FAC Explorer

Audit 57146

FY End
2022-06-30
Total Expended
$1.26M
Findings
8
Programs
11
Organization: North Muskegon Public Schools (MI)
Year: 2022 Accepted: 2022-10-31
Auditor: Brickley Delong

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
61419 2022-001 - Yes N
61420 2022-001 - Yes N
61421 2022-001 - Yes N
61422 2022-001 - Yes N
637861 2022-001 - Yes N
637862 2022-001 - Yes N
637863 2022-001 - Yes N
637864 2022-001 - Yes N

Programs

ALN Program Spent Major Findings
10.553 School Breakfast Program $270,592 Yes 1
84.027 Special Education_grants to States $84,106 - 0
10.559 Summer Food Service Program for Children $61,128 Yes 1
32.009 Emergency Connectivity Fund Program $60,750 - 0
84.010 Title I Grants to Local Educational Agencies $37,021 - 0
10.555 National School Lunch Program $23,715 Yes 1
84.424 Student Support and Academic Enrichment Program $10,000 - 0
84.367 Improving Teacher Quality State Grants $8,881 - 0
84.425 Education Stabilization Fund $4,785 - 0
93.778 Medical Assistance Program $3,652 - 0
10.649 Pandemic Ebt Administrative Costs $614 - 0

