FAC Explorer

Audit 355813

FY End
2024-06-30
Total Expended
$3.02M
Findings
6
Programs
8
Organization: Howland Local School District (OH)
Year: 2024 Accepted: 2025-05-08
Auditor: Keith Faber Auditor of State

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
559874 2024-001 Material Weakness - I
559875 2024-001 Material Weakness - I
559876 2024-001 Material Weakness - I
1136316 2024-001 Material Weakness - I
1136317 2024-001 Material Weakness - I
1136318 2024-001 Material Weakness - I

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $585,827 - 0
10.555 National School Lunch Program $347,393 - 0
10.553 School Breakfast Program $133,873 - 0
84.367 Improving Teacher Quality State Grants $105,203 - 0
84.424 Student Support and Academic Enrichment Program $58,823 - 0
84.173 Special Education_preschool Grants $14,838 Yes 1
84.425 Education Stabilization Fund $14,113 - 0
84.027 Special Education_grants to States $2,905 Yes 1

Contacts

Name Title Type
KJ76X49DAKG4 Julie Sloan Auditee
3308568207 Erik Holesko Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of Howland Local School District (the District’s) under programs of the federal government for the year ended June 30, 2024. The information on this Schedule is prepared 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 District, it is not intended to and does not present the financial position or changes in net position of the District.
Title: CHILD NUTRITION CLUSTER Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The District commingles cash receipts from the U.S. Department of Agriculture with similar State grants. When reporting expenditures on this Schedule, the District assumes it expends federal monies first. The District's Child Nutrition Cluster carried over $5,405 into fiscal year 2025.
Title: FOOD DONATION PROGRAM Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The District reports commodities consumed on the Schedule at the entitlement value. The District allocated donated food commodities to the respective program that benefitted from the use of those donated food commodities.
Title: TRANSFERS BETWEEN PROGRAM YEARS Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Federal regulations require schools to obligate certain federal awards by June 30. However, with DEW’s consent, schools can transfer unobligated amounts to the subsequent fiscal year’s program. The District transferred the following amounts from 2024 to 2025 programs: (See the Notes to the SEFA for chart/table)

