3,135 - 0

Contacts

Name Title Type
LW81PP36JFH6 Jennie Jiang Auditee
3135651554 Rajeev Shah Auditor
No contacts on file

Notes to SEFA

Title: GRANT AUDITOR REPORT Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Westwood Community School District (the School District). The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations (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 the operations of the School District and therefore it is not intended to and does not present the financial position or changes in net assets of the School District for year ended June 30, 2023. Expenditures reported on the schedule are reported on the accrual basis of accounting. In addition, expenditures reported on the schedule are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The School District used the MDE approved indirect cost rate. Management has utilized the Cash Management System (CMS) Grant Auditor Report in preparing the Schedule of Expenditures of Federal Awards. Unreconciled differences, if any, have been disclosed to the auditor.
Title: NONCASH ASSISTANCE Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Westwood Community School District (the School District). The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations (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 the operations of the School District and therefore it is not intended to and does not present the financial position or changes in net assets of the School District for year ended June 30, 2023. Expenditures reported on the schedule are reported on the accrual basis of accounting. In addition, expenditures reported on the schedule are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The School District used the MDE approved indirect cost rate. The value of the noncash assistance received was determined in accordance with the provisions of the Uniform Guidance. Commodities – Inventory values are based on USDA value for donated food commodities. Reported commodity values were computed using the recipient entitlement balance report and other records.
Title: MAJOR PROGRAMS Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Westwood Community School District (the School District). The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations (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 the operations of the School District and therefore it is not intended to and does not present the financial position or changes in net assets of the School District for year ended June 30, 2023. Expenditures reported on the schedule are reported on the accrual basis of accounting. In addition, expenditures reported on the schedule are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The School District used the MDE approved indirect cost rate. Major programs are designated on the Schedule of Expenditures of Federal Awards with an asterisk (*).
Title: SUBSEQUENT EVENTS Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Westwood Community School District (the School District). The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations (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 the operations of the School District and therefore it is not intended to and does not present the financial position or changes in net assets of the School District for year ended June 30, 2023. Expenditures reported on the schedule are reported on the accrual basis of accounting. In addition, expenditures reported on the schedule are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The School District used the MDE approved indirect cost rate. All subsequent events related to the major programs were evaluated through October 26, 2023, the date the accompanying reports were available to be issued. No significant event was noted that required adjustment or disclosure in the report.

