FAC Explorer

Audit 45733

FY End
2022-06-30
Total Expended
$21.23M
Findings
2
Programs
19
Organization: Tuba City Unified School District No.15 (AZ)
Year: 2022 Accepted: 2023-03-30
Auditor: Cwdl Certified Public Accountants

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
43465 2022-001 Significant Deficiency - N
619907 2022-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
84.041 Impact Aid $11.25M Yes 1
84.425 Education Stabilization Fund $3.30M Yes 0
10.559 Summer Food Service Program for Children $1.11M Yes 0
32.009 Emergency Connectivity Fund Program $510,652 Yes 0
84.060 Indian Education_grants to Local Educational Agencies $300,508 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $198,342 - 0
84.367 Improving Teacher Quality State Grants $145,482 - 0
84.048 Career and Technical Education -- Basic Grants to States $87,671 - 0
15.130 Indian Education_assistance to Schools $80,562 - 0
84.027 Special Education_grants to States $52,111 - 0
12.000 Marine Corps JR Rotc $52,024 - 0
84.424 Student Support and Academic Enrichment Program $45,214 - 0
84.358 Rural Education $16,524 - 0
10.555 National School Lunch Program $15,834 Yes 0
84.173 Special Education_preschool Grants $9,320 - 0
10.665 Schools and Roads - Grants to States $8,208 - 0
93.576 Refugee and Entrant Assistance_discretionary Grants $4,787 - 0
10.542 Pandemic Ebt Food Benefits $3,063 - 0
84.010 Title I Grants to Local Educational Agencies $1,301 Yes 0

Contacts

Name Title Type
W5ZHDAXY8S79 Leah Begay Auditee
9282831099 William Dobridge Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 - BASIS OF ACCOUNTING Accounting Policies: Expenditures reported on the schedule are reported on the modified accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement. Therefore, someamounts presented in this schedule may differ from amounts presented in, or used in the preparation of,the financial statements. 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 includes the District's federal grant activity 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 Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Title: NOTE 3 - FEDERAL ASSISTANCE LISTING NUMBERS Accounting Policies: Expenditures reported on the schedule are reported on the modified accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement. Therefore, someamounts presented in this schedule may differ from amounts presented in, or used in the preparation of,the financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The program titles and federal assistance listing numbers were obtained from the federal or passthrough grantor.
Title: NOTE 4 - NON-CASH ASSISTANCE Accounting Policies: Expenditures reported on the schedule are reported on the modified accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement. Therefore, someamounts presented in this schedule may differ from amounts presented in, or used in the preparation of,the financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Food donations as reported for the Child Nutrition Cluster represents the amount of donated food used during the fiscal year ended June 30, 2022. Commodities are valued at fair value at the time of donation.
Title: NOTE 6 - COMPLIANCE SUPPLEMENT Accounting Policies: Expenditures reported on the schedule are reported on the modified accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement. Therefore, someamounts presented in this schedule may differ from amounts presented in, or used in the preparation of,the financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The audit of the federal awards was completed under the OMB Compliance Supplement issued April 2022.

Finding Details

Finding 2022-001
2022-001 Davis-Bacon Act Compliance CFDA Number 84.041 Program Title Impact Aid Federal Agency U.S. Department of Education Compliance Requirement N. Special Tests and Provisions Finding Type Noncompliance, Significant Deficiency Questioned Costs N/A CONDITION The District did not retain documentation sufficient to determine the Davis-Bacon compliance clause was included in advertised specifications for two construction projects paid with federal Impact Aid funds. CRITERIA Davis-Bacon Act Department of Labor (DOL) 29 CFR part 5, Labor Standards Provisions Applicable to Contracts Governing Federally Financed and Assisted Construction. Non-federal entities shall include in their federally funded construction contracts in excess of $2,000, that are subject to the Wage Rate Requirements of the Davis-Bacon Act, a provision that the contractor or subcontractor comply with those requirements and the DOL regulations. This includes a requirement for the contractor or subcontractor to submit to the U.S. Department of Labor weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance (certified payrolls). This reporting is often done using Optional Form WH-347, which includes the required statement of compliance. CAUSE The District did not have the adequate review procedures in place to ensure bid documents included notification that federal Impact Aid monies were to be used for payment of the construction projects and the contractors needed to be in compliance with the Davis-Bacon Act. EFFECT The District was not in compliance with the notification requirements of the Davis-Bacon Act. As a result, the contractor could be subject to penalties and fines, and possible debarment from federal contracting if prevailing wages were not paid. RECOMMENDATION We recommend that the District establish proper review procedures of bid documents to ensure that any federally funded construction projects in excess of $2,000 the contractors are notified the projects are being funded with federal Impact Aid funds and the contractors are required to be in compliance with the Davis Bacon Act.
Finding 2022-001
2022-001 Davis-Bacon Act Compliance CFDA Number 84.041 Program Title Impact Aid Federal Agency U.S. Department of Education Compliance Requirement N. Special Tests and Provisions Finding Type Noncompliance, Significant Deficiency Questioned Costs N/A CONDITION The District did not retain documentation sufficient to determine the Davis-Bacon compliance clause was included in advertised specifications for two construction projects paid with federal Impact Aid funds. CRITERIA Davis-Bacon Act Department of Labor (DOL) 29 CFR part 5, Labor Standards Provisions Applicable to Contracts Governing Federally Financed and Assisted Construction. Non-federal entities shall include in their federally funded construction contracts in excess of $2,000, that are subject to the Wage Rate Requirements of the Davis-Bacon Act, a provision that the contractor or subcontractor comply with those requirements and the DOL regulations. This includes a requirement for the contractor or subcontractor to submit to the U.S. Department of Labor weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance (certified payrolls). This reporting is often done using Optional Form WH-347, which includes the required statement of compliance. CAUSE The District did not have the adequate review procedures in place to ensure bid documents included notification that federal Impact Aid monies were to be used for payment of the construction projects and the contractors needed to be in compliance with the Davis-Bacon Act. EFFECT The District was not in compliance with the notification requirements of the Davis-Bacon Act. As a result, the contractor could be subject to penalties and fines, and possible debarment from federal contracting if prevailing wages were not paid. RECOMMENDATION We recommend that the District establish proper review procedures of bid documents to ensure that any federally funded construction projects in excess of $2,000 the contractors are notified the projects are being funded with federal Impact Aid funds and the contractors are required to be in compliance with the Davis Bacon Act.