Audit 25556

FY End
2022-06-30
Total Expended
$6.41M
Findings
8
Programs
14
Organization: Niles City School District (OH)
Year: 2022 Accepted: 2023-06-14

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
36348 2022-001 Material Weakness - F
36349 2022-002 Significant Deficiency - N
36350 2022-001 Material Weakness - F
36351 2022-002 Significant Deficiency - N
612790 2022-001 Material Weakness - F
612791 2022-002 Significant Deficiency - N
612792 2022-001 Material Weakness - F
612793 2022-002 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $1.11M - 0
32.009 Emergency Connectivity Fund Program $319,502 Yes 0
10.553 School Breakfast Program $288,923 - 0
84.425 Education Stabilization Fund $113,428 Yes 2
10.555 National School Lunch Program $87,186 - 0
84.027 Special Education_grants to States $76,244 - 0
84.424 Student Support and Academic Enrichment Program $73,600 - 0
10.582 Fresh Fruit and Vegetable Program $65,494 - 0
84.367 Improving Teacher Quality State Grants $57,872 - 0
84.371 Striving Readers $54,049 - 0
21.019 Coronavirus Relief Fund $8,553 - 0
84.173 Special Education_preschool Grants $6,673 - 0
10.649 Pandemic Ebt Administrative Costs $3,063 - 0
84.323 Special Education - State Personnel Development $922 - 0

Contacts

Name Title Type
GB5LGBJM6QB3 Rhonda Amorganos Auditee
3309895095 Erik Holesko Auditor
No contacts on file

Notes to SEFA

Title: basis of accounting Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in 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 auditee did not use the de minimis cost rate. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of Niles City School District (the Districts) 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 District, it is not intended to and does not present the financial position, changes in net position, or cash flows of the District.
Title: child nutrition cluster Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in 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 auditee did not use the de minimis cost rate. The District commingles cash receipts from the U.S. Department of Agriculture with similar State grants. When reporting expenditures on this Schedule, the District assumes it expends federal monies first.
Title: food donation program Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in 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 auditee did not use the de minimis cost rate. The District reports commodities consumed on the Schedule at the entitlement value. The District allocated donated food commodities to the respective program that benefitted from the use of those donated food commodities.
Title: Transfers between Program Years Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in 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 auditee did not use the de minimis cost rate. Federal regulations require schools to obligate certain federal awards by June 30. However, with ODEs consent, schools can transfer unobligated amounts to the subsequent fiscal years program. The District transferred the following amounts from 2022 to 2023 programs: Program TitleAL NumberAmount TransferredTitle I Grants to Local Educational Agencies84.010$44Special Education Grants to States (IDEA, Part B)84.027A$154,759COVID-19 American Rescue Plan Act Special Education Grants to States (IDEA, Part B)84.027X$24,663Special Education Grants to States (IDEA, Part B) Early Childhood84.173$729Supporting Effective Instruction84.367$272,273Student Support and Academic Enrichment Program84.424$3,901COVID-19 American Rescue Plan Elementary and Secondary School Emergency Relief Homeless Children and Youth (ESSER II)84.425D$182,644

