Audit 352733

FY End
2024-06-30
Total Expended
$4.84M
Findings
24
Programs
34
Organization: Town of Brunswick Maine (ME)
Year: 2024 Accepted: 2025-04-04

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
554080 2024-002 Significant Deficiency - B
554081 2024-002 Significant Deficiency - B
554082 2024-002 Significant Deficiency - B
554083 2024-003 Significant Deficiency - I
554084 2024-003 Significant Deficiency - I
554085 2024-003 Significant Deficiency - I
554086 2024-004 - - B
554087 2024-004 - - B
554088 2024-004 - - B
554089 2024-001 Material Weakness - B
554090 2024-001 Material Weakness - B
554091 2024-001 Material Weakness - B
1130522 2024-002 Significant Deficiency - B
1130523 2024-002 Significant Deficiency - B
1130524 2024-002 Significant Deficiency - B
1130525 2024-003 Significant Deficiency - I
1130526 2024-003 Significant Deficiency - I
1130527 2024-003 Significant Deficiency - I
1130528 2024-004 - - B
1130529 2024-004 - - B
1130530 2024-004 - - B
1130531 2024-001 Material Weakness - B
1130532 2024-001 Material Weakness - B
1130533 2024-001 Material Weakness - B

Programs

ALN Program Spent Major Findings
84.027 Special Education State Grants $838,966 Yes 3
21.027 State and Local Fiscal Recovery Funds - Covid-19 $812,019 Yes 1
15.916 Land and Water Conservation Fund Grant $627,768 - 0
84.425 Elementary and Secondary School Emergency Relief 3 - Covid-19 $601,837 - 0
84.010 Title Ia $492,824 - 0
10.555 National School Lunch Program - Subsidized Hot Lunch $384,803 - 0
10.553 Breakfast Program $133,425 - 0
21.027 State and Local Fiscal Recovery Funds Extended Learning Opportunities - Covid-19 $130,687 Yes 1
14.228 Community Development Block Grants $100,000 - 0
84.027 Arp Local Entitlement - Covid-19 $88,450 Yes 3
21.027 State and Local Fiscal Recovery Funds Prek - Covid-19 $83,524 Yes 1
10.555 Food Distribution/food Donation Program $80,069 - 0
10.555 State Administrative Expenses for Child Nutrition: Supply Chain Assistance $55,569 - 0
84.425 Arp Elementary and Secondary School Emergency Relief - Covid-19 $49,060 - 0
84.367 Title Iia - Supporting Effective Instruction $46,561 - 0
20.325 Consolidated Rail Infrastructure and Safety Improvements $46,043 - 0
16.710 Public Safety Partnership and Community Policing Program $45,000 - 0
20.205 Highway Planning and Construction $38,789 - 0
66.460 Nonpoint Source Implementation Grants $35,522 - 0
97.067 Homeland Security Grant $26,606 - 0
84.424 Title Iva - Student Support and Academic Enrichment $24,784 - 0
84.425 Arp Elementary and Secondary School Emergency Relief - Learning Loss - Covid-19 $15,641 - 0
84.425 Arp Homeless Children & Youth I - Covid-19 $13,736 - 0
84.173 Preschool 619 $11,882 Yes 3
20.600 High Visibility Enforcement $10,538 - 0
20.600 Dre - Forensic Phlebotomy $9,280 - 0
16.738 Edward Byrne Memorial Justice Assistance Grant $8,680 - 0
84.365 English Language Acquisition $8,600 - 0
15.605 Sport Fish Restoration Program $7,499 - 0
20.600 Distracted Driving $5,213 - 0
84.425 Elementary and Secondary School Emergency Relief 2 - Covid-19 $3,209 - 0
10.649 Pandemic Ebt Administrative Costs: Snap - Covid-19 $2,612 - 0
16.607 Bulletproof Vest Partnership Program $1,399 - 0
16.015 Missing Alzheimer's Disease Patient Assistance Program $1,072 - 0

Contacts

Name Title Type
UNUKGB242KY8 Branden Perreault Auditee
2077256652 Timothy Gill Auditor
No contacts on file

Notes to SEFA

Accounting Policies: A. Reporting Entity - The accompanying schedule includes all federal award programs of the Town of Brunswick, Maine for the fiscal year ended June 30, 2024. The reporting entity is defined in notes to basic financial statements of the Town of Brunswick, Maine. B. Basis of Presentation - The information in the accompanying schedule of expenditures of federal awards is presented in accordance with the Uniform Guidance. 1. Pursuant to the Uniform Guidance, federal awards are defined as assistance provided by a federal agency, either directly or indirectly, in the form of grants, contracts, cooperative agreements, loans, loan guarantees, property, interest subsidies, insurance, or direct appropriations. 2. Major Programs - The Uniform Guidance establishes the level of expenditures or expenses to be used in defining major federal award programs. Major programs for the Town of Brunswick, Maine are identified in the summary of auditor’s results in the schedule of findings and questioned costs. C. Basis of Accounting - The information presented in the schedule of expenditures of federal awards is presented on the modified accrual basis of accounting, which is consistent with the reporting in the Town’s fund financial statements. De Minimis Rate Used: N Rate Explanation: The Town of Brunswick, Maine has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

