2023-001 - Special Tests and Provisions - Wage Rate Requirements
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 29 CFR 5.5
Condition: During audit procedures, it was identified that the District did not include the prevailing wage rate clause in the contract provisions for construction contracts and did not obtain copies of certified payrolls.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Contracts are not executed in compliance with the requirement above.
Identification of Questioned Costs: Identified question costs equaled construction projects totaling $154,592.79, all of which were performed without contracts containing the required clauses and without obtaining certified payrolls. It was noted that the projects were from prior fiscal year and not entered into during the fiscal year under audit.
Context: There were seven contracts. All seven were tested. No contract agreements were provided, therefore, it could not be determined that the prevailing wage rate clause was included. Of the seven contracts tested, certified payroll could not be provided for five of the contracts. This is not a statistically valid sample.
Repeat Finding: This is a repeat finding.
Recommendation: It is recommended that the District familiarize themselves with federal Wage Rate Requirements and implement internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by MSAD #27.
2023-001 - Special Tests and Provisions - Wage Rate Requirements
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 29 CFR 5.5
Condition: During audit procedures, it was identified that the District did not include the prevailing wage rate clause in the contract provisions for construction contracts and did not obtain copies of certified payrolls.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Contracts are not executed in compliance with the requirement above.
Identification of Questioned Costs: Identified question costs equaled construction projects totaling $154,592.79, all of which were performed without contracts containing the required clauses and without obtaining certified payrolls. It was noted that the projects were from prior fiscal year and not entered into during the fiscal year under audit.
Context: There were seven contracts. All seven were tested. No contract agreements were provided, therefore, it could not be determined that the prevailing wage rate clause was included. Of the seven contracts tested, certified payroll could not be provided for five of the contracts. This is not a statistically valid sample.
Repeat Finding: This is a repeat finding.
Recommendation: It is recommended that the District familiarize themselves with federal Wage Rate Requirements and implement internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by MSAD #27.
2023-001 - Special Tests and Provisions - Wage Rate Requirements
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 29 CFR 5.5
Condition: During audit procedures, it was identified that the District did not include the prevailing wage rate clause in the contract provisions for construction contracts and did not obtain copies of certified payrolls.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Contracts are not executed in compliance with the requirement above.
Identification of Questioned Costs: Identified question costs equaled construction projects totaling $154,592.79, all of which were performed without contracts containing the required clauses and without obtaining certified payrolls. It was noted that the projects were from prior fiscal year and not entered into during the fiscal year under audit.
Context: There were seven contracts. All seven were tested. No contract agreements were provided, therefore, it could not be determined that the prevailing wage rate clause was included. Of the seven contracts tested, certified payroll could not be provided for five of the contracts. This is not a statistically valid sample.
Repeat Finding: This is a repeat finding.
Recommendation: It is recommended that the District familiarize themselves with federal Wage Rate Requirements and implement internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by MSAD #27.
2023-001 - Special Tests and Provisions - Wage Rate Requirements
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 29 CFR 5.5
Condition: During audit procedures, it was identified that the District did not include the prevailing wage rate clause in the contract provisions for construction contracts and did not obtain copies of certified payrolls.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Contracts are not executed in compliance with the requirement above.
Identification of Questioned Costs: Identified question costs equaled construction projects totaling $154,592.79, all of which were performed without contracts containing the required clauses and without obtaining certified payrolls. It was noted that the projects were from prior fiscal year and not entered into during the fiscal year under audit.
Context: There were seven contracts. All seven were tested. No contract agreements were provided, therefore, it could not be determined that the prevailing wage rate clause was included. Of the seven contracts tested, certified payroll could not be provided for five of the contracts. This is not a statistically valid sample.
Repeat Finding: This is a repeat finding.
Recommendation: It is recommended that the District familiarize themselves with federal Wage Rate Requirements and implement internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by MSAD #27.
2023-002 - ALLOWABLE COSTS AND ACTIVITIES
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 2 CFR 200.303
Condition: During audit procedures, it was identified that the District’s process to document approval over disbursements is not working effectively.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Insufficient controls could allow for unallowable costs to be charged.
Identification Of Questioned Costs: None Identified
Context: There were 79 cash disbursements and 37 were tested and it was found that 19 of the disbursements tested did not have the Purchase Orders and 7 did not have approved invoices. The same 19 disbursements that did not have Purchase Orders did not have account codes written on the receipts to help ensure properly charged to the correct accounts. This is not statistically valid sample.
Repeat Finding: This is not a repeat finding.
Recommendation: It is recommended that the District implements internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Maine School Administrative District No. 27.
