FAC Explorer

Audit 5089

FY End
2023-06-30
Total Expended
$2.08M
Findings
8
Programs
16
Organization: Independent School District No. 381 (MN)
Year: 2023 Accepted: 2023-12-04
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
3134 2023-005 Material Weakness Yes I
3135 2023-005 Material Weakness Yes I
3136 2023-005 Material Weakness Yes I
3137 2023-005 Material Weakness Yes I
579576 2023-005 Material Weakness Yes I
579577 2023-005 Material Weakness Yes I
579578 2023-005 Material Weakness Yes I
579579 2023-005 Material Weakness Yes I

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $235,530 - 0
93.575 Child Care and Development Block Grant $173,123 - 0
84.425 Education Stabilization Fund $99,802 Yes 0
32.009 Emergency Connectivity Fund Program $97,997 - 0
10.553 School Breakfast Program $52,180 Yes 1
84.048 Career and Technical Education -- Basic Grants to States $49,623 - 0
10.555 National School Lunch Program $44,946 Yes 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $38,206 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $32,077 - 0
84.027 Special Education_grants to States $28,294 - 0
84.424 Student Support and Academic Enrichment Program $24,393 - 0
84.358 Rural Education $5,199 - 0
84.367 Improving Teacher Quality State Grants $4,970 - 0
84.173 Special Education_preschool Grants $765 - 0
21.019 Coronavirus Relief Fund $628 - 0
84.181 Special Education-Grants for Infants and Families $581 - 0

Contacts

Name Title Type
LESEK93L14D6 Tanner Spawn Auditee
2188348201 Mary Reedy Auditor
No contacts on file

Notes to SEFA

Accounting Policies: GENERAL The accompanying schedule of expenditures of federal awards includes the federal award activity of the District under programs of the federal government for the year ended June 30, 2023. The reporting entity is defined in Note 1 to the District’s financial statements. All federal financial assistance received directly from federal agencies as well as federal financial assistance pass through other government agencies is included on the schedule. The District did not pass any federal award money to subrecipients during the fiscal year. The information in this Schedule is presented in accordance with the requirements of 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the financial position, changes in net position, or cash flows of the District. BASIS OF ACCOUNTING The accompanying schedule of expenditures of federal awards is presented using the modified accrual basis of accounting, which is described in Note 1 to the District’s financial statements. 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. De Minimis Rate Used: N Rate Explanation: INDIRECT COST RATE The District has not elected to use the 10% de minimis in direct costs rate as allowed under Uniform Guidance.

Finding Details

Finding 2023-005
2023-005 Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2022 - June 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Yes, 2022-005. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials: There is no disagreement with the audit finding.
Finding 2023-005
2023-005 Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2022 - June 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Yes, 2022-005. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials: There is no disagreement with the audit finding.
Finding 2023-005
2023-005 Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2022 - June 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Yes, 2022-005. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials: There is no disagreement with the audit finding.
Finding 2023-005
2023-005 Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2022 - June 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Yes, 2022-005. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials: There is no disagreement with the audit finding.
Finding 2023-005
2023-005 Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2022 - June 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Yes, 2022-005. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials: There is no disagreement with the audit finding.
Finding 2023-005
2023-005 Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2022 - June 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Yes, 2022-005. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials: There is no disagreement with the audit finding.
Finding 2023-005
2023-005 Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2022 - June 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Yes, 2022-005. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials: There is no disagreement with the audit finding.
Finding 2023-005
2023-005 Procurement/Suspension and Debarment Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Federal award identification number and year: 212MN061N1199 - 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: July 1, 2022 - June 30, 2023 Type of Finding: • Material Weakness in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Procurement standards require a policy in place to be followed to ensure entities are properly procuring goods and services and to ensure vendors and contractors are not suspended or debarred. Condition: During procurement and suspension and debarment testing, it was noted that the District did not go out for bid at the expiration of their previous contract, therefore not following proper procurement standards. Questioned Costs: Unknown. Context: The District did not go out for bid at the expiration of their previous contract. Cause: The District did not follow the process in place. Effect: Lack of control to procure transactions resulted in the District to be out of compliance with federal procurement requirements and/or pay suspended or debarred vendors or contractors. Repeat Finding: Yes, 2022-005. Recommendation: We recommend the District complete the proposal process when contracts expire to ensure they are in compliance with procurement requirements. Views of Responsible Officials: There is no disagreement with the audit finding.