Contacts

Name Title Type
C9DKQ3S5WY45 Mark Mesbergen Auditee
2317194100 Brian McFarren Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the schedule) includes the federal award activity of the School District 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 (Uniform Guidance). Because the schedule presents only a selected portion of the operations of the School District, it is not intended to and does not present the financial position or change in net position of the School District. Please see the financial statement footnotes for the significant accounting policies used in preparing this schedule. 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. The School District is not using the ten-percent de minimis indirect cost rate as allowed under the Uniform Guidance. Management has utilized the Michigan Department of Education NexSys Grant Auditor Report in preparing the Schedule of Expenditures of Federal Awards. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-001
Finding 2022-001: Child Nutrition Cluster Resource Management Procedures Pass-through entity: Michigan Department of Education Assistance Listing Number(s): 10.553, 10.555 and 10.559 Award Numbers: COVID-19 211971, COVID-19 221971, COVID-19 220910, COVID-19 211961, COVID-19 221961, COVID-19 210904, COVID-19 220904, and Entitlement Commodities Award Year End: June 30, 2022 Specific Requirement: Resource Management and Special Tests ? General Program Management Criteria: Section 210.14(b) and 210.19(a)(1) of the Cost Principles of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the School District to limit its net cash resources in the Food Service Fund to the maximum allowable amount of three months of average expenditures. Questioned Costs: None. Condition: During our testing of the Child Nutrition Cluster net cash resources, we noted that the School District Food Service Fund net cash resources were in excess of maximum allowable amount. Context: As of June 30, 2022, the School District Food Service Fund net cash resources were in excess of the maximum allowable amount. Effect: The School District could receive reduced funding in future years if the condition continues. Cause: The School District had planned to reduce its Food Service Fund net cash resources below the maximum threshold, but it was unable to get proper approvals, order and receive purchased items and/or services by the end of the fiscal year. Repeat Finding: A similar finding was reported during the single audit for the year ended June 30, 2021. Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Views of Responsible Officials: The School District agrees with this finding
Finding 2022-001
Finding 2022-001: Child Nutrition Cluster Resource Management Procedures Pass-through entity: Michigan Department of Education Assistance Listing Number(s): 10.553, 10.555 and 10.559 Award Numbers: COVID-19 211971, COVID-19 221971, COVID-19 220910, COVID-19 211961, COVID-19 221961, COVID-19 210904, COVID-19 220904, and Entitlement Commodities Award Year End: June 30, 2022 Specific Requirement: Resource Management and Special Tests ? General Program Management Criteria: Section 210.14(b) and 210.19(a)(1) of the Cost Principles of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the School District to limit its net cash resources in the Food Service Fund to the maximum allowable amount of three months of average expenditures. Questioned Costs: None. Condition: During our testing of the Child Nutrition Cluster net cash resources, we noted that the School District Food Service Fund net cash resources were in excess of maximum allowable amount. Context: As of June 30, 2022, the School District Food Service Fund net cash resources were in excess of the maximum allowable amount. Effect: The School District could receive reduced funding in future years if the condition continues. Cause: The School District had planned to reduce its Food Service Fund net cash resources below the maximum threshold, but it was unable to get proper approvals, order and receive purchased items and/or services by the end of the fiscal year. Repeat Finding: A similar finding was reported during the single audit for the year ended June 30, 2021. Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Views of Responsible Officials: The School District agrees with this finding
Finding 2022-001
Finding 2022-001: Child Nutrition Cluster Resource Management Procedures Pass-through entity: Michigan Department of Education Assistance Listing Number(s): 10.553, 10.555 and 10.559 Award Numbers: COVID-19 211971, COVID-19 221971, COVID-19 220910, COVID-19 211961, COVID-19 221961, COVID-19 210904, COVID-19 220904, and Entitlement Commodities Award Year End: June 30, 2022 Specific Requirement: Resource Management and Special Tests ? General Program Management Criteria: Section 210.14(b) and 210.19(a)(1) of the Cost Principles of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the School District to limit its net cash resources in the Food Service Fund to the maximum allowable amount of three months of average expenditures. Questioned Costs: None. Condition: During our testing of the Child Nutrition Cluster net cash resources, we noted that the School District Food Service Fund net cash resources were in excess of maximum allowable amount. Context: As of June 30, 2022, the School District Food Service Fund net cash resources were in excess of the maximum allowable amount. Effect: The School District could receive reduced funding in future years if the condition continues. Cause: The School District had planned to reduce its Food Service Fund net cash resources below the maximum threshold, but it was unable to get proper approvals, order and receive purchased items and/or services by the end of the fiscal year. Repeat Finding: A similar finding was reported during the single audit for the year ended June 30, 2021. Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Views of Responsible Officials: The School District agrees with this finding
Finding 2022-001
Finding 2022-001: Child Nutrition Cluster Resource Management Procedures Pass-through entity: Michigan Department of Education Assistance Listing Number(s): 10.553, 10.555 and 10.559 Award Numbers: COVID-19 211971, COVID-19 221971, COVID-19 220910, COVID-19 211961, COVID-19 221961, COVID-19 210904, COVID-19 220904, and Entitlement Commodities Award Year End: June 30, 2022 Specific Requirement: Resource Management and Special Tests ? General Program Management Criteria: Section 210.14(b) and 210.19(a)(1) of the Cost Principles of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the School District to limit its net cash resources in the Food Service Fund to the maximum allowable amount of three months of average expenditures. Questioned Costs: None. Condition: During our testing of the Child Nutrition Cluster net cash resources, we noted that the School District Food Service Fund net cash resources were in excess of maximum allowable amount. Context: As of June 30, 2022, the School District Food Service Fund net cash resources were in excess of the maximum allowable amount. Effect: The School District could receive reduced funding in future years if the condition continues. Cause: The School District had planned to reduce its Food Service Fund net cash resources below the maximum threshold, but it was unable to get proper approvals, order and receive purchased items and/or services by the end of the fiscal year. Repeat Finding: A similar finding was reported during the single audit for the year ended June 30, 2021. Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Views of Responsible Officials: The School District agrees with this finding
