Audit 293922

FY End
2023-06-30
Total Expended
$1.81M
Findings
90
Programs
14
Organization: Galeton Area School District (NY)
Year: 2023 Accepted: 2024-03-07

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
374298 2023-004 Material Weakness Yes P
374299 2023-004 Material Weakness Yes P
374300 2023-004 Material Weakness Yes P
374301 2023-004 Material Weakness Yes P
374302 2023-004 Material Weakness Yes P
374303 2023-004 Material Weakness Yes P
374304 2023-004 Material Weakness Yes P
374305 2023-004 Material Weakness Yes P
374306 2023-004 Material Weakness Yes P
374307 2023-004 Material Weakness Yes P
374308 2023-004 Material Weakness Yes P
374309 2023-004 Material Weakness Yes P
374310 2023-004 Material Weakness Yes P
374311 2023-004 Material Weakness Yes P
374312 2023-004 Material Weakness Yes P
374313 2023-005 Material Weakness Yes P
374314 2023-005 Material Weakness Yes P
374315 2023-005 Material Weakness Yes P
374316 2023-005 Material Weakness Yes P
374317 2023-005 Material Weakness Yes P
374318 2023-005 Material Weakness Yes P
374319 2023-005 Material Weakness Yes P
374320 2023-005 Material Weakness Yes P
374321 2023-005 Material Weakness Yes P
374322 2023-005 Material Weakness Yes P
374323 2023-005 Material Weakness Yes P
374324 2023-005 Material Weakness Yes P
374325 2023-005 Material Weakness Yes P
374326 2023-005 Material Weakness Yes P
374327 2023-005 Material Weakness Yes P
374328 2023-006 Material Weakness Yes P
374329 2023-006 Material Weakness Yes P
374330 2023-006 Material Weakness Yes P
374331 2023-006 Material Weakness Yes P
374332 2023-006 Material Weakness Yes P
374333 2023-006 Material Weakness Yes P
374334 2023-006 Material Weakness Yes P
374335 2023-006 Material Weakness Yes P
374336 2023-006 Material Weakness Yes P
374337 2023-006 Material Weakness Yes P
374338 2023-006 Material Weakness Yes P
374339 2023-006 Material Weakness Yes P
374340 2023-006 Material Weakness Yes P
374341 2023-006 Material Weakness Yes P
374342 2023-006 Material Weakness Yes P
950740 2023-004 Material Weakness Yes P
950741 2023-004 Material Weakness Yes P
950742 2023-004 Material Weakness Yes P
950743 2023-004 Material Weakness Yes P
950744 2023-004 Material Weakness Yes P
950745 2023-004 Material Weakness Yes P
950746 2023-004 Material Weakness Yes P
950747 2023-004 Material Weakness Yes P
950748 2023-004 Material Weakness Yes P
950749 2023-004 Material Weakness Yes P
950750 2023-004 Material Weakness Yes P
950751 2023-004 Material Weakness Yes P
950752 2023-004 Material Weakness Yes P
950753 2023-004 Material Weakness Yes P
950754 2023-004 Material Weakness Yes P
950755 2023-005 Material Weakness Yes P
950756 2023-005 Material Weakness Yes P
950757 2023-005 Material Weakness Yes P
950758 2023-005 Material Weakness Yes P
950759 2023-005 Material Weakness Yes P
950760 2023-005 Material Weakness Yes P
950761 2023-005 Material Weakness Yes P
950762 2023-005 Material Weakness Yes P
950763 2023-005 Material Weakness Yes P
950764 2023-005 Material Weakness Yes P
950765 2023-005 Material Weakness Yes P
950766 2023-005 Material Weakness Yes P
950767 2023-005 Material Weakness Yes P
950768 2023-005 Material Weakness Yes P
950769 2023-005 Material Weakness Yes P
950770 2023-006 Material Weakness Yes P
950771 2023-006 Material Weakness Yes P
950772 2023-006 Material Weakness Yes P
950773 2023-006 Material Weakness Yes P
950774 2023-006 Material Weakness Yes P
950775 2023-006 Material Weakness Yes P
950776 2023-006 Material Weakness Yes P
950777 2023-006 Material Weakness Yes P
950778 2023-006 Material Weakness Yes P
950779 2023-006 Material Weakness Yes P
950780 2023-006 Material Weakness Yes P
950781 2023-006 Material Weakness Yes P
950782 2023-006 Material Weakness Yes P
950783 2023-006 Material Weakness Yes P
950784 2023-006 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
84.425 Covid-19 - Arp - Esser III $771,933 Yes 3
84.425 Covid-19 - Crrsa - Esser II $500,897 Yes 3
10.555 National School Lunch Program $171,791 - 3
84.010 Title I Part A $135,509 - 3
84.027 Idea Section 611 $68,355 - 3
10.553 National School Breakfast Program $56,173 - 3
84.358 Small Rural School Achievement Program $21,503 - 3
10.555 Covid-19 National School Lunch Program - Supply Chain Assistance $18,209 - 3
84.367 Title II - Improving Teacher Quality $14,188 - 3
10.555 School Lunch Program - Donated Commodities $13,190 - 3
84.027 Covid-19 - Arp -Idea Section 611 $12,139 - 3
84.424 Title IV - Student Support and Academic Enrichment $10,533 - 3
84.173 Idea Section 619 $840 - 3
10.649 Covid-19 - P-Ebt Administration Funds $628 - 3