Finding Details

2 CFR section 200.313(d)(1) states, in part, that property records must be maintained for equipment and real property purchases using federal funds. The property records should include, but are not limited to, a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), and any ultimate disposition data including the date of disposal and sales price of the property. Testing over the District's Elementary and Secondary School Emergency Relief funds (ESSER) purchases identified purchases totaling $74,774, that were not recorded on the Fixed Asset Detail Report. This is the result of the District not reviewing their policies and the Fixed Asset Detail Report. Failure to ensure equipment purchases are included on the District's inventory listing could result in a misappropriation of the equipment and a possible future loss of funding. To effectively control equipment and to maintain accountability over expenditures, the District should review its policy and ensure all equipment is properly identified and recorded on their Fixed Asset Detail Report.
2 CFR part 200 Appendix II requires all laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141?3144, 3146, and 3147. Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements (which still may be referenced as the Davis-Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance (certified payrolls) (29 CFR sections 5.5 and 5.6; the A-102 Common Rule (section 36(i)(5)); OMB Circular A-110 (2 CFR Part 215, Appendix A, Contract Provisions); 2 CFR Part 176, Subpart C; and 2 CFR section 200.326). This reporting is often done using Optional Form WH-347, which includes the required statement of compliance (OMB No. 1235-0008). The DOL, Employment Standards Administration, maintains a Davis-Bacon and Related Acts web page (https://www.dol.gov/agencies/whd/government-contracts/construction). The District did not obtain the required certified payroll reports for a construction contract in excess of $2,000. In addition, the contract did not contain a provision to comply with wage rate requirements. The contract cost was $30,206. The District should include prevailing wage provisions in all construction contracts or agreements involving federal funds exceeding $2,000. The District should obtain weekly certified payroll reports from the contractor.
2 CFR section 200.313(d)(1) states, in part, that property records must be maintained for equipment and real property purchases using federal funds. The property records should include, but are not limited to, a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), and any ultimate disposition data including the date of disposal and sales price of the property. Testing over the District's Elementary and Secondary School Emergency Relief funds (ESSER) purchases identified purchases totaling $74,774, that were not recorded on the Fixed Asset Detail Report. This is the result of the District not reviewing their policies and the Fixed Asset Detail Report. Failure to ensure equipment purchases are included on the District's inventory listing could result in a misappropriation of the equipment and a possible future loss of funding. To effectively control equipment and to maintain accountability over expenditures, the District should review its policy and ensure all equipment is properly identified and recorded on their Fixed Asset Detail Report.
2 CFR part 200 Appendix II requires all laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141?3144, 3146, and 3147. Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements (which still may be referenced as the Davis-Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance (certified payrolls) (29 CFR sections 5.5 and 5.6; the A-102 Common Rule (section 36(i)(5)); OMB Circular A-110 (2 CFR Part 215, Appendix A, Contract Provisions); 2 CFR Part 176, Subpart C; and 2 CFR section 200.326). This reporting is often done using Optional Form WH-347, which includes the required statement of compliance (OMB No. 1235-0008). The DOL, Employment Standards Administration, maintains a Davis-Bacon and Related Acts web page (https://www.dol.gov/agencies/whd/government-contracts/construction). The District did not obtain the required certified payroll reports for a construction contract in excess of $2,000. In addition, the contract did not contain a provision to comply with wage rate requirements. The contract cost was $30,206. The District should include prevailing wage provisions in all construction contracts or agreements involving federal funds exceeding $2,000. The District should obtain weekly certified payroll reports from the contractor.
2 CFR section 200.313(d)(1) states, in part, that property records must be maintained for equipment and real property purchases using federal funds. The property records should include, but are not limited to, a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), and any ultimate disposition data including the date of disposal and sales price of the property. Testing over the District's Elementary and Secondary School Emergency Relief funds (ESSER) purchases identified purchases totaling $74,774, that were not recorded on the Fixed Asset Detail Report. This is the result of the District not reviewing their policies and the Fixed Asset Detail Report. Failure to ensure equipment purchases are included on the District's inventory listing could result in a misappropriation of the equipment and a possible future loss of funding. To effectively control equipment and to maintain accountability over expenditures, the District should review its policy and ensure all equipment is properly identified and recorded on their Fixed Asset Detail Report.
2 CFR part 200 Appendix II requires all laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141?3144, 3146, and 3147. Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements (which still may be referenced as the Davis-Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance (certified payrolls) (29 CFR sections 5.5 and 5.6; the A-102 Common Rule (section 36(i)(5)); OMB Circular A-110 (2 CFR Part 215, Appendix A, Contract Provisions); 2 CFR Part 176, Subpart C; and 2 CFR section 200.326). This reporting is often done using Optional Form WH-347, which includes the required statement of compliance (OMB No. 1235-0008). The DOL, Employment Standards Administration, maintains a Davis-Bacon and Related Acts web page (https://www.dol.gov/agencies/whd/government-contracts/construction). The District did not obtain the required certified payroll reports for a construction contract in excess of $2,000. In addition, the contract did not contain a provision to comply with wage rate requirements. The contract cost was $30,206. The District should include prevailing wage provisions in all construction contracts or agreements involving federal funds exceeding $2,000. The District should obtain weekly certified payroll reports from the contractor.
2 CFR section 200.313(d)(1) states, in part, that property records must be maintained for equipment and real property purchases using federal funds. The property records should include, but are not limited to, a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), and any ultimate disposition data including the date of disposal and sales price of the property. Testing over the District's Elementary and Secondary School Emergency Relief funds (ESSER) purchases identified purchases totaling $74,774, that were not recorded on the Fixed Asset Detail Report. This is the result of the District not reviewing their policies and the Fixed Asset Detail Report. Failure to ensure equipment purchases are included on the District's inventory listing could result in a misappropriation of the equipment and a possible future loss of funding. To effectively control equipment and to maintain accountability over expenditures, the District should review its policy and ensure all equipment is properly identified and recorded on their Fixed Asset Detail Report.
2 CFR part 200 Appendix II requires all laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141?3144, 3146, and 3147. Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements (which still may be referenced as the Davis-Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance (certified payrolls) (29 CFR sections 5.5 and 5.6; the A-102 Common Rule (section 36(i)(5)); OMB Circular A-110 (2 CFR Part 215, Appendix A, Contract Provisions); 2 CFR Part 176, Subpart C; and 2 CFR section 200.326). This reporting is often done using Optional Form WH-347, which includes the required statement of compliance (OMB No. 1235-0008). The DOL, Employment Standards Administration, maintains a Davis-Bacon and Related Acts web page (https://www.dol.gov/agencies/whd/government-contracts/construction). The District did not obtain the required certified payroll reports for a construction contract in excess of $2,000. In addition, the contract did not contain a provision to comply with wage rate requirements. The contract cost was $30,206. The District should include prevailing wage provisions in all construction contracts or agreements involving federal funds exceeding $2,000. The District should obtain weekly certified payroll reports from the contractor.