FAC Explorer

Audit 342330

FY End
2024-06-30
Total Expended
$94.90M
Findings
2
Programs
17
Organization: Unified School District No. 500 (KS)
Year: 2024 Accepted: 2025-02-13
Auditor: Allen Gibbs & Houlik Lc

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
523056 2024-001 Material Weakness - I
1099498 2024-001 Material Weakness - I

Programs

ALN Program Spent Major Findings
84.425 Education Stabilization Fund $48.27M Yes 0
84.010 Title I Grants to Local Educational Agencies $14.95M Yes 0
10.555 National School Lunch Program $11.24M - 0
93.600 Head Start $5.50M - 0
10.553 School Breakfast Program $4.13M - 0
84.027 Special Education Grants to States $3.42M - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $1.76M Yes 1
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $1.33M - 0
10.559 Summer Food Service Program for Children $1.08M - 0
84.365 English Language Acquisition State Grants $861,232 - 0
84.424 Student Support and Academic Enrichment Program $708,737 - 0
10.582 Fresh Fruit and Vegetable Program $361,850 - 0
84.048 Career and Technical Education -- Basic Grants to States $344,599 - 0
84.287 Twenty-First Century Community Learning Centers $339,554 - 0
84.011 Migrant Education State Grant Program $315,587 - 0
10.558 Child and Adult Care Food Program $282,608 - 0
84.196 Education for Homeless Children and Youth $2,713 - 0

Contacts

Name Title Type
VNN2HKYDQU77 Bradley Isnard Auditee
9132792250 Jonathan Nibarger Auditor
No contacts on file

Notes to SEFA

Title: Organization Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the District, and is presented on the Kansas regulatory basis of accounting which includes cash disbursements, accounts payable and encumbrances. The information presented in this schedule is 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. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The District elected not to use the 10% de minimis indirect cost rate. De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate. Kansas City, Kansas Public Schools Unified School District No. 500 (District), is the recipient of several federal awards. All federal awards received directly from federal agencies as well as those awards that are passed through other government agencies, are included on the Schedule of Expenditures of Federal Awards.
Title: Basis of Presentation Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the District, and is presented on the Kansas regulatory basis of accounting which includes cash disbursements, accounts payable and encumbrances. The information presented in this schedule is 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. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The District elected not to use the 10% de minimis indirect cost rate. De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate. The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the District, and is presented on the Kansas regulatory basis of accounting which includes cash disbursements, accounts payable and encumbrances. The information presented in this schedule is 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. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The District elected not to use the 10% de minimis indirect cost rate.
Title: Local Government Contributions Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the District, and is presented on the Kansas regulatory basis of accounting which includes cash disbursements, accounts payable and encumbrances. The information presented in this schedule is 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. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The District elected not to use the 10% de minimis indirect cost rate. De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate. Local cost sharing is required by certain federal grants. The amount of cost sharing varies with each program. Only the federal share of expenditures is presented in the Schedule of Expenditures of Federal Awards.
Title: Additional Audits Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the District, and is presented on the Kansas regulatory basis of accounting which includes cash disbursements, accounts payable and encumbrances. The information presented in this schedule is 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. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The District elected not to use the 10% de minimis indirect cost rate. De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate. Grantor agencies reserve the right to conduct additional audits of the District’s grant programs for economy and efficiency and program results that may result in disallowed costs to the District. However, management does not believe such audits would result in any disallowed costs that would be material to the District’s financial position at June 30, 2024.
Title: Outstanding Loans Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the District, and is presented on the Kansas regulatory basis of accounting which includes cash disbursements, accounts payable and encumbrances. The information presented in this schedule is 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. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The District elected not to use the 10% de minimis indirect cost rate. De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate. The District did not have any outstanding loans under any federal grants at June 30, 2024.
Title: Pass Through Entity Numbers Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the District, and is presented on the Kansas regulatory basis of accounting which includes cash disbursements, accounts payable and encumbrances. The information presented in this schedule is 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. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the basic financial statements. The District elected not to use the 10% de minimis indirect cost rate. De Minimis Rate Used: N Rate Explanation: The District elected not to use the 10% de minimis indirect cost rate. Grant numbers are not listed for several grants on the Schedule of Expenditures of Federal Awards. For those grants, pass through grantors have not assigned passthrough numbers to the passthrough grants noted in the schedule of expenditures of federal awards.

