FAC Explorer

Audit 46881

FY End
2022-06-30
Total Expended
$1.67M
Findings
10
Programs
12
Organization: Independent School District No. 601 (MN)
Year: 2022 Accepted: 2022-12-12
Auditor: Brady Martz & Associates

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
48576 2022-003 Significant Deficiency Yes C
48577 2022-003 Significant Deficiency Yes C
48578 2022-003 Significant Deficiency Yes C
48579 2022-003 Significant Deficiency Yes C
48580 2022-003 Significant Deficiency Yes C
625018 2022-003 Significant Deficiency Yes C
625019 2022-003 Significant Deficiency Yes C
625020 2022-003 Significant Deficiency Yes C
625021 2022-003 Significant Deficiency Yes C
625022 2022-003 Significant Deficiency Yes C

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $163,394 - 0
84.287 Twenty-First Century Community Learning Centers $111,863 - 0
10.553 School Breakfast Program $87,702 - 1
10.555 National School Lunch Program $30,060 - 1
84.358 Rural Education $28,585 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $26,930 - 0
84.060 Indian Education_grants to Local Educational Agencies $22,601 - 0
84.367 Improving Teacher Quality State Grants $19,289 - 0
84.425 Education Stabilization Fund $19,073 Yes 0
10.559 Summer Food Service Program for Children $15,767 - 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $13,446 - 0
84.424 Student Support and Academic Enrichment Program $11,406 - 0

Contacts

Name Title Type
HJSTDQSGLSW7 Todd Selk Auditee
2184351909 Brian Opsahl Auditor
No contacts on file

Notes to SEFA

Title: SUBRECIPIENTS Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards (the Schedule) are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. During 2022, the District did not pass any federal money to subrecipients.
Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards (the Schedule) are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The schedule includes the federal award activity of Independent School District No. 601 under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Independent School District No. 601, it is not intended to and does not present the financial position or changes in net position of Independent School District No. 601.
Title: COMMODITY DISTRIBUTION Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards (the Schedule) are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Nonmonetary assistance is reported in the Schedule at the fair market value of the commodities received and disbursed.
Title: PASS-THROUGH ENTITIES Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards (the Schedule) are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. All pass-through entities listed above use the same Assistance Listing numbers as the federal grantors to identify these grants and have not assigned any additional identifying numbers.

Finding Details

Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.
Finding 2022-003
2022-003 Finding Child Nutrition Cluster 10.555/10.559 ? Cash Management Criteria To receive reimbursement for meals service, the District must submit the number of meals served and all claims must be supported by accurate meal counts by category and type. Condition In a sample of 1 month of meal count reporting, we noted an instance where the daily count sheets did not agree with the total count reported on the monthly report of meals served, submitted for reimbursement. Cause The daily meal counts were added up manually to calculate the total meals served for the month. This caused errors in the total count for the month. There were a few instances where the wrong number was taken from the daily count sheets. There was no review of the monthly totals calculated and comparison to the daily count sheets. Effect In one month tested, the District misreported the number of meals served. This resulted in the District receiving an incorrect reimbursement for meals served. Questioned Costs Immaterial Context During the single audit, we selected one month of monthly meal reports to test to determine if we could clear the prior year finding. Errors were found in this initial sample. Repeat Finding This is a repeat finding of 2021-003. Recommendation The computation of the monthly meal counts should be done in a spreadsheet. In addition, once the monthly meal count is calculated, there should be a review by someone other than the preparer of the count and comparison to the daily count sheets, before the meal counts are submitted for reimbursement. Management?s Response Going forward, monthly meal counts will be calculated in a spreadsheet and the monthly meal counts will be reviewed by someone other than preparer before it is submitted for reimbursement.