FAC Explorer

Audit 327089

FY End
2024-06-30
Total Expended
$17.76M
Findings
6
Programs
13
Organization: Elmira City School District (NY)
Year: 2024 Accepted: 2024-11-04
Auditor: Insero & CO Cpa's LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
504524 2024-001 - Yes C
504525 2024-001 - Yes C
504526 2024-001 - Yes C
1080966 2024-001 - Yes C
1080967 2024-001 - Yes C
1080968 2024-001 - Yes C

Programs

ALN Program Spent Major Findings
10.555 National School Lunch Program $3.00M Yes 1
84.425 Education Stabilization Fund $2.93M - 0
10.553 School Breakfast Program $838,589 Yes 1
84.287 Twenty-First Century Community Learning Centers $774,400 Yes 0
84.215 Innovative Approaches to Literacy; Promise Neighborhoods; Full-Service Community Schools; and Congressionally Directed Spending for Elementary and Secondary Education Community Projects $731,350 Yes 0
10.559 Summer Food Service Program for Children $157,007 Yes 1
84.013 Title I State Agency Program for Neglected and Delinquent Children and Youth $68,250 - 0
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $57,521 - 0
84.010 Title I Grants to Local Educational Agencies $24,031 - 0
84.027 Special Education Grants to States $2,456 - 0
84.424 Student Support and Academic Enrichment Program $2,421 - 0
84.365 English Language Acquisition State Grants $638 - 0
84.173 Special Education Preschool Grants $363 - 0

Contacts

Name Title Type
T11JQE7ALJH4 Lindsey Tice Auditee
6077353054 Ben Owens Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information 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). Therefore some amounts presented in this schedule may differ from amounts presented in or used in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards presents the activity of all Federal awards programs administered by the Elmira City School District (the School District), an entity as defined in Note 1 to the School District's basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards.
Title: Matching Costs Accounting Policies: The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information 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). Therefore some amounts presented in this schedule may differ from amounts presented in or used in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. Matching costs, such as the School District's share of certain program costs, are not included in the reported expenditures.
Title: Non-Monetary Federal Program Accounting Policies: The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information 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). Therefore some amounts presented in this schedule may differ from amounts presented in or used in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. The School District is the recipient of a federal award program that does not result in cash receipts or disbursements termed a “non-monetary program.” During the year ended June 30, 2024, the School District received $292,546 worth of commodities under the National School Lunch Program (ALN #10.555).
Title: Subrecipients Accounting Policies: The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information 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). Therefore some amounts presented in this schedule may differ from amounts presented in or used in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. No amounts were provided to subrecipients.
Title: Other Disclosures Accounting Policies: The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information 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). Therefore some amounts presented in this schedule may differ from amounts presented in or used in preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The School District has elected not to use the 10% de minimis indirect cost rate allowed under Uniform Guidance. No insurance is carried specifically to cover equipment purchased with Federal Funds. Any equipment purchased with Federal Funds has only a nominal value and is covered by the School District’s casualty insurance policies. There were no loans or loan guarantees outstanding at year end.

