FAC Explorer

Audit 328856

FY End
2024-06-30
Total Expended
$941,706
Findings
4
Programs
7
Organization: Hebrew Language Academy Charter School 2 (NY)
Year: 2024 Accepted: 2024-11-19
Auditor: Mengel Metzger Barr and CO LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
508302 2024-002 Material Weakness - L
508303 2024-002 Material Weakness - L
1084744 2024-002 Material Weakness - L
1084745 2024-002 Material Weakness - L

Programs

ALN Program Spent Major Findings
84.425 Education Stabilization Fund $354,273 Yes 1
84.010 Title I Grants to Local Educational Agencies $133,772 - 0
10.553 School Breakfast Program $106,066 - 0
84.374 Teacher Incentive Fund $68,409 - 0
84.367 Improving Teacher Quality State Grants $16,968 - 0
10.555 National School Lunch Program $13,680 - 0
84.424 Student Support and Academic Enrichment Program $10,000 - 0

Contacts

Name Title Type
XA4YWATBCA34 Elyse Castellano Auditee
7186825610 Michelle Cain Auditor
No contacts on file

Notes to SEFA

Title: SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The above schedule of expenditures of federal awards includes the federal grant activity of Hebrew Language Academy Charter School 2 and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The above schedule of expenditures of federal awards includes the federal grant activity of Hebrew Language Academy Charter School 2 and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Hebrew Language Academy Charter School 2 has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2024-002
Finding 2024-002 Identification of the Federal Program U.S. Department of Education: AL 84.425D ESSER II – Elementary and Secondary School Emergency Relief Fund AL 84.425U ARP ESSER – American Rescue Plan - Elementary and Secondary School Emergency Relief Fund Passed through New York State Education Department – applicable to all above grant funds passed through as shown on the Schedule of Federal Expenditures Compliance Requirement: Reporting Criteria The Charter School is required to submit an annual report to New York State Education Department - the Education Stabilization Fund Annual Reporting - to provide required information which is then utilized by NYSED to complete the U.S. Department of Education ESF – ESSER Recipient Data Collection Form. A critical component of this report is the accurate reporting of the Charter School’s number of positions supported with ESSER funds and expenditures by ESSER subgrant and accounting object for the period from July 1, 2022, to June 30, 2023, and was required to be filed by February 15, 2024. In accordance with the instructions for completing the form, expenditures are defined as the reimbursement payments received by the Charter School during the reporting period. Statement of condition and cause During our audit, we noted the Charter School inaccurately reported expenditures on the Education Stabilization Fund Annual Reporting for period from July 1, 2022 to June 30, 2023 as a result of utilizing the accrual basis of accounting to determine expenditures, rather than the amount of reimbursement payments received. Management’s internal controls over compliance with respect to this report did not allow management to detect and correct the error on a timely basis. Effect As a result of utilizing the incorrect reporting basis, the information reported to the pass-through entity (NYSED) on the Education Stabilization Fund Annual Reporting was incorrect. This could lead to errors in the amounts ultimately reported to the U.S. Department of Education by NYSED. Questioned Costs N/A Repeat Finding No Recommendation We recommend the Charter School review the NYSED Grants Finance reports via the NYSED website to determine the reimbursement payments received during the applicable reporting period and agree the amounts per the website to the total amounts shown in the Education Stabilization Fund Annual Reporting. This will ensure that the information is shown in accordance with the instructions for the NYSED report and the related U.S. Department of Education requirements. Management response See Corrective Action Plan attached.
Finding 2024-002
Finding 2024-002 Identification of the Federal Program U.S. Department of Education: AL 84.425D ESSER II – Elementary and Secondary School Emergency Relief Fund AL 84.425U ARP ESSER – American Rescue Plan - Elementary and Secondary School Emergency Relief Fund Passed through New York State Education Department – applicable to all above grant funds passed through as shown on the Schedule of Federal Expenditures Compliance Requirement: Reporting Criteria The Charter School is required to submit an annual report to New York State Education Department - the Education Stabilization Fund Annual Reporting - to provide required information which is then utilized by NYSED to complete the U.S. Department of Education ESF – ESSER Recipient Data Collection Form. A critical component of this report is the accurate reporting of the Charter School’s number of positions supported with ESSER funds and expenditures by ESSER subgrant and accounting object for the period from July 1, 2022, to June 30, 2023, and was required to be filed by February 15, 2024. In accordance with the instructions for completing the form, expenditures are defined as the reimbursement payments received by the Charter School during the reporting period. Statement of condition and cause During our audit, we noted the Charter School inaccurately reported expenditures on the Education Stabilization Fund Annual Reporting for period from July 1, 2022 to June 30, 2023 as a result of utilizing the accrual basis of accounting to determine expenditures, rather than the amount of reimbursement payments received. Management’s internal controls over compliance with respect to this report did not allow management to detect and correct the error on a timely basis. Effect As a result of utilizing the incorrect reporting basis, the information reported to the pass-through entity (NYSED) on the Education Stabilization Fund Annual Reporting was incorrect. This could lead to errors in the amounts ultimately reported to the U.S. Department of Education by NYSED. Questioned Costs N/A Repeat Finding No Recommendation We recommend the Charter School review the NYSED Grants Finance reports via the NYSED website to determine the reimbursement payments received during the applicable reporting period and agree the amounts per the website to the total amounts shown in the Education Stabilization Fund Annual Reporting. This will ensure that the information is shown in accordance with the instructions for the NYSED report and the related U.S. Department of Education requirements. Management response See Corrective Action Plan attached.
