FAC Explorer

Audit 345425

FY End
2024-06-30
Total Expended
$2.17M
Findings
8
Programs
11
Organization: Civica Nevada (NV)
Year: 2024 Accepted: 2025-03-10
Auditor: Forvis Mazars LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
526506 2024-003 Material Weakness Yes I
526507 2024-004 Significant Deficiency - A
526508 2024-004 Significant Deficiency - A
526509 2024-005 Significant Deficiency - AB
1102948 2024-003 Material Weakness Yes I
1102949 2024-004 Significant Deficiency - A
1102950 2024-004 Significant Deficiency - A
1102951 2024-005 Significant Deficiency - AB

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $574,087 - 0
84.282 Charter Schools $335,207 Yes 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $186,547 Yes 1
10.553 School Breakfast Program $182,238 Yes 1
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $132,465 - 0
84.424 Student Support and Academic Enrichment Program $55,777 - 0
84.365 English Language Acquisition State Grants $52,244 - 0
10.555 National School Lunch Program $35,308 Yes 0
10.185 Local Food for Schools Cooperative Agreement Program $5,798 - 0
84.425 Education Stabilization Fund $2,450 - 0
84.027 Special Education Grants to States $728 - 0

Contacts

Name Title Type
TEKXAERP42G6 Nachum Golodner Auditee
7024316260 Amanda Eaves Auditor
No contacts on file

Notes to SEFA

Title: Note 1. Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained 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 elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of CIVICA Nevada (School) under programs of the federal government for the year ended June 30, 2024. 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 or changes in net position of the School.
Title: Note 4. Federal Loan Programs Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained 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 elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The School did not have any federal loan programs during the year ended June 30, 2024.
Title: Note 5. Pass-Through Entities’ Identifying Number Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained 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 elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. When federal awards were received from a pass-through entity, the Schedule shows, if available, the identifying number assigned by the pass-through entity. When no identifying number is shown, the School determined that no identifying number is assigned for the program, or the School was unable to obtain an identifying number from the pass-through entity.

