Audit 372769

FINDING 2025-001 DOCUMENT RETENTION SIGNIFICANT DEFICIENCY Federal Program: Title I, Part A Assistance Listing Number: 84.010A Criteria Per 7 CFR 200.334, “Financial records, supporting documents, statistical records, and all other non-Federal entity records pertinent to a Federal award must be retained for a period of three years from the date of submission of the final expenditure report or, for Federal awards that are renewed quarterly or annually, from the date of the submission of the quarterly or annual financial report, respectively, as reported to the Federal awarding agency or pass-through entity in the case of a subrecipient.” Condition As part of its process to determine allocations of Title I program funds, the State of Indiana uses poverty level data submitted by the schools. The report used to determine Title I funding for the 2025 fiscal year was obtained from the School. A sample of 40 students were selected from the report for testing. Of those selected, the School was unable to provide the records that were used to determine the poverty level of 7 students. Cause The School did not have procedures in place to ensure it maintained this documentation for all reported students. Effect Determination of whether reporting was correct for these students could not be made. Recommendation We recommend the School develop internal controls requiring the maintenance of documentation for poverty level determination records. Views of Responsible Officials The School’s Corrective Action Plan is included on page 22.