Contacts

Name Title Type
F7SHK8BWHCA5 Penny Crowell Auditee
8144356571 David V Ditanna, CPA Auditor
No contacts on file

Notes to SEFA

Title: Note 1 Accounting Policies: Basis of Presentation- The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Galeton Area School District and is presented on the modified accrual basis of accounting. 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). Therefore, some amounts presented in the schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. Basis of Accounting - The basis of accounting varies by Federal program consistent with underlying regulations pertaining to each program. The amounts reported as Federal expenditures generally were obtained from the appropriate Federal financial reports for the applicable program and periods. The amounts reported in these Federal financial reports are prepared from records maintained for each program, which are periodically reconciled with the District’s financial reporting system. De Minimis Rate Used: N Rate Explanation: The District has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance in the current year. Basis of Presentation- The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Galeton Area School District and is presented on the modified accrual basis of accounting. 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). Therefore, some amounts presented in the schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. Basis of Accounting - The basis of accounting varies by Federal program consistent with underlying regulations pertaining to each program. The amounts reported as Federal expenditures generally were obtained from the appropriate Federal financial reports for the applicable program and periods. The amounts reported in these Federal financial reports are prepared from records maintained for each program, which are periodically reconciled with the District’s financial reporting system.
Title: Note 2 - Non-monetary Federal Program Accounting Policies: Basis of Presentation- The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Galeton Area School District and is presented on the modified accrual basis of accounting. 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). Therefore, some amounts presented in the schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. Basis of Accounting - The basis of accounting varies by Federal program consistent with underlying regulations pertaining to each program. The amounts reported as Federal expenditures generally were obtained from the appropriate Federal financial reports for the applicable program and periods. The amounts reported in these Federal financial reports are prepared from records maintained for each program, which are periodically reconciled with the District’s financial reporting system. De Minimis Rate Used: N Rate Explanation: The District has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance in the current year. The accompanying Galeton Area School District is the recipient of a non-monetary federal award program. During the year ended June 30, 2023, the District reported in the schedule of Federal Awards $13,190 of donated commodities at fair market value received and disbursed.
Title: Note 3 - Indirect Costs Accounting Policies: Basis of Presentation- The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Galeton Area School District and is presented on the modified accrual basis of accounting. 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). Therefore, some amounts presented in the schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. Basis of Accounting - The basis of accounting varies by Federal program consistent with underlying regulations pertaining to each program. The amounts reported as Federal expenditures generally were obtained from the appropriate Federal financial reports for the applicable program and periods. The amounts reported in these Federal financial reports are prepared from records maintained for each program, which are periodically reconciled with the District’s financial reporting system. De Minimis Rate Used: N Rate Explanation: The District has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance in the current year. The District has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance in the current year.

