FAC Explorer

Audit 310807

FY End
2023-09-30
Total Expended
$68.43M
Findings
2
Programs
15
Organization: Tallassee City Board of Education (AL)
Year: 2023 Accepted: 2024-06-28
Auditor: Patterson & Duke PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
403911 2023-001 Significant Deficiency Yes B
980353 2023-001 Significant Deficiency Yes B

Programs

ALN Program Spent Major Findings
93.778 Medical Assistance Program $64.40M Yes 1
84.010 Title I Grants to Local Educational Agencies $395,140 - 0
32.009 Emergency Connectivity Fund Program $314,000 - 0
10.553 School Breakfast Program $202,820 - 0
84.027 Special Education_grants to States $71,986 - 0
84.367 Improving Teacher Quality State Grants $71,225 - 0
10.555 National School Lunch Program $53,224 - 0
84.358 Rural Education $44,320 - 0
84.424 Student Support and Academic Enrichment Program $27,651 - 0
84.048 Career and Technical Education -- Basic Grants to States $25,178 - 0
10.559 Summer Food Service Program for Children $8,759 - 0
84.173 Special Education_preschool Grants $3,811 - 0
84.425 Education Stabilization Fund $3,595 - 0
10.558 Child and Adult Care Food Program $906 - 0
96.001 Social Security_disability Insurance $560 - 0

Contacts

Name Title Type
WWLAVNCUGKG6 Jennifer Hornsby Auditee
3342836864 Tasha Patterson Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Tallassee City Board of Education has not elected to use the 10-percent de minimis indirect cost rate as allowed in the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (the "Schedule") includes the federal award activity of the Tallassee City Board of Education under programs of the federal government for the year ended September 30, 2023. The information in this 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). Because the Schedule presents only a selected portion of the operations of the Tallassee City Board of Education, it is not intended to and does not present the financial position or changes in net position of the Tallassee City Board of Education.
Title: Summary of Significant Accounting Policies Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Tallassee City Board of Education has not elected to use the 10-percent de minimis indirect cost rate as allowed in the Uniform Guidance. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Title: Indirect Cost Rate Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Tallassee City Board of Education has not elected to use the 10-percent de minimis indirect cost rate as allowed in the Uniform Guidance. The Tallassee City Board of Education has not elected to use the 10-percent de minimis indirect cost rate as allowed in the Uniform Guidance.

Finding Details

Finding 2023-001
HHS Medical Assistance Program -CFDA No. 93.778 - Assistance Period: FYE September 30, 2023. Criteria: Compliance requirements for the program as shown on the Matrix of Compliance Requirements-OMB Compliance Supplement and Alabama Medicaid Administrative Claim Program (MAC) Public Assistance Cost Allocation Plan. Condition: Expenditures submitted for the Alabama Medicaid Administrative Claiming program included expenditures supported by federal funds and undocumented costs. Questioned Costs: $8,758,865. $32,431 relates to duplication of federal funds for individual participant salary and benefit costs. $4,834,628 relates to duplication of federal funds in the allocated costs reported on the claim. $3,891,806 relates to costs paid with non-federal funds that were properly documented. This amount was determined by inspecting documents used to complete claim for reimbursement. Context: 5% of the school districts participating in the MAC program were examined. Of the 7 examined, 5 claimed expenditures that were supported by federal funds. The sample was a statistically valid sample. The claim quarters paid during the fiscal year were: July-September 2022, October-December 2022, January-March 2023 and April-June 2023. Effect: Duplication of federal funds. Ineligible costs. Cause: Lack of reconciliation and review procedures applied by participating school district MAC Program Coordinators to claim data prior to submission for payment. Recommendation: We recommend that Tallassee City Board of Education develop reconciliation and review procedures to be applied by the participating school districts prior to the quarterly claim and submission. We also recommend that participating district MAC Program Coordinators be required to participate in training specific to the MAC claims process on an annual basis. New coordinators should be required to complete the training prior to submitting claims for reimbursement. Response: Tallassee City Board of Education agrees with the finding and will immediately begin to develop additional procedures and policies based on the recommendation and disseminate the information to the participating districts.
Finding 2023-001
HHS Medical Assistance Program -CFDA No. 93.778 - Assistance Period: FYE September 30, 2023. Criteria: Compliance requirements for the program as shown on the Matrix of Compliance Requirements-OMB Compliance Supplement and Alabama Medicaid Administrative Claim Program (MAC) Public Assistance Cost Allocation Plan. Condition: Expenditures submitted for the Alabama Medicaid Administrative Claiming program included expenditures supported by federal funds and undocumented costs. Questioned Costs: $8,758,865. $32,431 relates to duplication of federal funds for individual participant salary and benefit costs. $4,834,628 relates to duplication of federal funds in the allocated costs reported on the claim. $3,891,806 relates to costs paid with non-federal funds that were properly documented. This amount was determined by inspecting documents used to complete claim for reimbursement. Context: 5% of the school districts participating in the MAC program were examined. Of the 7 examined, 5 claimed expenditures that were supported by federal funds. The sample was a statistically valid sample. The claim quarters paid during the fiscal year were: July-September 2022, October-December 2022, January-March 2023 and April-June 2023. Effect: Duplication of federal funds. Ineligible costs. Cause: Lack of reconciliation and review procedures applied by participating school district MAC Program Coordinators to claim data prior to submission for payment. Recommendation: We recommend that Tallassee City Board of Education develop reconciliation and review procedures to be applied by the participating school districts prior to the quarterly claim and submission. We also recommend that participating district MAC Program Coordinators be required to participate in training specific to the MAC claims process on an annual basis. New coordinators should be required to complete the training prior to submitting claims for reimbursement. Response: Tallassee City Board of Education agrees with the finding and will immediately begin to develop additional procedures and policies based on the recommendation and disseminate the information to the participating districts.