FAC Explorer

Audit 46047

FY End
2022-06-30
Total Expended
$1.66M
Findings
4
Programs
9
Organization: Dayton Early College Academy (OH)
Year: 2022 Accepted: 2022-12-20
Auditor: Rea & Associates INC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
48057 2022-001 Material Weakness - N
48058 2022-001 Material Weakness - N
624499 2022-001 Material Weakness - N
624500 2022-001 Material Weakness - N

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $242,419 - 0
84.425 Covid-19 - Education Stabilization Fund $119,929 Yes 1
10.555 National School Lunch Program $107,355 - 0
84.027 Special Education_grants to States $71,329 - 0
84.424 Student Support and Academic Enrichment Program $56,079 - 0
10.553 School Breakfast Program $49,510 - 0
84.367 Improving Teacher Quality State Grants $41,330 - 0
10.555 Covid-19 - National School Lunch Program $18,677 - 0
10.649 Pandemic Ebt Administrative Costs $614 - 0

Contacts

Name Title Type
HKKLBNVL6T98 Steven Hinshaw Auditee
9374690018 Danny Sklenicka Auditor
No contacts on file

Notes to SEFA

Title: CHILD NUTRITION CLUSTER Accounting Policies: Expenditures reported on the Schedule are reported on cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Academy has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Academy commingles cash receipts from the U.S. Department of Agriculture with similar State grants. When reporting expenditures on this Schedule, the Academy assumes it expends federal monies first.
Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Academy has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of Dayton Early College Academy, Inc. (the Academy) under programs of the federal government for the fiscal year ended June 30, 2022. The information on this Schedule is prepared in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of operations of the Academy, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Academy.
Title: TRANSFER BETWEEN PROGRAM YEARS Accounting Policies: Expenditures reported on the Schedule are reported on cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Academy has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Academy generally must spend Federal assistance within 15 months of receipt. However with Ohio Department of Education (ODE) approval, an Academy can transfer (carryover) unspent Federal assistance to the succeeding year, thus allowing the Academy a total of 27 months to spend the assistance. During fiscal year 2022, the ODE authorized the following the transfers: See the Notes to the SEFA for chart/table.

