FAC Explorer

Audit 316452

FY End
2023-06-30
Total Expended
$2.49M
Findings
12
Programs
8
Organization: Freetown-Lakeville Regional School District (MA)
Year: 2023 Accepted: 2024-08-01
Auditor: Lynch Marini & Associates INC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
480132 2023-002 Material Weakness - L
480133 2023-003 Material Weakness - P
480134 2023-002 Material Weakness - L
480135 2023-003 Material Weakness - P
480136 2023-002 Material Weakness - L
480137 2023-003 Material Weakness - P
1056574 2023-002 Material Weakness - L
1056575 2023-003 Material Weakness - P
1056576 2023-002 Material Weakness - L
1056577 2023-003 Material Weakness - P
1056578 2023-002 Material Weakness - L
1056579 2023-003 Material Weakness - P

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $209,553 - 0
84.367 Improving Teacher Quality State Grants $73,020 - 0
10.555 National School Lunch Program $66,400 - 0
10.553 School Breakfast Program $55,919 - 0
84.424 Student Support and Academic Enrichment Program $39,495 - 0
84.425 Education Stabilization Fund $1,586 Yes 2
84.027 Special Education_grants to States $712 Yes 0
84.173 Special Education_preschool Grants $93 Yes 0

Contacts

Name Title Type
EFBUVDSKXCS5 John Higgins Auditee
5089232000 Grady Connor Auditor
No contacts on file

Notes to SEFA

Title: Note 1. Basis of Presentation Accounting Policies: Accounting policies and financial reporting practices permitted for municipalities in Massachusetts are prescribed by the Uniform Municipal Accounting System (UMAS) promulgated by the Commonwealth of Massachusetts Department of Revenue. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The information included in the Schedule may not fully agree with other federal award reports the District submits to federal awarding or pass-through entities De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The Freetown-Lakeville Regional School District (the District) is a governmental agency established by the laws of the Commonwealth of Massachusetts, for the purposes of providing public education for pre-kindergarten through high school. It is comprised of its member towns of the Town of Freetown and the Town of Lakeville. All operations related to the District’s federal grant programs are included in the scope of the OMB Uniform Guidance. The U.S. Department of Education has been designated as the District’s oversight agency for purposes of the audit.The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the Freetown-Lakeville Regional School District for the year ended June 30, 2023. The information in the 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 Freetown-Lakeville Regional School District, it is not intended to and does not present the financial position, or changes in the financial position, of the District.
Title: Note 2. Summary of Significant Accounting Policies Accounting Policies: Accounting policies and financial reporting practices permitted for municipalities in Massachusetts are prescribed by the Uniform Municipal Accounting System (UMAS) promulgated by the Commonwealth of Massachusetts Department of Revenue. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The information included in the Schedule may not fully agree with other federal award reports the District submits to federal awarding or pass-through entities De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. Accounting policies and financial reporting practices permitted for municipalities in Massachusetts are prescribed by the Uniform Municipal Accounting System (UMAS) promulgated by the Commonwealth of Massachusetts Department of Revenue. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The information included in the Schedule may not fully agree with other federal award reports the District submits to federal awarding or pass-through entities. Cash and Non-Cash Assistance – Child Nutrition Cluster The following defines the cash and non-cash assistance provided by the U.S. Department of Agriculture’s Child Nutrition Cluster – National School Lunch Program & Breakfast Program (Federal Assistance Listing #10.553;#10.555):Cash assistance – expenditures represent federal reimbursement for meals during the year.Non-cash assistance – represents food commodities received under a state distribution formula and are valued at federally published wholesale prices for purposes of this schedule. Such commodities are not recorded in the financial records, although memorandum records are maintained.
Title: Note 3. Indirect cost rate Accounting Policies: Accounting policies and financial reporting practices permitted for municipalities in Massachusetts are prescribed by the Uniform Municipal Accounting System (UMAS) promulgated by the Commonwealth of Massachusetts Department of Revenue. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The information included in the Schedule may not fully agree with other federal award reports the District submits to federal awarding or pass-through entities De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The District has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: Note 4. Subrecipients Accounting Policies: Accounting policies and financial reporting practices permitted for municipalities in Massachusetts are prescribed by the Uniform Municipal Accounting System (UMAS) promulgated by the Commonwealth of Massachusetts Department of Revenue. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The information included in the Schedule may not fully agree with other federal award reports the District submits to federal awarding or pass-through entities De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The District provided no federal funds to any subrecipient.
Title: Note 5. COVID-19 pendemic related funding Accounting Policies: Accounting policies and financial reporting practices permitted for municipalities in Massachusetts are prescribed by the Uniform Municipal Accounting System (UMAS) promulgated by the Commonwealth of Massachusetts Department of Revenue. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The information included in the Schedule may not fully agree with other federal award reports the District submits to federal awarding or pass-through entities De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. Programs identified in the accompanying Schedule of Expenditures of Federal Awards which have been funded pursuant to federal legislation as a result of the coronavirus pandemic have been specifically indicated with the prefix- COVID-19.

