FAC Explorer

Audit 31205

FY End
2022-06-30
Total Expended
$10.44M
Findings
4
Programs
18
Organization: Logan County School District (KY)
Year: 2022 Accepted: 2022-12-15
Auditor: Carr Riggs & Ingram LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
38193 2022-001 Significant Deficiency - AB
38194 2022-001 Significant Deficiency - AB
614635 2022-001 Significant Deficiency - AB
614636 2022-001 Significant Deficiency - AB

Programs

ALN Program Spent Major Findings
84.425 Covid-19 Education Stabilization Fund $2.51M Yes 0
10.555 National School Lunch Program $1.68M - 0
84.010 Title I Grants to Local Educational Agencies $889,077 - 0
84.027 Special Education_grants to States $784,243 - 0
10.553 School Breakfast Program $590,991 - 0
10.559 Summer Food Service Program for Children $384,675 - 0
84.367 Improving Teacher Quality State Grants $150,838 - 0
84.173 Special Education_preschool Grants $96,865 - 0
12.U01 Rotc $74,761 - 0
84.358 Rural Education $62,711 - 0
84.424 Student Support and Academic Enrichment Program $52,119 - 0
84.011 Migrant Education_state Grant Program $29,085 - 0
84.048 Career and Technical Education -- Basic Grants to States $27,654 - 0
84.365 English Language Acquisition State Grants $4,434 - 0
93.434 Every Student Succeeds Act/preschool Development Grants $3,641 - 0
10.560 State Administrative Expenses for Child Nutrition $3,300 - 0
10.649 Covid-19 Pandemic Ebt Administrative Costs $3,063 - 0
84.938 Disaster Recovery Assistance for Education $1,200 - 0

Contacts

Name Title Type
U59KWNZ5JWC8 Karla Paddock Auditee
2707262436 Shelly Compton Auditor
No contacts on file

Notes to SEFA

Title: SUBRECIPIENTS 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 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. Non-monetary assistance is reported in the schedule at fair value of the goods received. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The District did not provide federal funds to subrecipients for the fiscal year ended June 30, 2022.
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 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. Non-monetary assistance is reported in the schedule at fair value of the goods received. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the schedule) includes the federal grant activity of Logan County School District (the District) under programs of the federal government for the year ended June 30, 2022. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 District, it is not intended to and does not present the financial position, changes in net position or cash flows of the District.
Title: LOANS AND LOAN GUARANTEES 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 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. Non-monetary assistance is reported in the schedule at fair value of the goods received. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The District did not have any loans or loan guarantee programs required to be reported on the schedule.

Finding Details

Finding 2022-001
2022-001 COVID-19 Education Stabilization Fund ? Assistance Listing No. 84.425; Grant period ? Year ended June 30, 2022 Criteria and Condition: 2 CFR 200.303 requires the non-federal entity to establish and maintain effective internal controls over compliance with Federal statues, regulations, and the terms and conditions of the Federal award including proper tracking of grant expenditures or compliance. The District?s processes over approving allowable costs could be enhanced as costs were charged to the Education Stabilization Fund grant that were not allowable in accordance with the Kentucky Department of Education?s ESSER I, ESSER II, and ARP ESSER Funding Matrix. Cause: Certain internal controls were not in place to prevent unallowable costs from being charged to the grant. Effect: The cost of the assistance may be disallowed. Questioned Costs: $20,552 Context: A sample of 60 checks totaling $558,621 were selected for audit from a population of 520 checks totaling $1,108,883 that were transferred to the Education Stabilization Fund grant via a journal entry. The test found six checks that were not in compliance with questioned costs totaling $20,552. Our sample was a statistically valid sample. Recommendation: The District should verify the allowability of costs prior to being transferred or charged to the grant. Views of Responsible Officials and Planned Corrective Actions: The District concurs with the finding, see corrective action plan.
Finding 2022-001
2022-001 COVID-19 Education Stabilization Fund ? Assistance Listing No. 84.425; Grant period ? Year ended June 30, 2022 Criteria and Condition: 2 CFR 200.303 requires the non-federal entity to establish and maintain effective internal controls over compliance with Federal statues, regulations, and the terms and conditions of the Federal award including proper tracking of grant expenditures or compliance. The District?s processes over approving allowable costs could be enhanced as costs were charged to the Education Stabilization Fund grant that were not allowable in accordance with the Kentucky Department of Education?s ESSER I, ESSER II, and ARP ESSER Funding Matrix. Cause: Certain internal controls were not in place to prevent unallowable costs from being charged to the grant. Effect: The cost of the assistance may be disallowed. Questioned Costs: $20,552 Context: A sample of 60 checks totaling $558,621 were selected for audit from a population of 520 checks totaling $1,108,883 that were transferred to the Education Stabilization Fund grant via a journal entry. The test found six checks that were not in compliance with questioned costs totaling $20,552. Our sample was a statistically valid sample. Recommendation: The District should verify the allowability of costs prior to being transferred or charged to the grant. Views of Responsible Officials and Planned Corrective Actions: The District concurs with the finding, see corrective action plan.
Finding 2022-001
2022-001 COVID-19 Education Stabilization Fund ? Assistance Listing No. 84.425; Grant period ? Year ended June 30, 2022 Criteria and Condition: 2 CFR 200.303 requires the non-federal entity to establish and maintain effective internal controls over compliance with Federal statues, regulations, and the terms and conditions of the Federal award including proper tracking of grant expenditures or compliance. The District?s processes over approving allowable costs could be enhanced as costs were charged to the Education Stabilization Fund grant that were not allowable in accordance with the Kentucky Department of Education?s ESSER I, ESSER II, and ARP ESSER Funding Matrix. Cause: Certain internal controls were not in place to prevent unallowable costs from being charged to the grant. Effect: The cost of the assistance may be disallowed. Questioned Costs: $20,552 Context: A sample of 60 checks totaling $558,621 were selected for audit from a population of 520 checks totaling $1,108,883 that were transferred to the Education Stabilization Fund grant via a journal entry. The test found six checks that were not in compliance with questioned costs totaling $20,552. Our sample was a statistically valid sample. Recommendation: The District should verify the allowability of costs prior to being transferred or charged to the grant. Views of Responsible Officials and Planned Corrective Actions: The District concurs with the finding, see corrective action plan.
Finding 2022-001
2022-001 COVID-19 Education Stabilization Fund ? Assistance Listing No. 84.425; Grant period ? Year ended June 30, 2022 Criteria and Condition: 2 CFR 200.303 requires the non-federal entity to establish and maintain effective internal controls over compliance with Federal statues, regulations, and the terms and conditions of the Federal award including proper tracking of grant expenditures or compliance. The District?s processes over approving allowable costs could be enhanced as costs were charged to the Education Stabilization Fund grant that were not allowable in accordance with the Kentucky Department of Education?s ESSER I, ESSER II, and ARP ESSER Funding Matrix. Cause: Certain internal controls were not in place to prevent unallowable costs from being charged to the grant. Effect: The cost of the assistance may be disallowed. Questioned Costs: $20,552 Context: A sample of 60 checks totaling $558,621 were selected for audit from a population of 520 checks totaling $1,108,883 that were transferred to the Education Stabilization Fund grant via a journal entry. The test found six checks that were not in compliance with questioned costs totaling $20,552. Our sample was a statistically valid sample. Recommendation: The District should verify the allowability of costs prior to being transferred or charged to the grant. Views of Responsible Officials and Planned Corrective Actions: The District concurs with the finding, see corrective action plan.