Finding Details

Finding 2024-003
Procurement, Suspension and Debarment (Repeat Finding 2023-009) U.S. Department of Education/Passed Through Opportunity 180 Assistance Listing Number 84.282B – Charter Schools Program (CSP) – Grants for the Opening of New Charter Schools Award Number S282A200009-20A Subgrantee Number CSP-2021-08655 Award Date – 4/1/21 to 8/31/23 Criteria – Management is responsible for implementing internal controls related to Procurement, Suspension and Debarment, as required by the Uniform Guidance. Condition – Evidence of review and approval of the bids/quotes obtained and of the verification that the vendor was not suspended or debarred, prior to entering into a transaction with the vendor, could not be provided for one vendor tested. Questioned Costs – None Context/Sampling – A non-statistical sample of one vendor out of four was selected for testing. Cause – The School lacked sufficient internal controls to ensure that the review and approval of bids/quotes and the verification that the vendor was not suspended or debarred occurred and was documented prior to the expenditure. Effect or Potential Effect – There is a risk that the School could enter into a transaction with a vendor without proper approval, or with a vendor who is suspended or debarred. Recommendation – We recommend the School thoroughly document the review and approval process for all procurements to ensure compliance with Uniform Guidance. Additionally, we recommend maintaining records that confirm vendors have been verified as not being suspended or debarred prior to engaging in any transactions. The School can further include a clause in vendor contracts or obtain a certification from vendors to this effect. Views of Responsible Officials and Planned Corrective Actions – These findings were for purchases prior to the new School principal coming on board. Upon hiring in April 2024, the new principal was fully trained in School internal control policies. In addition, on July 1, 2024, a process was put in place to maintain evidence of verification of suspension and debarment with SAM.gov for all required vendors.
Finding 2024-004
Allowable Costs/Cost Principles U.S. Department of Agriculture/Passed Through State of Nevada Department of Agriculture ALN 10.553, 10.555 – Child Nutrition Cluster Award Date – 7/1/2023–6/30/2024 Criteria – Management is responsible for implementing internal controls related to Allowable Costs and Cost Principles, as required by the Uniform Guidance. Condition – Evidence of review and approval prior to the payment could not be provided for one of the payroll expenditures tested. Questioned Costs – None Context/Sampling – A non-statistical sample of four payroll expenditures out of 24 payroll expenditures was selected for testing. Cause – The School lacked sufficient internal controls to ensure that the review and approval of costs were documented prior to payment of the expenditure. Effect or Potential Effect – There is a risk that unallowable costs may be charged to the program without being detected by the School. Recommendation – We recommend that the School document review and approval of all expenditures prior to expenditure to ensure compliance with the Uniform Guidance. Views of Responsible Officials and Planned Corrective Actions – A process was put in place in January 2024 to ensure that all principal approvals are documented in writing or electronic approval in the system which can be date stamped by the system. Payroll will not be run, nor grants submitted, until proper approval is received.
Finding 2024-004
Allowable Costs/Cost Principles U.S. Department of Agriculture/Passed Through State of Nevada Department of Agriculture ALN 10.553, 10.555 – Child Nutrition Cluster Award Date – 7/1/2023–6/30/2024 Criteria – Management is responsible for implementing internal controls related to Allowable Costs and Cost Principles, as required by the Uniform Guidance. Condition – Evidence of review and approval prior to the payment could not be provided for one of the payroll expenditures tested. Questioned Costs – None Context/Sampling – A non-statistical sample of four payroll expenditures out of 24 payroll expenditures was selected for testing. Cause – The School lacked sufficient internal controls to ensure that the review and approval of costs were documented prior to payment of the expenditure. Effect or Potential Effect – There is a risk that unallowable costs may be charged to the program without being detected by the School. Recommendation – We recommend that the School document review and approval of all expenditures prior to expenditure to ensure compliance with the Uniform Guidance. Views of Responsible Officials and Planned Corrective Actions – A process was put in place in January 2024 to ensure that all principal approvals are documented in writing or electronic approval in the system which can be date stamped by the system. Payroll will not be run, nor grants submitted, until proper approval is received.
Finding 2024-005
Activities Allowed or Unallowed and Allowable Costs/Cost Principles U.S. Department of Treasury/Passed Through State of Nevada Department of Education and Nevada State Public Charter School Authority (SPCSA) ALN 21.027 – Coronavirus State and Local Fiscal Recovery Funds – AB495 (COVID-19) Award Date – 7/1/2022–12/31/2024 Criteria – Management is responsible for implementing internal controls related to Activities Allowed or Unallowed and Allowable Costs and Cost Principles, as required by the Uniform Guidance. Condition – Evidence of review and approval prior to the payment could not be provided for two of the nonpayroll expenditures tested. Questioned Costs – None Context/Sampling – A non-statistical sample of four nonpayroll expenditures out of 23 nonpayroll expenditures was selected for testing. Cause – The School lacked sufficient internal controls to ensure that the review and approval of costs were documented prior to payment of the expenditure. Effect or Potential Effect – There is a risk that unallowable costs may be charged to the program without being detected by the School. Recommendation – We recommend that the School document review and approval of all expenditures prior to expenditure to ensure compliance with the Uniform Guidance. Views of Responsible Officials and Planned Corrective Actions – These findings were for purchases prior to the School’s new principal coming on board. Upon hiring in April 2024, the new principal was fully trained in the School’s internal control policies.