2024-002 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Special Education Cluster (IDEA), we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $1,243 Likely Questioned Costs: $7,394 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-002 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Special Education Cluster (IDEA), we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $1,243 Likely Questioned Costs: $7,394 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-002 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Special Education Cluster (IDEA), we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $1,243 Likely Questioned Costs: $7,394 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-003 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: In accordance with 2 CFR part 180, non-Federal entities are prohibited from contracting with parties that are suspended or debarred when a covered transaction is expected to equal or exceed $25,000 or meet certain other criteria specified in 2 CFR 180.220. The non-Federal entity must verify the contractor is not suspended or debarred by (1) checking the System for Award Management (SAM) exclusions maintained by the General Services Administration at SAM.gov, (2) collecting a certification from the entity, or (3) adding a clause or condition to the contract with that entity. Condition: During our disbursement test, we selected a consulting contract that did not include documentation that one of the three suspension and debarment verifications were performed. Cause: Although the School’s procurement policy references the suspension and debarment requirements, the School does not have a procedure in place to ensure compliance with the requirement prior to contracting with a vendor. Effect: The vendor could have been suspended or debarred from entering into a contract funded by Federal grants. Noncompliance can result in the grantor withholding Federal funds for the program. Known Questioned Costs: None Likely Questioned Costs: None Recommendation: We recommend management review the requirements under 2 CFR part 180 and develop procedures to add to their Federal Procurement Manual to ensure that one of the three verifications is present prior to entering into a covered transaction.
2024-003 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: In accordance with 2 CFR part 180, non-Federal entities are prohibited from contracting with parties that are suspended or debarred when a covered transaction is expected to equal or exceed $25,000 or meet certain other criteria specified in 2 CFR 180.220. The non-Federal entity must verify the contractor is not suspended or debarred by (1) checking the System for Award Management (SAM) exclusions maintained by the General Services Administration at SAM.gov, (2) collecting a certification from the entity, or (3) adding a clause or condition to the contract with that entity. Condition: During our disbursement test, we selected a consulting contract that did not include documentation that one of the three suspension and debarment verifications were performed. Cause: Although the School’s procurement policy references the suspension and debarment requirements, the School does not have a procedure in place to ensure compliance with the requirement prior to contracting with a vendor. Effect: The vendor could have been suspended or debarred from entering into a contract funded by Federal grants. Noncompliance can result in the grantor withholding Federal funds for the program. Known Questioned Costs: None Likely Questioned Costs: None Recommendation: We recommend management review the requirements under 2 CFR part 180 and develop procedures to add to their Federal Procurement Manual to ensure that one of the three verifications is present prior to entering into a covered transaction.