Finding Details

Finding 2023-003
Criteria – A district must provide opportunities for consultation with parents and teachers of eligible pupils, including those from private schools, in the design, implementation, and evaluation of the Title I project. LEAs with allocations of more than $500,000 must reserve at least 1% for parental involvement activities. The School District must distribute not less than 95% of the amount reserved for parent involvement to schools receiving Title I services. Parents of participating children must be involved in discussions on the use of these funds. Condition – During our review, it was noted that the School District did allocate over 1% of their allocation for parental activities; however, the School District did not distribute 95% of that amount. Questioned Costs – None Cause/Effect – The School District was not in compliance with the distribution of the required amount for parental involvement.
Finding 2023-004
Criteria – As per the Michigan Department of Education, payments for expenditures related to the programs are on a reimbursement basis only. Condition – During our review of cash drawdowns performed during the year, it was noted that the current year grant expenses which were adjusted against the excess drawdowns from the previous year was not considered in reconciliation of grant expenses and drawdowns, resulting in funds being requested in excess of the program expenses. Questioned Costs – Unknown Cause/Effect – Due to staffing constraints during the year, drawdowns were not reconciled in a timely manner. As a result the School District was not in compliance with the cash management requirements as specified by the Michigan Department of Education.
Finding 2023-004
Criteria – As per the Michigan Department of Education, payments for expenditures related to the programs are on a reimbursement basis only. Condition – During our review of cash drawdowns performed during the year, it was noted that the current year grant expenses which were adjusted against the excess drawdowns from the previous year was not considered in reconciliation of grant expenses and drawdowns, resulting in funds being requested in excess of the program expenses. Questioned Costs – Unknown Cause/Effect – Due to staffing constraints during the year, drawdowns were not reconciled in a timely manner. As a result the School District was not in compliance with the cash management requirements as specified by the Michigan Department of Education.
Finding 2023-004
Criteria – As per the Michigan Department of Education, payments for expenditures related to the programs are on a reimbursement basis only. Condition – During our review of cash drawdowns performed during the year, it was noted that the current year grant expenses which were adjusted against the excess drawdowns from the previous year was not considered in reconciliation of grant expenses and drawdowns, resulting in funds being requested in excess of the program expenses. Questioned Costs – Unknown Cause/Effect – Due to staffing constraints during the year, drawdowns were not reconciled in a timely manner. As a result the School District was not in compliance with the cash management requirements as specified by the Michigan Department of Education.
Finding 2023-005
Criteria – Federal funds must be used only for activities allowed in accordance with the Uniform Guidance, Michigan Department of Education compliance requirements, and must be consistent with the approved budget. Condition – During our review of budget and grant expenses, it was noted that indirect costs charged to the grant were in excess of the approved budget. Questioned Costs – Unknown Cause/Effect – The School District claimed reimbursement for expenditures which were not consistent with the approved budget.
Finding 2023-003
Criteria – A district must provide opportunities for consultation with parents and teachers of eligible pupils, including those from private schools, in the design, implementation, and evaluation of the Title I project. LEAs with allocations of more than $500,000 must reserve at least 1% for parental involvement activities. The School District must distribute not less than 95% of the amount reserved for parent involvement to schools receiving Title I services. Parents of participating children must be involved in discussions on the use of these funds. Condition – During our review, it was noted that the School District did allocate over 1% of their allocation for parental activities; however, the School District did not distribute 95% of that amount. Questioned Costs – None Cause/Effect – The School District was not in compliance with the distribution of the required amount for parental involvement.
Finding 2023-004
Criteria – As per the Michigan Department of Education, payments for expenditures related to the programs are on a reimbursement basis only. Condition – During our review of cash drawdowns performed during the year, it was noted that the current year grant expenses which were adjusted against the excess drawdowns from the previous year was not considered in reconciliation of grant expenses and drawdowns, resulting in funds being requested in excess of the program expenses. Questioned Costs – Unknown Cause/Effect – Due to staffing constraints during the year, drawdowns were not reconciled in a timely manner. As a result the School District was not in compliance with the cash management requirements as specified by the Michigan Department of Education.
Finding 2023-004
Criteria – As per the Michigan Department of Education, payments for expenditures related to the programs are on a reimbursement basis only. Condition – During our review of cash drawdowns performed during the year, it was noted that the current year grant expenses which were adjusted against the excess drawdowns from the previous year was not considered in reconciliation of grant expenses and drawdowns, resulting in funds being requested in excess of the program expenses. Questioned Costs – Unknown Cause/Effect – Due to staffing constraints during the year, drawdowns were not reconciled in a timely manner. As a result the School District was not in compliance with the cash management requirements as specified by the Michigan Department of Education.
Finding 2023-004
Criteria – As per the Michigan Department of Education, payments for expenditures related to the programs are on a reimbursement basis only. Condition – During our review of cash drawdowns performed during the year, it was noted that the current year grant expenses which were adjusted against the excess drawdowns from the previous year was not considered in reconciliation of grant expenses and drawdowns, resulting in funds being requested in excess of the program expenses. Questioned Costs – Unknown Cause/Effect – Due to staffing constraints during the year, drawdowns were not reconciled in a timely manner. As a result the School District was not in compliance with the cash management requirements as specified by the Michigan Department of Education.
Finding 2023-005
Criteria – Federal funds must be used only for activities allowed in accordance with the Uniform Guidance, Michigan Department of Education compliance requirements, and must be consistent with the approved budget. Condition – During our review of budget and grant expenses, it was noted that indirect costs charged to the grant were in excess of the approved budget. Questioned Costs – Unknown Cause/Effect – The School District claimed reimbursement for expenditures which were not consistent with the approved budget.