Finding 2022-001
Finding 2022-001: Child Nutrition Cluster Resource Management Procedures Pass-through entity: Michigan Department of Education Assistance Listing Number(s): 10.553, 10.555 and 10.559 Award Numbers: COVID-19 211971, COVID-19 221971, COVID-19 220910, COVID-19 211961, COVID-19 221961, COVID-19 210904, COVID-19 220904, and Entitlement Commodities Award Year End: June 30, 2022 Specific Requirement: Resource Management and Special Tests ? General Program Management Criteria: Section 210.14(b) and 210.19(a)(1) of the Cost Principles of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the School District to limit its net cash resources in the Food Service Fund to the maximum allowable amount of three months of average expenditures. Questioned Costs: None. Condition: During our testing of the Child Nutrition Cluster net cash resources, we noted that the School District Food Service Fund net cash resources were in excess of maximum allowable amount. Context: As of June 30, 2022, the School District Food Service Fund net cash resources were in excess of the maximum allowable amount. Effect: The School District could receive reduced funding in future years if the condition continues. Cause: The School District had planned to reduce its Food Service Fund net cash resources below the maximum threshold, but it was unable to get proper approvals, order and receive purchased items and/or services by the end of the fiscal year. Repeat Finding: A similar finding was reported during the single audit for the year ended June 30, 2021. Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Views of Responsible Officials: The School District agrees with this finding
Finding 2022-001
Finding 2022-001: Child Nutrition Cluster Resource Management Procedures Pass-through entity: Michigan Department of Education Assistance Listing Number(s): 10.553, 10.555 and 10.559 Award Numbers: COVID-19 211971, COVID-19 221971, COVID-19 220910, COVID-19 211961, COVID-19 221961, COVID-19 210904, COVID-19 220904, and Entitlement Commodities Award Year End: June 30, 2022 Specific Requirement: Resource Management and Special Tests ? General Program Management Criteria: Section 210.14(b) and 210.19(a)(1) of the Cost Principles of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the School District to limit its net cash resources in the Food Service Fund to the maximum allowable amount of three months of average expenditures. Questioned Costs: None. Condition: During our testing of the Child Nutrition Cluster net cash resources, we noted that the School District Food Service Fund net cash resources were in excess of maximum allowable amount. Context: As of June 30, 2022, the School District Food Service Fund net cash resources were in excess of the maximum allowable amount. Effect: The School District could receive reduced funding in future years if the condition continues. Cause: The School District had planned to reduce its Food Service Fund net cash resources below the maximum threshold, but it was unable to get proper approvals, order and receive purchased items and/or services by the end of the fiscal year. Repeat Finding: A similar finding was reported during the single audit for the year ended June 30, 2021. Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Views of Responsible Officials: The School District agrees with this finding
Finding 2022-001
Finding 2022-001: Child Nutrition Cluster Resource Management Procedures Pass-through entity: Michigan Department of Education Assistance Listing Number(s): 10.553, 10.555 and 10.559 Award Numbers: COVID-19 211971, COVID-19 221971, COVID-19 220910, COVID-19 211961, COVID-19 221961, COVID-19 210904, COVID-19 220904, and Entitlement Commodities Award Year End: June 30, 2022 Specific Requirement: Resource Management and Special Tests ? General Program Management Criteria: Section 210.14(b) and 210.19(a)(1) of the Cost Principles of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the School District to limit its net cash resources in the Food Service Fund to the maximum allowable amount of three months of average expenditures. Questioned Costs: None. Condition: During our testing of the Child Nutrition Cluster net cash resources, we noted that the School District Food Service Fund net cash resources were in excess of maximum allowable amount. Context: As of June 30, 2022, the School District Food Service Fund net cash resources were in excess of the maximum allowable amount. Effect: The School District could receive reduced funding in future years if the condition continues. Cause: The School District had planned to reduce its Food Service Fund net cash resources below the maximum threshold, but it was unable to get proper approvals, order and receive purchased items and/or services by the end of the fiscal year. Repeat Finding: A similar finding was reported during the single audit for the year ended June 30, 2021. Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Views of Responsible Officials: The School District agrees with this finding
Finding 2022-001
Finding 2022-001: Child Nutrition Cluster Resource Management Procedures Pass-through entity: Michigan Department of Education Assistance Listing Number(s): 10.553, 10.555 and 10.559 Award Numbers: COVID-19 211971, COVID-19 221971, COVID-19 220910, COVID-19 211961, COVID-19 221961, COVID-19 210904, COVID-19 220904, and Entitlement Commodities Award Year End: June 30, 2022 Specific Requirement: Resource Management and Special Tests ? General Program Management Criteria: Section 210.14(b) and 210.19(a)(1) of the Cost Principles of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires the School District to limit its net cash resources in the Food Service Fund to the maximum allowable amount of three months of average expenditures. Questioned Costs: None. Condition: During our testing of the Child Nutrition Cluster net cash resources, we noted that the School District Food Service Fund net cash resources were in excess of maximum allowable amount. Context: As of June 30, 2022, the School District Food Service Fund net cash resources were in excess of the maximum allowable amount. Effect: The School District could receive reduced funding in future years if the condition continues. Cause: The School District had planned to reduce its Food Service Fund net cash resources below the maximum threshold, but it was unable to get proper approvals, order and receive purchased items and/or services by the end of the fiscal year. Repeat Finding: A similar finding was reported during the single audit for the year ended June 30, 2021. Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Views of Responsible Officials: The School District agrees with this finding