2024-003 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: In accordance with 2 CFR part 180, non-Federal entities are prohibited from contracting with parties that are suspended or debarred when a covered transaction is expected to equal or exceed $25,000 or meet certain other criteria specified in 2 CFR 180.220. The non-Federal entity must verify the contractor is not suspended or debarred by (1) checking the System for Award Management (SAM) exclusions maintained by the General Services Administration at SAM.gov, (2) collecting a certification from the entity, or (3) adding a clause or condition to the contract with that entity. Condition: During our disbursement test, we selected a consulting contract that did not include documentation that one of the three suspension and debarment verifications were performed. Cause: Although the School’s procurement policy references the suspension and debarment requirements, the School does not have a procedure in place to ensure compliance with the requirement prior to contracting with a vendor. Effect: The vendor could have been suspended or debarred from entering into a contract funded by Federal grants. Noncompliance can result in the grantor withholding Federal funds for the program. Known Questioned Costs: None Likely Questioned Costs: None Recommendation: We recommend management review the requirements under 2 CFR part 180 and develop procedures to add to their Federal Procurement Manual to ensure that one of the three verifications is present prior to entering into a covered transaction.
2024-004 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: Brunswick School Department teachers participate in the MainePERS retirement program. Teacher salaries and benefits, including the employer portion of MainePERS contributions, are charged to the Special Education Cluster (IDEA). Teacher employer contribution rates for the MainePERS retirement system were 4.47% for non-Federally funded teachers, and 19.57% for federally funded teachers during fiscal year 2024. Employees allocated to federal and non-federal activities should have their contributions prorated using the non-Federal and Federal rates based on the percentage of time allocated to each activity. Condition: We performed a payroll test of two employees charged to the Special Education Cluster (IDEA). One of the two employees tested had an incorrect MainePERS retirement contribution calculation. Cause: The employee tested was allocated 9% to the Federal grant and 91% to non-Federal activities. The contribution rates were not updated in the payroll system to reflect the correct allocation of Federal and non-Federal rates. Effect: As a result, the Special Education Cluster (IDEA) grant was overcharged for the employer portion of MainePERS contributions. Known Questioned Costs: $386 Likely Questioned Costs: $3,205 Recommendation: We recommend all employees charged to both Federal and non-Federal activities be reviewed in the payroll system to ensure the system is calculating the correct Federal and non-Federal rates. We also recommend developing policies to ensure that the correct rates are updated in the system each year and rates are properly applied when employee additions or allocation changes are made.
2024-004 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: Brunswick School Department teachers participate in the MainePERS retirement program. Teacher salaries and benefits, including the employer portion of MainePERS contributions, are charged to the Special Education Cluster (IDEA). Teacher employer contribution rates for the MainePERS retirement system were 4.47% for non-Federally funded teachers, and 19.57% for federally funded teachers during fiscal year 2024. Employees allocated to federal and non-federal activities should have their contributions prorated using the non-Federal and Federal rates based on the percentage of time allocated to each activity. Condition: We performed a payroll test of two employees charged to the Special Education Cluster (IDEA). One of the two employees tested had an incorrect MainePERS retirement contribution calculation. Cause: The employee tested was allocated 9% to the Federal grant and 91% to non-Federal activities. The contribution rates were not updated in the payroll system to reflect the correct allocation of Federal and non-Federal rates. Effect: As a result, the Special Education Cluster (IDEA) grant was overcharged for the employer portion of MainePERS contributions. Known Questioned Costs: $386 Likely Questioned Costs: $3,205 Recommendation: We recommend all employees charged to both Federal and non-Federal activities be reviewed in the payroll system to ensure the system is calculating the correct Federal and non-Federal rates. We also recommend developing policies to ensure that the correct rates are updated in the system each year and rates are properly applied when employee additions or allocation changes are made.
