Audit 7971

FY End
2023-06-30
Total Expended
$7.13M
Findings
14
Programs
12
Year: 2023 Accepted: 2023-12-21

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
6088 2023-006 Significant Deficiency - C
6089 2023-006 Significant Deficiency - C
6090 2023-006 Significant Deficiency - C
6091 2023-006 Significant Deficiency - C
6092 2023-006 Significant Deficiency - C
6093 2023-005 Significant Deficiency - C
6094 2023-005 Significant Deficiency - C
582530 2023-006 Significant Deficiency - C
582531 2023-006 Significant Deficiency - C
582532 2023-006 Significant Deficiency - C
582533 2023-006 Significant Deficiency - C
582534 2023-006 Significant Deficiency - C
582535 2023-005 Significant Deficiency - C
582536 2023-005 Significant Deficiency - C

Programs

Contacts

Name Title Type
HNFFNM7K6M98 Whitney Farris Auditee
9036409158 April Hatfield Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on 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. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: Bonham Independent School District has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal award activity of Bonham Independent School District under programs of the federal government for the year ended June 30, 2023. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (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 Bonham Independent School District, it is not intended to and does not present the fmancial position, changes in net assets, or cash flows of Bonham Independent School District.
Title: Summary of Significant Accounting Policies Accounting Policies: Expenditures reported on 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. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: Bonham Independent School District has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Expenditures reported on 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. Pass-through entity identifying numbers are presented where available.
Title: Food Distribution Accounting Policies: Expenditures reported on 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. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: Bonham Independent School District has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Nonmonetary assistance is reported in the Schedule at the fair market value of the commodities received and disbursed. At June 30, 2023, Bonham Independent School District had food commodities totaling $15,344 in inventory.
Title: Indirect Cost Rate Accounting Policies: Expenditures reported on 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. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: Bonham Independent School District has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Bonham Independent School District has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: Reconciliation of Basic Financial Statements Accounting Policies: Expenditures reported on 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. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: Bonham Independent School District has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The following is a reconciliation of expenditures of federal awards program per the Schedule of Expenditures of Federal Awards and expenditures reported in the fmancial statements as follows:

Finding Details

Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: Internal controls over accurate federal draw downs affect the District's ability to draw down funds correctly and timely. Management must establish and maintain effective internal controls to provide reasonable assurance that accurate federal draw downs are submitted timely. Condition: During the course of our audit, we noted federal expenditures spent and not drawn down, resulting in untimely submissions, loss of federal funds at year end, as well as a prior period adjustment. Cause: The District failed to properly maintain the internal federal grant worksheet, and also failed to submit a draw request after preparation. Effect: As a result of this condition, the District lost federal funds due to ineffective internal controls resulting in untimely submissions. Recommendation: We recommend the District implement additional controls and procedures to ensure that federal draw downs are accurate and requested in a timely manner.
Criteria: Internal controls over accurate federal draw downs affect the District's ability to draw down funds correctly and timely. Management must establish and maintain effective internal controls to provide reasonable assurance that accurate federal draw downs are submitted timely. Condition: During the course of our audit, we noted federal expenditures spent and not drawn down, resulting in untimely submissions, loss of federal funds at year end, as well as a prior period adjustment. Cause: The District failed to properly maintain the internal federal grant worksheet, and also failed to submit a draw request after preparation. Effect: As a result of this condition, the District lost federal funds due to ineffective internal controls resulting in untimely submissions. Recommendation: We recommend the District implement additional controls and procedures to ensure that federal draw downs are accurate and requested in a timely manner.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: The District's management should implement internal controls over reconciliations of grant activity to ensure accurate federal draw downs. Condition: During the course of our audit, we noted instances where internal controls were not properly implemented to ensure accurate grant reconciliations. Incorrect amounts were used in the federal grant worksheet. Cause: The District failed to properly reconcile and review the internal federal grant worksheet to ensure accuracy. Effect: As a result of this condition, the internal federal grant worksheet is not accurate. Recommendation: We recommend the District implement additional controls and procedures to ensure that the internal federal grant worksheet is prepared and reviewed accurately.
Criteria: Internal controls over accurate federal draw downs affect the District's ability to draw down funds correctly and timely. Management must establish and maintain effective internal controls to provide reasonable assurance that accurate federal draw downs are submitted timely. Condition: During the course of our audit, we noted federal expenditures spent and not drawn down, resulting in untimely submissions, loss of federal funds at year end, as well as a prior period adjustment. Cause: The District failed to properly maintain the internal federal grant worksheet, and also failed to submit a draw request after preparation. Effect: As a result of this condition, the District lost federal funds due to ineffective internal controls resulting in untimely submissions. Recommendation: We recommend the District implement additional controls and procedures to ensure that federal draw downs are accurate and requested in a timely manner.
Criteria: Internal controls over accurate federal draw downs affect the District's ability to draw down funds correctly and timely. Management must establish and maintain effective internal controls to provide reasonable assurance that accurate federal draw downs are submitted timely. Condition: During the course of our audit, we noted federal expenditures spent and not drawn down, resulting in untimely submissions, loss of federal funds at year end, as well as a prior period adjustment. Cause: The District failed to properly maintain the internal federal grant worksheet, and also failed to submit a draw request after preparation. Effect: As a result of this condition, the District lost federal funds due to ineffective internal controls resulting in untimely submissions. Recommendation: We recommend the District implement additional controls and procedures to ensure that federal draw downs are accurate and requested in a timely manner.