Audit 28793

FY End
2022-06-30
Total Expended
$4.18M
Findings
12
Programs
1
Year: 2022 Accepted: 2023-02-02

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
28683 2022-001 Material Weakness Yes ABFGLN
28684 2022-002 Significant Deficiency - ABFGLN
28685 2022-003 Significant Deficiency - ABFGLN
28686 2022-001 Material Weakness Yes ABFGLN
28687 2022-002 Significant Deficiency - ABFGLN
28688 2022-003 Significant Deficiency - ABFGLN
605125 2022-001 Material Weakness Yes ABFGLN
605126 2022-002 Significant Deficiency - ABFGLN
605127 2022-003 Significant Deficiency - ABFGLN
605128 2022-001 Material Weakness Yes ABFGLN
605129 2022-002 Significant Deficiency - ABFGLN
605130 2022-003 Significant Deficiency - ABFGLN

Programs

ALN Program Spent Major Findings
20.106 Airport Improvement Program $22,000 Yes 3

Contacts

Name Title Type
ZDL5VEX6JTB4 Demi MacE Auditee
7603775844 Mark Gehring Auditor
No contacts on file

Notes to SEFA

Accounting Policies: Expenditures 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 are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

"Material Weakness Finding 2022-001 There is not sufficient segregation of duties within the District?s accounting department. Observation We found that all facets of accounting are currently centralized with one person which includes invoicing, cash receipts functions, posting of deposits, preparation of deposits, and all payable functions. Recommendation We recommend, to obtain basic segregation of duties, that the District update its current accounting functions to minimize the amount of accounting duties performed by one employee. "
Significant Deficiency Finding 2022-002 The District does not perform sufficient review of the accounting performed by the District?s external bookkeeper. Observation We identified several instances of misclassifications of income and expenses. During our inquiries we found that the District was not sufficiently reviewing the accounting performed by the District?s external bookkeeper to ensure that the District?s general ledger records and interim unaudited financial reports agreed to the source documentation prepared internally by District staff. Recommendation We recommend that the District implement a reconciliation process to compare the information recorded by the District?s bookkeeper to ensure that income and expenses recorded by the external bookkeeper reconcile to the source documentation provided by the District.
Significant Deficiency Finding 2022-003 The District had a bank account that was not reported in the District?s financial reporting. Observation We identified that the District had a bank statement for special events that had not been recorded by the District in its financial reporting. The balances and amounts of transactions as of and for the year ended June 30, 2022 were not material to the financial statements as a whole. Recommendation We recommend that the District provide all banking information to the District?s bookkeeper so that all such information can be correctly recorded with the District?s financial reporting.
"Material Weakness Finding 2022-001 There is not sufficient segregation of duties within the District?s accounting department. Observation We found that all facets of accounting are currently centralized with one person which includes invoicing, cash receipts functions, posting of deposits, preparation of deposits, and all payable functions. Recommendation We recommend, to obtain basic segregation of duties, that the District update its current accounting functions to minimize the amount of accounting duties performed by one employee. "
Significant Deficiency Finding 2022-002 The District does not perform sufficient review of the accounting performed by the District?s external bookkeeper. Observation We identified several instances of misclassifications of income and expenses. During our inquiries we found that the District was not sufficiently reviewing the accounting performed by the District?s external bookkeeper to ensure that the District?s general ledger records and interim unaudited financial reports agreed to the source documentation prepared internally by District staff. Recommendation We recommend that the District implement a reconciliation process to compare the information recorded by the District?s bookkeeper to ensure that income and expenses recorded by the external bookkeeper reconcile to the source documentation provided by the District.
Significant Deficiency Finding 2022-003 The District had a bank account that was not reported in the District?s financial reporting. Observation We identified that the District had a bank statement for special events that had not been recorded by the District in its financial reporting. The balances and amounts of transactions as of and for the year ended June 30, 2022 were not material to the financial statements as a whole. Recommendation We recommend that the District provide all banking information to the District?s bookkeeper so that all such information can be correctly recorded with the District?s financial reporting.
"Material Weakness Finding 2022-001 There is not sufficient segregation of duties within the District?s accounting department. Observation We found that all facets of accounting are currently centralized with one person which includes invoicing, cash receipts functions, posting of deposits, preparation of deposits, and all payable functions. Recommendation We recommend, to obtain basic segregation of duties, that the District update its current accounting functions to minimize the amount of accounting duties performed by one employee. "
Significant Deficiency Finding 2022-002 The District does not perform sufficient review of the accounting performed by the District?s external bookkeeper. Observation We identified several instances of misclassifications of income and expenses. During our inquiries we found that the District was not sufficiently reviewing the accounting performed by the District?s external bookkeeper to ensure that the District?s general ledger records and interim unaudited financial reports agreed to the source documentation prepared internally by District staff. Recommendation We recommend that the District implement a reconciliation process to compare the information recorded by the District?s bookkeeper to ensure that income and expenses recorded by the external bookkeeper reconcile to the source documentation provided by the District.
Significant Deficiency Finding 2022-003 The District had a bank account that was not reported in the District?s financial reporting. Observation We identified that the District had a bank statement for special events that had not been recorded by the District in its financial reporting. The balances and amounts of transactions as of and for the year ended June 30, 2022 were not material to the financial statements as a whole. Recommendation We recommend that the District provide all banking information to the District?s bookkeeper so that all such information can be correctly recorded with the District?s financial reporting.
"Material Weakness Finding 2022-001 There is not sufficient segregation of duties within the District?s accounting department. Observation We found that all facets of accounting are currently centralized with one person which includes invoicing, cash receipts functions, posting of deposits, preparation of deposits, and all payable functions. Recommendation We recommend, to obtain basic segregation of duties, that the District update its current accounting functions to minimize the amount of accounting duties performed by one employee. "
Significant Deficiency Finding 2022-002 The District does not perform sufficient review of the accounting performed by the District?s external bookkeeper. Observation We identified several instances of misclassifications of income and expenses. During our inquiries we found that the District was not sufficiently reviewing the accounting performed by the District?s external bookkeeper to ensure that the District?s general ledger records and interim unaudited financial reports agreed to the source documentation prepared internally by District staff. Recommendation We recommend that the District implement a reconciliation process to compare the information recorded by the District?s bookkeeper to ensure that income and expenses recorded by the external bookkeeper reconcile to the source documentation provided by the District.
Significant Deficiency Finding 2022-003 The District had a bank account that was not reported in the District?s financial reporting. Observation We identified that the District had a bank statement for special events that had not been recorded by the District in its financial reporting. The balances and amounts of transactions as of and for the year ended June 30, 2022 were not material to the financial statements as a whole. Recommendation We recommend that the District provide all banking information to the District?s bookkeeper so that all such information can be correctly recorded with the District?s financial reporting.