FAC Explorer

Audit 9621

FY End
2023-06-30
Total Expended
$1.38M
Findings
6
Programs
8
Organization: Hawthorn Academy (UT)
Year: 2023 Accepted: 2024-01-04
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
7454 2023-001 Material Weakness - N
7455 2023-001 Material Weakness - N
7456 2023-001 Material Weakness - N
583896 2023-001 Material Weakness - N
583897 2023-001 Material Weakness - N
583898 2023-001 Material Weakness - N

Programs

ALN Program Spent Major Findings
10.555 National School Lunch Program $385,789 - 0
84.425 Education Stabilization Fund $305,154 Yes 1
84.027 Special Education_grants to States $202,062 - 0
10.553 School Breakfast Program $185,307 - 0
84.010 Title I Grants to Local Educational Agencies $48,551 - 0
84.367 Improving Teacher Quality State Grants $16,258 - 0
84.424 Student Support and Academic Enrichment Program $10,000 - 0
84.173 Special Education_preschool Grants $4,431 - 0

Contacts

Name Title Type
JZXLHKVLXRC5 Floyd Stensrud Auditee
8012829066 Paul Skeen Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported in 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The School has not elected to use the 10% de minimis cost rate. The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity of Hawthorn Academy (the School) under programs of the federal government for the year ended June 30, 2023. 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 schedule presents only a selected portion of the operations of Hawthorn Academy, it is not intended to and does not present the financial position, changes in net position, or changes in fund balance of Hawthorn Academy.
Title: Summary of Significant Accounting Policies Accounting Policies: Expenditures reported in 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The School has not elected to use the 10% de minimis cost rate. Expenditures reported in 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. 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 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The School has not elected to use the 10% de minimis cost rate. The School has not elected to use the 10% de minimis cost rate.