2024-004 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: Brunswick School Department teachers participate in the MainePERS retirement program. Teacher salaries and benefits, including the employer portion of MainePERS contributions, are charged to the Special Education Cluster (IDEA). Teacher employer contribution rates for the MainePERS retirement system were 4.47% for non-Federally funded teachers, and 19.57% for federally funded teachers during fiscal year 2024. Employees allocated to federal and non-federal activities should have their contributions prorated using the non-Federal and Federal rates based on the percentage of time allocated to each activity. Condition: We performed a payroll test of two employees charged to the Special Education Cluster (IDEA). One of the two employees tested had an incorrect MainePERS retirement contribution calculation. Cause: The employee tested was allocated 9% to the Federal grant and 91% to non-Federal activities. The contribution rates were not updated in the payroll system to reflect the correct allocation of Federal and non-Federal rates. Effect: As a result, the Special Education Cluster (IDEA) grant was overcharged for the employer portion of MainePERS contributions. Known Questioned Costs: $386 Likely Questioned Costs: $3,205 Recommendation: We recommend all employees charged to both Federal and non-Federal activities be reviewed in the payroll system to ensure the system is calculating the correct Federal and non-Federal rates. We also recommend developing policies to ensure that the correct rates are updated in the system each year and rates are properly applied when employee additions or allocation changes are made.
2024-001 U.S. Department of Treasury, Assistance Listing #21.027 Coronavirus State and Local Fiscal Recovery Funds Program for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Coronavirus State and Local Fiscal Recovery Funds Program, we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $4,422 Likely Questioned Costs: $31,105 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-001 U.S. Department of Treasury, Assistance Listing #21.027 Coronavirus State and Local Fiscal Recovery Funds Program for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Coronavirus State and Local Fiscal Recovery Funds Program, we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $4,422 Likely Questioned Costs: $31,105 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-001 U.S. Department of Treasury, Assistance Listing #21.027 Coronavirus State and Local Fiscal Recovery Funds Program for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Coronavirus State and Local Fiscal Recovery Funds Program, we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $4,422 Likely Questioned Costs: $31,105 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-002 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Special Education Cluster (IDEA), we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $1,243 Likely Questioned Costs: $7,394 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-002 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Special Education Cluster (IDEA), we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $1,243 Likely Questioned Costs: $7,394 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-002 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Special Education Cluster (IDEA), we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $1,243 Likely Questioned Costs: $7,394 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-003 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: In accordance with 2 CFR part 180, non-Federal entities are prohibited from contracting with parties that are suspended or debarred when a covered transaction is expected to equal or exceed $25,000 or meet certain other criteria specified in 2 CFR 180.220. The non-Federal entity must verify the contractor is not suspended or debarred by (1) checking the System for Award Management (SAM) exclusions maintained by the General Services Administration at SAM.gov, (2) collecting a certification from the entity, or (3) adding a clause or condition to the contract with that entity. Condition: During our disbursement test, we selected a consulting contract that did not include documentation that one of the three suspension and debarment verifications were performed. Cause: Although the School’s procurement policy references the suspension and debarment requirements, the School does not have a procedure in place to ensure compliance with the requirement prior to contracting with a vendor. Effect: The vendor could have been suspended or debarred from entering into a contract funded by Federal grants. Noncompliance can result in the grantor withholding Federal funds for the program. Known Questioned Costs: None Likely Questioned Costs: None Recommendation: We recommend management review the requirements under 2 CFR part 180 and develop procedures to add to their Federal Procurement Manual to ensure that one of the three verifications is present prior to entering into a covered transaction.
