FAC Explorer

Audit 39793

FY End
2022-06-30
Total Expended
$3.16M
Findings
10
Programs
11
Organization: Independent School District No. 548 (MN)
Year: 2022 Accepted: 2022-12-27
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
42926 2022-004 Material Weakness - N
42927 2022-004 Material Weakness - N
42928 2022-004 Material Weakness - N
42929 2022-004 Material Weakness - N
42930 2022-004 Material Weakness - N
619368 2022-004 Material Weakness - N
619369 2022-004 Material Weakness - N
619370 2022-004 Material Weakness - N
619371 2022-004 Material Weakness - N
619372 2022-004 Material Weakness - N

Programs

ALN Program Spent Major Findings
10.553 School Breakfast Program $369,214 - 0
84.010 Title I Grants to Local Educational Agencies $246,360 - 0
32.009 Emergency Connectivity Fund Program $154,500 - 0
84.367 Improving Teacher Quality State Grants $57,667 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $40,000 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $38,971 - 0
10.555 National School Lunch Program $25,777 - 0
10.559 Summer Food Service Program for Children $25,201 - 0
84.365 English Language Acquisition State Grants $22,839 - 0
84.425 Education Stabilization Fund $10,650 Yes 1
10.558 Child and Adult Care Food Program $340 - 0

Contacts

Name Title Type
EJXRMMFMHLT7 Rudy Martinez Auditee
2188639316 Brian Stavenger Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported in the schedule are reported on the modified accrual basis of accounting. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient. 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 the District under programs of the federal government for the year ended June 30, 2022. The information 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 the District, it is not intended to and does not present the financial position or changes in net position of the District.
Title: FOOD DONATION Accounting Policies: Expenditures reported in the schedule are reported on the modified accrual basis of accounting. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Nonmonetary assistance is reported in this schedule at the fair market value of commodities received and disbursed. At June 30, 2022 the District had food commodities totaling $2,440 in inventory.

Finding Details

Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.
Finding 2022-004
2022-004 Department of Education, Passed through Minnesota Department of Education Federal Financial Assistance Listing/CFDA Number 84.425D COVID-19 Education Stabilization Fund Special Tests and Provisions Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria ? Uniform Guidance and 2 CFR 656.40 through 656.41 set forth the standards nonfederal entities other than states must follow when operating federal programs. Condition ? In our testing of Special Tests and Provisions, it was identified that the District did not satisfy the requirements of 2 CFR 656.40 through 2 CFR 656.41. The District did not ensure proper inclusion of prevailing wage rate clauses were included in a construction contract and also did not obtain proper support to ensure required certified payrolls were submitted. Cause ? Lack of oversight, awareness, or understanding of all of the specific requirements under Uniform Guidance and applicable CFR sections, and controls were not adequately designed to ensure compliance with all of these requirements. Effect ? Lack of compliance to federal requirements increases the overall risk of non-compliance. Questioned Costs ? None reported Context/Sampling ? Applicable to the only contract in place. Repeat Finding from Prior Years ? No Recommendation ? We recommend that management establish controls to follow all applicable requirements under Uniform Guidance and applicable CFR sections. View of responsible officials ? There is no disagreement with the finding.