Finding 2024-002
Finding 2024-002 Identification of the Federal Program U.S. Department of Education: AL 84.425D ESSER II – Elementary and Secondary School Emergency Relief Fund AL 84.425U ARP ESSER – American Rescue Plan - Elementary and Secondary School Emergency Relief Fund Passed through New York State Education Department – applicable to all above grant funds passed through as shown on the Schedule of Federal Expenditures Compliance Requirement: Reporting Criteria The Charter School is required to submit an annual report to New York State Education Department - the Education Stabilization Fund Annual Reporting - to provide required information which is then utilized by NYSED to complete the U.S. Department of Education ESF – ESSER Recipient Data Collection Form. A critical component of this report is the accurate reporting of the Charter School’s number of positions supported with ESSER funds and expenditures by ESSER subgrant and accounting object for the period from July 1, 2022, to June 30, 2023, and was required to be filed by February 15, 2024. In accordance with the instructions for completing the form, expenditures are defined as the reimbursement payments received by the Charter School during the reporting period. Statement of condition and cause During our audit, we noted the Charter School inaccurately reported expenditures on the Education Stabilization Fund Annual Reporting for period from July 1, 2022 to June 30, 2023 as a result of utilizing the accrual basis of accounting to determine expenditures, rather than the amount of reimbursement payments received. Management’s internal controls over compliance with respect to this report did not allow management to detect and correct the error on a timely basis. Effect As a result of utilizing the incorrect reporting basis, the information reported to the pass-through entity (NYSED) on the Education Stabilization Fund Annual Reporting was incorrect. This could lead to errors in the amounts ultimately reported to the U.S. Department of Education by NYSED. Questioned Costs N/A Repeat Finding No Recommendation We recommend the Charter School review the NYSED Grants Finance reports via the NYSED website to determine the reimbursement payments received during the applicable reporting period and agree the amounts per the website to the total amounts shown in the Education Stabilization Fund Annual Reporting. This will ensure that the information is shown in accordance with the instructions for the NYSED report and the related U.S. Department of Education requirements. Management response See Corrective Action Plan attached.
Finding 2024-002
Finding 2024-002 Identification of the Federal Program U.S. Department of Education: AL 84.425D ESSER II – Elementary and Secondary School Emergency Relief Fund AL 84.425U ARP ESSER – American Rescue Plan - Elementary and Secondary School Emergency Relief Fund Passed through New York State Education Department – applicable to all above grant funds passed through as shown on the Schedule of Federal Expenditures Compliance Requirement: Reporting Criteria The Charter School is required to submit an annual report to New York State Education Department - the Education Stabilization Fund Annual Reporting - to provide required information which is then utilized by NYSED to complete the U.S. Department of Education ESF – ESSER Recipient Data Collection Form. A critical component of this report is the accurate reporting of the Charter School’s number of positions supported with ESSER funds and expenditures by ESSER subgrant and accounting object for the period from July 1, 2022, to June 30, 2023, and was required to be filed by February 15, 2024. In accordance with the instructions for completing the form, expenditures are defined as the reimbursement payments received by the Charter School during the reporting period. Statement of condition and cause During our audit, we noted the Charter School inaccurately reported expenditures on the Education Stabilization Fund Annual Reporting for period from July 1, 2022 to June 30, 2023 as a result of utilizing the accrual basis of accounting to determine expenditures, rather than the amount of reimbursement payments received. Management’s internal controls over compliance with respect to this report did not allow management to detect and correct the error on a timely basis. Effect As a result of utilizing the incorrect reporting basis, the information reported to the pass-through entity (NYSED) on the Education Stabilization Fund Annual Reporting was incorrect. This could lead to errors in the amounts ultimately reported to the U.S. Department of Education by NYSED. Questioned Costs N/A Repeat Finding No Recommendation We recommend the Charter School review the NYSED Grants Finance reports via the NYSED website to determine the reimbursement payments received during the applicable reporting period and agree the amounts per the website to the total amounts shown in the Education Stabilization Fund Annual Reporting. This will ensure that the information is shown in accordance with the instructions for the NYSED report and the related U.S. Department of Education requirements. Management response See Corrective Action Plan attached.