FAC Explorer

Audit 28201

FY End
2022-06-30
Total Expended
$1.85M
Findings
6
Programs
13
Organization: Aurora Charter School (MN)
Year: 2022 Accepted: 2023-03-30
Auditor: Malloy Montague Karnowski Radosevich & CO P A

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
20198 2022-002 Material Weakness - F
20199 2022-002 Material Weakness - F
20200 2022-002 Material Weakness - F
596640 2022-002 Material Weakness - F
596641 2022-002 Material Weakness - F
596642 2022-002 Material Weakness - F

Programs

ALN Program Spent Major Findings
84.371 Comprehensive Literacy Development $363,799 - 0
10.555 National School Lunch Program $269,801 - 0
84.010 Title I Grants to Local Educational Agencies $208,648 - 0
84.425 Education Stabilization Fund $165,974 Yes 1
10.553 School Breakfast Program $81,651 - 0
32.009 Emergency Connectivity Fund Program $56,000 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $40,000 - 0
84.365 English Language Acquisition State Grants $37,545 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $30,361 - 0
84.027 Special Education_grants to States $21,316 - 0
10.559 Summer Food Service Program for Children $8,664 - 0
10.649 Pandemic Ebt Administrative Costs $4,115 - 0
84.173 Special Education_preschool Grants $1,801 - 0

Contacts

Name Title Type
DVCJPEGGTGH5 Matthew Cisewski Auditee
6128703891 James Eichten Auditor
No contacts on file

Notes to SEFA

Title: Additional Note #1 Accounting Policies: The Schedule of Expenditures of Federal Awards is prepared on the accrual basis of accounting. The information in this schedule is presented in accordance with the OMBs Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from the amounts presented in, or used in the preparation of, the School's basic financial statements. All pass-through entities listed above use the same federal Assistance Listing Numbers (ALN) as the federal grantors to identify these grants, and have not assigned any additional identifying numbers. De Minimis Rate Used: N Rate Explanation: The school did not elect to use the 10 percent de minimis indirect cost rate. The School had $23,999 of noncash assistance included in the National School Lunch Program, federal ALN 10.555.
Title: Additional Note #2 Accounting Policies: The Schedule of Expenditures of Federal Awards is prepared on the accrual basis of accounting. The information in this schedule is presented in accordance with the OMBs Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from the amounts presented in, or used in the preparation of, the School's basic financial statements. All pass-through entities listed above use the same federal Assistance Listing Numbers (ALN) as the federal grantors to identify these grants, and have not assigned any additional identifying numbers. De Minimis Rate Used: N Rate Explanation: The school did not elect to use the 10 percent de minimis indirect cost rate. The School transferred $34,670 into Title I, federal ALN 84.010, from other Title programs.

