Federal agency: U.S. Department of Education Federal Program Name: Stronger Connections Grant (SCG) Program English Language Acquisition State Grants Assistance Listing Number: 84.424F, 84.365 Federal Award Identification Number, Year, and Award Period: S424F220032: 9/15/2022 - 9/30/2025 T365A240031: 7/1/2024 - 9/30/2025 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Material Weakness in Internal Control over Compliance, Material Noncompliance (Modified Opinion) Criteria or specific requirement: Under the requirements of the Federal Funding Accountability and Transparency Act (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252, hereafter referred as the “Transparency Act” that are codified in 2 CFR Part 170, recipients (i.e., direct recipients) of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). For subaward information, report no later than the end of the month following the month in which the obligation was made. Additionally, 2 CFR section 200.303 requires that non-federal entities receiving federal awards establish and maintain internal control over the federal award, which includes providing an environment where segregation of duties can be achieved for preventative measures. Condition: During single audit testwork over reporting, the following issues were noted which are detailed by ALN: 84.424F 1 out of 1 grant did not report subaward information during fiscal year 2025 to the FFATA Subaward Reporting System (FSRS). 84.365: 1 of 1 grant had an incomplete subaward information report submitted to the FFATA Subaward Reporting System (FSRS). Questioned costs: None. Context: This was identified during Reporting Testing. The samples described above were statistically valid samples. PUBLIC EDUCATION DEPARTMENT FEDERAL FINDINGS 2025-010 (2021-004) FFATA Reporting (Material Weakness, Modified Opinion) (Continued) Cause: The Department lacks established internal controls and procedures over FFATA subaward management to ensure reports are submitted timely, complete, and are properly maintained in the files of the Department. Effect: The Department is not in compliance with federal regulations. Repeat Finding: 2024-004, 2023-004, 2022-006, 2021-004 Recommendation: We recommend the Department review the instructions for completion of the FFATA reports with training provided to the program staff who are preparing and reviewing the FFATA reports to ensure submitted reports are timely and complete. We recommend the Department implement effective processes and procedures to maintain the submitted reports and the documentation used to prepare the reports in the files of the Department. Views of responsible officials: ALN 84.424F Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.365 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline.
Federal agency: U.S. Department of Education, U.S Department of Agriculture Federal program title: Child Nutrition Cluster Education Stabilization Fund Supporting Effective Instruction State Grants English Language Acquisition State Grants Coronavirus Capital Projects Fund Assistance Listing Number: 10.555, 84.425U, 84.367, 84.365, 21.029 Federal Award Identification Number, Year, and Award Period: S367240030: 7/1/2022 - 9/30/2025 S425U210023: 3/24/21 - 9/30/2024 T365A240031: 7/1/2024 - 9/30/2025 202525N119946: 10/4/2024 - 9/30/2025 CPFFN0199: 2/4/2022 - 12/31/2026 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Under the requirements of the Federal Funding Accountability and Transparency Act (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252, hereafter referred as the “Transparency Act” that are codified in 2 CFR Part 170, recipients (i.e., direct recipients) of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). For subaward information, report no later than the end of the month following the month in which the obligation was made. Criteria or specific requirement (continued): Additionally, 2 CFR section 200.303 requires that nonfederal entities receiving federal awards establish and maintain internal control over the federal award, which includes providing an environment where segregation of duties can be achieved for preventative measures. Condition: During single audit testwork over reporting, the following issues were noted which are detailed by ALN: 10.555 2 out of 3 grant did not report subaward information during fiscal year 2025 to the FFATA Subaward Reporting System (FSRS). 84.425U 1 of 1 grant had an incomplete subaward information report submitted to the FFATA Subaward Reporting System (FSRS). 84.365 1 of 1 grant had an incomplete subaward information report submitted to the FFATA Subaward Reporting System (FSRS). 84.367 1 of 1 grant submitted the report 1 month after the due date 21.029 1 of 1 grant did not report subaward information during fiscal year 2025 to the FFATA Subaward Reporting System (FSRS). Management’s Progress for Repeat Finding: This is a repeated and modified finding. While the Department has improved its efforts, there are still opportunities for improvement to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements as well as compliance with Department policy. Questioned costs: None. Context: This was identified during Reporting Testing. The samples described above were statistically valid samples. Cause: The Department lacks established internal controls and procedures over FFATA subaward management to ensure reports are submitted timely, complete, and are properly maintained in the files of the Department. Effect: The Department is not in compliance with federal regulations. Repeat Finding: 2024-004, 2023-004, 2022-006, 2021-004 Recommendation: We recommend the Department review the instructions for completion of the FFATA reports with training provided to the program staff who are preparing and reviewing the FFATA reports to ensure submitted reports are timely and complete. We recommend the Department implement effective processes and procedures to maintain the submitted reports and the documentation used to prepare the reports in the files of the Department. Views of responsible officials: ALN 10.555: Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.425U The SSFS staff is currently working on adding all pertinent subawards. However, it has proven difficult to get access to our staff via the FFATA helpdesk. We are diligently trying to solve such issues as not knowing the previous owner of these grants in the FFATA system in order to transfer this ownership to the current staff. The Director and Deputy Director of the Student, School, and Family Support (SSFS) Bureau are responsible for ensuring the FFATA reporting is completed by March 31, 2025. ALN 21.029 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.365: Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.367: Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline.
Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.555, 10.582 Federal Award Identification Number, Year, and Award Period: 202525N119946: 10/4/2024 - 9/30/2025 202423L160346: 10/1/2023 - 9/30/2024 202419L160346: 10/1/2023 - 9/30/2024 202524L160346: 10/4/2024 - 9/30/2025 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: From 7 CFR 210.5(d): Substantiation and reconciliation process. Each State agency shall maintain Program records as necessary to support the reimbursement payments made to school food authorities under §§ 210.7 and 210.8 and the reports submitted to FNS under this paragraph. The State agency shall ensure such records are retained for a period of 3 years or as otherwise specified in § 210.23(c). (1) Monthly report. Each State agency shall submit a final Report of School Program Operations (FNS- 10) to FNS for each month. The final reports shall be limited to claims submitted in accordance with § 210.8 of this part. For the month of October, the final report shall include the total number of children approved for free lunches, the total number of children approved for reduced price lunches, and the total number of children enrolled in participating public schools, private schools, and residential child care institutions, respectively, as of the last day of operation in October. The final reports shall be postmarked and/or submitted no later than 90 days following the last day of the month covered by the report. States shall not receive Program funds for any month for which the final report is not submitted within this time limit unless FNS grants an exception. Upward adjustments to a State's report shall not be made after 90 days from the month covered by the report unless authorized by FNS. Downward adjustments to a State's report shall always be made regardless of when it is determined that such adjustments are necessary. FNS authorization is not required for downward adjustments. Any adjustments to a State's report shall be reported to FNS in accordance with procedures established by FNS. Criteria or specific requirement (continued): Per §200.302 Financial Management, the state’s and the other non-Federal entity’s financial management systems, including records documenting compliance with Federal statutes, regulations, and the terms and conditions of the Federal award, must be sufficient to permit the preparation of reports required by the terms and conditions; and tracking expenditures to establish that funds have been used in accordance with Federal statutes, regulations, and the terms and conditions of the Federal award. Further, the financial management system of each non-federal entity must provide accurate, current, and complete disclosure of the financial results of each Federal award or program in accordance with the reporting requirements Condition: 1 out of 4 FNS-10 sampled, the Department did not accurately report statewide program participation totals on the FNS‑10, as required by 7 CFR § 210.5(d). Although underlying support was accurate, the reported amount was reported incorrectly 5 out of 5 SF-425 sampled did not have the supporting documentation or reported incorrectly for the "Federal share of expenditures" at the time the report was prepared. Questioned costs: None Context: This was identified as we tested financial reporting Cause: The Department lacks established internal controls and procedures over reporting to ensure risks of incomplete reports are mitigated Effect: The Department is not in compliance with federal regulations. Repeat Finding: No Recommendation: We recommend the Department implement effective processes and procedures to ensure reported information is accurate and aligns with underlying data Views of responsible officials: Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline.
Federal agency: U.S. Department of Education Federal program title: Coronavirus Capital Projects Fund Assistance Listing Number: 21.029 Federal Award Identification Number, Year, and Award Period: CPFFN0199: 2/4/2022 - 12/31/2026 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per 2 CFR 200.329 (b), When reporting program performance, the recipient or subrecipient must relate financial data and project or program accomplishments to the performance goals and objectives of the Federal award. Also, the recipient or subrecipient must provide cost information to demonstrate cost-effective practices (for example, through unit cost data) when required by the terms and conditions of the Federal award. In some instances (for example, discretionary research awards), this may be limited to the requirement to submit technical performance reports. Condition: During performance reporting test work on key line items, we noted 2 out of 2 performance report did not report correct information according to the underlying supporting documents. Questioned costs: None Context: This was identified during Reporting Testing. The samples described above were statistically valid samples. Cause: The Department has not maintained internal controls designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effect: Noncompliance with applicable federal regulations. Repeat Finding: No Recommendation: We recommend the Department implement effective processes and procedures to ensure the information reported aligns with the underlying support Views of responsible officials: ALN 21.029 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline.