2024-003 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: In accordance with 2 CFR part 180, non-Federal entities are prohibited from contracting with parties that are suspended or debarred when a covered transaction is expected to equal or exceed $25,000 or meet certain other criteria specified in 2 CFR 180.220. The non-Federal entity must verify the contractor is not suspended or debarred by (1) checking the System for Award Management (SAM) exclusions maintained by the General Services Administration at SAM.gov, (2) collecting a certification from the entity, or (3) adding a clause or condition to the contract with that entity. Condition: During our disbursement test, we selected a consulting contract that did not include documentation that one of the three suspension and debarment verifications were performed. Cause: Although the School’s procurement policy references the suspension and debarment requirements, the School does not have a procedure in place to ensure compliance with the requirement prior to contracting with a vendor. Effect: The vendor could have been suspended or debarred from entering into a contract funded by Federal grants. Noncompliance can result in the grantor withholding Federal funds for the program. Known Questioned Costs: None Likely Questioned Costs: None Recommendation: We recommend management review the requirements under 2 CFR part 180 and develop procedures to add to their Federal Procurement Manual to ensure that one of the three verifications is present prior to entering into a covered transaction.
2024-003 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: In accordance with 2 CFR part 180, non-Federal entities are prohibited from contracting with parties that are suspended or debarred when a covered transaction is expected to equal or exceed $25,000 or meet certain other criteria specified in 2 CFR 180.220. The non-Federal entity must verify the contractor is not suspended or debarred by (1) checking the System for Award Management (SAM) exclusions maintained by the General Services Administration at SAM.gov, (2) collecting a certification from the entity, or (3) adding a clause or condition to the contract with that entity. Condition: During our disbursement test, we selected a consulting contract that did not include documentation that one of the three suspension and debarment verifications were performed. Cause: Although the School’s procurement policy references the suspension and debarment requirements, the School does not have a procedure in place to ensure compliance with the requirement prior to contracting with a vendor. Effect: The vendor could have been suspended or debarred from entering into a contract funded by Federal grants. Noncompliance can result in the grantor withholding Federal funds for the program. Known Questioned Costs: None Likely Questioned Costs: None Recommendation: We recommend management review the requirements under 2 CFR part 180 and develop procedures to add to their Federal Procurement Manual to ensure that one of the three verifications is present prior to entering into a covered transaction.
2024-004 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: Brunswick School Department teachers participate in the MainePERS retirement program. Teacher salaries and benefits, including the employer portion of MainePERS contributions, are charged to the Special Education Cluster (IDEA). Teacher employer contribution rates for the MainePERS retirement system were 4.47% for non-Federally funded teachers, and 19.57% for federally funded teachers during fiscal year 2024. Employees allocated to federal and non-federal activities should have their contributions prorated using the non-Federal and Federal rates based on the percentage of time allocated to each activity. Condition: We performed a payroll test of two employees charged to the Special Education Cluster (IDEA). One of the two employees tested had an incorrect MainePERS retirement contribution calculation. Cause: The employee tested was allocated 9% to the Federal grant and 91% to non-Federal activities. The contribution rates were not updated in the payroll system to reflect the correct allocation of Federal and non-Federal rates. Effect: As a result, the Special Education Cluster (IDEA) grant was overcharged for the employer portion of MainePERS contributions. Known Questioned Costs: $386 Likely Questioned Costs: $3,205 Recommendation: We recommend all employees charged to both Federal and non-Federal activities be reviewed in the payroll system to ensure the system is calculating the correct Federal and non-Federal rates. We also recommend developing policies to ensure that the correct rates are updated in the system each year and rates are properly applied when employee additions or allocation changes are made.