Finding Details

Finding 2024-001
I ssue: Net Cash Resources Federal Agency: U.S. Department of Agriculture Federal Program: Child Nutrition Cluster Assistance Listing Number: 10.553/10.555/10.559 Pass-Through Agency: NYS Department of Education Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition: At June 30, 2024, net cash resources in the School Lunch Fund exceeded the allowable limit by $1,298,609. Cause: For the year ended June 30, 2024 and 2023, revenues exceeded expenditures in the School Lunch Fund by $175,273 and $382,261, respectively. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The School District was $1,298,609 over the allowable limit at year end June 30, 2024 compared to $1,254,282 over for the year ended June 30, 2023. Repeat Finding: This finding is a repeat of Finding 2023-001 from the prior year. Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Response/Board Action: The Elmira City School District has been cited for excessive net cash resources since the onset of the pandemic in 2021 and correlated increased aid reimbursements for the school feeding programs. The most notable increase to revenues for the 2023-2024 fiscal year was interest income. The districts interest revenues were 95% greater than the 2022-2023 school year. Overall revenues within the School Lunch fund only increased 4.69% over the 2022-2023 school year, while expenditures increased at 10.64%. As part of our 2022-2023 corrective action plan, a new contract was entered within our labor union for cafeteria workers. Those efforts resulted in a 37.48% expenditure increase in 2023-24 to salaries and benefits over the 2022-23 school year. The district also can demonstrate that we closed the gap between revenues and expenses by roughly 5% over the prior fiscal year. This is the result of increased spending on equipment purchases, food purchases and wages as so outlined in prior corrective action plans. Plans for the 2024-25 fiscal year include a projected budget that equates to over 22% spending over the 2023-24 expenditures. Those increases are mainly in our equipment and salary budgets. The district has plans to put out a new capital project to vote in December of 2024. While many building and facility upgrades are included, the district plans to utilize the school lunch fund for any equipment purchases related to our cafeterias within our facilities as so allowed. Our School Food Service Director, in conjunction with our School Lunch Manager will assist in the continued upgrades to school serving lines, and new initiatives within our serving programs in response to population changes and needs. They will also continue our equipment replacement cycle throughout our buildings to ensure outdated equipment is replaced timely. The School Business Official will work in conjunction with the Food Service Director and Manager to manage fund balance and expenditures throughout the year. In prior years fund balance has been appropriated to afford increased food and equipment expenses. To combat the net cash resources, we will first look to move funds within the existing budget to afford those increased expenses, oppose to moving monies from fund balance. Our plans, as so outlined above, are targeting a completion date of this finding in June 2025.
Finding 2024-001
I ssue: Net Cash Resources Federal Agency: U.S. Department of Agriculture Federal Program: Child Nutrition Cluster Assistance Listing Number: 10.553/10.555/10.559 Pass-Through Agency: NYS Department of Education Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition: At June 30, 2024, net cash resources in the School Lunch Fund exceeded the allowable limit by $1,298,609. Cause: For the year ended June 30, 2024 and 2023, revenues exceeded expenditures in the School Lunch Fund by $175,273 and $382,261, respectively. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The School District was $1,298,609 over the allowable limit at year end June 30, 2024 compared to $1,254,282 over for the year ended June 30, 2023. Repeat Finding: This finding is a repeat of Finding 2023-001 from the prior year. Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Response/Board Action: The Elmira City School District has been cited for excessive net cash resources since the onset of the pandemic in 2021 and correlated increased aid reimbursements for the school feeding programs. The most notable increase to revenues for the 2023-2024 fiscal year was interest income. The districts interest revenues were 95% greater than the 2022-2023 school year. Overall revenues within the School Lunch fund only increased 4.69% over the 2022-2023 school year, while expenditures increased at 10.64%. As part of our 2022-2023 corrective action plan, a new contract was entered within our labor union for cafeteria workers. Those efforts resulted in a 37.48% expenditure increase in 2023-24 to salaries and benefits over the 2022-23 school year. The district also can demonstrate that we closed the gap between revenues and expenses by roughly 5% over the prior fiscal year. This is the result of increased spending on equipment purchases, food purchases and wages as so outlined in prior corrective action plans. Plans for the 2024-25 fiscal year include a projected budget that equates to over 22% spending over the 2023-24 expenditures. Those increases are mainly in our equipment and salary budgets. The district has plans to put out a new capital project to vote in December of 2024. While many building and facility upgrades are included, the district plans to utilize the school lunch fund for any equipment purchases related to our cafeterias within our facilities as so allowed. Our School Food Service Director, in conjunction with our School Lunch Manager will assist in the continued upgrades to school serving lines, and new initiatives within our serving programs in response to population changes and needs. They will also continue our equipment replacement cycle throughout our buildings to ensure outdated equipment is replaced timely. The School Business Official will work in conjunction with the Food Service Director and Manager to manage fund balance and expenditures throughout the year. In prior years fund balance has been appropriated to afford increased food and equipment expenses. To combat the net cash resources, we will first look to move funds within the existing budget to afford those increased expenses, oppose to moving monies from fund balance. Our plans, as so outlined above, are targeting a completion date of this finding in June 2025.
Finding 2024-001
