FAC Explorer

Audit 40049

FY End
2022-06-30
Total Expended
$2.04M
Findings
6
Programs
10
Organization: Educational Service Unit No. 10 (NE)
Year: 2022 Accepted: 2023-01-10
Auditor: Dana F Cole & Company LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
43608 2022-001 Significant Deficiency Yes P
43609 2022-001 Significant Deficiency Yes P
43610 2022-001 Significant Deficiency Yes P
620050 2022-001 Significant Deficiency Yes P
620051 2022-001 Significant Deficiency Yes P
620052 2022-001 Significant Deficiency Yes P

Programs

ALN Program Spent Major Findings
84.027 Special Education_grants to States $728,932 Yes 1
84.010 Title I Grants to Local Educational Agencies $434,204 Yes 1
84.424 Student Support and Academic Enrichment Program $238,306 - 0
93.575 Child Care and Development Block Grant $143,778 - 0
93.434 Every Student Succeeds Act/preschool Development Grants $119,619 - 0
84.367 Improving Teacher Quality State Grants $112,800 - 0
84.181 Special Education-Grants for Infants and Families $83,092 - 0
84.048 Career and Technical Education -- Basic Grants to States $76,352 - 0
84.173 Special Education_preschool Grants $72,416 Yes 1
84.365 English Language Acquisition State Grants $28,855 - 0

Contacts

Name Title Type
EMZGYQHHCZJ4 Melissa Wheelock Auditee
3082375927 Kim Pearson, CPA Auditor
No contacts on file

