Audit 403541

Reference # and title: 2025-004 Controls and Compliance over Title I Targeting (Eligibility) Federal program and specific federal award identification: AL Number Award Year FEDERAL GRANTER/ PASS THROUGH GRANTOR/PROGRAM NAME United States Department of Education; passed through Louisiana Department of Education Title I 84.010A 2025 Criteria or specific requirement: Title I, Part A of the Elementary and Secondary Education Act of 1965, as amended by Every Student Succeeds Act, requires eligibility to be determined based on the number of children ages 5 through 17 from low-income families. School Board management is required to review all total enrollment and low-income families’ data to ensure that the underlying data includes only students ages 5 through 17 and to certify that the eligibility calculations are complete and accurate. Condition found: Title I management completes and submits the Title I Targeting online to the Louisiana Department of Education (LDOE). The LDOE pre-populates the enrollment and number of low-income students in the Title I Targeting; however, these numbers are required to be reviewed and changed, if necessary, by the School Board. In reviewing the underlying data in determining eligibility for each school, it was noted that the School Board did not remove those students under age 5, which resulted in the ranking of schools to not be accurate. Context: The Title I Targeting is completed once a year and all schools on the annual report were tested. Possible asserted effect (cause and effect): Cause: Documentation for the numbers used for enrollment and low-income students was not reviewed for accuracy by the School Board. Effect: The School Board did not meet all compliance requirements over eligibility as well as the internal controls over eligibility were weakened. Recommendations to prevent future occurrences: The Title I Targeting report should be reviewed by someone other than the preparer and documentation retained to substantiate that the enrollment and low- income student information only includes those students aged 5 through 17. Origination date and prior year reference (if applicable): This finding originated fiscal year ended June 30, 2024. View of responsible official: This is now being reviewed to verify that Pre K students are not included.

Reference # and title: 2025-005 Controls and Compliance over Disbursements over ESSER Federal program and specific federal award identification: AL Number Award Year FEDERAL GRANTER/ PASS THROUGH GRANTOR/PROGRAM NAME United States Department of Education; passed through Louisiana Department of Education COVID-19 Education Stabilization Funds: Education Stabilization (ESSER III) 84.425U 2021 Criteria or specific requirement: Sound internal controls over federal program require that expenditures be made in accordance with the federal program budgets, properly documented and recorded. Additionally, 2 CFR section 200 requires nonpayroll expenditures over the micro purchase threshold be adequately vetted with a competitive process such as quotes or bids. Condition found: In testing 23 vendor disbursements for the Education Stabilization fund, it was noted that several expenditures initially charged to the program were moved to the general fund. However, it was determined that one check that should have been moved to the general fund due to not being in the federal program budget was not. Therefore, this is considered questioned costs. For the expenditures charged to the ESSER program, 3 of the vendor disbursements, the School Board should have obtained quotes for these costs. Known Questioned Costs: The known questioned costs was based on vendor invoices charged to the federal program for amounts not in accordance with the grant budget, which totaled $46,570. Possible asserted effect (cause effect): Cause: The School Board does not have a consistent process to ensure expenditures are charged correctly per the grant budget nor to ensure quotes are obtained and maintained for purchases in excess of $10,000. Effect: The School Board did not comply with all requirements related to allowable costs and cost principles. Recommendations to prevent future occurrences: The School Board should strengthen policies and procedures to ensure before expenditures are made, the expenditures are compared to the grant budget and quotes are obtained. Origination date and prior year reference (if applicable): This finding originated fiscal year ended June 30, 2024. View of responsible official: Expenditures for grants are now compared to the budget and quotes will be obtained when required.

Reference # and title: 2025-006 Controls and Compliance over Reporting on ESSER Federal program and specific federal award identification: AL Number Award Year FEDERAL GRANTER/ PASS THROUGH GRANTOR/PROGRAM NAME United States Department of Education; passed through Louisiana Department of Education COVID-19 Education Stabilization Funds: Education Stabilization (ESSER III) 84.425U 2021 Criteria or specific requirement: Good internal controls require that all requests for reimbursement and special reporting submitted to the Louisiana Department of Education (LDOE) are adequately reviewed and approved before submission, but in a timely manner, to ensure amounts reported are complete and accurate. Condition found: Total expenditures per the general ledger did not agree to the amounts reported in the fiscal year end’s periodic expense report submission. It appears that part of the reason the expenditures did not agree was due to prior year errors in reporting. There is no review and approval process by a second person over the periodic expense report submissions. In testing the special reporting for the ESSER program, it was noted that the School Board had not maintained the supporting documentation for this report and therefore could not be adequately tested. Context: This finding appears to be systemic. Possible asserted effect (cause effect): Cause: The School Board did not have an adequate review and approval process over requests for reimbursements and reports submitted to LDOE. Effect: The School Board did not meet all federal compliance requirements over reporting. Recommendations to prevent future occurrences: The School Board should establish procedures to ensure all claims for reimbursement and reports are reviewed and approved by the required personnel in a timely manner and adequately maintained. Origination date and prior year reference (if applicable): This finding originated fiscal year ended June 30, 2024. View of responsible official: These reports are now done timely and reviewed by another staff member.

Reference # and title: 2025-007 Controls and Compliance over Davis Bacon Act for ESSER Federal program and specific federal award identification: AL Number Award Year FEDERAL GRANTER/ PASS THROUGH GRANTOR/PROGRAM NAME United States Department of Education; passed through Louisiana Department of Education COVID-19 Education Stabilization Funds: Education Stabilization (ESSER III) 84.425U 2021 Criteria or specific requirement: In accordance with the Davis Bacon Act at 29 CFR part 5, for construction contracts in excess of $2,000, the School Board is required to provide the prevailing wage rates to the potential contractors and include language in the contracts that all contractors or subcontractors must pay wages that are not less than the prevailing wage rates. Additionally, the School Board is required to perform reviews of contractors’ and subcontractors’ wages paid to construction workers to ensure amounts being paid are in accordance with the prevailing wage rates for the related work performed. This review includes obtaining weekly payroll reports and performing interviews of contractors’ and subcontractors’ employees in such frequency as necessary to ensure compliance with the Davis Bacon Act. Condition found: The School Board completed a project at a school to install HVAC mini-split which required one of the schools to have remodeling work performed in order to install the mini-split using Education Stabilization (ESSER III) funds. The School Board did not provide the prevailing wage rates to the contractor, nor did they include the required language in the contracts. It was also noted that the School Board did not receive certified weekly payroll reports from the contractor. Context: This finding appears to be systemic. Possible asserted effect (cause effect): Cause: The School Board was not aware of the Davis Bacon Act requirements over the ESSER funds. Effect: The School Board did not meet all federal compliance requirements over Davis Bacon Act. Recommendations to prevent future occurrences: The School Board should establish procedures to ensure all grant requirements are reviewed to have an understanding of what is required of the School Board. Origination date and prior year reference (if applicable): This finding originated fiscal year ended June 30, 2025. View of responsible official: Grants are now reviewed and procedures are in place to ensure that all requirements are met.