Finding Details

Finding 2022-001
Finding Number: 2022-001 Federal Program: COVID-19 Elementary and Secondary School Emergency Relief Federal Award Identification Number and Year: N/A Assistance Listing Number (ALN): 84.425D Federal Awarding Agency: U.S. Department of Education Pass-through Entity: Ohio Department of Education Repeat Finding: No Material Weakness and Material Noncompliance ? Wage Rate Requirements Criteria: All prime construction contracts in excess of $2,000 awarded by non-Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, ?Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction?). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. (2 CFR 200 Appendix II (d)). Condition: There was no documentation to support compliance with wage rate requirements or documentation showing that the School required contractors to comply with prevailing wage requirements for any work on the School's HVAC system. Total costs for the HVAC project that would have been subject to wage rate requirements were approximately $905,000 during fiscal year 2022. Questioned Costs: None. Identification of How Questioned Costs Were Computed: N/A Context: The Academy provided assurances to the Ohio Department of Education's Comprehensive Continuous Improvement Plan (CCIP) that it would comply with wage rate requirements when it communicated its plan to use federal ESSER funds for improvements to its HVAC system. Cause and Effect: The Academy has not had a significant contract for construction or renovations with federal grant dollars in the past. As a result, the Academy was not aware of the wage rate requirements and did not comply with the special test of wage rate requirements. Recommendation: The Academy should implement processes to review federal grant compliance requirements and implement procedures to help ensure the Academy complies with applicable requirements. Views of Responsible Officials and Corrective Action Plan: See Corrective Action Plan.
Finding 2022-001
Finding Number: 2022-001 Federal Program: COVID-19 Elementary and Secondary School Emergency Relief Federal Award Identification Number and Year: N/A Assistance Listing Number (ALN): 84.425D Federal Awarding Agency: U.S. Department of Education Pass-through Entity: Ohio Department of Education Repeat Finding: No Material Weakness and Material Noncompliance ? Wage Rate Requirements Criteria: All prime construction contracts in excess of $2,000 awarded by non-Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, ?Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction?). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. (2 CFR 200 Appendix II (d)). Condition: There was no documentation to support compliance with wage rate requirements or documentation showing that the School required contractors to comply with prevailing wage requirements for any work on the School's HVAC system. Total costs for the HVAC project that would have been subject to wage rate requirements were approximately $905,000 during fiscal year 2022. Questioned Costs: None. Identification of How Questioned Costs Were Computed: N/A Context: The Academy provided assurances to the Ohio Department of Education's Comprehensive Continuous Improvement Plan (CCIP) that it would comply with wage rate requirements when it communicated its plan to use federal ESSER funds for improvements to its HVAC system. Cause and Effect: The Academy has not had a significant contract for construction or renovations with federal grant dollars in the past. As a result, the Academy was not aware of the wage rate requirements and did not comply with the special test of wage rate requirements. Recommendation: The Academy should implement processes to review federal grant compliance requirements and implement procedures to help ensure the Academy complies with applicable requirements. Views of Responsible Officials and Corrective Action Plan: See Corrective Action Plan.
Finding 2022-001
Finding Number: 2022-001 Federal Program: COVID-19 Elementary and Secondary School Emergency Relief Federal Award Identification Number and Year: N/A Assistance Listing Number (ALN): 84.425D Federal Awarding Agency: U.S. Department of Education Pass-through Entity: Ohio Department of Education Repeat Finding: No Material Weakness and Material Noncompliance ? Wage Rate Requirements Criteria: All prime construction contracts in excess of $2,000 awarded by non-Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, ?Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction?). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. (2 CFR 200 Appendix II (d)). Condition: There was no documentation to support compliance with wage rate requirements or documentation showing that the School required contractors to comply with prevailing wage requirements for any work on the School's HVAC system. Total costs for the HVAC project that would have been subject to wage rate requirements were approximately $905,000 during fiscal year 2022. Questioned Costs: None. Identification of How Questioned Costs Were Computed: N/A Context: The Academy provided assurances to the Ohio Department of Education's Comprehensive Continuous Improvement Plan (CCIP) that it would comply with wage rate requirements when it communicated its plan to use federal ESSER funds for improvements to its HVAC system. Cause and Effect: The Academy has not had a significant contract for construction or renovations with federal grant dollars in the past. As a result, the Academy was not aware of the wage rate requirements and did not comply with the special test of wage rate requirements. Recommendation: The Academy should implement processes to review federal grant compliance requirements and implement procedures to help ensure the Academy complies with applicable requirements. Views of Responsible Officials and Corrective Action Plan: See Corrective Action Plan.
Finding 2022-001
Finding Number: 2022-001 Federal Program: COVID-19 Elementary and Secondary School Emergency Relief Federal Award Identification Number and Year: N/A Assistance Listing Number (ALN): 84.425D Federal Awarding Agency: U.S. Department of Education Pass-through Entity: Ohio Department of Education Repeat Finding: No Material Weakness and Material Noncompliance ? Wage Rate Requirements Criteria: All prime construction contracts in excess of $2,000 awarded by non-Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, ?Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction?). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. (2 CFR 200 Appendix II (d)). Condition: There was no documentation to support compliance with wage rate requirements or documentation showing that the School required contractors to comply with prevailing wage requirements for any work on the School's HVAC system. Total costs for the HVAC project that would have been subject to wage rate requirements were approximately $905,000 during fiscal year 2022. Questioned Costs: None. Identification of How Questioned Costs Were Computed: N/A Context: The Academy provided assurances to the Ohio Department of Education's Comprehensive Continuous Improvement Plan (CCIP) that it would comply with wage rate requirements when it communicated its plan to use federal ESSER funds for improvements to its HVAC system. Cause and Effect: The Academy has not had a significant contract for construction or renovations with federal grant dollars in the past. As a result, the Academy was not aware of the wage rate requirements and did not comply with the special test of wage rate requirements. Recommendation: The Academy should implement processes to review federal grant compliance requirements and implement procedures to help ensure the Academy complies with applicable requirements. Views of Responsible Officials and Corrective Action Plan: See Corrective Action Plan.