Federal agency: U.S. Department of Education Federal program title: Student Support and Academic Enrichment Program Supporting Effective Instruction Grant English Language Acquisition Grant Coronavirus Capital Projects Fund Assistance Listing Number: 84.367, 84.365, 84.424A, 21.029 Federal Award Identification Number and Year: S367A230030: 7/1/2023-12/31/2026 S365A220031: 7/1/2022 - 12/31/2025 S424A230032: 7/1/2023-12/31/2026 CPFFN0199: 2/4/2022 - 12/31/2026 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per Federal Programs Cross-Cutting Risk Assessment Created by the Department, "The PED uses the Federal Programs Cross-Cutting Risk Assessment Tool to conduct the annual risk assessment in the spring/summer. The data and information used to populate the crosscutting subrecipient risk assessment tool are gathered and compiled from multiple sources...After the data and information are entered into the cross-cutting risk assessment tool, the data and information are analyzed to determine the level of risk." Additionally, the Pass-Through Entity must make the subrecipient aware of the award information required by 2 CFR section 200.331(a) sufficient for the PTE to comply with Federal statutes, regulations, and the terms and conditions of the award Condition: 84.367: 16 of 16 samples selected did not retain the FY25 Federal Programs Cross-Cutting Risk Assessment Tool in order to determine appropriate risk level and subrecipient monitoring procedure. 84.365: 10 of 10 samples selected did not retain the FY25 Federal Programs Cross-Cutting Risk Assessment Tool in order to determine appropriate risk level and subrecipient monitoring procedure. 84.424: 6 of 6 samples selected did not retain the FY25 Federal Programs Cross-Cutting Risk Assessment Tool in order to determine appropriate risk level and subrecipient monitoring procedure. 21.029 The subaward agreements lacked all required elements of a subaward. The ALN numbers provided did not match the correct ALN (21.027 vs 21.029). Questioned costs: None. Context: This was identified during Subrecipient Monitoring testing. The samples described above were statistically valid samples. Cause: The Department has not maintained internal controls and procedures over subrecipient communications designed to reasonably ensure documents are retained for an extended period of time and ensure all required elements are communicated to subawardees Effect: Noncompliance with Department policy and applicable federal regulations. Other elements of monitoring were conducted by the Department over the respective programs that mitigate the impact. Repeat Finding: No Recommendation: We noted improvements have been made during the audit period, including retainage of the FY26 Federal Programs Cross-Cutting Risk Assessment Tool. We recommend the Department continues to follow new procedures in place. Additionally, we recommend the Department implement effective processes and procedures to ensure all required elements are included in the communications to subawardees. Views of responsible officials: ALN 84.367 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.365 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.424D Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 21.029 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline.
Federal agency: U.S. Department of Education Federal program title: Student Support and Academic Enrichment Program Supporting Effective Instruction Grant English Language Acquisition Grant Assistance Listing Number: 84.367, 84.365, 84.424A, 84.424F, 84.424D Federal Award Identification Number, Year, and Award Period: S367A230030: 7/1/2023-12/31/2026 S365A220031: 7/1/2022 - 12/31/2025 S424A230032: 7/1/2023-12/31/2026 S424F220032: 9/15/2022 - 9/30/2025 S424D200005-22B:10/01/2020-09/30/2025 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per the most recent version of the Semiannual Certification, sign offs were required prior to 1/15/2025 for the first half of the fiscal year or 7/15/2025 for the last half of the fiscal year. Additionally, Personnel Activity Forms (PARs) are required to be prepared at least monthly and coincide with one or more pay periods. Per the PED grant manual, “At least quarterly, comparisons of actual costs to budgeted distributions based on the monthly activity reports are made.” Additionally, Under 2 CFR 200.430(g)(1)(vii), ‘Budget estimates (meaning, estimates determined before the services are performed) alone do not qualify as support for charges to Federal awards, but may be used for interim accounting purposes, provided that:’ and specifically under subparagraph (C), ‘The recipient's or subrecipient's system of internal controls includes processes to perform periodic after-the-fact reviews of interim charges made to a Federal award based on budget estimates. All necessary adjustments must be made so that the final amount charged to the Federal award is accurate, allowable, and properly allocated.' Condition: During single audit testwork over payroll, the following issues were noted which are detailed by ALN: 84.367: 7 of 15 samples had the Semiannual Certification completed after the required date of 1/15/2025 2 of 15 samples did not include a date of signature to complete the Semiannual Certification, making it impossible to verify whether it was completed within the required submission timeframe 2 of 15 timesheets reviewed did not agree to the charges entered into SHARE. The total of the variances is approximately $97. The variances were not corrected. 84.365: 1 of 10 samples had the PAR signed in February 2025 for work done in August 2024, which is beyond the monthly preparation requirement. 1 of 10 timesheets reviewed did not agree to the charges entered into SHARE. The total of the variances is approximately $18. The variances were not corrected. 84.424A: 2 of 15 samples had the Semiannual Certification completed after the required date of 7/15/2025 84.424F 1 of 15 samples had the PAR signed in August for work done in March, which is beyond the monthly preparation requirement. 84.424D 4 of 5 timesheets reviewed did not agree to the charges entered into SHARE. The total of the variances are approximately $10,189 of overcharges. Questioned costs: $10,916 Known amount Context: This was identified as we tested payroll. The samples described above were statistically valid samples. Cause: The Department has not maintained internal control designed to reasonably ensure compliance with Department’s policy. Effect: Noncompliance with applicable regulations and Department policy, possible undercharges and overcharges to the Federal grants. Repeat Finding: No Recommendation: We recommend that the Department assist the Programs by providing training to employees, including supervisory-level employees, to ensure adherence with Department or Program policy. Views of responsible officials: ALN 84.367 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.424A/F Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.424D Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline. ALN 84.365 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline.
