Audit 377791

2025-003 FINDING Federal Program Education Stabilization Fund (AL 84.425U) Special Tests and Provisions – Wage Rate Requirements Criteria 29 CFR Part 5, Labor Standards Provisions Application to Contracts Governing Federally Financed and Assisted Construction requires the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Condition Certified payrolls were not submitted the week after the week where work was performed. Questioned Costs Undeterminable Context In a population of 17 certified payrolls submitted by 3 contractors, we haphazardly selected 3 certified payrolls to test. We noted one payroll was submitted approximately 90 days after the week of when the work was performed. Cause Management oversight Effect The District would not have timely caught improper wage rates paid to contractors. Repeat Finding No Recommendation The District should implement policies and procedures to ensure all certified payrolls are submitted the week after the week of which work is performed. Views of the Responsible Officials The District agrees with the recommendation.