I ssue: Net Cash Resources Federal Agency: U.S. Department of Agriculture Federal Program: Child Nutrition Cluster Assistance Listing Number: 10.553/10.555/10.559 Pass-Through Agency: NYS Department of Education Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition: At June 30, 2024, net cash resources in the School Lunch Fund exceeded the allowable limit by $1,298,609. Cause: For the year ended June 30, 2024 and 2023, revenues exceeded expenditures in the School Lunch Fund by $175,273 and $382,261, respectively. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The School District was $1,298,609 over the allowable limit at year end June 30, 2024 compared to $1,254,282 over for the year ended June 30, 2023. Repeat Finding: This finding is a repeat of Finding 2023-001 from the prior year. Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Response/Board Action: The Elmira City School District has been cited for excessive net cash resources since the onset of the pandemic in 2021 and correlated increased aid reimbursements for the school feeding programs. The most notable increase to revenues for the 2023-2024 fiscal year was interest income. The districts interest revenues were 95% greater than the 2022-2023 school year. Overall revenues within the School Lunch fund only increased 4.69% over the 2022-2023 school year, while expenditures increased at 10.64%. As part of our 2022-2023 corrective action plan, a new contract was entered within our labor union for cafeteria workers. Those efforts resulted in a 37.48% expenditure increase in 2023-24 to salaries and benefits over the 2022-23 school year. The district also can demonstrate that we closed the gap between revenues and expenses by roughly 5% over the prior fiscal year. This is the result of increased spending on equipment purchases, food purchases and wages as so outlined in prior corrective action plans. Plans for the 2024-25 fiscal year include a projected budget that equates to over 22% spending over the 2023-24 expenditures. Those increases are mainly in our equipment and salary budgets. The district has plans to put out a new capital project to vote in December of 2024. While many building and facility upgrades are included, the district plans to utilize the school lunch fund for any equipment purchases related to our cafeterias within our facilities as so allowed. Our School Food Service Director, in conjunction with our School Lunch Manager will assist in the continued upgrades to school serving lines, and new initiatives within our serving programs in response to population changes and needs. They will also continue our equipment replacement cycle throughout our buildings to ensure outdated equipment is replaced timely. The School Business Official will work in conjunction with the Food Service Director and Manager to manage fund balance and expenditures throughout the year. In prior years fund balance has been appropriated to afford increased food and equipment expenses. To combat the net cash resources, we will first look to move funds within the existing budget to afford those increased expenses, oppose to moving monies from fund balance. Our plans, as so outlined above, are targeting a completion date of this finding in June 2025.
Finding 2024-001
I ssue: Net Cash Resources Federal Agency: U.S. Department of Agriculture Federal Program: Child Nutrition Cluster Assistance Listing Number: 10.553/10.555/10.559 Pass-Through Agency: NYS Department of Education Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition: At June 30, 2024, net cash resources in the School Lunch Fund exceeded the allowable limit by $1,298,609. Cause: For the year ended June 30, 2024 and 2023, revenues exceeded expenditures in the School Lunch Fund by $175,273 and $382,261, respectively. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The School District was $1,298,609 over the allowable limit at year end June 30, 2024 compared to $1,254,282 over for the year ended June 30, 2023. Repeat Finding: This finding is a repeat of Finding 2023-001 from the prior year. Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Response/Board Action: The Elmira City School District has been cited for excessive net cash resources since the onset of the pandemic in 2021 and correlated increased aid reimbursements for the school feeding programs. The most notable increase to revenues for the 2023-2024 fiscal year was interest income. The districts interest revenues were 95% greater than the 2022-2023 school year. Overall revenues within the School Lunch fund only increased 4.69% over the 2022-2023 school year, while expenditures increased at 10.64%. As part of our 2022-2023 corrective action plan, a new contract was entered within our labor union for cafeteria workers. Those efforts resulted in a 37.48% expenditure increase in 2023-24 to salaries and benefits over the 2022-23 school year. The district also can demonstrate that we closed the gap between revenues and expenses by roughly 5% over the prior fiscal year. This is the result of increased spending on equipment purchases, food purchases and wages as so outlined in prior corrective action plans. Plans for the 2024-25 fiscal year include a projected budget that equates to over 22% spending over the 2023-24 expenditures. Those increases are mainly in our equipment and salary budgets. The district has plans to put out a new capital project to vote in December of 2024. While many building and facility upgrades are included, the district plans to utilize the school lunch fund for any equipment purchases related to our cafeterias within our facilities as so allowed. Our School Food Service Director, in conjunction with our School Lunch Manager will assist in the continued upgrades to school serving lines, and new initiatives within our serving programs in response to population changes and needs. They will also continue our equipment replacement cycle throughout our buildings to ensure outdated equipment is replaced timely. The School Business Official will work in conjunction with the Food Service Director and Manager to manage fund balance and expenditures throughout the year. In prior years fund balance has been appropriated to afford increased food and equipment expenses. To combat the net cash resources, we will first look to move funds within the existing budget to afford those increased expenses, oppose to moving monies from fund balance. Our plans, as so outlined above, are targeting a completion date of this finding in June 2025.
Finding 2024-001
