Audit 17135

FY End
2022-06-30
Total Expended
$1.46M
Findings
8
Programs
14
Organization: Bayfield School District (CO)
Year: 2022 Accepted: 2023-01-19
Auditor: Rubinbrown LLP

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
12990 2022-002 Material Weakness - P
12991 2022-002 Material Weakness - P
12992 2022-002 Material Weakness - P
12993 2022-002 Material Weakness - P
589432 2022-002 Material Weakness - P
589433 2022-002 Material Weakness - P
589434 2022-002 Material Weakness - P
589435 2022-002 Material Weakness - P

Contacts

Name Title Type
SADFAQPC8DM3 John Moore Auditee
9708842496 Matthew Marino Auditor
No contacts on file

Notes to SEFA

Accounting Policies: 1. Basis Of Presentation The accompanying schedule of expenditures of federal awards, which includes the federal grant activity of the District, is presented on the modified accrual basis of accounting. The information in this schedule is 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 (the Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the Districts financial statements for the year ended June 30, 2022. 2. Noncash Activities The District receives food commodities from the U.S. Department of Agriculture for use in its food service program. The commodities are recognized as revenue when received. The commodities are recognized as expenditures when used by the schools. Commodities are valued based on current market value. Expenditures totaling $43,884 were recognized for food commodities used during the year ended June 30, 2022. The majority of the commodities are stored at the individual schools, instead of a central warehouse. As such, the District has determined that the title to the commodities passes to the District upon receipt of the commodities. Since the District has received title to the commodities, the unused commodities are not reflected as deferred revenue. 3.Indirect Costs The District has not elected to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance, Section 414. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Material Weakness, Inaccurate Schedule Of Expenditures Of Federal Awards (The SEFA) Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance) provides guidance related to preparation and reporting of a SEFA. 2 CFR Section 200.100 identifies the required elements of the SEFA and 2 CFR Section 200.510 specifically requires that the SEFA include information on each federal award expended during the year. The District is required to prepare a complete and accurate SEFA and to have a system of internal controls, the design and operation of which allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, errors on a timely basis. Condition: The initial SEFA was inaccurate, which led to errors in reporting federal awards. The District incorrectly reported expenditures within two programs totaling $220,070 that were in excess of actual expenditures. Cause: The District did not have adequate training and oversight in place for accounting staff to ensure its SEFA was prepared in accordance with federal requirements. The District received new sources of federal funding, and the preparer and reviewer were not familiar with federal requirements and the guidance for the SEFA; this resulted in the errors noted above. Effect: As a result of the errors, the SEFA was materially incorrect. Inaccurate identification of federal awards may also result in inaccurate identification of compliance requirements, risk assessments, major program determination, materiality determinations and reporting errors. Questioned Costs: None Context: N/A Identification As A Repeat Finding: N/A Recommendation: The District should strengthen its internal controls by implementing additional training and oversight of personnel to ensure the SEFA accurately reflects federal expenditures for the fiscal year. Views Of Responsible Officials And Planned Corrective Action: The District agrees with the finding and has put together a correction action plan for the finding. See corrective action plan included in this report.
Material Weakness, Inaccurate Schedule Of Expenditures Of Federal Awards (The SEFA) Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance) provides guidance related to preparation and reporting of a SEFA. 2 CFR Section 200.100 identifies the required elements of the SEFA and 2 CFR Section 200.510 specifically requires that the SEFA include information on each federal award expended during the year. The District is required to prepare a complete and accurate SEFA and to have a system of internal controls, the design and operation of which allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, errors on a timely basis. Condition: The initial SEFA was inaccurate, which led to errors in reporting federal awards. The District incorrectly reported expenditures within two programs totaling $220,070 that were in excess of actual expenditures. Cause: The District did not have adequate training and oversight in place for accounting staff to ensure its SEFA was prepared in accordance with federal requirements. The District received new sources of federal funding, and the preparer and reviewer were not familiar with federal requirements and the guidance for the SEFA; this resulted in the errors noted above. Effect: As a result of the errors, the SEFA was materially incorrect. Inaccurate identification of federal awards may also result in inaccurate identification of compliance requirements, risk assessments, major program determination, materiality determinations and reporting errors. Questioned Costs: None Context: N/A Identification As A Repeat Finding: N/A Recommendation: The District should strengthen its internal controls by implementing additional training and oversight of personnel to ensure the SEFA accurately reflects federal expenditures for the fiscal year. Views Of Responsible Officials And Planned Corrective Action: The District agrees with the finding and has put together a correction action plan for the finding. See corrective action plan included in this report.