Finding Details

Finding 2023-002
Criteria:Current Uniform Guidance (and financial reporting) highlights the importance and requirements for grantees to maintain a system of internal controls surrounding the administration of federal grants which ensure all compliance requirements and the financial reporting related thereto are achieved for each federal program. Condition:The District’s general ledger for fiscal year 2023 did not reconcile with subsequent reporting for the fiscal year 2023 activity reported to the Commonwealth of Massachusetts. Moreover, the Final Reporting associated with the program has not been filed. As a result of our audit procedures, we noted the District understated fiscal year 2023 expenditures reported as expended in the grant by approximately $263,000. We also noted an additional $208,000 of subsequent year expenditures (FY2024) not posted to the grant within the ledger. Cause: The District’s general ledger and underlying grants and associated reporting were not reconciled. Potential Effect: The District’s reporting associated with the program is late. Additionally, the lack of reconciliation and monitoring of the grants with the general ledger allow for material misstatements within the District’s general ledger (financial statements and schedule of expenditures of federal awards) to occur. Misstatements could have an effect upon the decisions made by the users of the financial information. Based upon our procedures and discussion with current personnel, adjusting entries were proposed to correct the identified misclassified. Repeat Finding: This is a new finding in the current year. Auditor’s Recommendation: While the aforementioned program did not have a supplanting restriction, in our opinion, the District should post all financial activity as intended as part of the overall monitoring and grants administration. At minimum, routine reconciliation with grant administration personnel should be performed with the underlying accounting records to ensure adjusting/reclassifying entries (if needed) are posted timely, ensuring the accuracy of the general ledger and financial reports filed with pass-through entities. In our professional opinion, the District should evaluate established grants management policies and procedures and refined as deemed appropriate. Evaluation of established procedures should be incorporated as part of a routine risk assessment program.
Finding 2023-003
Criteria: OMB guidelines generally requires the District’s Single Audit to be completed and filed by March 31 of the following year (March 31, 2024). Condition: The District was unable to meet the filing deadline in the current year. Cause: The District was not closed out and timely with the audit. Repeat Finding: This is a new finding in the current year. Potential Effect: The District’s filing of the reporting package is considered late by OMB. Auditor’s Recommendation: We recommend the District work to meet the required filing deadline.
Finding 2023-002
Criteria:Current Uniform Guidance (and financial reporting) highlights the importance and requirements for grantees to maintain a system of internal controls surrounding the administration of federal grants which ensure all compliance requirements and the financial reporting related thereto are achieved for each federal program. Condition:The District’s general ledger for fiscal year 2023 did not reconcile with subsequent reporting for the fiscal year 2023 activity reported to the Commonwealth of Massachusetts. Moreover, the Final Reporting associated with the program has not been filed. As a result of our audit procedures, we noted the District understated fiscal year 2023 expenditures reported as expended in the grant by approximately $263,000. We also noted an additional $208,000 of subsequent year expenditures (FY2024) not posted to the grant within the ledger. Cause: The District’s general ledger and underlying grants and associated reporting were not reconciled. Potential Effect: The District’s reporting associated with the program is late. Additionally, the lack of reconciliation and monitoring of the grants with the general ledger allow for material misstatements within the District’s general ledger (financial statements and schedule of expenditures of federal awards) to occur. Misstatements could have an effect upon the decisions made by the users of the financial information. Based upon our procedures and discussion with current personnel, adjusting entries were proposed to correct the identified misclassified. Repeat Finding: This is a new finding in the current year. Auditor’s Recommendation: While the aforementioned program did not have a supplanting restriction, in our opinion, the District should post all financial activity as intended as part of the overall monitoring and grants administration. At minimum, routine reconciliation with grant administration personnel should be performed with the underlying accounting records to ensure adjusting/reclassifying entries (if needed) are posted timely, ensuring the accuracy of the general ledger and financial reports filed with pass-through entities. In our professional opinion, the District should evaluate established grants management policies and procedures and refined as deemed appropriate. Evaluation of established procedures should be incorporated as part of a routine risk assessment program.
Finding 2023-003
Criteria: OMB guidelines generally requires the District’s Single Audit to be completed and filed by March 31 of the following year (March 31, 2024). Condition: The District was unable to meet the filing deadline in the current year. Cause: The District was not closed out and timely with the audit. Repeat Finding: This is a new finding in the current year. Potential Effect: The District’s filing of the reporting package is considered late by OMB. Auditor’s Recommendation: We recommend the District work to meet the required filing deadline.
