Audit 44819

FY End
2022-06-30
Total Expended
$4.14M
Findings
36
Programs
13
Year: 2022 Accepted: 2022-12-12

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
39232 2022-001 Material Weakness - F
39233 2022-002 Material Weakness - L
39234 2022-001 Material Weakness - F
39235 2022-002 Material Weakness - L
39236 2022-001 Material Weakness - F
39237 2022-002 Material Weakness - L
39238 2022-001 Material Weakness - F
39239 2022-002 Material Weakness - L
39240 2022-001 Material Weakness - F
39241 2022-002 Material Weakness - L
39242 2022-001 Material Weakness - F
39243 2022-002 Material Weakness - L
39244 2022-001 Material Weakness - F
39245 2022-002 Material Weakness - L
39246 2022-001 Material Weakness - F
39247 2022-002 Material Weakness - L
39248 2022-001 Material Weakness - F
39249 2022-002 Material Weakness - L
615674 2022-001 Material Weakness - F
615675 2022-002 Material Weakness - L
615676 2022-001 Material Weakness - F
615677 2022-002 Material Weakness - L
615678 2022-001 Material Weakness - F
615679 2022-002 Material Weakness - L
615680 2022-001 Material Weakness - F
615681 2022-002 Material Weakness - L
615682 2022-001 Material Weakness - F
615683 2022-002 Material Weakness - L
615684 2022-001 Material Weakness - F
615685 2022-002 Material Weakness - L
615686 2022-001 Material Weakness - F
615687 2022-002 Material Weakness - L
615688 2022-001 Material Weakness - F
615689 2022-002 Material Weakness - L
615690 2022-001 Material Weakness - F
615691 2022-002 Material Weakness - L

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $450,302 - 0
10.553 School Breakfast Program $176,585 - 0
84.027 Special Education_grants to States $155,932 - 0
84.367 Improving Teacher Quality State Grants $63,499 - 0
10.555 National School Lunch Program $57,461 - 0
10.582 Fresh Fruit and Vegetable Program $31,837 - 0
84.424 Student Support and Academic Enrichment Program $31,393 - 0
10.559 Summer Food Service Program for Children $29,845 - 0
84.358 Rural Education $25,825 - 0
84.365 English Language Acquisition State Grants $15,224 - 0
84.425 Education Stabilization Fund $7,526 Yes 2
10.649 Pandemic Ebt Administrative Costs $3,063 - 0
84.173 Special Education_preschool Grants $673 - 0

Contacts

Name Title Type
CHW9JLHT5684 Anthony Demalis Auditee
5704624611 Kimberly Stank Auditor
No contacts on file

Notes to SEFA

Title: Risk-Based Audit Approach Accounting Policies: Shenandoah Valley School District (the "District") is the reporting entity for financial reporting purposes is defined in Note 1A to the District's basic financial statements. For purposes of preparing the schedules of expenditures of federal awards, the District's reporting entity is the same that was used for financial reporting purposes. De Minimis Rate Used: N Rate Explanation: The accompanying Schedule of Expenditures of Federal Awards included the grant activity of the District and is presented using the modified accrual basis of accounting, which is described in Note 1D to the District's basic financial statements. The District did not use the 10% de minimis indirect cost rate. The 20202 threshold for determining Type A and Type B programs is $750,000. The District had one Type A program. The following Type A program was audited as major: Education Stabilization Fund, ALN 84.425. The amount expended under the program audited as a major federal program for the year ended June 30, 2022, totaled $2,302,123 or 55.6% of total federal awards expended.
Title: Loan Outstanding Accounting Policies: Shenandoah Valley School District (the "District") is the reporting entity for financial reporting purposes is defined in Note 1A to the District's basic financial statements. For purposes of preparing the schedules of expenditures of federal awards, the District's reporting entity is the same that was used for financial reporting purposes. De Minimis Rate Used: N Rate Explanation: The accompanying Schedule of Expenditures of Federal Awards included the grant activity of the District and is presented using the modified accrual basis of accounting, which is described in Note 1D to the District's basic financial statements. The District did not use the 10% de minimis indirect cost rate. The District had loan balances of $31,343 at June 30, 2022 for the Community Facilities Direct Loan Program, Federal ALN 10.777.

Finding Details

2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.
2022-001 Equipment and Real Property Management Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 439, capital expenditures for equipment and other capital expenditures are allowable as direct costs, provided that items with a unit cost of the lessor of $5,000 or the entity?s capitalization threshold have the prior written approval of the Federal awarding agency or pass-through entity. Furthermore, section 313(d)(1) specifies that property records must be maintained that include a description of the property, a serial or identification number, the source of funding for the property, who holds title, the acquisition date, and cost of the property. Condition: During testing it was noted the District performed building improvements over the capitalization threshold using ESSER funds without receiving prior approval from the Pennsylvania Department of Education. This asset also not included in the District?s property records. Cause: Due to staff oversight, the District did not consider all capital expenditures when obtaining prior approval from the Pennsylvania Department of Education. Effect: Internal controls are not functioning as designed and the District is not in compliance with equipment and real property management requirements of the program. Questioned Costs: None Recommendation: The District should establish procedures to ensure all capital expenditures with grant funding is appropriately approved prior to purchase and property records are maintained in sufficient detail to allow for the adequate tracking of all equipment purchased with grant funds. Management?s Response: There was confusion on the District?s part of what the threshold was for Capital Expenditures. Often times grants filing dates were due prior to all instructions being received. While the District unintentionally did not seek prior written approval for this purchase, it did clearly identify this purchase in the budget overview section in the E-Grant application for which it was approved. The District will subsequently identify and correctly maintain these assets to comply with federal property records. Now that the District is fully aware of the capital expenditure threshold, this should not occur again.
2022-002 Reporting Education Stabilization Fund (ESSER) ? ALN 84.425 Criteria: Pursuant to 2 CFR part 200 section 302(b)(2), a non-Federal entity must provide for accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During testing it was noted one of the three PDE-2030 reports did not contain accurate information as the expenditures reported did not agree to the District?s general ledger. Cause: Due to oversight the District did not report expenditures on a cumulative basis. Effect: Internal controls are not functioning as designed and the District is not in compliance with reporting requirements of the program. Questioned Costs: None Recommendation: The District should develop procedures to ensure accurate information is reported to allow for adequate tracking of the financial results of each Federal award. In addition, reports should be reviewed by an appropriate individual prior to submission to ensure the data entered into the reports is consistent with the District?s records. Management?s Response: The District inadvertently omitted cumulative expenditures when filing the 2021-2022 PDE 2030 reports. The District did discover this in preparation for the 2021-2022 audit; but, not until after the filing of the 9/30/22 PDE 2030 report. The 12/31/22 PDE 2030 report will correct the cumulative expense to the correct amount. In the future, the District will take stronger measurers to ensure this will not reoccur.