Federal agency: U.S. Department of Education Federal program title: Student Support and Academic Enrichment Program American Rescue Plan - Elementary and Secondary School Emergency Relief - Homeless Children and Youth Assistance Listing Number: 84.424F, 84.424D, 84.425W Federal Award Identification Number and Year: S424F220032: 9/15/2022 - 9/30/2025 S424D200005: 10/01/2023 - 9/30/2025 S425W210032: 4/23/21-9/30/2024 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per §200.213 Suspension and debarment, Non-federal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR part 180. These regulations restrict awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in Federal assistance programs or activities. Condition: 84.424D: 1 of 10 samples selected did not verify to ensure that the vendor was not suspended or debarred. 84.424F: 1 of 10 samples selected did not verify to ensure to ensure that the vendor was not suspended or debarred. 84.425W: 2 of 32 samples selected did not verify to ensure that the vendor was not suspended or debarred. Questioned costs: None. Context: This was identified during Suspension and Debarment Testing. The samples described above were statistically valid samples. Cause: The Department has not maintained internal controls designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements as well as compliance with Department’s policy. Effect: Department may not have followed federal guidelines for procuring vendors. Repeat Finding: No Recommendation: We recommend the Department performs a SAM check before procuring with a vendor. We also recommend that the Department provide training to employees for the internal policy. Views of responsible officials: 84.424 Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline.
Federal agency: U.S. Department of Education Federal program title: Student Support and Academic Enrichment Program Assistance Listing Number: 84.424A Federal Award Identification Number and Year: S424A230032: 7/1/2023-9/30/2024 S424F220032: 9/15/2022 - 9/30/2025 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per §200.302 Financial Management, "Each state must expend and account for the Federal award in accordance with state laws and procedures for expending and accounting for the state's own funds. In addition, the state's and the other non-Federal entity's financial management systems, including records documenting compliance with Federal statutes, regulations, and the terms and conditions of the Federal award, must be sufficient to permit the preparation of reports required by general and program-specific terms and conditions; and the tracing of funds to a level of expenditures adequate to establish that such funds have been used according to the Federal statutes, regulations, and the terms and conditions of the Federal award" Condition: 1 of the 7 samples selected had expenditures related to 424F drawn from the 424A, creating an overdraw in the 424A grant of $544,140.02 1 of 7 samples selected had $67,992.44 of expenditures related to 84.424A drawn from 84.365 rather than 84.424A Questioned costs: None. Context: This was identified during Cash Management Testing. The samples described above were statistically valid samples. Cause: The Department has not maintained internal controls designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effect: The Department is not in compliance with federal regulations. Repeat Finding: No Recommendation: We recommend the Department implement effective processes and procedures to ensure expenditures are reimbursed from the correct grant Views of responsible officials: Open – Views of responsible officials and management’s planned corrective actions, timeline and designation of what employee position are responsible for meeting deadlines in the timeline.
Federal agency: U.S. Department of Education Federal Program Title: Rehabilitation Services – Vocational Rehabilitation Grants to States Assistance Listing Number: 84.126 Federal Award Identification Number and Year: H126A250045 – 10/1/2024 – 09/30/2025 Pass-Through Agency: N/A Pass-Through Number(s): N/A Type of finding: Significant Deficiency in Internal Control Over Compliance, Other Matter Criteria or specific requirement: A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR 200.308, 200.309, and 200.403(h)). Condition: Auditor noted expenditures in the amount of $200.50 were charged to the grant before the beginning date of the period of performance. Questioned costs: $200.50. Context: This was identified as we tested period of performance. Cause: Management oversight. Effect: The Department is in violation of federal regulations. Repeat Finding: None. Recommendation: We recommend the Department implements procedures to ensure compliance with federal period of performance regulations. Views of responsible officials: The Division of Vocational Rehabilitation agrees with the findings and, as such, will implement regular reviews of federal expenditures and period of performance. The DVR General ledger team will meet quarterly with the Chief Financial Officer and review all federal expenditures to be recorded timely and accurately. DVR will also continue to meet with program field staff to ensure obligations are within the appropriate period. Position: CFO Timeline: 06/30/2025