FAC Explorer

Audit 1663

FY End
2023-06-30
Total Expended
$773,008
Findings
10
Programs
10
Organization: Ashley Community Schools (MI)
Year: 2023 Accepted: 2023-10-30
Auditor: Roslund Prestage & Company PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
898 2023-001 Significant Deficiency - A
899 2023-001 Significant Deficiency - A
900 2023-001 Significant Deficiency - A
901 2023-001 Significant Deficiency - A
902 2023-001 Significant Deficiency - A
577340 2023-001 Significant Deficiency - A
577341 2023-001 Significant Deficiency - A
577342 2023-001 Significant Deficiency - A
577343 2023-001 Significant Deficiency - A
577344 2023-001 Significant Deficiency - A

Programs

ALN Program Spent Major Findings
84.425 Education Stabilization Fund $268,707 Yes 1
10.553 School Breakfast Program $79,414 - 0
84.010 Title I Grants to Local Educational Agencies $67,180 - 0
32.009 Emergency Connectivity Fund Program $53,874 - 0
84.367 Improving Teacher Quality State Grants $21,501 - 0
10.559 Summer Food Service Program for Children $16,535 - 0
84.424 Student Support and Academic Enrichment Program $14,600 - 0
10.555 National School Lunch Program $1,359 - 0
10.185 Local Food for Schools Cooperative Agreement Program $1,305 - 0
10.649 Pandemic Ebt Administrative Costs $628 - 0

Contacts

Name Title Type
ZUKQB2UUXKQ5 Amber Hinterman Auditee
9898755688 Christina Schaub Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. The District has elected to not use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity of Ashley Community School District (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 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 District, it is not intended to and does not present its financial position or changes in net position of the District. Management has utilized the Nexsys cash management system and the Grant Auditor Report in preparing the Schedule of Expenditures of Federal Awards.
Title: RECONCILIATION WITH AUDITED FINANCIAL STATEMENTS Accounting Policies: Expenditures reported on the schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. The District has elected to not use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A Federal expenditures are reported as revenues in the following funds in the financial statements of the District: Fund Amount General Fund 557,158 Food Service Fund 255,550 Total federal revenues per financial statements 812,708Less: Federal revenues not subject to single audit act (39,700) Federal revenues subject to single audit act 773,008

Finding Details

Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.
Finding 2023-001
Finding 2023-001 – ALLOWABLE COSTS/COST PRINCIPLES – PAYROLL DOCUMENTATION Type: Significant Deficiency in Internal Control / Noncompliance Program: Education Stabilization Fund (ALN 84.425) – COVID 19 - all project numbers Condition: The District was unable to provide a semi-annual time certification, or equivalent documentation, for 8 of the 8 payroll transactions tested. Criteria: 2 CFR 200.430(i)(1)(viii) states that entities must, “Support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities which are allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.” Cause: Management oversight. Effect: As a result of this condition, the District does not have required payroll support for transactions tested which were charged to the grant. Questioned Costs: The total charges included in our sample that were not supported by allowable documentation amounted to $59,925. Recommendation: We recommend that the District review their policies and procedures regarding the documentation requirements of the grant and make the necessary changes, if needed, to assure that semi-annual time certifications (or equivalent documentation) are obtained. Management’s Resp: We are in agreement with this finding.