Finding Details

Finding 2024-001
ESC – Federal Procurement Finding Number: 2024-001 Assistance Listing Number and Title: AL # 84.027 / 84.173 Federal Award Identification Number / Year: 2024 Federal Agency: United States Department of Education Compliance Requirement: Procurement Pass-Through Entity: Ohio Department of Education and Workforce Repeat Finding from Prior Audit? No NONCOMPLIANCE AND MATERIAL WEAKNESS Ohio Rev. Code §§ 3313.843 and 3313.845 allow traditional schools to contract with Educational Service Centers (ESCs) to provide services as outlined in the agreement between the two parties. Ohio Rev. Code §3313.843(C) requires these agreements to be filed with the Ohio Department of Education and Workforce by the first day of July of the school year for which the agreement is in effect. Effective on December 26, 2014, 2 CFR § 200.320 outlined the methods of procurement to be followed by state subrecipient non-Federal entities when expending certain types of Federal funds, including those received through Grant Agreements. However, 2 CFR § 200.110(a), created a “grace period” for compliance with 2 CFR §200.320, by permitting non-Federal entities to comply with previously issued Office of Management and Budget procurement guidance for all fiscal years beginning prior to December 26, 2017. In January 2020, the Ohio Department of Education and Workforce (DEW) published a form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services. This form is available on DEW’s website. During the fiscal year, the School District contracted with Trumbull County Educational Service Center (ESC) to provide purchased services. These services included expenditures of $55,860, which were paid for out of the Special Education Cluster Grants and subject to the Federal procurement laws. The School District did not complete the form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services that is available on the DEW website. Under 2 CFR §200.320 the School District should have competitively bid the services needed or obtained price quotes from qualified sources as further defined in the School District’s procurement policy. The School District should develop a control(s) and/or procedure(s) to verify that established procurement procedures are followed when entering into contracts using Federal monies. The DEW form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services should be utilized for any ESC contract in the future. Failure to follow proper procurement procedures could result in contracts awarded to entities which do not meet all the needs of the School District or have a cost significantly higher than their competitors, as well as a loss in future federal funding and possible questioned costs in future audits. Official’s Response: See Corrective Action Plan.
Finding 2024-001
ESC – Federal Procurement Finding Number: 2024-001 Assistance Listing Number and Title: AL # 84.027 / 84.173 Federal Award Identification Number / Year: 2024 Federal Agency: United States Department of Education Compliance Requirement: Procurement Pass-Through Entity: Ohio Department of Education and Workforce Repeat Finding from Prior Audit? No NONCOMPLIANCE AND MATERIAL WEAKNESS Ohio Rev. Code §§ 3313.843 and 3313.845 allow traditional schools to contract with Educational Service Centers (ESCs) to provide services as outlined in the agreement between the two parties. Ohio Rev. Code §3313.843(C) requires these agreements to be filed with the Ohio Department of Education and Workforce by the first day of July of the school year for which the agreement is in effect. Effective on December 26, 2014, 2 CFR § 200.320 outlined the methods of procurement to be followed by state subrecipient non-Federal entities when expending certain types of Federal funds, including those received through Grant Agreements. However, 2 CFR § 200.110(a), created a “grace period” for compliance with 2 CFR §200.320, by permitting non-Federal entities to comply with previously issued Office of Management and Budget procurement guidance for all fiscal years beginning prior to December 26, 2017. In January 2020, the Ohio Department of Education and Workforce (DEW) published a form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services. This form is available on DEW’s website. During the fiscal year, the School District contracted with Trumbull County Educational Service Center (ESC) to provide purchased services. These services included expenditures of $55,860, which were paid for out of the Special Education Cluster Grants and subject to the Federal procurement laws. The School District did not complete the form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services that is available on the DEW website. Under 2 CFR §200.320 the School District should have competitively bid the services needed or obtained price quotes from qualified sources as further defined in the School District’s procurement policy. The School District should develop a control(s) and/or procedure(s) to verify that established procurement procedures are followed when entering into contracts using Federal monies. The DEW form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services should be utilized for any ESC contract in the future. Failure to follow proper procurement procedures could result in contracts awarded to entities which do not meet all the needs of the School District or have a cost significantly higher than their competitors, as well as a loss in future federal funding and possible questioned costs in future audits. Official’s Response: See Corrective Action Plan.
Finding 2024-001
ESC – Federal Procurement Finding Number: 2024-001 Assistance Listing Number and Title: AL # 84.027 / 84.173 Federal Award Identification Number / Year: 2024 Federal Agency: United States Department of Education Compliance Requirement: Procurement Pass-Through Entity: Ohio Department of Education and Workforce Repeat Finding from Prior Audit? No NONCOMPLIANCE AND MATERIAL WEAKNESS Ohio Rev. Code §§ 3313.843 and 3313.845 allow traditional schools to contract with Educational Service Centers (ESCs) to provide services as outlined in the agreement between the two parties. Ohio Rev. Code §3313.843(C) requires these agreements to be filed with the Ohio Department of Education and Workforce by the first day of July of the school year for which the agreement is in effect. Effective on December 26, 2014, 2 CFR § 200.320 outlined the methods of procurement to be followed by state subrecipient non-Federal entities when expending certain types of Federal funds, including those received through Grant Agreements. However, 2 CFR § 200.110(a), created a “grace period” for compliance with 2 CFR §200.320, by permitting non-Federal entities to comply with previously issued Office of Management and Budget procurement guidance for all fiscal years beginning prior to December 26, 2017. In January 2020, the Ohio Department of Education and Workforce (DEW) published a form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services. This form is available on DEW’s website. During the fiscal year, the School District contracted with Trumbull County Educational Service Center (ESC) to provide purchased services. These services included expenditures of $55,860, which were paid for out of the Special Education Cluster Grants and subject to the Federal procurement laws. The School District did not complete the form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services that is available on the DEW website. Under 2 CFR §200.320 the School District should have competitively bid the services needed or obtained price quotes from qualified sources as further defined in the School District’s procurement policy. The School District should develop a control(s) and/or procedure(s) to verify that established procurement procedures are followed when entering into contracts using Federal monies. The DEW form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services should be utilized for any ESC contract in the future. Failure to follow proper procurement procedures could result in contracts awarded to entities which do not meet all the needs of the School District or have a cost significantly higher than their competitors, as well as a loss in future federal funding and possible questioned costs in future audits. Official’s Response: See Corrective Action Plan.
