FAC Explorer

Audit 332402

FY End
2024-06-30
Total Expended
$7.59M
Findings
14
Programs
12
Organization: Austin Achieve Public Schools, Inc. (TX)
Year: 2024 Accepted: 2024-12-13
Auditor: Sutton Frost Cary LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
514194 2024-002 Significant Deficiency - B
514195 2024-002 Significant Deficiency - B
514196 2024-002 Significant Deficiency - B
514197 2024-002 Significant Deficiency - B
514198 2024-002 Significant Deficiency - B
514199 2024-002 Significant Deficiency - B
514200 2024-002 Significant Deficiency - B
1090636 2024-002 Significant Deficiency - B
1090637 2024-002 Significant Deficiency - B
1090638 2024-002 Significant Deficiency - B
1090639 2024-002 Significant Deficiency - B
1090640 2024-002 Significant Deficiency - B
1090641 2024-002 Significant Deficiency - B
1090642 2024-002 Significant Deficiency - B

Programs

ALN Program Spent Major Findings
10.553 School Breakfast Program $1.35M Yes 1
10.558 Child and Adult Care Food Program $1.21M - 0
84.010 Title I Grants to Local Educational Agencies $911,723 Yes 0
94.006 Americorps State and National 94.006 $566,165 - 0
84.027 Special Education Grants to States $468,693 - 0
84.365 English Language Acquisition State Grants $221,052 - 0
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $126,111 - 0
10.555 National School Lunch Program $95,003 Yes 1
84.424 Student Support and Academic Enrichment Program $72,648 - 0
84.048 Career and Technical Education -- Basic Grants to States $34,473 - 0
84.425 Education Stabilization Fund $11,201 - 0
84.173 Special Education Preschool Grants $4,574 - 0

Contacts

Name Title Type
RNNKP9FTH2J8 Clare Mundy Auditee
5125224190 Brian Razloznik Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles 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 School has not elected to use the 10 percent de minimis indirect cost rate as allowed under the UniformGuidance and continues to use the allowable indirect costs for each award as determined by the awarding agency. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal grant activity of Austin Achieve Public Schools, Inc. (School). 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 School, it is not intended to and does not present the financial position, changes in net assets or cash flows of the School.
Title: Non-cash Federal Awards Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles 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 School has not elected to use the 10 percent de minimis indirect cost rate as allowed under the UniformGuidance and continues to use the allowable indirect costs for each award as determined by the awarding agency. Food commodities are recognized as federal expenditures when distributed. Distributed food is reported under the National School Lunch Program and is valued based on amounts reported to the School by the Texas Department of Agriculture. These items are considered to be non‐cash assistance to the School. The School received non‐cash awards in the form of food commodities totaling $94,648 for the year ended June 30, 2024.

Finding Details

Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.
Finding 2024-002
Finding 2024‐002: Allowable costs – Significant deficiency in internal control over compliance. Child Nutrition Cluster Criteria: Payroll wages charged to grants should be supported by an offer letter approved by management and/or the board of directors. Condition: During allowable cost testing, 55 employees out of 60 sampled did not have approved offer letters on file. These costs were subsequently charged to the grant. Cause: Internal controls were not in place requiring in the School to document approved offer letters for employees. Effect: The School’s reporting of employee wages was not fully documented in accordance with internal control over compliance. Questioned costs: None. Recommendation: The School should implement internal controls to ensure offer letters approved by management and/or the board of directors are kept on file. Management’s response: See corrective action plan.