Finding Details

Finding 2022-002
MATERIAL WEAKNESS IN INTERNAL CONTROL OVER COMPLIANCE AND MATERIAL NONCOMPLIANCE ? U.S. DEPARTMENT OF EDUCATION ? PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION, COVID-19 ? EDUCATION STABILIZATION FUND, FEDERAL ALN 84.425 2022-002 Internal Control Over Compliance and Material Noncompliance With Equipment and Real Property Management Requirements Criteria ? 2 CFR ? 200.313 (c)(1) and (d)(1) requires that Aurora Charter School (the School) obtain approval from the federal funding agency or pass-through agency prior to the purchase of equipment with federal funding. Condition ? During our audit, we noted the School did not have sufficient controls in place within the Education Stabilization Fund federal program to assure compliance with federal equipment and real property management requirements, resulting in material noncompliance. Questioned Costs ? None. Context ? The School did not obtain approval from the federal funding agency or pass through agency prior to purchasing equipment with a total value of $208,443 using federal funds. Repeat Finding ? This is a current year finding. Cause ? This condition was due to a misunderstanding of the individual item value, which federally funded equipment purchases were required to be preapproved and tracked. Effect ? Noncompliance with the equipment and real property management could be viewed as a violation of the award agreement and result in loss of funds. Recommendation ? We recommend that the School review its internal control procedures to ensure future compliance with the federal compliance requirements specific to equipment and real property management for the COVID-19 ? Education Stabilization Fund federal program. View of Responsible Official and Planned Corrective Actions ? The School agrees with the finding. The School intends to revise its internal capitalization threshold to align with the federal threshold, and to review its other control procedures relating to equipment and real property management requirements to ensure compliance for future federal awards expenditures. The School has separately issued a Corrective Action Plan related to this finding.
Finding 2022-002
MATERIAL WEAKNESS IN INTERNAL CONTROL OVER COMPLIANCE AND MATERIAL NONCOMPLIANCE ? U.S. DEPARTMENT OF EDUCATION ? PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION, COVID-19 ? EDUCATION STABILIZATION FUND, FEDERAL ALN 84.425 2022-002 Internal Control Over Compliance and Material Noncompliance With Equipment and Real Property Management Requirements Criteria ? 2 CFR ? 200.313 (c)(1) and (d)(1) requires that Aurora Charter School (the School) obtain approval from the federal funding agency or pass-through agency prior to the purchase of equipment with federal funding. Condition ? During our audit, we noted the School did not have sufficient controls in place within the Education Stabilization Fund federal program to assure compliance with federal equipment and real property management requirements, resulting in material noncompliance. Questioned Costs ? None. Context ? The School did not obtain approval from the federal funding agency or pass through agency prior to purchasing equipment with a total value of $208,443 using federal funds. Repeat Finding ? This is a current year finding. Cause ? This condition was due to a misunderstanding of the individual item value, which federally funded equipment purchases were required to be preapproved and tracked. Effect ? Noncompliance with the equipment and real property management could be viewed as a violation of the award agreement and result in loss of funds. Recommendation ? We recommend that the School review its internal control procedures to ensure future compliance with the federal compliance requirements specific to equipment and real property management for the COVID-19 ? Education Stabilization Fund federal program. View of Responsible Official and Planned Corrective Actions ? The School agrees with the finding. The School intends to revise its internal capitalization threshold to align with the federal threshold, and to review its other control procedures relating to equipment and real property management requirements to ensure compliance for future federal awards expenditures. The School has separately issued a Corrective Action Plan related to this finding.
Finding 2022-002
MATERIAL WEAKNESS IN INTERNAL CONTROL OVER COMPLIANCE AND MATERIAL NONCOMPLIANCE ? U.S. DEPARTMENT OF EDUCATION ? PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION, COVID-19 ? EDUCATION STABILIZATION FUND, FEDERAL ALN 84.425 2022-002 Internal Control Over Compliance and Material Noncompliance With Equipment and Real Property Management Requirements Criteria ? 2 CFR ? 200.313 (c)(1) and (d)(1) requires that Aurora Charter School (the School) obtain approval from the federal funding agency or pass-through agency prior to the purchase of equipment with federal funding. Condition ? During our audit, we noted the School did not have sufficient controls in place within the Education Stabilization Fund federal program to assure compliance with federal equipment and real property management requirements, resulting in material noncompliance. Questioned Costs ? None. Context ? The School did not obtain approval from the federal funding agency or pass through agency prior to purchasing equipment with a total value of $208,443 using federal funds. Repeat Finding ? This is a current year finding. Cause ? This condition was due to a misunderstanding of the individual item value, which federally funded equipment purchases were required to be preapproved and tracked. Effect ? Noncompliance with the equipment and real property management could be viewed as a violation of the award agreement and result in loss of funds. Recommendation ? We recommend that the School review its internal control procedures to ensure future compliance with the federal compliance requirements specific to equipment and real property management for the COVID-19 ? Education Stabilization Fund federal program. View of Responsible Official and Planned Corrective Actions ? The School agrees with the finding. The School intends to revise its internal capitalization threshold to align with the federal threshold, and to review its other control procedures relating to equipment and real property management requirements to ensure compliance for future federal awards expenditures. The School has separately issued a Corrective Action Plan related to this finding.
