FAC Explorer

Audit 376449

FY End
2025-06-30
Total Expended
$3.82M
Findings
5
Programs
13
Organization: North Scott Community School District (IA)
Year: 2025 Accepted: 2025-12-19
Auditor: BOHNSACK & FROMMELT LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1165705 2025-001 Material Weakness Yes B
1165706 2025-001 Material Weakness Yes B
1165707 2025-001 Material Weakness Yes B
1165708 2025-001 Material Weakness Yes B
1165709 2025-001 Material Weakness Yes B

Programs

ALN Program Spent Major Findings
14.251 Community Project Fund Grant $2.00M Yes 0
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $303,958 Yes 0
84.126 REHABILITATION SERVICES_VOCATIONAL REHABILITATION GRANTS TO STATES $143,701 Yes 0
84.027 SPECIAL EDUCATION_GRANTS TO STATES $131,704 Yes 0
10.553 SCHOOL BREAKFAST PROGRAM $127,414 Yes 1
10.555 NATIONAL SCHOOL LUNCH PROGRAM $124,422 Yes 1
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $103,283 Yes 0
84.367 IMPROVING TEACHER QUALITY STATE GRANTS $54,680 Yes 0
84.425 EDUCATION STABILIZATION FUND $25,700 Yes 0
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $23,069 Yes 0
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $18,852 Yes 0
10.558 CHILD AND ADULT CARE FOOD PROGRAM $1,768 Yes 0
84.365 ENGLISH LANGUAGE ACQUISITION STATE GRANTS $81 Yes 0

Contacts

Name Title Type
E3S5DV646569 Jill Van Roekel Auditee
5632854147 Mia Frommelt Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the North Scott Community School District under programs of the federal government for the year ended June 30, 2025. 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 North Scott Community School District, it is not intended to and does not present the financial position, changes in net position or cash flows of North Scott Community School District.
Expenditures reported on the Schedule of Expenditures of Federal Awards are reported on the modified accrual or accrual basis of accounting based on the fund-type of the program. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented in or used in the preparation of the basic financial statements. Revenue from federal awards is recognized when the District has done everything necessary to establish its right to revenue. For governmental funds, revenue from federal awards is recognized when it is both measurable and available. Expenditures of federal awards are recognized in the accounting period when the liability is incurred.
The District has elected not to use the 10-percent de minimus indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2025-001
U.S. Department of Agriculture Pass-Through Iowa Department of Education Child Nutrition Cluster Programs: 10.553 School Breakfast Program 10.555 National School Lunch Program 10.555 National School Lunch Program-Supply Chain Assistance 10.555 Commodities -DOD (Noncash) 10.555 Commodities (Noncash) Federal Award Year: 2025 Finding: The District overcharged indirect costs to the Child Nutrition Cluster Program. Criteria: The 2 Code of Federal Regulation (CFR) Part 200, Subpart E provides guidance on the provisions of indirect costs. Indirect cost rates are applied to modified total direct costs (MTDC). 2 CFR 200 defines MTDC as: All direct salaries and wages, applicable fringe benefits, materials and supplies, services, travel, and up to the first $25,000 of each subaward (regardless of the period of performance of the subawards under the award). MTDC excludes equipment, capital expenditures, charges for patient care, rental costs, tuition remission, scholarships and fellowships, participant support costs and the portion of each subaward in excess of $25,000. Other items may only be excluded when necessary to avoid a serious inequity in the distribution of indirect costs, and with the approval of the cognizant agency for indirect costs. On November 19, 2024, the Iowa Department of Education issued guidance for applying the indirect cost rate to nutrition programs. The guidance specifically states the calculation is applied to the lower of total federal revenue that allows indirect cost recovery or total MTDC. Condition: The District applied the indirect cost rate to an estimated amount derived from a mixture of the total direct revenue base and the total direct expenditure base. Cause: The District did not use new state provided guidance and templates when calculating the indirect costs. Effect: The District could overcharge federal awards for indirect costs. Questioned costs: The District overcharged the program approximately $6,200 computed by applying the unrestricted indirect cost rate provided by the Iowa Department of Education to the lower of total federal revenue or MTDC.. Context: The overcharge represents less than one percent of the program revenue base and of the total program expenditures on the Schedule of Expenditures of Federal Awards. Identification as a repeat finding: This is not a repeat finding. Recommendation: We recommend the District annually prepare the indirect cost worksheet based on current state guidance and templates. Response and Corrective Action Plan: The District will annually prepare the indirect cost charged to the program based on current state guidance and templates.