Notes to SEFA

Accounting Policies: BASIS OF PRESENTATION - THE ACCOMPANYING SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (THE SCHEDULE) INCLUDES THE FEDERAL AWARD ACTIVITY OF EDUCATIONAL SERVICE UNIT NO. 10, KEARNEY, NEBRASKA, UNDER PROGRAMS OF THE FEDERAL GOVERNMENT FOR THE YEAR ENDED JUNE 30, 2022. THE INFORMATION IN THIS SCHEDULE IS PRESENTED IN ACCORDANCE WITH THE REQUIREMENTS OF TITLE 2 U.S. CODE OF FEDERAL REGULATIONS (CFR) 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 EDUCATIONAL SERVICE UNIT NO. 10, KEARNEY, NEBRASKA, IT IS NOT INTENDED TO AND DOES NOT PRESENT THE FINANCIAL POSITION, CHANGES IN NET ASSETS, OR CASH FLOWS OF EDUCATIONAL SERVICE UNIT NO. 10, KEARNEY, NEBRASKA. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - EXPENDITURES REPORTED ON THE SCHEDULE ARE REPORTED ON THE MODIFIED CASH BASIS OF ACCOUNTING. 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-001
2022-001 - SEGREGATION OF DUTIES - CRITERIA - INTERNAL CONTROLS SHOULD BE IN PLACE TO ENSURE PROPER SEGREGATION OF DUTIES. CONDITION - DUE TO THE SIZE OF THE SERVICE UNIT, THERE IS LIMITED SEGREGATION OF DUTIES OVER ACCOUNTING FUNCTIONS AS THE ENTITY DOES NOT HAVE ADEQUATE PERSONNEL TO ASSIGN RESPONSIBILITIES IN SUCH A WAY THAT DIFFERENT EMPLOYEES HANDLE DIFFERENT PORTIONS OF A TRANSACTION OR TRANSACTION CYCLE. CONTEXT - WE OBSERVED THROUGH OUR AUDIT PROCEDURES THAT CERTAIN DUTIES WERE NOT SEGREGATED BETWEEN DIFFERENT PERSONNEL. CAUSE - THE SERVICE UNIT HAS A LIMITED NUMBER OF PERSONNEL INVOLVED IN THE ACCOUNTING FUNCTIONS. QUESTIONED COSTS - NONE. POTENTIAL EFFECT - INADEQUATE SEGREGATION OF DUTIES COULD LEAD TO THE MISAPPROPRIATION OF ASSETS OR IMPROPER REPORTING. RECOMMENDATIONS - WE RECOMMEND THAT THE SERVICE UNIT CONTINUE TO MONITOR AND EVALUATE ITS INTERNAL CONTROLS WITH THE USE OF LIMITED PERSONNEL AND TO PROVIDE AS MUCH SEGREGATION OF DUTIES AS DETERMINED TO BE FEASIBLE WITHIN ITS OPERATIONS. SERVICE UNIT'S RESPONSE - THE SERVICE UNIT, WITHIN THE CONSTRAINTS OF EXISTING TIME AND COST CONSIDERATIONS, WILL CONTINUE TO REVIEW THE SITUATION AND MAKE IMPROVEMENTS IF THERE ARE AREAS IN WHICH FURTHER SEGREGATION OF ACCOUNTING FUNCTIONS IS BOTH WARRANTED AND FEASIBLE.
Finding 2022-001
2022-001 - SEGREGATION OF DUTIES - CRITERIA - INTERNAL CONTROLS SHOULD BE IN PLACE TO ENSURE PROPER SEGREGATION OF DUTIES. CONDITION - DUE TO THE SIZE OF THE SERVICE UNIT, THERE IS LIMITED SEGREGATION OF DUTIES OVER ACCOUNTING FUNCTIONS AS THE ENTITY DOES NOT HAVE ADEQUATE PERSONNEL TO ASSIGN RESPONSIBILITIES IN SUCH A WAY THAT DIFFERENT EMPLOYEES HANDLE DIFFERENT PORTIONS OF A TRANSACTION OR TRANSACTION CYCLE. CONTEXT - WE OBSERVED THROUGH OUR AUDIT PROCEDURES THAT CERTAIN DUTIES WERE NOT SEGREGATED BETWEEN DIFFERENT PERSONNEL. CAUSE - THE SERVICE UNIT HAS A LIMITED NUMBER OF PERSONNEL INVOLVED IN THE ACCOUNTING FUNCTIONS. QUESTIONED COSTS - NONE. POTENTIAL EFFECT - INADEQUATE