Finding 2022-002
MATERIAL WEAKNESS IN INTERNAL CONTROL OVER COMPLIANCE AND MATERIAL NONCOMPLIANCE ? U.S. DEPARTMENT OF EDUCATION ? PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION, COVID-19 ? EDUCATION STABILIZATION FUND, FEDERAL ALN 84.425 2022-002 Internal Control Over Compliance and Material Noncompliance With Equipment and Real Property Management Requirements Criteria ? 2 CFR ? 200.313 (c)(1) and (d)(1) requires that Aurora Charter School (the School) obtain approval from the federal funding agency or pass-through agency prior to the purchase of equipment with federal funding. Condition ? During our audit, we noted the School did not have sufficient controls in place within the Education Stabilization Fund federal program to assure compliance with federal equipment and real property management requirements, resulting in material noncompliance. Questioned Costs ? None. Context ? The School did not obtain approval from the federal funding agency or pass through agency prior to purchasing equipment with a total value of $208,443 using federal funds. Repeat Finding ? This is a current year finding. Cause ? This condition was due to a misunderstanding of the individual item value, which federally funded equipment purchases were required to be preapproved and tracked. Effect ? Noncompliance with the equipment and real property management could be viewed as a violation of the award agreement and result in loss of funds. Recommendation ? We recommend that the School review its internal control procedures to ensure future compliance with the federal compliance requirements specific to equipment and real property management for the COVID-19 ? Education Stabilization Fund federal program. View of Responsible Official and Planned Corrective Actions ? The School agrees with the finding. The School intends to revise its internal capitalization threshold to align with the federal threshold, and to review its other control procedures relating to equipment and real property management requirements to ensure compliance for future federal awards expenditures. The School has separately issued a Corrective Action Plan related to this finding.
Finding 2022-002
MATERIAL WEAKNESS IN INTERNAL CONTROL OVER COMPLIANCE AND MATERIAL NONCOMPLIANCE ? U.S. DEPARTMENT OF EDUCATION ? PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION, COVID-19 ? EDUCATION STABILIZATION FUND, FEDERAL ALN 84.425 2022-002 Internal Control Over Compliance and Material Noncompliance With Equipment and Real Property Management Requirements Criteria ? 2 CFR ? 200.313 (c)(1) and (d)(1) requires that Aurora Charter School (the School) obtain approval from the federal funding agency or pass-through agency prior to the purchase of equipment with federal funding. Condition ? During our audit, we noted the School did not have sufficient controls in place within the Education Stabilization Fund federal program to assure compliance with federal equipment and real property management requirements, resulting in material noncompliance. Questioned Costs ? None. Context ? The School did not obtain approval from the federal funding agency or pass through agency prior to purchasing equipment with a total value of $208,443 using federal funds. Repeat Finding ? This is a current year finding. Cause ? This condition was due to a misunderstanding of the individual item value, which federally funded equipment purchases were required to be preapproved and tracked. Effect ? Noncompliance with the equipment and real property management could be viewed as a violation of the award agreement and result in loss of funds. Recommendation ? We recommend that the School review its internal control procedures to ensure future compliance with the federal compliance requirements specific to equipment and real property management for the COVID-19 ? Education Stabilization Fund federal program. View of Responsible Official and Planned Corrective Actions ? The School agrees with the finding. The School intends to revise its internal capitalization threshold to align with the federal threshold, and to review its other control procedures relating to equipment and real property management requirements to ensure compliance for future federal awards expenditures. The School has separately issued a Corrective Action Plan related to this finding.
Finding 2022-002
MATERIAL WEAKNESS IN INTERNAL CONTROL OVER COMPLIANCE AND MATERIAL NONCOMPLIANCE ? U.S. DEPARTMENT OF EDUCATION ? PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION, COVID-19 ? EDUCATION STABILIZATION FUND, FEDERAL ALN 84.425 2022-002 Internal Control Over Compliance and Material Noncompliance With Equipment and Real Property Management Requirements Criteria ? 2 CFR ? 200.313 (c)(1) and (d)(1) requires that Aurora Charter School (the School) obtain approval from the federal funding agency or pass-through agency prior to the purchase of equipment with federal funding. Condition ? During our audit, we noted the School did not have sufficient controls in place within the Education Stabilization Fund federal program to assure compliance with federal equipment and real property management requirements, resulting in material noncompliance. Questioned Costs ? None. Context ? The School did not obtain approval from the federal funding agency or pass through agency prior to purchasing equipment with a total value of $208,443 using federal funds. Repeat Finding ? This is a current year finding. Cause ? This condition was due to a misunderstanding of the individual item value, which federally funded equipment purchases were required to be preapproved and tracked. Effect ? Noncompliance with the equipment and real property management could be viewed as a violation of the award agreement and result in loss of funds. Recommendation ? We recommend that the School review its internal control procedures to ensure future compliance with the federal compliance requirements specific to equipment and real property management for the COVID-19 ? Education Stabilization Fund federal program. View of Responsible Official and Planned Corrective Actions ? The School agrees with the finding. The School intends to revise its internal capitalization threshold to align with the federal threshold, and to review its other control procedures relating to equipment and real property management requirements to ensure compliance for future federal awards expenditures. The School has separately issued a Corrective Action Plan related to this finding.