FAC Explorer

Audit 21372

FY End
2022-06-30
Total Expended
$1.67M
Findings
4
Programs
11
Organization: Lake Erie Preparatory School (OH)
Year: 2022 Accepted: 2023-01-03
Auditor: Rea & Associates INC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
15797 2022-001 Significant Deficiency - N
15798 2022-001 Significant Deficiency - N
592239 2022-001 Significant Deficiency - N
592240 2022-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.425 Covid-19 Education Stabilization Fund $704,186 Yes 1
84.010 Title I $287,703 - 0
84.425 Covid-19 Arp Education Stabilization Fund $265,312 Yes 1
10.555 National School Lunch Program $114,503 - 0
84.027 Idea Part B $90,050 - 0
32.009 Covid-19 Emergency Connectivity Fund $89,400 - 0
10.553 School Breakfast Program $65,355 - 0
84.010 Title I Supplemental School Improvement $20,025 - 0
84.367 Title II-A Improving Teacher Quality $14,635 - 0
84.424 Title IV-A Student Support and Academic Enrichment Program $12,222 - 0
10.555 Covid-19 National School Lunch Program $8,555 - 0

Contacts

Name Title Type
YPNAMYWJ5SF4 Dave Massa Auditee
3305150572 Morgan Helmick Auditor
No contacts on file

Notes to SEFA

Title: NOTE A - BASIS OF PRESENTATION Accounting Policies: NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The School has elected not to use the 10-percent de minimus indirect cost rate as allowed under the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of Lake Erie Preparatory School, Cuyahoga County, Ohio (the School) under programs of the federal government for the year ended June 30, 2022. The information on this Schedule is prepared 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). Because the Schedule presents only a selected portion of the operations of the School, it is not intended to and does not present the financial position, changes in net position, or cash flows of the School.
Title: NOTE C - CHILD NUTRITION CLUSTER Accounting Policies: NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The School has elected not to use the 10-percent de minimus indirect cost rate as allowed under the Uniform Guidance. The School commingles cash receipts from the U.S. Department of Agriculture with similar State Grants. When reporting expenditures on this Schedule, the School assumes it expends federal monies first.
Title: NOTE D - TRANSFERS Accounting Policies: NOTE B - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The School has elected not to use the 10-percent de minimus indirect cost rate as allowed under the Uniform Guidance. The School generally must spend Federal assistance within 15 months of receipt. However, with Ohio Department of Education (ODE) approval, an School can transfer (carryover) unspent Federal assistance to the succeeding year, thus allowing the School a total of 27 months to spend the assistance. During fiscal year 2022, the ODE authorized the following transfers:AL Number / Grant TitleGrant YearTransfer OutTransfer In84.010A Title I2021 $9,365 84.010A Title I2022 $9,365 84.027A IDEA Part B2021 1,414 84.027A IDEA Part B2022 1,414 84.424A Title IV-A Student Support and Academic Enrichment2021 4,250 84.424A Title IV-A Student Support and Academic Enrichment2022 4,250 $15,029 $15,029