SEGREGATION OF DUTIES COULD LEAD TO THE MISAPPROPRIATION OF ASSETS OR IMPROPER REPORTING. RECOMMENDATIONS - WE RECOMMEND THAT THE SERVICE UNIT CONTINUE TO MONITOR AND EVALUATE ITS INTERNAL CONTROLS WITH THE USE OF LIMITED PERSONNEL AND TO PROVIDE AS MUCH SEGREGATION OF DUTIES AS DETERMINED TO BE FEASIBLE WITHIN ITS OPERATIONS. SERVICE UNIT'S RESPONSE - THE SERVICE UNIT, WITHIN THE CONSTRAINTS OF EXISTING TIME AND COST CONSIDERATIONS, WILL CONTINUE TO REVIEW THE SITUATION AND MAKE IMPROVEMENTS IF THERE ARE AREAS IN WHICH FURTHER SEGREGATION OF ACCOUNTING FUNCTIONS IS BOTH WARRANTED AND FEASIBLE.
Finding 2022-001
2022-001 - SEGREGATION OF DUTIES - CRITERIA - INTERNAL CONTROLS SHOULD BE IN PLACE TO ENSURE PROPER SEGREGATION OF DUTIES. CONDITION - DUE TO THE SIZE OF THE SERVICE UNIT, THERE IS LIMITED SEGREGATION OF DUTIES OVER ACCOUNTING FUNCTIONS AS THE ENTITY DOES NOT HAVE ADEQUATE PERSONNEL TO ASSIGN RESPONSIBILITIES IN SUCH A WAY THAT DIFFERENT EMPLOYEES HANDLE DIFFERENT PORTIONS OF A TRANSACTION OR TRANSACTION CYCLE. CONTEXT - WE OBSERVED THROUGH OUR AUDIT PROCEDURES THAT CERTAIN DUTIES WERE NOT SEGREGATED BETWEEN DIFFERENT PERSONNEL. CAUSE - THE SERVICE UNIT HAS A LIMITED NUMBER OF PERSONNEL INVOLVED IN THE ACCOUNTING FUNCTIONS. QUESTIONED COSTS - NONE. POTENTIAL EFFECT - INADEQUATE SEGREGATION OF DUTIES COULD LEAD TO THE MISAPPROPRIATION OF ASSETS OR IMPROPER REPORTING. RECOMMENDATIONS - WE RECOMMEND THAT THE SERVICE UNIT CONTINUE TO MONITOR AND EVALUATE ITS INTERNAL CONTROLS WITH THE USE OF LIMITED PERSONNEL AND TO PROVIDE AS MUCH SEGREGATION OF DUTIES AS DETERMINED TO BE FEASIBLE WITHIN ITS OPERATIONS. SERVICE UNIT'S RESPONSE - THE SERVICE UNIT, WITHIN THE CONSTRAINTS OF EXISTING TIME AND COST CONSIDERATIONS, WILL CONTINUE TO REVIEW THE SITUATION AND MAKE IMPROVEMENTS IF THERE ARE AREAS IN WHICH FURTHER SEGREGATION OF ACCOUNTING FUNCTIONS IS BOTH WARRANTED AND FEASIBLE.
Finding 2022-001
2022-001 - SEGREGATION OF DUTIES - CRITERIA - INTERNAL CONTROLS SHOULD BE IN PLACE TO ENSURE PROPER SEGREGATION OF DUTIES. CONDITION - DUE TO THE SIZE OF THE SERVICE UNIT, THERE IS LIMITED SEGREGATION OF DUTIES OVER ACCOUNTING FUNCTIONS AS THE ENTITY DOES NOT HAVE ADEQUATE PERSONNEL TO ASSIGN RESPONSIBILITIES IN SUCH A WAY THAT DIFFERENT EMPLOYEES HANDLE DIFFERENT PORTIONS OF A TRANSACTION OR TRANSACTION CYCLE. CONTEXT - WE OBSERVED THROUGH OUR AUDIT PROCEDURES THAT CERTAIN DUTIES WERE NOT SEGREGATED BETWEEN DIFFERENT PERSONNEL. CAUSE - THE SERVICE UNIT HAS A LIMITED NUMBER OF PERSONNEL INVOLVED IN THE ACCOUNTING FUNCTIONS. QUESTIONED COSTS - NONE. POTENTIAL EFFECT - INADEQUATE SEGREGATION OF DUTIES COULD LEAD TO THE MISAPPROPRIATION OF ASSETS OR IMPROPER REPORTING. RECOMMENDATIONS - WE RECOMMEND THAT THE SERVICE UNIT CONTINUE TO MONITOR AND EVALUATE ITS INTERNAL CONTROLS WITH THE USE OF LIMITED PERSONNEL AND TO PROVIDE AS MUCH SEGREGATION OF DUTIES AS DETERMINED TO BE FEASIBLE WITHIN ITS OPERATIONS. SERVICE UNIT'S RESPONSE - THE SERVICE UNIT, WITHIN THE CONSTRAINTS OF EXISTING TIME AND COST CONSIDERATIONS, WILL CONTINUE TO REVIEW THE SITUATION AND MAKE IMPROVEMENTS IF THERE ARE AREAS IN WHICH FURTHER SEGREGATION OF ACCOUNTING FUNCTIONS IS BOTH WARRANTED AND FEASIBLE.