2024-004 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: Brunswick School Department teachers participate in the MainePERS retirement program. Teacher salaries and benefits, including the employer portion of MainePERS contributions, are charged to the Special Education Cluster (IDEA). Teacher employer contribution rates for the MainePERS retirement system were 4.47% for non-Federally funded teachers, and 19.57% for federally funded teachers during fiscal year 2024. Employees allocated to federal and non-federal activities should have their contributions prorated using the non-Federal and Federal rates based on the percentage of time allocated to each activity. Condition: We performed a payroll test of two employees charged to the Special Education Cluster (IDEA). One of the two employees tested had an incorrect MainePERS retirement contribution calculation. Cause: The employee tested was allocated 9% to the Federal grant and 91% to non-Federal activities. The contribution rates were not updated in the payroll system to reflect the correct allocation of Federal and non-Federal rates. Effect: As a result, the Special Education Cluster (IDEA) grant was overcharged for the employer portion of MainePERS contributions. Known Questioned Costs: $386 Likely Questioned Costs: $3,205 Recommendation: We recommend all employees charged to both Federal and non-Federal activities be reviewed in the payroll system to ensure the system is calculating the correct Federal and non-Federal rates. We also recommend developing policies to ensure that the correct rates are updated in the system each year and rates are properly applied when employee additions or allocation changes are made.
2024-004 U.S. Department of Education, Assistance Listing #84.027/84.173 Special Education Cluster (IDEA) for the period July 1, 2023 through June 30, 2024 Criteria: Brunswick School Department teachers participate in the MainePERS retirement program. Teacher salaries and benefits, including the employer portion of MainePERS contributions, are charged to the Special Education Cluster (IDEA). Teacher employer contribution rates for the MainePERS retirement system were 4.47% for non-Federally funded teachers, and 19.57% for federally funded teachers during fiscal year 2024. Employees allocated to federal and non-federal activities should have their contributions prorated using the non-Federal and Federal rates based on the percentage of time allocated to each activity. Condition: We performed a payroll test of two employees charged to the Special Education Cluster (IDEA). One of the two employees tested had an incorrect MainePERS retirement contribution calculation. Cause: The employee tested was allocated 9% to the Federal grant and 91% to non-Federal activities. The contribution rates were not updated in the payroll system to reflect the correct allocation of Federal and non-Federal rates. Effect: As a result, the Special Education Cluster (IDEA) grant was overcharged for the employer portion of MainePERS contributions. Known Questioned Costs: $386 Likely Questioned Costs: $3,205 Recommendation: We recommend all employees charged to both Federal and non-Federal activities be reviewed in the payroll system to ensure the system is calculating the correct Federal and non-Federal rates. We also recommend developing policies to ensure that the correct rates are updated in the system each year and rates are properly applied when employee additions or allocation changes are made.
2024-001 U.S. Department of Treasury, Assistance Listing #21.027 Coronavirus State and Local Fiscal Recovery Funds Program for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Coronavirus State and Local Fiscal Recovery Funds Program, we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $4,422 Likely Questioned Costs: $31,105 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-001 U.S. Department of Treasury, Assistance Listing #21.027 Coronavirus State and Local Fiscal Recovery Funds Program for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Coronavirus State and Local Fiscal Recovery Funds Program, we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $4,422 Likely Questioned Costs: $31,105 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.
2024-001 U.S. Department of Treasury, Assistance Listing #21.027 Coronavirus State and Local Fiscal Recovery Funds Program for the period of July 1, 2023 through June 30, 2024 Criteria: Uniform Guidance section 2 CFR 200.430(g) Standards for Documentation of Personnel Expenses requires records to support the distribution of employee salaries or wages when they are allocated amongst more than one Federal award or a Federal award and a non-Federal award. Budget estimates alone do not qualify as support for charges to Federal awards. Condition: During our testing of payroll expenditures at the School Department over the Coronavirus State and Local Fiscal Recovery Funds Program, we were unable to obtain actual time worked for employees split between multiple grants or Federal and non-Federal activities. Employee time was allocated based on budget estimates throughout the year. Cause: There is currently no system in place to require staff split between multiple grants or Federal and non-Federal activities to maintain weekly timesheets reflecting actual time worked. Effect: Actual time worked could differ from budgeted estimates. Without adequate support, payroll charges could be deemed unallowable. Known Questioned Costs: $4,422 Likely Questioned Costs: $31,105 Recommendation: We recommend a timesheet system be implemented to ensure that employees split between multiple grants or Federal and non-Federal activities are charging actual time worked to the applicable Federal grant.