Finding Details

Finding 2023-001
U.S. Department of Education, Utah State Office of Education, Federal Financial Assistance Listing 84.425C, 84.425D and 84.425U, S425C210031, S425D210032, S425U210032 Special Tests and Provisions Material Weakness in Internal Control over Compliance and Compliance Criteria: Hawthorn Academy should have policies and procedures in place to ensure that the minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics adhere to Davis-Bacon prevailing wage requirements. Condition: In connection with the audit procedures performed, it was noted that Hawthorn Academy failed to inform the contractor of the required Davis-Bacon prevailing wage requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding the wages paid to laborers. Cause: Hawthorn Academy did not properly inform their contractor of the required Davis-Bacon requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding wages paid to laborers. Effect: Hawthorn Academy is not in compliance with 84.425 Education Stabilization Funds special tests and provisions requirements. Questioned Costs: Unknown Context: In connection with the audit procedures performed, it was noted that Hawthorn Academy did not retain sufficient documentation to determine if laborers were paid Davis-Bacon prevailing wages. Repeat Finding from Prior Year: No Recommendation: Hawthorn Academy should monitor future minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics and communicate with their contractors on the need to adhere to Davis-Bacon prevailing wage requirements and sufficient documentation should be maintained regarding the wages paid to laborers. Views of Responsible Officials: Management agrees with this finding.
Finding 2023-001
U.S. Department of Education, Utah State Office of Education, Federal Financial Assistance Listing 84.425C, 84.425D and 84.425U, S425C210031, S425D210032, S425U210032 Special Tests and Provisions Material Weakness in Internal Control over Compliance and Compliance Criteria: Hawthorn Academy should have policies and procedures in place to ensure that the minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics adhere to Davis-Bacon prevailing wage requirements. Condition: In connection with the audit procedures performed, it was noted that Hawthorn Academy failed to inform the contractor of the required Davis-Bacon prevailing wage requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding the wages paid to laborers. Cause: Hawthorn Academy did not properly inform their contractor of the required Davis-Bacon requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding wages paid to laborers. Effect: Hawthorn Academy is not in compliance with 84.425 Education Stabilization Funds special tests and provisions requirements. Questioned Costs: Unknown Context: In connection with the audit procedures performed, it was noted that Hawthorn Academy did not retain sufficient documentation to determine if laborers were paid Davis-Bacon prevailing wages. Repeat Finding from Prior Year: No Recommendation: Hawthorn Academy should monitor future minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics and communicate with their contractors on the need to adhere to Davis-Bacon prevailing wage requirements and sufficient documentation should be maintained regarding the wages paid to laborers. Views of Responsible Officials: Management agrees with this finding.
Finding 2023-001
U.S. Department of Education, Utah State Office of Education, Federal Financial Assistance Listing 84.425C, 84.425D and 84.425U, S425C210031, S425D210032, S425U210032 Special Tests and Provisions Material Weakness in Internal Control over Compliance and Compliance Criteria: Hawthorn Academy should have policies and procedures in place to ensure that the minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics adhere to Davis-Bacon prevailing wage requirements. Condition: In connection with the audit procedures performed, it was noted that Hawthorn Academy failed to inform the contractor of the required Davis-Bacon prevailing wage requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding the wages paid to laborers. Cause: Hawthorn Academy did not properly inform their contractor of the required Davis-Bacon requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding wages paid to laborers. Effect: Hawthorn Academy is not in compliance with 84.425 Education Stabilization Funds special tests and provisions requirements. Questioned Costs: Unknown Context: In connection with the audit procedures performed, it was noted that Hawthorn Academy did not retain sufficient documentation to determine if laborers were paid Davis-Bacon prevailing wages. Repeat Finding from Prior Year: No Recommendation: Hawthorn Academy should monitor future minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics and communicate with their contractors on the need to adhere to Davis-Bacon prevailing wage requirements and sufficient documentation should be maintained regarding the wages paid to laborers. Views of Responsible Officials: Management agrees with this finding.
Finding 2023-001
U.S. Department of Education, Utah State Office of Education, Federal Financial Assistance Listing 84.425C, 84.425D and 84.425U, S425C210031, S425D210032, S425U210032 Special Tests and Provisions Material Weakness in Internal Control over Compliance and Compliance Criteria: Hawthorn Academy should have policies and procedures in place to ensure that the minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics adhere to Davis-Bacon prevailing wage requirements. Condition: In connection with the audit procedures performed, it was noted that Hawthorn Academy failed to inform the contractor of the required Davis-Bacon prevailing wage requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding the wages paid to laborers. Cause: Hawthorn Academy did not properly inform their contractor of the required Davis-Bacon requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding wages paid to laborers. Effect: Hawthorn Academy is not in compliance with 84.425 Education Stabilization Funds special tests and provisions requirements. Questioned Costs: Unknown Context: In connection with the audit procedures performed, it was noted that Hawthorn Academy did not retain sufficient documentation to determine if laborers were paid Davis-Bacon prevailing wages. Repeat Finding from Prior Year: No Recommendation: Hawthorn Academy should monitor future minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics and communicate with their contractors on the need to adhere to Davis-Bacon prevailing wage requirements and sufficient documentation should be maintained regarding the wages paid to laborers. Views of Responsible Officials: Management agrees with this finding.
Finding 2023-001
U.S. Department of Education, Utah State Office of Education, Federal Financial Assistance Listing 84.425C, 84.425D and 84.425U, S425C210031, S425D210032, S425U210032 Special Tests and Provisions Material Weakness in Internal Control over Compliance and Compliance Criteria: Hawthorn Academy should have policies and procedures in place to ensure that the minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics adhere to Davis-Bacon prevailing wage requirements. Condition: In connection with the audit procedures performed, it was noted that Hawthorn Academy failed to inform the contractor of the required Davis-Bacon prevailing wage requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding the wages paid to laborers. Cause: Hawthorn Academy did not properly inform their contractor of the required Davis-Bacon requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding wages paid to laborers. Effect: Hawthorn Academy is not in compliance with 84.425 Education Stabilization Funds special tests and provisions requirements. Questioned Costs: Unknown Context: In connection with the audit procedures performed, it was noted that Hawthorn Academy did not retain sufficient documentation to determine if laborers were paid Davis-Bacon prevailing wages. Repeat Finding from Prior Year: No Recommendation: Hawthorn Academy should monitor future minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics and communicate with their contractors on the need to adhere to Davis-Bacon prevailing wage requirements and sufficient documentation should be maintained regarding the wages paid to laborers. Views of Responsible Officials: Management agrees with this finding.
Finding 2023-001
U.S. Department of Education, Utah State Office of Education, Federal Financial Assistance Listing 84.425C, 84.425D and 84.425U, S425C210031, S425D210032, S425U210032 Special Tests and Provisions Material Weakness in Internal Control over Compliance and Compliance Criteria: Hawthorn Academy should have policies and procedures in place to ensure that the minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics adhere to Davis-Bacon prevailing wage requirements. Condition: In connection with the audit procedures performed, it was noted that Hawthorn Academy failed to inform the contractor of the required Davis-Bacon prevailing wage requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding the wages paid to laborers. Cause: Hawthorn Academy did not properly inform their contractor of the required Davis-Bacon requirements and no documentation was retained by either Hawthorn Academy or the contractor regarding wages paid to laborers. Effect: Hawthorn Academy is not in compliance with 84.425 Education Stabilization Funds special tests and provisions requirements. Questioned Costs: Unknown Context: In connection with the audit procedures performed, it was noted that Hawthorn Academy did not retain sufficient documentation to determine if laborers were paid Davis-Bacon prevailing wages. Repeat Finding from Prior Year: No Recommendation: Hawthorn Academy should monitor future minor remodeling, renovation or construction contracts over $2,000 and use laborers or mechanics and communicate with their contractors on the need to adhere to Davis-Bacon prevailing wage requirements and sufficient documentation should be maintained regarding the wages paid to laborers. Views of Responsible Officials: Management agrees with this finding.