FAC Explorer

Audit 17499

FY End
2022-06-30
Total Expended
$2.97M
Findings
12
Programs
14
Organization: Marysville Public Schools (MI)
Year: 2022 Accepted: 2022-10-31
Auditor: Uhy LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
12606 2022-001 - - P
12607 2022-001 - - P
12608 2022-001 - - P
12609 2022-001 - - P
12610 2022-001 - - P
12611 2022-001 - - P
589048 2022-001 - - P
589049 2022-001 - - P
589050 2022-001 - - P
589051 2022-001 - - P
589052 2022-001 - - P
589053 2022-001 - - P

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $246,127 - 0
32.009 Emergency Connectivity Fund Program $111,600 - 0
10.553 School Breakfast Program $87,438 - 1
84.367 Improving Teacher Quality State Grants $67,986 - 0
10.555 National School Lunch Program $62,551 - 0
84.027 Special Education_grants to States $51,861 - 0
10.559 Summer Food Service Program for Children $39,563 - 1
84.425 Education Stabilization Fund $23,012 Yes 0
93.778 Medical Assistance Program $20,433 - 0
84.424 Student Support and Academic Enrichment Program $16,513 - 0
10.558 Child and Adult Care Food Program $8,469 - 0
84.173 Special Education_preschool Grants $4,429 - 0
84.365 English Language Acquisition State Grants $1,143 - 0
10.649 Pandemic Ebt Administrative Costs $614 - 0

Contacts

Name Title Type
SE2KWRK3L2H7 Jennifer McKay Auditee
8104556012 Scot Hoskins Auditor
No contacts on file

Notes to SEFA

Title: NOTE 2 - NONCASH ASSISTANCE Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Marysville Public Schools (the District) for the year ended June 30, 2022. Expenditures reported on the Schedule are reported on the same basis of accounting, the modified accrual basis, as the financial statements, although the basis for determining when federal awards are expended 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 (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Revenue has been accrued at June 30, 2022 to match allowable expenditures incurred during the year for each program. Grant funds received in advance that are in excess of incurred costs have been reflected as unearned revenue. All year-end accruals are considered to have met the modified accrual basis of accounting revenue recognition criteria of measurability and availability. USDA commodities have been recognized as revenue and expenditures when received by the District. The District administers a number of federal grants, which are paid under reimbursement arrangements in which the District bills the Michigan Department of Education (MDE) or other pass-through grantors for allowable costs incurred. The programs identified on the Schedule are reported in the General and Special Revenue Funds of the District. Because the Schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the financial position or changes in net position of the District. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The value of the noncash assistance (commodities) received was determined in accordance with the provisions of the Uniform Guidance. The Recipient Entitlement Balance Report is utilized to determine the value of commodities distributed to the District.
Title: NOTE 3 - CASH MANAGEMENT SYSTEM AND GRANT AUDITOR REPORT UTILIZATION Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Marysville Public Schools (the District) for the year ended June 30, 2022. Expenditures reported on the Schedule are reported on the same basis of accounting, the modified accrual basis, as the financial statements, although the basis for determining when federal awards are expended 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 (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Revenue has been accrued at June 30, 2022 to match allowable expenditures incurred during the year for each program. Grant funds received in advance that are in excess of incurred costs have been reflected as unearned revenue. All year-end accruals are considered to have met the modified accrual basis of accounting revenue recognition criteria of measurability and availability. USDA commodities have been recognized as revenue and expenditures when received by the District. The District administers a number of federal grants, which are paid under reimbursement arrangements in which the District bills the Michigan Department of Education (MDE) or other pass-through grantors for allowable costs incurred. The programs identified on the Schedule are reported in the General and Special Revenue Funds of the District. Because the Schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the financial position or changes in net position of the District. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The District utilizes the MDE Nexsys system and Grant Auditor Report (GAR) in preparing the Schedule.
Title: NOTE 4 - RECONCILIATION OF REVENUES WITH EXPENDITURES OF FEDERAL AWARD PROG Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Marysville Public Schools (the District) for the year ended June 30, 2022. Expenditures reported on the Schedule are reported on the same basis of accounting, the modified accrual basis, as the financial statements, although the basis for determining when federal awards are expended 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 (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Revenue has been accrued at June 30, 2022 to match allowable expenditures incurred during the year for each program. Grant funds received in advance that are in excess of incurred costs have been reflected as unearned revenue. All year-end accruals are considered to have met the modified accrual basis of accounting revenue recognition criteria of measurability and availability. USDA commodities have been recognized as revenue and expenditures when received by the District. The District administers a number of federal grants, which are paid under reimbursement arrangements in which the District bills the Michigan Department of Education (MDE) or other pass-through grantors for allowable costs incurred. The programs identified on the Schedule are reported in the General and Special Revenue Funds of the District. Because the Schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the financial position or changes in net position of the District. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The following schedule reconciles revenue from federal sources reported in the financial statements to the expenditures of federal awards reported on the Schedule - See notes to the SEFA for chart/table.

Finding Details

Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.
Finding 2022-001
2022-001: Excess Fund Balance Type: Compliance Assistance Listing Number, Federal Agency, Program Name, Program Title, Pass-Through Grantor, and Pass-Through Name and Grant Number: U.S. Department of Agriculture, Passed through the Michigan Department of Education, Child Nutrition Cluster, 10.553/10.555/10.559 Criteria: 7 CFR 210.19 limits net cash resources to three months? average expenditures Condition: As of June 30, 2022, the District?s fund balance exceeded this limit. Context: The net cash resources calculation resulted in a $225,384 excess fund balance at June 30, 2022. Cause: During fiscal 2022, the District received more federal dollars than anticipated. Effect: The program is not in compliance with federal regulations. Recommendation: The District should adopt a formal spend-down plan to reduce the Food Service Fund fund balance to allowable limits. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.