Material Weakness, Inaccurate Schedule Of Expenditures Of Federal Awards (The SEFA) Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance) provides guidance related to preparation and reporting of a SEFA. 2 CFR Section 200.100 identifies the required elements of the SEFA and 2 CFR Section 200.510 specifically requires that the SEFA include information on each federal award expended during the year. The District is required to prepare a complete and accurate SEFA and to have a system of internal controls, the design and operation of which allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, errors on a timely basis. Condition: The initial SEFA was inaccurate, which led to errors in reporting federal awards. The District incorrectly reported expenditures within two programs totaling $220,070 that were in excess of actual expenditures. Cause: The District did not have adequate training and oversight in place for accounting staff to ensure its SEFA was prepared in accordance with federal requirements. The District received new sources of federal funding, and the preparer and reviewer were not familiar with federal requirements and the guidance for the SEFA; this resulted in the errors noted above. Effect: As a result of the errors, the SEFA was materially incorrect. Inaccurate identification of federal awards may also result in inaccurate identification of compliance requirements, risk assessments, major program determination, materiality determinations and reporting errors. Questioned Costs: None Context: N/A Identification As A Repeat Finding: N/A Recommendation: The District should strengthen its internal controls by implementing additional training and oversight of personnel to ensure the SEFA accurately reflects federal expenditures for the fiscal year. Views Of Responsible Officials And Planned Corrective Action: The District agrees with the finding and has put together a correction action plan for the finding. See corrective action plan included in this report.
Material Weakness, Inaccurate Schedule Of Expenditures Of Federal Awards (The SEFA) Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance) provides guidance related to preparation and reporting of a SEFA. 2 CFR Section 200.100 identifies the required elements of the SEFA and 2 CFR Section 200.510 specifically requires that the SEFA include information on each federal award expended during the year. The District is required to prepare a complete and accurate SEFA and to have a system of internal controls, the design and operation of which allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, errors on a timely basis. Condition: The initial SEFA was inaccurate, which led to errors in reporting federal awards. The District incorrectly reported expenditures within two programs totaling $220,070 that were in excess of actual expenditures. Cause: The District did not have adequate training and oversight in place for accounting staff to ensure its SEFA was prepared in accordance with federal requirements. The District received new sources of federal funding, and the preparer and reviewer were not familiar with federal requirements and the guidance for the SEFA; this resulted in the errors noted above. Effect: As a result of the errors, the SEFA was materially incorrect. Inaccurate identification of federal awards may also result in inaccurate identification of compliance requirements, risk assessments, major program determination, materiality determinations and reporting errors. Questioned Costs: None Context: N/A Identification As A Repeat Finding: N/A Recommendation: The District should strengthen its internal controls by implementing additional training and oversight of personnel to ensure the SEFA accurately reflects federal expenditures for the fiscal year. Views Of Responsible Officials And Planned Corrective Action: The District agrees with the finding and has put together a correction action plan for the finding. See corrective action plan included in this report.
Material Weakness, Inaccurate Schedule Of Expenditures Of Federal Awards (The SEFA) Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance) provides guidance related to preparation and reporting of a SEFA. 2 CFR Section 200.100 identifies the required elements of the SEFA and 2 CFR Section 200.510 specifically requires that the SEFA include information on each federal award expended during the year. The District is required to prepare a complete and accurate SEFA and to have a system of internal controls, the design and operation of which allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, errors on a timely basis. Condition: The initial SEFA was inaccurate, which led to errors in reporting federal awards. The District incorrectly reported expenditures within two programs totaling $220,070 that were in excess of actual expenditures. Cause: The District did not have adequate training and oversight in place for accounting staff to ensure its SEFA was prepared in accordance with federal requirements. The District received new sources of federal funding, and the preparer and reviewer were not familiar with federal requirements and the guidance for the SEFA; this resulted in the errors noted above. Effect: As a result of the errors, the SEFA was materially incorrect. Inaccurate identification of federal awards may also result in inaccurate identification of compliance requirements, risk assessments, major program determination, materiality determinations and reporting errors. Questioned Costs: None Context: N/A Identification As A Repeat Finding: N/A Recommendation: The District should strengthen its internal controls by implementing additional training and oversight of personnel to ensure the SEFA accurately reflects federal expenditures for the fiscal year. Views Of Responsible Officials And Planned Corrective Action: The District agrees with the finding and has put together a correction action plan for the finding. See corrective action plan included in this report.