Finding 2022-001
2022-001 - SEGREGATION OF DUTIES - CRITERIA - INTERNAL CONTROLS SHOULD BE IN PLACE TO ENSURE PROPER SEGREGATION OF DUTIES. CONDITION - DUE TO THE SIZE OF THE SERVICE UNIT, THERE IS LIMITED SEGREGATION OF DUTIES OVER ACCOUNTING FUNCTIONS AS THE ENTITY DOES NOT HAVE ADEQUATE PERSONNEL TO ASSIGN RESPONSIBILITIES IN SUCH A WAY THAT DIFFERENT EMPLOYEES HANDLE DIFFERENT PORTIONS OF A TRANSACTION OR TRANSACTION CYCLE. CONTEXT - WE OBSERVED THROUGH OUR AUDIT PROCEDURES THAT CERTAIN DUTIES WERE NOT SEGREGATED BETWEEN DIFFERENT PERSONNEL. CAUSE - THE SERVICE UNIT HAS A LIMITED NUMBER OF PERSONNEL INVOLVED IN THE ACCOUNTING FUNCTIONS. QUESTIONED COSTS - NONE. POTENTIAL EFFECT - INADEQUATE SEGREGATION OF DUTIES COULD LEAD TO THE MISAPPROPRIATION OF ASSETS OR IMPROPER REPORTING. RECOMMENDATIONS - WE RECOMMEND THAT THE SERVICE UNIT CONTINUE TO MONITOR AND EVALUATE ITS INTERNAL CONTROLS WITH THE USE OF LIMITED PERSONNEL AND TO PROVIDE AS MUCH SEGREGATION OF DUTIES AS DETERMINED TO BE FEASIBLE WITHIN ITS OPERATIONS. SERVICE UNIT'S RESPONSE - THE SERVICE UNIT, WITHIN THE CONSTRAINTS OF EXISTING TIME AND COST CONSIDERATIONS, WILL CONTINUE TO REVIEW THE SITUATION AND MAKE IMPROVEMENTS IF THERE ARE AREAS IN WHICH FURTHER SEGREGATION OF ACCOUNTING FUNCTIONS IS BOTH WARRANTED AND FEASIBLE.
Finding 2022-001
2022-001 - SEGREGATION OF DUTIES - CRITERIA - INTERNAL CONTROLS SHOULD BE IN PLACE TO ENSURE PROPER SEGREGATION OF DUTIES. CONDITION - DUE TO THE SIZE OF THE SERVICE UNIT, THERE IS LIMITED SEGREGATION OF DUTIES OVER ACCOUNTING FUNCTIONS AS THE ENTITY DOES NOT HAVE ADEQUATE PERSONNEL TO ASSIGN RESPONSIBILITIES IN SUCH A WAY THAT DIFFERENT EMPLOYEES HANDLE DIFFERENT PORTIONS OF A TRANSACTION OR TRANSACTION CYCLE. CONTEXT - WE OBSERVED THROUGH OUR AUDIT PROCEDURES THAT CERTAIN DUTIES WERE NOT SEGREGATED BETWEEN DIFFERENT PERSONNEL. CAUSE - THE SERVICE UNIT HAS A LIMITED NUMBER OF PERSONNEL INVOLVED IN THE ACCOUNTING FUNCTIONS. QUESTIONED COSTS - NONE. POTENTIAL EFFECT - INADEQUATE SEGREGATION OF DUTIES COULD LEAD TO THE MISAPPROPRIATION OF ASSETS OR IMPROPER REPORTING. RECOMMENDATIONS - WE RECOMMEND THAT THE SERVICE UNIT CONTINUE TO MONITOR AND EVALUATE ITS INTERNAL CONTROLS WITH THE USE OF LIMITED PERSONNEL AND TO PROVIDE AS MUCH SEGREGATION OF DUTIES AS DETERMINED TO BE FEASIBLE WITHIN ITS OPERATIONS. SERVICE UNIT'S RESPONSE - THE SERVICE UNIT, WITHIN THE CONSTRAINTS OF EXISTING TIME AND COST CONSIDERATIONS, WILL CONTINUE TO REVIEW THE SITUATION AND MAKE IMPROVEMENTS IF THERE ARE AREAS IN WHICH FURTHER SEGREGATION OF ACCOUNTING FUNCTIONS IS BOTH WARRANTED AND FEASIBLE.