Finding Details

Finding 2024-001
Assistance # 93.323 – Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) Federal Award # and Year: NU50CK000549, 2024 Name of Federal Agency: U.S. Department of Health and Human Services Name of Pass-Thru Agency: Kansas Department of Education Type of Compliance Finding: I - Procurement Condition: The District did not follow their internal policy for procurement on nine (9) items charged to the grant. The District obtained quotes on all but one (1) item, however, the amount of quotes obtained were not sufficient under the District’s policy. Criteria: Procurement Methods 2 CFR 200.320(a)(2)(i) - Simplified acquisition procedures. The aggregate dollar amount of the procurement transaction is higher than the micro-purchase threshold but does not exceed the simplified acquisition threshold. If simplified acquisition procedures are used, price or rate quotations must be obtained from an adequate number of qualified sources. Unless specified by the Federal agency, the recipient or subrecipient may exercise judgment in determining what number is adequate. The current policy of the District is that all purchases up to and included $2,999 are considered small or micro and require no quotes, amounts from $3,000 to $10,000 require two (2) quotations on material and/or services, amounts between $10,000 and $19,999 require three (3) quotations, and all items exceeding $20,000 require board approval. Questioned Costs: N/A Repeat Finding: No Context: 9 of the 14 items selected for review did not obtain enough quotes to meet the District’s procurement policy. This is due to the District having documentation of the expenditure and having obtained a minimum of one (1) quote for each. The population the sample was obtained from totaled 36 items. The sample size was determined based upon guidelines provided by the AICPA which is not a statistically valid sample. Cause: The District's internal controls over procurement compliance were not effectively implemented. Specifically, the procurement policy in place was not consistently followed by staff. Effect: The District may not have properly compared and evaluated vendors for these purchases. Recommendations: We recommend the District implement a control to ensure the proper number of quotes obtained on purchases meets the District’s policy. Views of Responsible Officials: Management agrees with the finding and will implement a more detailed training and supervision process to ensure purchasing requirements are met.
Finding 2024-001
Assistance # 93.323 – Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) Federal Award # and Year: NU50CK000549, 2024 Name of Federal Agency: U.S. Department of Health and Human Services Name of Pass-Thru Agency: Kansas Department of Education Type of Compliance Finding: I - Procurement Condition: The District did not follow their internal policy for procurement on nine (9) items charged to the grant. The District obtained quotes on all but one (1) item, however, the amount of quotes obtained were not sufficient under the District’s policy. Criteria: Procurement Methods 2 CFR 200.320(a)(2)(i) - Simplified acquisition procedures. The aggregate dollar amount of the procurement transaction is higher than the micro-purchase threshold but does not exceed the simplified acquisition threshold. If simplified acquisition procedures are used, price or rate quotations must be obtained from an adequate number of qualified sources. Unless specified by the Federal agency, the recipient or subrecipient may exercise judgment in determining what number is adequate. The current policy of the District is that all purchases up to and included $2,999 are considered small or micro and require no quotes, amounts from $3,000 to $10,000 require two (2) quotations on material and/or services, amounts between $10,000 and $19,999 require three (3) quotations, and all items exceeding $20,000 require board approval. Questioned Costs: N/A Repeat Finding: No Context: 9 of the 14 items selected for review did not obtain enough quotes to meet the District’s procurement policy. This is due to the District having documentation of the expenditure and having obtained a minimum of one (1) quote for each. The population the sample was obtained from totaled 36 items. The sample size was determined based upon guidelines provided by the AICPA which is not a statistically valid sample. Cause: The District's internal controls over procurement compliance were not effectively implemented. Specifically, the procurement policy in place was not consistently followed by staff. Effect: The District may not have properly compared and evaluated vendors for these purchases. Recommendations: We recommend the District implement a control to ensure the proper number of quotes obtained on purchases meets the District’s policy. Views of Responsible Officials: Management agrees with the finding and will implement a more detailed training and supervision process to ensure purchasing requirements are met.