Audit 308215

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Education Stabilization Fund AL Number(s): 84.425/84.425D/84.425U Award Year: 2023 & 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding Compliance Internal Control over Compliance - Significant Deficiency Criteria or Specific Requirement All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141–3144, 3146, and 3147. Recipients and subrecipients that use Education Stabilization Fund funds for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must ensure that wage rate requirements are met. Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context During our single audit of School District for the fiscal year ended June 30, 2023, it was noted that there was insufficient documentation to support compliance with the wage rate requirements set forth by the Davis-Bacon Act. The School District was unable to locate payroll records that included the necessary evidence to verify that all workers were paid the correct wage rates as per the specified standards. Cause The cause of the finding appears to be a lack of adequate internal controls and procedures to ensure that payroll documentation is properly maintained and reviewed regularly for compliance with federal wage rate requirements. Effect or Potential Effect The absence of adequate support for the wage rate compliance jeopardizes the School District's standing with respect to future federal funding and could potentially result in financial sanctions or reimbursement of funds to the federal program. Questioned Costs The questioned costs amount to $18,228, which represents wages paid during the audit period that lacked adequate supporting documentation. Recommendation The School District should implement robust internal control procedures to ensure compliance with wage rate requirements. This should include regular training for payroll staff, periodic internal audits to review compliance, and maintaining detailed records that demonstrate that all workers are paid in accordance with the applicable wage rates. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Education Stabilization Fund AL Number(s): 84.425/84.425D/84.425U Award Year: 2023 & 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding Compliance Internal Control over Compliance - Significant Deficiency Criteria or Specific Requirement All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141–3144, 3146, and 3147. Recipients and subrecipients that use Education Stabilization Fund funds for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must ensure that wage rate requirements are met. Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context During our single audit of School District for the fiscal year ended June 30, 2023, it was noted that there was insufficient documentation to support compliance with the wage rate requirements set forth by the Davis-Bacon Act. The School District was unable to locate payroll records that included the necessary evidence to verify that all workers were paid the correct wage rates as per the specified standards. Cause The cause of the finding appears to be a lack of adequate internal controls and procedures to ensure that payroll documentation is properly maintained and reviewed regularly for compliance with federal wage rate requirements. Effect or Potential Effect The absence of adequate support for the wage rate compliance jeopardizes the School District's standing with respect to future federal funding and could potentially result in financial sanctions or reimbursement of funds to the federal program. Questioned Costs The questioned costs amount to $18,228, which represents wages paid during the audit period that lacked adequate supporting documentation. Recommendation The School District should implement robust internal control procedures to ensure compliance with wage rate requirements. This should include regular training for payroll staff, periodic internal audits to review compliance, and maintaining detailed records that demonstrate that all workers are paid in accordance with the applicable wage rates. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Education Stabilization Fund AL Number(s): 84.425/84.425D/84.425U Award Year: 2023 & 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding Compliance Internal Control over Compliance - Significant Deficiency Criteria or Specific Requirement All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141–3144, 3146, and 3147. Recipients and subrecipients that use Education Stabilization Fund funds for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must ensure that wage rate requirements are met. Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context During our single audit of School District for the fiscal year ended June 30, 2023, it was noted that there was insufficient documentation to support compliance with the wage rate requirements set forth by the Davis-Bacon Act. The School District was unable to locate payroll records that included the necessary evidence to verify that all workers were paid the correct wage rates as per the specified standards. Cause The cause of the finding appears to be a lack of adequate internal controls and procedures to ensure that payroll documentation is properly maintained and reviewed regularly for compliance with federal wage rate requirements. Effect or Potential Effect The absence of adequate support for the wage rate compliance jeopardizes the School District's standing with respect to future federal funding and could potentially result in financial sanctions or reimbursement of funds to the federal program. Questioned Costs The questioned costs amount to $18,228, which represents wages paid during the audit period that lacked adequate supporting documentation. Recommendation The School District should implement robust internal control procedures to ensure compliance with wage rate requirements. This should include regular training for payroll staff, periodic internal audits to review compliance, and maintaining detailed records that demonstrate that all workers are paid in accordance with the applicable wage rates. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Education Stabilization Fund AL Number(s): 84.425/84.425D/84.425U Award Year: 2023 & 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding Compliance Internal Control over Compliance - Significant Deficiency Criteria or Specific Requirement All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141–3144, 3146, and 3147. Recipients and subrecipients that use Education Stabilization Fund funds for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must ensure that wage rate requirements are met. Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context During our single audit of School District for the fiscal year ended June 30, 2023, it was noted that there was insufficient documentation to support compliance with the wage rate requirements set forth by the Davis-Bacon Act. The School District was unable to locate payroll records that included the necessary evidence to verify that all workers were paid the correct wage rates as per the specified standards. Cause The cause of the finding appears to be a lack of adequate internal controls and procedures to ensure that payroll documentation is properly maintained and reviewed regularly for compliance with federal wage rate requirements. Effect or Potential Effect The absence of adequate support for the wage rate compliance jeopardizes the School District's standing with respect to future federal funding and could potentially result in financial sanctions or reimbursement of funds to the federal program. Questioned Costs The questioned costs amount to $18,228, which represents wages paid during the audit period that lacked adequate supporting documentation. Recommendation The School District should implement robust internal control procedures to ensure compliance with wage rate requirements. This should include regular training for payroll staff, periodic internal audits to review compliance, and maintaining detailed records that demonstrate that all workers are paid in accordance with the applicable wage rates. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027 Award Year: 2023 Compliance Requirement: Period of Performance Type of Finding Compliance Internal Control over Compliance – Material Weakness Criteria or Specific Requirement A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context There were several invoices for costs that occurred prior to the start of the School District’s fiscal year 2023 IDEA special education grant. Since these costs occurred outside of the authorized period of performance, they are not eligible to be charged to that grant. Cause The School District has not established adequate procedures to ensure costs charged to the grant are within the authorized period of performance. Effect or Potential Effect Due to the weakness in internal control noted above, there are known and questioned costs reported related to salaries and contracted services incurred prior to the period of performance and charged to the grant. Questioned Costs Known questioned costs reported are $49,883. Recommendation The School District should implement controls to ensure that no costs are incurred for a grant prior to the authorized period of performance. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Education Stabilization Fund AL Number(s): 84.425/84.425D/84.425U Award Year: 2023 & 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding Compliance Internal Control over Compliance - Significant Deficiency Criteria or Specific Requirement All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141–3144, 3146, and 3147. Recipients and subrecipients that use Education Stabilization Fund funds for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must ensure that wage rate requirements are met. Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context During our single audit of School District for the fiscal year ended June 30, 2023, it was noted that there was insufficient documentation to support compliance with the wage rate requirements set forth by the Davis-Bacon Act. The School District was unable to locate payroll records that included the necessary evidence to verify that all workers were paid the correct wage rates as per the specified standards. Cause The cause of the finding appears to be a lack of adequate internal controls and procedures to ensure that payroll documentation is properly maintained and reviewed regularly for compliance with federal wage rate requirements. Effect or Potential Effect The absence of adequate support for the wage rate compliance jeopardizes the School District's standing with respect to future federal funding and could potentially result in financial sanctions or reimbursement of funds to the federal program. Questioned Costs The questioned costs amount to $18,228, which represents wages paid during the audit period that lacked adequate supporting documentation. Recommendation The School District should implement robust internal control procedures to ensure compliance with wage rate requirements. This should include regular training for payroll staff, periodic internal audits to review compliance, and maintaining detailed records that demonstrate that all workers are paid in accordance with the applicable wage rates. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Education Stabilization Fund AL Number(s): 84.425/84.425D/84.425U Award Year: 2023 & 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding Compliance Internal Control over Compliance - Significant Deficiency Criteria or Specific Requirement All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141–3144, 3146, and 3147. Recipients and subrecipients that use Education Stabilization Fund funds for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must ensure that wage rate requirements are met. Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context During our single audit of School District for the fiscal year ended June 30, 2023, it was noted that there was insufficient documentation to support compliance with the wage rate requirements set forth by the Davis-Bacon Act. The School District was unable to locate payroll records that included the necessary evidence to verify that all workers were paid the correct wage rates as per the specified standards. Cause The cause of the finding appears to be a lack of adequate internal controls and procedures to ensure that payroll documentation is properly maintained and reviewed regularly for compliance with federal wage rate requirements. Effect or Potential Effect The absence of adequate support for the wage rate compliance jeopardizes the School District's standing with respect to future federal funding and could potentially result in financial sanctions or reimbursement of funds to the federal program. Questioned Costs The questioned costs amount to $18,228, which represents wages paid during the audit period that lacked adequate supporting documentation. Recommendation The School District should implement robust internal control procedures to ensure compliance with wage rate requirements. This should include regular training for payroll staff, periodic internal audits to review compliance, and maintaining detailed records that demonstrate that all workers are paid in accordance with the applicable wage rates. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Education Stabilization Fund AL Number(s): 84.425/84.425D/84.425U Award Year: 2023 & 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding Compliance Internal Control over Compliance - Significant Deficiency Criteria or Specific Requirement All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141–3144, 3146, and 3147. Recipients and subrecipients that use Education Stabilization Fund funds for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must ensure that wage rate requirements are met. Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context During our single audit of School District for the fiscal year ended June 30, 2023, it was noted that there was insufficient documentation to support compliance with the wage rate requirements set forth by the Davis-Bacon Act. The School District was unable to locate payroll records that included the necessary evidence to verify that all workers were paid the correct wage rates as per the specified standards. Cause The cause of the finding appears to be a lack of adequate internal controls and procedures to ensure that payroll documentation is properly maintained and reviewed regularly for compliance with federal wage rate requirements. Effect or Potential Effect The absence of adequate support for the wage rate compliance jeopardizes the School District's standing with respect to future federal funding and could potentially result in financial sanctions or reimbursement of funds to the federal program. Questioned Costs The questioned costs amount to $18,228, which represents wages paid during the audit period that lacked adequate supporting documentation. Recommendation The School District should implement robust internal control procedures to ensure compliance with wage rate requirements. This should include regular training for payroll staff, periodic internal audits to review compliance, and maintaining detailed records that demonstrate that all workers are paid in accordance with the applicable wage rates. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.

Federal Agency: Department of Education Cluster/Program: Education Stabilization Fund AL Number(s): 84.425/84.425D/84.425U Award Year: 2023 & 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding Compliance Internal Control over Compliance - Significant Deficiency Criteria or Specific Requirement All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) (40 USC 3141–3144, 3146, and 3147. Recipients and subrecipients that use Education Stabilization Fund funds for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must ensure that wage rate requirements are met. Management of the School District is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal pro¬gram. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of per¬forming their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context During our single audit of School District for the fiscal year ended June 30, 2023, it was noted that there was insufficient documentation to support compliance with the wage rate requirements set forth by the Davis-Bacon Act. The School District was unable to locate payroll records that included the necessary evidence to verify that all workers were paid the correct wage rates as per the specified standards. Cause The cause of the finding appears to be a lack of adequate internal controls and procedures to ensure that payroll documentation is properly maintained and reviewed regularly for compliance with federal wage rate requirements. Effect or Potential Effect The absence of adequate support for the wage rate compliance jeopardizes the School District's standing with respect to future federal funding and could potentially result in financial sanctions or reimbursement of funds to the federal program. Questioned Costs The questioned costs amount to $18,228, which represents wages paid during the audit period that lacked adequate supporting documentation. Recommendation The School District should implement robust internal control procedures to ensure compliance with wage rate requirements. This should include regular training for payroll staff, periodic internal audits to review compliance, and maintaining detailed records that demonstrate that all workers are paid in accordance with the applicable wage rates. Views of Responsible Official Management agrees with the finding. Planned Corrective Action Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.