Finding Details

Finding 2022-001
Finding Number: 2022-001 Federal Program: Education Stabilization Fund ? ESSER II ? COVID-19 & American Rescue Plan ? Education Stabilization Fund ? ESSER ? COVID-19 Federal Award Identification Number and Year: N/A Assistance Listing Number (ALN): 84.425D & 84.425U Federal Awarding Agency: U.S. Department of Education Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Pass-through Entity: Ohio Department of Education Repeat Finding: No Significant Deficiency and Noncompliance ? Wage Rate Requirements Criteria: All prime construction contracts in excess of $2,000 awarded by non-Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, ?Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction?). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. (2 CFR 200 Appendix II (d)). Condition: There was no documentation to support compliance with wage rate requirements or documentation showing that the School required contractors to comply with prevailing wage requirements for any of the construction work. Total costs for various building improvements, renovations & repairs were $101,005 during fiscal year 2022. Questioned Costs: None. Identification of How Questioned Costs Were Computed: N/A Context: The School provided assurances to the Ohio Department of Education's Comprehensive Continuous Improvement Plan (CCIP) that it would comply with wage rate requirements when it communicated its plan to use federal ESSER funds for improvements to its building. Cause and Effect: The School did not comply with the special test of wage rate requirements on the various renovation, repair and improvement projects to its building that were funded with federal grants. Recommendation: The School should implement processes to review federal grant compliance requirements and implement procedures to help ensure the School complies with applicable requirements. Views of Responsible Officials and Corrective Action Plan: See Corrective Action Plan.
Finding 2022-001
Finding Number: 2022-001 Federal Program: Education Stabilization Fund ? ESSER II ? COVID-19 & American Rescue Plan ? Education Stabilization Fund ? ESSER ? COVID-19 Federal Award Identification Number and Year: N/A Assistance Listing Number (ALN): 84.425D & 84.425U Federal Awarding Agency: U.S. Department of Education Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Pass-through Entity: Ohio Department of Education Repeat Finding: No Significant Deficiency and Noncompliance ? Wage Rate Requirements Criteria: All prime construction contracts in excess of $2,000 awarded by non-Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, ?Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction?). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. (2 CFR 200 Appendix II (d)). Condition: There was no documentation to support compliance with wage rate requirements or documentation showing that the School required contractors to comply with prevailing wage requirements for any of the construction work. Total costs for various building improvements, renovations & repairs were $101,005 during fiscal year 2022. Questioned Costs: None. Identification of How Questioned Costs Were Computed: N/A Context: The School provided assurances to the Ohio Department of Education's Comprehensive Continuous Improvement Plan (CCIP) that it would comply with wage rate requirements when it communicated its plan to use federal ESSER funds for improvements to its building. Cause and Effect: The School did not comply with the special test of wage rate requirements on the various renovation, repair and improvement projects to its building that were funded with federal grants. Recommendation: The School should implement processes to review federal grant compliance requirements and implement procedures to help ensure the School complies with applicable requirements. Views of Responsible Officials and Corrective Action Plan: See Corrective Action Plan.
Finding 2022-001
Finding Number: 2022-001 Federal Program: Education Stabilization Fund ? ESSER II ? COVID-19 & American Rescue Plan ? Education Stabilization Fund ? ESSER ? COVID-19 Federal Award Identification Number and Year: N/A Assistance Listing Number (ALN): 84.425D & 84.425U Federal Awarding Agency: U.S. Department of Education Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Pass-through Entity: Ohio Department of Education Repeat Finding: No Significant Deficiency and Noncompliance ? Wage Rate Requirements Criteria: All prime construction contracts in excess of $2,000 awarded by non-Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, ?Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction?). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. (2 CFR 200 Appendix II (d)). Condition: There was no documentation to support compliance with wage rate requirements or documentation showing that the School required contractors to comply with prevailing wage requirements for any of the construction work. Total costs for various building improvements, renovations & repairs were $101,005 during fiscal year 2022. Questioned Costs: None. Identification of How Questioned Costs Were Computed: N/A Context: The School provided assurances to the Ohio Department of Education's Comprehensive Continuous Improvement Plan (CCIP) that it would comply with wage rate requirements when it communicated its plan to use federal ESSER funds for improvements to its building. Cause and Effect: The School did not comply with the special test of wage rate requirements on the various renovation, repair and improvement projects to its building that were funded with federal grants. Recommendation: The School should implement processes to review federal grant compliance requirements and implement procedures to help ensure the School complies with applicable requirements. Views of Responsible Officials and Corrective Action Plan: See Corrective Action Plan.
Finding 2022-001
Finding Number: 2022-001 Federal Program: Education Stabilization Fund ? ESSER II ? COVID-19 & American Rescue Plan ? Education Stabilization Fund ? ESSER ? COVID-19 Federal Award Identification Number and Year: N/A Assistance Listing Number (ALN): 84.425D & 84.425U Federal Awarding Agency: U.S. Department of Education Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Pass-through Entity: Ohio Department of Education Repeat Finding: No Significant Deficiency and Noncompliance ? Wage Rate Requirements Criteria: All prime construction contracts in excess of $2,000 awarded by non-Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, ?Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction?). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. (2 CFR 200 Appendix II (d)). Condition: There was no documentation to support compliance with wage rate requirements or documentation showing that the School required contractors to comply with prevailing wage requirements for any of the construction work. Total costs for various building improvements, renovations & repairs were $101,005 during fiscal year 2022. Questioned Costs: None. Identification of How Questioned Costs Were Computed: N/A Context: The School provided assurances to the Ohio Department of Education's Comprehensive Continuous Improvement Plan (CCIP) that it would comply with wage rate requirements when it communicated its plan to use federal ESSER funds for improvements to its building. Cause and Effect: The School did not comply with the special test of wage rate requirements on the various renovation, repair and improvement projects to its building that were funded with federal grants. Recommendation: The School should implement processes to review federal grant compliance requirements and implement procedures to help ensure the School complies with applicable requirements. Views of Responsible Officials and Corrective Action Plan: See Corrective Action Plan.