2023-002 - ALLOWABLE COSTS AND ACTIVITIES
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 2 CFR 200.303
Condition: During audit procedures, it was identified that the District’s process to document approval over disbursements is not working effectively.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Insufficient controls could allow for unallowable costs to be charged.
Identification Of Questioned Costs: None Identified
Context: There were 79 cash disbursements and 37 were tested and it was found that 19 of the disbursements tested did not have the Purchase Orders and 7 did not have approved invoices. The same 19 disbursements that did not have Purchase Orders did not have account codes written on the receipts to help ensure properly charged to the correct accounts. This is not statistically valid sample.
Repeat Finding: This is not a repeat finding.
Recommendation: It is recommended that the District implements internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Maine School Administrative District No. 27.
2023-002 - ALLOWABLE COSTS AND ACTIVITIES
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 2 CFR 200.303
Condition: During audit procedures, it was identified that the District’s process to document approval over disbursements is not working effectively.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Insufficient controls could allow for unallowable costs to be charged.
Identification Of Questioned Costs: None Identified
Context: There were 79 cash disbursements and 37 were tested and it was found that 19 of the disbursements tested did not have the Purchase Orders and 7 did not have approved invoices. The same 19 disbursements that did not have Purchase Orders did not have account codes written on the receipts to help ensure properly charged to the correct accounts. This is not statistically valid sample.
Repeat Finding: This is not a repeat finding.
Recommendation: It is recommended that the District implements internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Maine School Administrative District No. 27.
2023-002 - ALLOWABLE COSTS AND ACTIVITIES
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 2 CFR 200.303
Condition: During audit procedures, it was identified that the District’s process to document approval over disbursements is not working effectively.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Insufficient controls could allow for unallowable costs to be charged.
Identification Of Questioned Costs: None Identified
Context: There were 79 cash disbursements and 37 were tested and it was found that 19 of the disbursements tested did not have the Purchase Orders and 7 did not have approved invoices. The same 19 disbursements that did not have Purchase Orders did not have account codes written on the receipts to help ensure properly charged to the correct accounts. This is not statistically valid sample.
Repeat Finding: This is not a repeat finding.
Recommendation: It is recommended that the District implements internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Maine School Administrative District No. 27.
2023-001 - Special Tests and Provisions - Wage Rate Requirements
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 29 CFR 5.5
Condition: During audit procedures, it was identified that the District did not include the prevailing wage rate clause in the contract provisions for construction contracts and did not obtain copies of certified payrolls.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Contracts are not executed in compliance with the requirement above.
Identification of Questioned Costs: Identified question costs equaled construction projects totaling $154,592.79, all of which were performed without contracts containing the required clauses and without obtaining certified payrolls. It was noted that the projects were from prior fiscal year and not entered into during the fiscal year under audit.
Context: There were seven contracts. All seven were tested. No contract agreements were provided, therefore, it could not be determined that the prevailing wage rate clause was included. Of the seven contracts tested, certified payroll could not be provided for five of the contracts. This is not a statistically valid sample.
Repeat Finding: This is a repeat finding.
Recommendation: It is recommended that the District familiarize themselves with federal Wage Rate Requirements and implement internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by MSAD #27.
2023-001 - Special Tests and Provisions - Wage Rate Requirements
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 29 CFR 5.5
Condition: During audit procedures, it was identified that the District did not include the prevailing wage rate clause in the contract provisions for construction contracts and did not obtain copies of certified payrolls.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Contracts are not executed in compliance with the requirement above.
Identification of Questioned Costs: Identified question costs equaled construction projects totaling $154,592.79, all of which were performed without contracts containing the required clauses and without obtaining certified payrolls. It was noted that the projects were from prior fiscal year and not entered into during the fiscal year under audit.
Context: There were seven contracts. All seven were tested. No contract agreements were provided, therefore, it could not be determined that the prevailing wage rate clause was included. Of the seven contracts tested, certified payroll could not be provided for five of the contracts. This is not a statistically valid sample.
Repeat Finding: This is a repeat finding.
Recommendation: It is recommended that the District familiarize themselves with federal Wage Rate Requirements and implement internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by MSAD #27.
2023-001 - Special Tests and Provisions - Wage Rate Requirements
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 29 CFR 5.5
Condition: During audit procedures, it was identified that the District did not include the prevailing wage rate clause in the contract provisions for construction contracts and did not obtain copies of certified payrolls.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Contracts are not executed in compliance with the requirement above.
Identification of Questioned Costs: Identified question costs equaled construction projects totaling $154,592.79, all of which were performed without contracts containing the required clauses and without obtaining certified payrolls. It was noted that the projects were from prior fiscal year and not entered into during the fiscal year under audit.
