FAC Explorer

Audit 22800

FY End
2022-06-30
Total Expended
$4.70M
Findings
2
Programs
10
Organization: Show Low Unified School District No. 10 (AZ)
Year: 2022 Accepted: 2023-03-28
Auditor: Heinfeld Meech & CO PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
22748 2022-001 Significant Deficiency - AB
599190 2022-001 Significant Deficiency - AB

Programs

ALN Program Spent Major Findings
84.425 Covid-19 - Education Stabilization Fund $1.80M Yes 0
84.010 Title I Grants to Local Educational Agencies $1.17M - 0
10.559 Summer Food Service Program for Children $845,604 Yes 1
84.027 Special Education_grants to States $444,975 - 0
84.048 Career and Technical Education -- Basic Grants to States $98,046 - 0
84.367 Supporting Effective Instruction State Grants $90,836 - 0
84.424 Student Support and Academic Enrichment Program $60,893 - 0
84.173 Special Education_preschool Grants $13,028 - 0
10.665 Schools and Roads - Grants to States $12,316 - 0
84.365 English Language Acquisition State Grants $8,215 - 0

Contacts

Name Title Type
L9JFKZSDG1G7 Venessa Beecroft Auditee
9285376011 Eric S. Taylor, Cpa, Cgfm Auditor
No contacts on file

Notes to SEFA

Title: Assistance Listing Numbers Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (Schedule) includes the federal grant activity of Show Low Unified School District No. 10 under programs of the federal government for the year ended June 30, 2022. The information in the 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 (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 the financial position, changes in net position or cash flows of the District. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Any negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The program titles and Assistance Listing numbers were obtained from the federal or pass-through grantor or through sam.gov. If the three-digit Assistance Listing extension is unknown, there is a U followed by a two-digit number in the Assistance Listing extension to identify one or more Federal award lines from that program. The first Federal program with an unknown three-digit extension is indicated with U01 for all award lines associated with that program, the second is U02, etc.

Finding Details

Finding 2022-001
FINDINGS AND QUESTIONED COSTS RELATED TO FEDERAL AWARDS Finding Number: 2022-001 Repeat Finding: No Program Name/Assistance Listing Title: Child Nutrition Cluster Assistance Listing Number: 10.559 Federal Agency: U.S. Department of Agriculture Federal Award Number: 7AZ300AZ3 Pass-Through Agency: Arizona Department of Education Questioned Costs: $19,881 Type of Finding: Significant Deficiency Compliance Requirement: Activities Allowed or Unallowed: Allowable Costs/Cost Principles CRITERIA Management is responsible for establishing and maintaining internal controls over payroll. In addition, management is responsible for maintaining documentation to support all salary and wage payments to employees. Further, 2 CFR Part 200.430(i) requires that salaries and wages must be based on records such as pay agreements. CONDITION The District lacked proper internal controls over payroll. CAUSE The District did not establish adequate controls over the retention of employee pay agreements. EFFECT The District?s did not have documentation to support the rate of pay for three employees. CONTEXT The District was not able to provide a pay agreement to support the rate of pay for three of 50 employees reviewed. The sample was not intended to be, and was not, a statistically valid sample. RECOMMENDATION The District should enhance its internal control procedures over payroll to ensure that all pay agreements related to payroll are retained. VIEWS OF RESPONSIBLE OFFICIALS See Corrective Action Plan.
Finding 2022-001
FINDINGS AND QUESTIONED COSTS RELATED TO FEDERAL AWARDS Finding Number: 2022-001 Repeat Finding: No Program Name/Assistance Listing Title: Child Nutrition Cluster Assistance Listing Number: 10.559 Federal Agency: U.S. Department of Agriculture Federal Award Number: 7AZ300AZ3 Pass-Through Agency: Arizona Department of Education Questioned Costs: $19,881 Type of Finding: Significant Deficiency Compliance Requirement: Activities Allowed or Unallowed: Allowable Costs/Cost Principles CRITERIA Management is responsible for establishing and maintaining internal controls over payroll. In addition, management is responsible for maintaining documentation to support all salary and wage payments to employees. Further, 2 CFR Part 200.430(i) requires that salaries and wages must be based on records such as pay agreements. CONDITION The District lacked proper internal controls over payroll. CAUSE The District did not establish adequate controls over the retention of employee pay agreements. EFFECT The District?s did not have documentation to support the rate of pay for three employees. CONTEXT The District was not able to provide a pay agreement to support the rate of pay for three of 50 employees reviewed. The sample was not intended to be, and was not, a statistically valid sample. RECOMMENDATION The District should enhance its internal control procedures over payroll to ensure that all pay agreements related to payroll are retained. VIEWS OF RESPONSIBLE OFFICIALS See Corrective Action Plan.