FAC Explorer

Audit 6245

FY End
2020-06-30
Total Expended
$2.67M
Findings
4
Programs
11
Organization: Minnewaukan Public School (ND)
Year: 2020 Accepted: 2023-12-12
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
3969 2020-008 Material Weakness - L
3970 2020-009 Material Weakness - N
580411 2020-008 Material Weakness - L
580412 2020-009 Material Weakness - N

Programs

ALN Program Spent Major Findings
84.041 Impact Aid $1.83M Yes 2
84.010 Title I Grants to Local Educational Agencies $420,812 - 0
10.559 Summer Food Service Program for Children $138,969 - 0
10.555 National School Lunch Program $101,222 - 0
84.424 Student Support and Academic Enrichment Program $58,457 - 0
84.287 Twenty-First Century Community Learning Centers $52,817 - 0
10.553 School Breakfast Program $40,729 - 0
84.367 Improving Teacher Quality State Grants $11,328 - 0
15.130 Indian Education_assistance to Schools $7,098 - 0
10.582 Fresh Fruit and Vegetable Program $6,036 - 0
10.560 State Administrative Expenses for Child Nutrition $1,636 - 0

Contacts

Name Title Type
SVAGEDNRLWT8 Tracie Volk Auditee
7014735306 Barb Aasen Auditor
No contacts on file

Notes to SEFA

Title: Basis of Accounting Accounting Policies: Expenditures reported in the schedule are reported on the modified cash basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The Organization does not draw for indirect administrative expenses and has not elected to use the 10% de minimis cost rate. Direct Cost Rate used. The accompanying schedules of expenditures of federal awards (the schedule) includes the federal award activity of the School District under programs of the federal government for the years ended June 30, 2021 and 2020. The information 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 schedules present only a selected portion of the operations of the School District, it is not intended to and does not present the financial position, changes in net position or fund balance.
Title: Significant Accounting Policies Accounting Policies: Expenditures reported in the schedule are reported on the modified cash basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The Organization does not draw for indirect administrative expenses and has not elected to use the 10% de minimis cost rate. Direct Cost Rate used. Expenditures reported in the schedule are reported on the modified cash basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient.
Title: Indirect Cost Rate Accounting Policies: Expenditures reported in the schedule are reported on the modified cash basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The Organization does not draw for indirect administrative expenses and has not elected to use the 10% de minimis cost rate. Direct Cost Rate used. The Organization does not draw for indirect administrative expenses and has not elected to use the 10% de minimis cost rate.

Finding Details

Finding 2020-008
Department of Education Impact Aid CFDA #84.041 2020 Award Year Reporting Material Weakness in Internal Controls over Compliance Criteria – Application for Impact Aid – Section 7003 (OMB No. 1810‐0687) – Each year an LEA must submit this application, which provides the following information: counts of federally connected children in various categories, membership and average daily attendance data, and information on expenditures for children with disabilities. Condition – In our testing of the 2020 Impact Aid application, information on construction expenditures were not accurately submitted. Cause – Lack of oversight, awareness, or understanding of all of the specific requirements for information on construction expenditures in the Impact Aid application and controls were not adequately designed. Effect – Failure to properly complete the Impact Aid application for construction expenditures may result in noncompliance with the provisions of applicable requirements of federal programs. Questioned Costs – None reported Context/Sampling – One out of one application was selected for testing. Repeat Finding from Prior Year(s) – No Recommendation – Management should implement written policy procedures to ensure they are properly completing the Impact Aid application for each line item in the application. Views of Responsible Officials – There is no disagreement with the finding. Management has implemented corrective action for reporting in fiscal year 2023.
Finding 2020-009
Department of Education Impact Aid CFDA #84.041 2020 Award Year Special Tests and Provisions Material Weakness in Internal Controls over Compliance Criteria – Wage Rate Requirements – Section 7007 construction funds, as well as any Section 7002 or 7003(b) funds spent for construction or minor remodeling, are subject to Wage Rate Requirements (20 USC 1232b). Condition – In our testing of the 2020 Section 7007 construction expenditures, information was not obtained to support wage rate requirements for construction expenditures. Cause – Lack of oversight, awareness, or understanding of all of the specific requirements for information on construction expenditures related to wage rate requirements and controls were not adequately designed. Effect – Failure to properly adhere to wage rate requirements for construction expenditures may result in noncompliance with the provisions of applicable requirements of federal programs. Questioned Costs – None reported Context/Sampling – Three out of six construction expenditures in 2020 were selected for testing. Repeat Finding from Prior Year(s) – No Recommendation – Management should implement written policy procedures to ensure they are properly adhering to wage rate requirements for construction expenditures for Impact Aid. Views of Responsible Officials – There is no disagreement with the finding. Management has implemented corrective action for wage rate requirements in fiscal year 2024.
Finding 2020-008
Department of Education Impact Aid CFDA #84.041 2020 Award Year Reporting Material Weakness in Internal Controls over Compliance Criteria – Application for Impact Aid – Section 7003 (OMB No. 1810‐0687) – Each year an LEA must submit this application, which provides the following information: counts of federally connected children in various categories, membership and average daily attendance data, and information on expenditures for children with disabilities. Condition – In our testing of the 2020 Impact Aid application, information on construction expenditures were not accurately submitted. Cause – Lack of oversight, awareness, or understanding of all of the specific requirements for information on construction expenditures in the Impact Aid application and controls were not adequately designed. Effect – Failure to properly complete the Impact Aid application for construction expenditures may result in noncompliance with the provisions of applicable requirements of federal programs. Questioned Costs – None reported Context/Sampling – One out of one application was selected for testing. Repeat Finding from Prior Year(s) – No Recommendation – Management should implement written policy procedures to ensure they are properly completing the Impact Aid application for each line item in the application. Views of Responsible Officials – There is no disagreement with the finding. Management has implemented corrective action for reporting in fiscal year 2023.
Finding 2020-009
Department of Education Impact Aid CFDA #84.041 2020 Award Year Special Tests and Provisions Material Weakness in Internal Controls over Compliance Criteria – Wage Rate Requirements – Section 7007 construction funds, as well as any Section 7002 or 7003(b) funds spent for construction or minor remodeling, are subject to Wage Rate Requirements (20 USC 1232b). Condition – In our testing of the 2020 Section 7007 construction expenditures, information was not obtained to support wage rate requirements for construction expenditures. Cause – Lack of oversight, awareness, or understanding of all of the specific requirements for information on construction expenditures related to wage rate requirements and controls were not adequately designed. Effect – Failure to properly adhere to wage rate requirements for construction expenditures may result in noncompliance with the provisions of applicable requirements of federal programs. Questioned Costs – None reported Context/Sampling – Three out of six construction expenditures in 2020 were selected for testing. Repeat Finding from Prior Year(s) – No Recommendation – Management should implement written policy procedures to ensure they are properly adhering to wage rate requirements for construction expenditures for Impact Aid. Views of Responsible Officials – There is no disagreement with the finding. Management has implemented corrective action for wage rate requirements in fiscal year 2024.