I ssue: Net Cash Resources Federal Agency: U.S. Department of Agriculture Federal Program: Child Nutrition Cluster Assistance Listing Number: 10.553/10.555/10.559 Pass-Through Agency: NYS Department of Education Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition: At June 30, 2024, net cash resources in the School Lunch Fund exceeded the allowable limit by $1,298,609. Cause: For the year ended June 30, 2024 and 2023, revenues exceeded expenditures in the School Lunch Fund by $175,273 and $382,261, respectively. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The School District was $1,298,609 over the allowable limit at year end June 30, 2024 compared to $1,254,282 over for the year ended June 30, 2023. Repeat Finding: This finding is a repeat of Finding 2023-001 from the prior year. Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Response/Board Action: The Elmira City School District has been cited for excessive net cash resources since the onset of the pandemic in 2021 and correlated increased aid reimbursements for the school feeding programs. The most notable increase to revenues for the 2023-2024 fiscal year was interest income. The districts interest revenues were 95% greater than the 2022-2023 school year. Overall revenues within the School Lunch fund only increased 4.69% over the 2022-2023 school year, while expenditures increased at 10.64%. As part of our 2022-2023 corrective action plan, a new contract was entered within our labor union for cafeteria workers. Those efforts resulted in a 37.48% expenditure increase in 2023-24 to salaries and benefits over the 2022-23 school year. The district also can demonstrate that we closed the gap between revenues and expenses by roughly 5% over the prior fiscal year. This is the result of increased spending on equipment purchases, food purchases and wages as so outlined in prior corrective action plans. Plans for the 2024-25 fiscal year include a projected budget that equates to over 22% spending over the 2023-24 expenditures. Those increases are mainly in our equipment and salary budgets. The district has plans to put out a new capital project to vote in December of 2024. While many building and facility upgrades are included, the district plans to utilize the school lunch fund for any equipment purchases related to our cafeterias within our facilities as so allowed. Our School Food Service Director, in conjunction with our School Lunch Manager will assist in the continued upgrades to school serving lines, and new initiatives within our serving programs in response to population changes and needs. They will also continue our equipment replacement cycle throughout our buildings to ensure outdated equipment is replaced timely. The School Business Official will work in conjunction with the Food Service Director and Manager to manage fund balance and expenditures throughout the year. In prior years fund balance has been appropriated to afford increased food and equipment expenses. To combat the net cash resources, we will first look to move funds within the existing budget to afford those increased expenses, oppose to moving monies from fund balance. Our plans, as so outlined above, are targeting a completion date of this finding in June 2025.
Finding 2024-001
I ssue: Net Cash Resources Federal Agency: U.S. Department of Agriculture Federal Program: Child Nutrition Cluster Assistance Listing Number: 10.553/10.555/10.559 Pass-Through Agency: NYS Department of Education Criteria: The School Food Authority shall limit its net cash resources to an amount that does not exceed three months' average expenditures for its School Lunch Fund or such other amount as may be approved by the NYS Department of Education in accordance with 7 CFR §210.9(b)(2). Condition: At June 30, 2024, net cash resources in the School Lunch Fund exceeded the allowable limit by $1,298,609. Cause: For the year ended June 30, 2024 and 2023, revenues exceeded expenditures in the School Lunch Fund by $175,273 and $382,261, respectively. Effect or Potential Effect: The School District is not in compliance with 7 CFR §210.9(b)(2). Questioned Costs: None. Context: The School District was $1,298,609 over the allowable limit at year end June 30, 2024 compared to $1,254,282 over for the year ended June 30, 2023. Repeat Finding: This finding is a repeat of Finding 2023-001 from the prior year. Recommendation: We recommend the School District review its net cash resources in the School Lunch Fund and develop a plan to reduce them to an allowable amount. Response/Board Action: The Elmira City School District has been cited for excessive net cash resources since the onset of the pandemic in 2021 and correlated increased aid reimbursements for the school feeding programs. The most notable increase to revenues for the 2023-2024 fiscal year was interest income. The districts interest revenues were 95% greater than the 2022-2023 school year. Overall revenues within the School Lunch fund only increased 4.69% over the 2022-2023 school year, while expenditures increased at 10.64%. As part of our 2022-2023 corrective action plan, a new contract was entered within our labor union for cafeteria workers. Those efforts resulted in a 37.48% expenditure increase in 2023-24 to salaries and benefits over the 2022-23 school year. The district also can demonstrate that we closed the gap between revenues and expenses by roughly 5% over the prior fiscal year. This is the result of increased spending on equipment purchases, food purchases and wages as so outlined in prior corrective action plans. Plans for the 2024-25 fiscal year include a projected budget that equates to over 22% spending over the 2023-24 expenditures. Those increases are mainly in our equipment and salary budgets. The district has plans to put out a new capital project to vote in December of 2024. While many building and facility upgrades are included, the district plans to utilize the school lunch fund for any equipment purchases related to our cafeterias within our facilities as so allowed. Our School Food Service Director, in conjunction with our School Lunch Manager will assist in the continued upgrades to school serving lines, and new initiatives within our serving programs in response to population changes and needs. They will also continue our equipment replacement cycle throughout our buildings to ensure outdated equipment is replaced timely. The School Business Official will work in conjunction with the Food Service Director and Manager to manage fund balance and expenditures throughout the year. In prior years fund balance has been appropriated to afford increased food and equipment expenses. To combat the net cash resources, we will first look to move funds within the existing budget to afford those increased expenses, oppose to moving monies from fund balance. Our plans, as so outlined above, are targeting a completion date of this finding in June 2025.