FAC Explorer

Audit 308909

FY End
2023-06-30
Total Expended
$7.96M
Findings
2
Programs
17
Organization: Ottawa Elementary School District 141 (IL)
Year: 2023 Accepted: 2024-06-14
Auditor: Newkirk & Associates INC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
400881 2023-001 Material Weakness Yes L
977323 2023-001 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
84.425 Elementary and Secondary School Emergency Relief Grant $5.26M Yes 1
84.010 Title I- Low Income $706,021 - 0
10.555 National School Lunch Program $677,199 - 0
84.027 Fed. Sp. Ed.- Idea- Flowthrough $584,701 - 0
84.027 Fed. Sp. Ed.- Idea- Room and Board $184,627 - 0
10.553 School Breakfast Program $154,876 - 0
93.778 Medical Assistance Program $92,797 - 0
84.367 Improving Teacher Quality State Grants $61,878 - 0
10.555 Commodities $57,802 - 0
84.424 Student Support and Academic Enrichment Program $55,643 - 0
10.555 Dept of Defense- Fresh Fruits and Veg $41,734 - 0
10.559 Summer Food Service Program for Children $39,612 - 0
84.173 Special Education_preschool Grants $25,021 - 0
84.010 Title I- School Improvement $11,215 - 0
84.027 Arp Idea $8,412 - 0
10.649 Pandemic Ebt Administrative Costs $628 - 0
84.173 Arp Idea Preschool $450 - 0

Contacts

Name Title Type
L32ERMNSA8M9 Michelle Lee Auditee
8154331133 William Newkirk Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of OTTAWA ESD 141 and is presented on the regulatory basis of accounting as prescribed by ISBE. The information in this schedule is presented in accordance with the requirements of the Office of Management and Budget Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the General-Purpose financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not elect to use the 10% de minimis cost rate

Finding Details

Finding 2023-001
Criteria: In accordance with prescribed definitions in AU-C 265, it is a strong indication of a material weakness in internal control if an entity lack sufficient controls over the period-end financial reporting process. AU-C 265 provide guidance regarding the extent to which the auditor may be involved in drafting an entity's financial statements. Condition: The District prepares interim financial statements using software specifically designed for school district financial reporting. These interim reports are reviewed and approved by the District's Board of Education. For year end reporting purposes, the District relies on the auditor to prepare drafts of full disclosure financial statements (including footnotes) in a format acceptable by ISBE. The District currently lacks sufficient expertise to prepare year end, full disclosure financial statements without significant assistance from the auditor. The District does not lack the ability to review and approve all journal entries and the drafted financial statements. Context: Although the auditor can propose adjustments and assist in assembling or drafting the financial statements, the auditor cannot establish or maintain the District's internal controls, including monitoring ongoing activities, since doing so would impair the auditor's independence.
Finding 2023-001
Criteria: In accordance with prescribed definitions in AU-C 265, it is a strong indication of a material weakness in internal control if an entity lack sufficient controls over the period-end financial reporting process. AU-C 265 provide guidance regarding the extent to which the auditor may be involved in drafting an entity's financial statements. Condition: The District prepares interim financial statements using software specifically designed for school district financial reporting. These interim reports are reviewed and approved by the District's Board of Education. For year end reporting purposes, the District relies on the auditor to prepare drafts of full disclosure financial statements (including footnotes) in a format acceptable by ISBE. The District currently lacks sufficient expertise to prepare year end, full disclosure financial statements without significant assistance from the auditor. The District does not lack the ability to review and approve all journal entries and the drafted financial statements. Context: Although the auditor can propose adjustments and assist in assembling or drafting the financial statements, the auditor cannot establish or maintain the District's internal controls, including monitoring ongoing activities, since doing so would impair the auditor's independence.