Finding 2024-003
Procurement, Suspension and Debarment (Repeat Finding 2023-009) U.S. Department of Education/Passed Through Opportunity 180 Assistance Listing Number 84.282B – Charter Schools Program (CSP) – Grants for the Opening of New Charter Schools Award Number S282A200009-20A Subgrantee Number CSP-2021-08655 Award Date – 4/1/21 to 8/31/23 Criteria – Management is responsible for implementing internal controls related to Procurement, Suspension and Debarment, as required by the Uniform Guidance. Condition – Evidence of review and approval of the bids/quotes obtained and of the verification that the vendor was not suspended or debarred, prior to entering into a transaction with the vendor, could not be provided for one vendor tested. Questioned Costs – None Context/Sampling – A non-statistical sample of one vendor out of four was selected for testing. Cause – The School lacked sufficient internal controls to ensure that the review and approval of bids/quotes and the verification that the vendor was not suspended or debarred occurred and was documented prior to the expenditure. Effect or Potential Effect – There is a risk that the School could enter into a transaction with a vendor without proper approval, or with a vendor who is suspended or debarred. Recommendation – We recommend the School thoroughly document the review and approval process for all procurements to ensure compliance with Uniform Guidance. Additionally, we recommend maintaining records that confirm vendors have been verified as not being suspended or debarred prior to engaging in any transactions. The School can further include a clause in vendor contracts or obtain a certification from vendors to this effect. Views of Responsible Officials and Planned Corrective Actions – These findings were for purchases prior to the new School principal coming on board. Upon hiring in April 2024, the new principal was fully trained in School internal control policies. In addition, on July 1, 2024, a process was put in place to maintain evidence of verification of suspension and debarment with SAM.gov for all required vendors.
Finding 2024-004
Allowable Costs/Cost Principles U.S. Department of Agriculture/Passed Through State of Nevada Department of Agriculture ALN 10.553, 10.555 – Child Nutrition Cluster Award Date – 7/1/2023–6/30/2024 Criteria – Management is responsible for implementing internal controls related to Allowable Costs and Cost Principles, as required by the Uniform Guidance. Condition – Evidence of review and approval prior to the payment could not be provided for one of the payroll expenditures tested. Questioned Costs – None Context/Sampling – A non-statistical sample of four payroll expenditures out of 24 payroll expenditures was selected for testing. Cause – The School lacked sufficient internal controls to ensure that the review and approval of costs were documented prior to payment of the expenditure. Effect or Potential Effect – There is a risk that unallowable costs may be charged to the program without being detected by the School. Recommendation – We recommend that the School document review and approval of all expenditures prior to expenditure to ensure compliance with the Uniform Guidance. Views of Responsible Officials and Planned Corrective Actions – A process was put in place in January 2024 to ensure that all principal approvals are documented in writing or electronic approval in the system which can be date stamped by the system. Payroll will not be run, nor grants submitted, until proper approval is received.
Finding 2024-004
Allowable Costs/Cost Principles U.S. Department of Agriculture/Passed Through State of Nevada Department of Agriculture ALN 10.553, 10.555 – Child Nutrition Cluster Award Date – 7/1/2023–6/30/2024 Criteria – Management is responsible for implementing internal controls related to Allowable Costs and Cost Principles, as required by the Uniform Guidance. Condition – Evidence of review and approval prior to the payment could not be provided for one of the payroll expenditures tested. Questioned Costs – None Context/Sampling – A non-statistical sample of four payroll expenditures out of 24 payroll expenditures was selected for testing. Cause – The School lacked sufficient internal controls to ensure that the review and approval of costs were documented prior to payment of the expenditure. Effect or Potential Effect – There is a risk that unallowable costs may be charged to the program without being detected by the School. Recommendation – We recommend that the School document review and approval of all expenditures prior to expenditure to ensure compliance with the Uniform Guidance. Views of Responsible Officials and Planned Corrective Actions – A process was put in place in January 2024 to ensure that all principal approvals are documented in writing or electronic approval in the system which can be date stamped by the system. Payroll will not be run, nor grants submitted, until proper approval is received.
Finding 2024-005
Activities Allowed or Unallowed and Allowable Costs/Cost Principles U.S. Department of Treasury/Passed Through State of Nevada Department of Education and Nevada State Public Charter School Authority (SPCSA) ALN 21.027 – Coronavirus State and Local Fiscal Recovery Funds – AB495 (COVID-19) Award Date – 7/1/2022–12/31/2024 Criteria – Management is responsible for implementing internal controls related to Activities Allowed or Unallowed and Allowable Costs and Cost Principles, as required by the Uniform Guidance. Condition – Evidence of review and approval prior to the payment could not be provided for two of the nonpayroll expenditures tested. Questioned Costs – None Context/Sampling – A non-statistical sample of four nonpayroll expenditures out of 23 nonpayroll expenditures was selected for testing. Cause – The School lacked sufficient internal controls to ensure that the review and approval of costs were documented prior to payment of the expenditure. Effect or Potential Effect – There is a risk that unallowable costs may be charged to the program without being detected by the School. Recommendation – We recommend that the School document review and approval of all expenditures prior to expenditure to ensure compliance with the Uniform Guidance. Views of Responsible Officials and Planned Corrective Actions – These findings were for purchases prior to the School’s new principal coming on board. Upon hiring in April 2024, the new principal was fully trained in the School’s internal control policies.