Finding 2023-002
Criteria:Current Uniform Guidance (and financial reporting) highlights the importance and requirements for grantees to maintain a system of internal controls surrounding the administration of federal grants which ensure all compliance requirements and the financial reporting related thereto are achieved for each federal program. Condition:The District’s general ledger for fiscal year 2023 did not reconcile with subsequent reporting for the fiscal year 2023 activity reported to the Commonwealth of Massachusetts. Moreover, the Final Reporting associated with the program has not been filed. As a result of our audit procedures, we noted the District understated fiscal year 2023 expenditures reported as expended in the grant by approximately $263,000. We also noted an additional $208,000 of subsequent year expenditures (FY2024) not posted to the grant within the ledger. Cause: The District’s general ledger and underlying grants and associated reporting were not reconciled. Potential Effect: The District’s reporting associated with the program is late. Additionally, the lack of reconciliation and monitoring of the grants with the general ledger allow for material misstatements within the District’s general ledger (financial statements and schedule of expenditures of federal awards) to occur. Misstatements could have an effect upon the decisions made by the users of the financial information. Based upon our procedures and discussion with current personnel, adjusting entries were proposed to correct the identified misclassified. Repeat Finding: This is a new finding in the current year. Auditor’s Recommendation: While the aforementioned program did not have a supplanting restriction, in our opinion, the District should post all financial activity as intended as part of the overall monitoring and grants administration. At minimum, routine reconciliation with grant administration personnel should be performed with the underlying accounting records to ensure adjusting/reclassifying entries (if needed) are posted timely, ensuring the accuracy of the general ledger and financial reports filed with pass-through entities. In our professional opinion, the District should evaluate established grants management policies and procedures and refined as deemed appropriate. Evaluation of established procedures should be incorporated as part of a routine risk assessment program.
Finding 2023-003
Criteria: OMB guidelines generally requires the District’s Single Audit to be completed and filed by March 31 of the following year (March 31, 2024). Condition: The District was unable to meet the filing deadline in the current year. Cause: The District was not closed out and timely with the audit. Repeat Finding: This is a new finding in the current year. Potential Effect: The District’s filing of the reporting package is considered late by OMB. Auditor’s Recommendation: We recommend the District work to meet the required filing deadline.
Finding 2023-002
Criteria:Current Uniform Guidance (and financial reporting) highlights the importance and requirements for grantees to maintain a system of internal controls surrounding the administration of federal grants which ensure all compliance requirements and the financial reporting related thereto are achieved for each federal program. Condition:The District’s general ledger for fiscal year 2023 did not reconcile with subsequent reporting for the fiscal year 2023 activity reported to the Commonwealth of Massachusetts. Moreover, the Final Reporting associated with the program has not been filed. As a result of our audit procedures, we noted the District understated fiscal year 2023 expenditures reported as expended in the grant by approximately $263,000. We also noted an additional $208,000 of subsequent year expenditures (FY2024) not posted to the grant within the ledger. Cause: The District’s general ledger and underlying grants and associated reporting were not reconciled. Potential Effect: The District’s reporting associated with the program is late. Additionally, the lack of reconciliation and monitoring of the grants with the general ledger allow for material misstatements within the District’s general ledger (financial statements and schedule of expenditures of federal awards) to occur. Misstatements could have an effect upon the decisions made by the users of the financial information. Based upon our procedures and discussion with current personnel, adjusting entries were proposed to correct the identified misclassified. Repeat Finding: This is a new finding in the current year. Auditor’s Recommendation: While the aforementioned program did not have a supplanting restriction, in our opinion, the District should post all financial activity as intended as part of the overall monitoring and grants administration. At minimum, routine reconciliation with grant administration personnel should be performed with the underlying accounting records to ensure adjusting/reclassifying entries (if needed) are posted timely, ensuring the accuracy of the general ledger and financial reports filed with pass-through entities. In our professional opinion, the District should evaluate established grants management policies and procedures and refined as deemed appropriate. Evaluation of established procedures should be incorporated as part of a routine risk assessment program.
Finding 2023-003
Criteria: OMB guidelines generally requires the District’s Single Audit to be completed and filed by March 31 of the following year (March 31, 2024). Condition: The District was unable to meet the filing deadline in the current year. Cause: The District was not closed out and timely with the audit. Repeat Finding: This is a new finding in the current year. Potential Effect: The District’s filing of the reporting package is considered late by OMB. Auditor’s Recommendation: We recommend the District work to meet the required filing deadline.