Finding 2024-001
ESC – Federal Procurement Finding Number: 2024-001 Assistance Listing Number and Title: AL # 84.027 / 84.173 Federal Award Identification Number / Year: 2024 Federal Agency: United States Department of Education Compliance Requirement: Procurement Pass-Through Entity: Ohio Department of Education and Workforce Repeat Finding from Prior Audit? No NONCOMPLIANCE AND MATERIAL WEAKNESS Ohio Rev. Code §§ 3313.843 and 3313.845 allow traditional schools to contract with Educational Service Centers (ESCs) to provide services as outlined in the agreement between the two parties. Ohio Rev. Code §3313.843(C) requires these agreements to be filed with the Ohio Department of Education and Workforce by the first day of July of the school year for which the agreement is in effect. Effective on December 26, 2014, 2 CFR § 200.320 outlined the methods of procurement to be followed by state subrecipient non-Federal entities when expending certain types of Federal funds, including those received through Grant Agreements. However, 2 CFR § 200.110(a), created a “grace period” for compliance with 2 CFR §200.320, by permitting non-Federal entities to comply with previously issued Office of Management and Budget procurement guidance for all fiscal years beginning prior to December 26, 2017. In January 2020, the Ohio Department of Education and Workforce (DEW) published a form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services. This form is available on DEW’s website. During the fiscal year, the School District contracted with Trumbull County Educational Service Center (ESC) to provide purchased services. These services included expenditures of $55,860, which were paid for out of the Special Education Cluster Grants and subject to the Federal procurement laws. The School District did not complete the form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services that is available on the DEW website. Under 2 CFR §200.320 the School District should have competitively bid the services needed or obtained price quotes from qualified sources as further defined in the School District’s procurement policy. The School District should develop a control(s) and/or procedure(s) to verify that established procurement procedures are followed when entering into contracts using Federal monies. The DEW form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services should be utilized for any ESC contract in the future. Failure to follow proper procurement procedures could result in contracts awarded to entities which do not meet all the needs of the School District or have a cost significantly higher than their competitors, as well as a loss in future federal funding and possible questioned costs in future audits. Official’s Response: See Corrective Action Plan.
Finding 2024-001
ESC – Federal Procurement Finding Number: 2024-001 Assistance Listing Number and Title: AL # 84.027 / 84.173 Federal Award Identification Number / Year: 2024 Federal Agency: United States Department of Education Compliance Requirement: Procurement Pass-Through Entity: Ohio Department of Education and Workforce Repeat Finding from Prior Audit? No NONCOMPLIANCE AND MATERIAL WEAKNESS Ohio Rev. Code §§ 3313.843 and 3313.845 allow traditional schools to contract with Educational Service Centers (ESCs) to provide services as outlined in the agreement between the two parties. Ohio Rev. Code §3313.843(C) requires these agreements to be filed with the Ohio Department of Education and Workforce by the first day of July of the school year for which the agreement is in effect. Effective on December 26, 2014, 2 CFR § 200.320 outlined the methods of procurement to be followed by state subrecipient non-Federal entities when expending certain types of Federal funds, including those received through Grant Agreements. However, 2 CFR § 200.110(a), created a “grace period” for compliance with 2 CFR §200.320, by permitting non-Federal entities to comply with previously issued Office of Management and Budget procurement guidance for all fiscal years beginning prior to December 26, 2017. In January 2020, the Ohio Department of Education and Workforce (DEW) published a form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services. This form is available on DEW’s website. During the fiscal year, the School District contracted with Trumbull County Educational Service Center (ESC) to provide purchased services. These services included expenditures of $55,860, which were paid for out of the Special Education Cluster Grants and subject to the Federal procurement laws. The School District did not complete the form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services that is available on the DEW website. Under 2 CFR §200.320 the School District should have competitively bid the services needed or obtained price quotes from qualified sources as further defined in the School District’s procurement policy. The School District should develop a control(s) and/or procedure(s) to verify that established procurement procedures are followed when entering into contracts using Federal monies. The DEW form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services should be utilized for any ESC contract in the future. Failure to follow proper procurement procedures could result in contracts awarded to entities which do not meet all the needs of the School District or have a cost significantly higher than their competitors, as well as a loss in future federal funding and possible questioned costs in future audits. Official’s Response: See Corrective Action Plan.
Finding 2024-001
ESC – Federal Procurement Finding Number: 2024-001 Assistance Listing Number and Title: AL # 84.027 / 84.173 Federal Award Identification Number / Year: 2024 Federal Agency: United States Department of Education Compliance Requirement: Procurement Pass-Through Entity: Ohio Department of Education and Workforce Repeat Finding from Prior Audit? No NONCOMPLIANCE AND MATERIAL WEAKNESS Ohio Rev. Code §§ 3313.843 and 3313.845 allow traditional schools to contract with Educational Service Centers (ESCs) to provide services as outlined in the agreement between the two parties. Ohio Rev. Code §3313.843(C) requires these agreements to be filed with the Ohio Department of Education and Workforce by the first day of July of the school year for which the agreement is in effect. Effective on December 26, 2014, 2 CFR § 200.320 outlined the methods of procurement to be followed by state subrecipient non-Federal entities when expending certain types of Federal funds, including those received through Grant Agreements. However, 2 CFR § 200.110(a), created a “grace period” for compliance with 2 CFR §200.320, by permitting non-Federal entities to comply with previously issued Office of Management and Budget procurement guidance for all fiscal years beginning prior to December 26, 2017. In January 2020, the Ohio Department of Education and Workforce (DEW) published a form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services. This form is available on DEW’s website. During the fiscal year, the School District contracted with Trumbull County Educational Service Center (ESC) to provide purchased services. These services included expenditures of $55,860, which were paid for out of the Special Education Cluster Grants and subject to the Federal procurement laws. The School District did not complete the form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services that is available on the DEW website. Under 2 CFR §200.320 the School District should have competitively bid the services needed or obtained price quotes from qualified sources as further defined in the School District’s procurement policy. The School District should develop a control(s) and/or procedure(s) to verify that established procurement procedures are followed when entering into contracts using Federal monies. The DEW form that allows schools to request DEW authorize a noncompetitive proposal for their ESC Services should be utilized for any ESC contract in the future. Failure to follow proper procurement procedures could result in contracts awarded to entities which do not meet all the needs of the School District or have a cost significantly higher than their competitors, as well as a loss in future federal funding and possible questioned costs in future audits. Official’s Response: See Corrective Action Plan.