Material Weakness, Inaccurate Schedule Of Expenditures Of Federal Awards (The SEFA) Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance) provides guidance related to preparation and reporting of a SEFA. 2 CFR Section 200.100 identifies the required elements of the SEFA and 2 CFR Section 200.510 specifically requires that the SEFA include information on each federal award expended during the year. The District is required to prepare a complete and accurate SEFA and to have a system of internal controls, the design and operation of which allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, errors on a timely basis. Condition: The initial SEFA was inaccurate, which led to errors in reporting federal awards. The District incorrectly reported expenditures within two programs totaling $220,070 that were in excess of actual expenditures. Cause: The District did not have adequate training and oversight in place for accounting staff to ensure its SEFA was prepared in accordance with federal requirements. The District received new sources of federal funding, and the preparer and reviewer were not familiar with federal requirements and the guidance for the SEFA; this resulted in the errors noted above. Effect: As a result of the errors, the SEFA was materially incorrect. Inaccurate identification of federal awards may also result in inaccurate identification of compliance requirements, risk assessments, major program determination, materiality determinations and reporting errors. Questioned Costs: None Context: N/A Identification As A Repeat Finding: N/A Recommendation: The District should strengthen its internal controls by implementing additional training and oversight of personnel to ensure the SEFA accurately reflects federal expenditures for the fiscal year. Views Of Responsible Officials And Planned Corrective Action: The District agrees with the finding and has put together a correction action plan for the finding. See corrective action plan included in this report.
Material Weakness, Inaccurate Schedule Of Expenditures Of Federal Awards (The SEFA) Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance) provides guidance related to preparation and reporting of a SEFA. 2 CFR Section 200.100 identifies the required elements of the SEFA and 2 CFR Section 200.510 specifically requires that the SEFA include information on each federal award expended during the year. The District is required to prepare a complete and accurate SEFA and to have a system of internal controls, the design and operation of which allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, errors on a timely basis. Condition: The initial SEFA was inaccurate, which led to errors in reporting federal awards. The District incorrectly reported expenditures within two programs totaling $220,070 that were in excess of actual expenditures. Cause: The District did not have adequate training and oversight in place for accounting staff to ensure its SEFA was prepared in accordance with federal requirements. The District received new sources of federal funding, and the preparer and reviewer were not familiar with federal requirements and the guidance for the SEFA; this resulted in the errors noted above. Effect: As a result of the errors, the SEFA was materially incorrect. Inaccurate identification of federal awards may also result in inaccurate identification of compliance requirements, risk assessments, major program determination, materiality determinations and reporting errors. Questioned Costs: None Context: N/A Identification As A Repeat Finding: N/A Recommendation: The District should strengthen its internal controls by implementing additional training and oversight of personnel to ensure the SEFA accurately reflects federal expenditures for the fiscal year. Views Of Responsible Officials And Planned Corrective Action: The District agrees with the finding and has put together a correction action plan for the finding. See corrective action plan included in this report.
Material Weakness, Inaccurate Schedule Of Expenditures Of Federal Awards (The SEFA) Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance) provides guidance related to preparation and reporting of a SEFA. 2 CFR Section 200.100 identifies the required elements of the SEFA and 2 CFR Section 200.510 specifically requires that the SEFA include information on each federal award expended during the year. The District is required to prepare a complete and accurate SEFA and to have a system of internal controls, the design and operation of which allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, errors on a timely basis. Condition: The initial SEFA was inaccurate, which led to errors in reporting federal awards. The District incorrectly reported expenditures within two programs totaling $220,070 that were in excess of actual expenditures. Cause: The District did not have adequate training and oversight in place for accounting staff to ensure its SEFA was prepared in accordance with federal requirements. The District received new sources of federal funding, and the preparer and reviewer were not familiar with federal requirements and the guidance for the SEFA; this resulted in the errors noted above. Effect: As a result of the errors, the SEFA was materially incorrect. Inaccurate identification of federal awards may also result in inaccurate identification of compliance requirements, risk assessments, major program determination, materiality determinations and reporting errors. Questioned Costs: None Context: N/A Identification As A Repeat Finding: N/A Recommendation: The District should strengthen its internal controls by implementing additional training and oversight of personnel to ensure the SEFA accurately reflects federal expenditures for the fiscal year. Views Of Responsible Officials And Planned Corrective Action: The District agrees with the finding and has put together a correction action plan for the finding. See corrective action plan included in this report.