Finding Details

Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Condition and Criteria: During the current year, adjusting journal entries, along with footnote disclosures were proposed by the auditors and accepted by the District to properly reflect the financial statements in accordance with generally accepted accounting principles. Some of the adjustments and footnotes were related to receivables and liabilities, along with converting to the full accrual method for GASB 34 purposes. Cause and Effect: AU-C Section 265, entitled Communicated Internal Control Related Matters Identified in an Audit, issued by the American Institute of Certified Public Accountants (AICPA) considers the need for significant adjusting journal entries and assistance when preparing the financial statements to be indicative of an internal control deficiency. Without this assistance, the potential risk exists of the District’s financial statements not conforming with Generally Accepted Accounting Principles (GAAP). Auditor’s Recommendation: Although auditors may continue to provide such assistance both now and in the future, under this pronouncement, the District should continue to review and accept both proposed adjusting journal entries and footnote disclosures, along with the draft financial statements. District’s Response: The District has received, reviewed and accepted all journal entries, footnote disclosures and draft financial statements proposed for the current year audit and will continue to review similar information in future years. Further, the District believes it has a thorough understanding of these financial statements and the ability to make informed judgments based on these financial statements. Lastly, the District considers such assistance provided by the auditors to be the most cost effective in preparing such information.
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: We noted that one individual is primarily responsible for the record keeping and financial reporting functions. Cause and Effect: A fundamental element of an effective internal control system is the proper segregation of duties. Proper segregation of duties provides for a system of checks and balances and entails assigning responsibilities of authorizing and recording transactions among different people in the District. Auditor’s recommendation: The District should attempt to separate many of the ancillary duties of record-keeping including: opening the mail and maintaining a cash receipts log; signing of checks, distribution of payroll checks, and bank reconciliation preparation. In addition, financial information such as check registers, payroll registers and cash receipts journals should be reviewed by someone independent of the preparer or the Board of Education. Lastly, because of the lack of certain segregation of duties, we recommend that those individuals who are responsible for handling financial transactions are appropriately covered by a fidelity bond. District’s Response: The District understands the importance of having strong segregation of duties and will attempt to separate certain responsibilities as outlined above
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.
Conditions and Criteria: During the audit we noticed that the bank reconciliations for the general fund checking account were not being reconciled against the District’s general ledger software on a regular basis. In addition, we noticed that the business manager prepares the bank reconciliations during the year, however, there is no evidence of review. During the year ended June 30, 2023, we noticed general ledgeraccounts, specifically interfund receivable and payable were not being reconciled on a regular basis. Differences that existed throughout the fiscal year were specifically related to payroll expenditures and withholdings related to the Food Service Fund and General Fund. Effect: The effect of not preparing bank reconciliations that are reconciled against the District’s general ledger is that reporting errors in the recording of cash receipts, cash disbursements and wire transfers can occur and not be detected or resolved in a timely manner. In addition, because the business manager has access to the general ledger throughout the year, evidence of a review is important to demonstrate proper segregation of duties. The effect of not reconciling interfund receivable and payable accounts for all governmental funds on a consistent basis allowed the accounts to not equal in the aggregate. Interfund receivable and payable accounts were reconciled at the time of the audit. Auditors’ Recommendation: We recommend that as part of preparing monthly bank reconciliations, the reconciliation with the balance from the general ledger should be performed. Any differences should be immediately investigated and corrected. Once completed, the reconciliation should be reviewed by someone independent of the preparer. Both, the individual preparing and reviewing the bank reconciliations should sign or initial and date the reconciliation when completed. We recommend that the District incorporate procedures to ensure that such general ledger accounts are reconciled on a monthly basis. It is important that a dual accounting system is utilized in each individual fund and transactions between funds should be booked through the interfund receivables and payables. School District’s Response: The District will ensure that bank reconciliations are prepared on a timely basis throughout the year, which includes a reconciliation to the general ledger. The District will have the Superintendent review bank reconciliations. Once completed, the preparer and reviewer will sign and date each reconciliation to evidence their completion. Lastly, the District will reconcile due to/due from accounts on a monthly basis.