Context: There were seven contracts. All seven were tested. No contract agreements were provided, therefore, it could not be determined that the prevailing wage rate clause was included. Of the seven contracts tested, certified payroll could not be provided for five of the contracts. This is not a statistically valid sample.
Repeat Finding: This is a repeat finding.
Recommendation: It is recommended that the District familiarize themselves with federal Wage Rate Requirements and implement internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by MSAD #27.
2023-001 - Special Tests and Provisions - Wage Rate Requirements
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 29 CFR 5.5
Condition: During audit procedures, it was identified that the District did not include the prevailing wage rate clause in the contract provisions for construction contracts and did not obtain copies of certified payrolls.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Contracts are not executed in compliance with the requirement above.
Identification of Questioned Costs: Identified question costs equaled construction projects totaling $154,592.79, all of which were performed without contracts containing the required clauses and without obtaining certified payrolls. It was noted that the projects were from prior fiscal year and not entered into during the fiscal year under audit.
Context: There were seven contracts. All seven were tested. No contract agreements were provided, therefore, it could not be determined that the prevailing wage rate clause was included. Of the seven contracts tested, certified payroll could not be provided for five of the contracts. This is not a statistically valid sample.
Repeat Finding: This is a repeat finding.
Recommendation: It is recommended that the District familiarize themselves with federal Wage Rate Requirements and implement internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by MSAD #27.
2023-002 - ALLOWABLE COSTS AND ACTIVITIES
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 2 CFR 200.303
Condition: During audit procedures, it was identified that the District’s process to document approval over disbursements is not working effectively.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Insufficient controls could allow for unallowable costs to be charged.
Identification Of Questioned Costs: None Identified
Context: There were 79 cash disbursements and 37 were tested and it was found that 19 of the disbursements tested did not have the Purchase Orders and 7 did not have approved invoices. The same 19 disbursements that did not have Purchase Orders did not have account codes written on the receipts to help ensure properly charged to the correct accounts. This is not statistically valid sample.
Repeat Finding: This is not a repeat finding.
Recommendation: It is recommended that the District implements internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Maine School Administrative District No. 27.
2023-002 - ALLOWABLE COSTS AND ACTIVITIES
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 2 CFR 200.303
Condition: During audit procedures, it was identified that the District’s process to document approval over disbursements is not working effectively.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Insufficient controls could allow for unallowable costs to be charged.
Identification Of Questioned Costs: None Identified
Context: There were 79 cash disbursements and 37 were tested and it was found that 19 of the disbursements tested did not have the Purchase Orders and 7 did not have approved invoices. The same 19 disbursements that did not have Purchase Orders did not have account codes written on the receipts to help ensure properly charged to the correct accounts. This is not statistically valid sample.
Repeat Finding: This is not a repeat finding.
Recommendation: It is recommended that the District implements internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Maine School Administrative District No. 27.
2023-002 - ALLOWABLE COSTS AND ACTIVITIES
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 2 CFR 200.303
Condition: During audit procedures, it was identified that the District’s process to document approval over disbursements is not working effectively.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Insufficient controls could allow for unallowable costs to be charged.
Identification Of Questioned Costs: None Identified
Context: There were 79 cash disbursements and 37 were tested and it was found that 19 of the disbursements tested did not have the Purchase Orders and 7 did not have approved invoices. The same 19 disbursements that did not have Purchase Orders did not have account codes written on the receipts to help ensure properly charged to the correct accounts. This is not statistically valid sample.
Repeat Finding: This is not a repeat finding.
Recommendation: It is recommended that the District implements internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Maine School Administrative District No. 27.
2023-002 - ALLOWABLE COSTS AND ACTIVITIES
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education:
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR applies to this finding: 2 CFR 200.303
Condition: During audit procedures, it was identified that the District’s process to document approval over disbursements is not working effectively.
Cause: The District does not have the necessary internal controls over compliance.
Effect: Insufficient controls could allow for unallowable costs to be charged.
Identification Of Questioned Costs: None Identified
Context: There were 79 cash disbursements and 37 were tested and it was found that 19 of the disbursements tested did not have the Purchase Orders and 7 did not have approved invoices. The same 19 disbursements that did not have Purchase Orders did not have account codes written on the receipts to help ensure properly charged to the correct accounts. This is not statistically valid sample.
Repeat Finding: This is not a repeat finding.
Recommendation: It is recommended that the District implements internal control processes and procedures to ensure that they are following the criteria above.
Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Maine School Administrative District No. 27.