Finding 2023-002
Criteria:Current Uniform Guidance (and financial reporting) highlights the importance and requirements for grantees to maintain a system of internal controls surrounding the administration of federal grants which ensure all compliance requirements and the financial reporting related thereto are achieved for each federal program. Condition:The District’s general ledger for fiscal year 2023 did not reconcile with subsequent reporting for the fiscal year 2023 activity reported to the Commonwealth of Massachusetts. Moreover, the Final Reporting associated with the program has not been filed. As a result of our audit procedures, we noted the District understated fiscal year 2023 expenditures reported as expended in the grant by approximately $263,000. We also noted an additional $208,000 of subsequent year expenditures (FY2024) not posted to the grant within the ledger. Cause: The District’s general ledger and underlying grants and associated reporting were not reconciled. Potential Effect: The District’s reporting associated with the program is late. Additionally, the lack of reconciliation and monitoring of the grants with the general ledger allow for material misstatements within the District’s general ledger (financial statements and schedule of expenditures of federal awards) to occur. Misstatements could have an effect upon the decisions made by the users of the financial information. Based upon our procedures and discussion with current personnel, adjusting entries were proposed to correct the identified misclassified. Repeat Finding: This is a new finding in the current year. Auditor’s Recommendation: While the aforementioned program did not have a supplanting restriction, in our opinion, the District should post all financial activity as intended as part of the overall monitoring and grants administration. At minimum, routine reconciliation with grant administration personnel should be performed with the underlying accounting records to ensure adjusting/reclassifying entries (if needed) are posted timely, ensuring the accuracy of the general ledger and financial reports filed with pass-through entities. In our professional opinion, the District should evaluate established grants management policies and procedures and refined as deemed appropriate. Evaluation of established procedures should be incorporated as part of a routine risk assessment program.
Finding 2023-003
Criteria: OMB guidelines generally requires the District’s Single Audit to be completed and filed by March 31 of the following year (March 31, 2024). Condition: The District was unable to meet the filing deadline in the current year. Cause: The District was not closed out and timely with the audit. Repeat Finding: This is a new finding in the current year. Potential Effect: The District’s filing of the reporting package is considered late by OMB. Auditor’s Recommendation: We recommend the District work to meet the required filing deadline.
Finding 2023-002
Criteria:Current Uniform Guidance (and financial reporting) highlights the importance and requirements for grantees to maintain a system of internal controls surrounding the administration of federal grants which ensure all compliance requirements and the financial reporting related thereto are achieved for each federal program. Condition:The District’s general ledger for fiscal year 2023 did not reconcile with subsequent reporting for the fiscal year 2023 activity reported to the Commonwealth of Massachusetts. Moreover, the Final Reporting associated with the program has not been filed. As a result of our audit procedures, we noted the District understated fiscal year 2023 expenditures reported as expended in the grant by approximately $263,000. We also noted an additional $208,000 of subsequent year expenditures (FY2024) not posted to the grant within the ledger. Cause: The District’s general ledger and underlying grants and associated reporting were not reconciled. Potential Effect: The District’s reporting associated with the program is late. Additionally, the lack of reconciliation and monitoring of the grants with the general ledger allow for material misstatements within the District’s general ledger (financial statements and schedule of expenditures of federal awards) to occur. Misstatements could have an effect upon the decisions made by the users of the financial information. Based upon our procedures and discussion with current personnel, adjusting entries were proposed to correct the identified misclassified. Repeat Finding: This is a new finding in the current year. Auditor’s Recommendation: While the aforementioned program did not have a supplanting restriction, in our opinion, the District should post all financial activity as intended as part of the overall monitoring and grants administration. At minimum, routine reconciliation with grant administration personnel should be performed with the underlying accounting records to ensure adjusting/reclassifying entries (if needed) are posted timely, ensuring the accuracy of the general ledger and financial reports filed with pass-through entities. In our professional opinion, the District should evaluate established grants management policies and procedures and refined as deemed appropriate. Evaluation of established procedures should be incorporated as part of a routine risk assessment program.
Finding 2023-003
Criteria: OMB guidelines generally requires the District’s Single Audit to be completed and filed by March 31 of the following year (March 31, 2024). Condition: The District was unable to meet the filing deadline in the current year. Cause: The District was not closed out and timely with the audit. Repeat Finding: This is a new finding in the current year. Potential Effect: The District’s filing of the reporting package is considered late by OMB. Auditor’s Recommendation: We recommend the District work to meet the required filing deadline.