Audit 47797

FEDERAL COMMUNICATIONS COMMISSION COVID-19 EMERGENCY CONNECTIVITY FUND - AL NUMBER 32.009 AUDIT PERIOD - YEAR ENDED JUNE 30, 2022 Special Tests and Provisions Criteria or specific requirement: Office of Management and Budget (OMB) 47 CFR ? 54.1706 (c) states that Emergency Connectivity Fund support for eligible equipment is limited to no more than one connected device per student or school staff member. OMB 47 CFR ? 54.1710 requires entities requesting funding to certify that they are only seeking support for eligible equipment provided to students and school staff who would otherwise lack connected devices sufficient to engage in remote learning. Internal controls should be in place to ensure that the required calculations are performed to confirm data is accurately submitted to the Federal Communications Commission for reimbursement. Condition: During testing, we identified the amount requested for reimbursement for the Emergency Connectivity Fund program was $154,560 greater than the actual amount of equipment provided to students or school staff with unmet need during the school year. Cause: The estimate the District used in their funding application was not updated to actual for the equipment provided to students or school staff who had unmet need on their request for reimbursement. Effect: The District received funding in excess of the unmet need for their students and school staff. Questioned costs: The District was reimbursed for 552 devices or $154,560 more than eligible. Context: The program required the District to estimate the amount of students with unmet need on the funding application and only request reimbursement for the actual equipment provided to students and school staff who would otherwise lack devices sufficient to engage in remote learning. Of the 1,023 devices purchased in May 2022 and reported on the District's request for reimbursement, 552 had not been assigned to students as of February 2023 according to the District's inventory records. Recommendation: The District should contact the Federal Communications Commission for guidance regarding this matter and implement proper controls over program expenditures. Views of responsible officials: Heber Springs Schools will contact the FCC (Federal Communication Commission) for guidance.

FEDERAL COMMUNICATIONS COMMISSION COVID-19 EMERGENCY CONNECTIVITY FUND - AL NUMBER 32.009 AUDIT PERIOD - YEAR ENDED JUNE 30, 2022 Special Tests and Provisions Criteria or specific requirement: Office of Management and Budget (OMB) 47 CFR ? 54.1706 (c) states that Emergency Connectivity Fund support for eligible equipment is limited to no more than one connected device per student or school staff member. OMB 47 CFR ? 54.1710 requires entities requesting funding to certify that they are only seeking support for eligible equipment provided to students and school staff who would otherwise lack connected devices sufficient to engage in remote learning. Internal controls should be in place to ensure that the required calculations are performed to confirm data is accurately submitted to the Federal Communications Commission for reimbursement. Condition: During testing, we identified the amount requested for reimbursement for the Emergency Connectivity Fund program was $154,560 greater than the actual amount of equipment provided to students or school staff with unmet need during the school year. Cause: The estimate the District used in their funding application was not updated to actual for the equipment provided to students or school staff who had unmet need on their request for reimbursement. Effect: The District received funding in excess of the unmet need for their students and school staff. Questioned costs: The District was reimbursed for 552 devices or $154,560 more than eligible. Context: The program required the District to estimate the amount of students with unmet need on the funding application and only request reimbursement for the actual equipment provided to students and school staff who would otherwise lack devices sufficient to engage in remote learning. Of the 1,023 devices purchased in May 2022 and reported on the District's request for reimbursement, 552 had not been assigned to students as of February 2023 according to the District's inventory records. Recommendation: The District should contact the Federal Communications Commission for guidance regarding this matter and implement proper controls over program expenditures. Views of responsible officials: Heber Springs Schools will contact the FCC (Federal Communication Commission) for guidance.