Audit 352732

SIGNIFICANT DEFICIENCY 2024-001 – Allowed/Unallowed Activities/Costs Federal Program Information: Department of Education CFDA - 84.010A - Title I Criteria: The following CFR(s) apply to this finding: 2 CFR 200.303 and 2 CFR 200.430 g Condition: During audit procedures, it was identified that the Unit charged unallowable costs to the grant. It was also identified that the unit is incorrectly documenting wages. Cause: The Unit does not have the necessary internal controls over compliance. Effect: The Unit is not ensuring that staff has the appropriate compliance knowledge on allowable and unallowable costs to minimize the inherent risk of unallowable charges to the grant, which could result in return of funding. Of the 5 disbursements reviewed and tested 2 were for unallowable costs that had been charged to the grant. The unit is not consistent with wage documentation which can result in incorrect amounts being paid to personnel. Of the 25 samples reviewed, two staff did not have wage rates documented in the file of which one of them was paid according to the Collective Bargaining Agreement, however the amount paid was incorrect and there is no documentation for the employee who worked just for the summer. Another employee’s contract stated the incorrect salary but was correctly stated in the payroll system. Lastly one hourly employee’s pay was prorated when it shouldn’t have been resulting in an overpayment. Identification of Questioned Costs: None identified. Context: Of a population of 12 AP samples 5 were examined and tested and of a population of 56 payroll samples 25 were examined and tested. This is not a statistically valid sample. Repeat Finding: This is a repeat finding of 2023-002 Recommendation: It is recommended that the Unit implements internal control processes and procedures to ensure that the unit stays in compliance with allowable costs and activities and correct and accurate documentation is being maintained and recorded. Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan.

SIGNIFICANT DEFICIENCY 2024-001 – Allowed/Unallowed Activities/Costs Federal Program Information: Department of Education CFDA - 84.010A - Title I Criteria: The following CFR(s) apply to this finding: 2 CFR 200.303 and 2 CFR 200.430 g Condition: During audit procedures, it was identified that the Unit charged unallowable costs to the grant. It was also identified that the unit is incorrectly documenting wages. Cause: The Unit does not have the necessary internal controls over compliance. Effect: The Unit is not ensuring that staff has the appropriate compliance knowledge on allowable and unallowable costs to minimize the inherent risk of unallowable charges to the grant, which could result in return of funding. Of the 5 disbursements reviewed and tested 2 were for unallowable costs that had been charged to the grant. The unit is not consistent with wage documentation which can result in incorrect amounts being paid to personnel. Of the 25 samples reviewed, two staff did not have wage rates documented in the file of which one of them was paid according to the Collective Bargaining Agreement, however the amount paid was incorrect and there is no documentation for the employee who worked just for the summer. Another employee’s contract stated the incorrect salary but was correctly stated in the payroll system. Lastly one hourly employee’s pay was prorated when it shouldn’t have been resulting in an overpayment. Identification of Questioned Costs: None identified. Context: Of a population of 12 AP samples 5 were examined and tested and of a population of 56 payroll samples 25 were examined and tested. This is not a statistically valid sample. Repeat Finding: This is a repeat finding of 2023-002 Recommendation: It is recommended that the Unit implements internal control processes and procedures to ensure that the unit stays in compliance with allowable costs and activities and correct and accurate documentation is being maintained and recorded. Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan.

SIGNIFICANT DEFICIENCY 2024-001 – Allowed/Unallowed Activities/Costs Federal Program Information: Department of Education CFDA - 84.010A - Title I Criteria: The following CFR(s) apply to this finding: 2 CFR 200.303 and 2 CFR 200.430 g Condition: During audit procedures, it was identified that the Unit charged unallowable costs to the grant. It was also identified that the unit is incorrectly documenting wages. Cause: The Unit does not have the necessary internal controls over compliance. Effect: The Unit is not ensuring that staff has the appropriate compliance knowledge on allowable and unallowable costs to minimize the inherent risk of unallowable charges to the grant, which could result in return of funding. Of the 5 disbursements reviewed and tested 2 were for unallowable costs that had been charged to the grant. The unit is not consistent with wage documentation which can result in incorrect amounts being paid to personnel. Of the 25 samples reviewed, two staff did not have wage rates documented in the file of which one of them was paid according to the Collective Bargaining Agreement, however the amount paid was incorrect and there is no documentation for the employee who worked just for the summer. Another employee’s contract stated the incorrect salary but was correctly stated in the payroll system. Lastly one hourly employee’s pay was prorated when it shouldn’t have been resulting in an overpayment. Identification of Questioned Costs: None identified. Context: Of a population of 12 AP samples 5 were examined and tested and of a population of 56 payroll samples 25 were examined and tested. This is not a statistically valid sample. Repeat Finding: This is a repeat finding of 2023-002 Recommendation: It is recommended that the Unit implements internal control processes and procedures to ensure that the unit stays in compliance with allowable costs and activities and correct and accurate documentation is being maintained and recorded. Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan.

SIGNIFICANT DEFICIENCY 2024-001 – Allowed/Unallowed Activities/Costs Federal Program Information: Department of Education CFDA - 84.010A - Title I Criteria: The following CFR(s) apply to this finding: 2 CFR 200.303 and 2 CFR 200.430 g Condition: During audit procedures, it was identified that the Unit charged unallowable costs to the grant. It was also identified that the unit is incorrectly documenting wages. Cause: The Unit does not have the necessary internal controls over compliance. Effect: The Unit is not ensuring that staff has the appropriate compliance knowledge on allowable and unallowable costs to minimize the inherent risk of unallowable charges to the grant, which could result in return of funding. Of the 5 disbursements reviewed and tested 2 were for unallowable costs that had been charged to the grant. The unit is not consistent with wage documentation which can result in incorrect amounts being paid to personnel. Of the 25 samples reviewed, two staff did not have wage rates documented in the file of which one of them was paid according to the Collective Bargaining Agreement, however the amount paid was incorrect and there is no documentation for the employee who worked just for the summer. Another employee’s contract stated the incorrect salary but was correctly stated in the payroll system. Lastly one hourly employee’s pay was prorated when it shouldn’t have been resulting in an overpayment. Identification of Questioned Costs: None identified. Context: Of a population of 12 AP samples 5 were examined and tested and of a population of 56 payroll samples 25 were examined and tested. This is not a statistically valid sample. Repeat Finding: This is a repeat finding of 2023-002 Recommendation: It is recommended that the Unit implements internal control processes and procedures to ensure that the unit stays in compliance with allowable costs and activities and correct and accurate documentation is being maintained and recorded. Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan.