The finding from Section III – Activities Allowed or Unallowed Finding 2023-004 – General Ledger System
Condition: Federal expenditures should be posted to the federal funding source accounts in the general ledger as they are incurred, and significant adjusting entries reclassing expenditures shoul...
The finding from Section III – Activities Allowed or Unallowed Finding 2023-004 – General Ledger System
Condition: Federal expenditures should be posted to the federal funding source accounts in the general ledger as they are incurred, and significant adjusting entries reclassing expenditures should be at a minimum. This will allow for the proper reporting of the eligible amounts to claim for reimbursement.
Views of Responsible Officials and Planned Corrective Actions: The District Business Manager is aware and responsible for appropriate reporting of expenditures related to federal funding. During the course of the 2022-2023 school year, appropriate processes and classifying of expenditures were not completed as they should have been, resulting in numerous after-closing journal entries to correct the issues. Moving forward, with the assistance and guidance of federal and state guidelines, all expenditures will be budgeted for within the grant application and reconciled with the district’s general ledger, to ensure proper allocations. Additionally, reporting that is to be done quarterly will also verify the placement of expenditures accurately.
The person responsible for the corrective action plan will be the Business Manager and the anticipated completion date will be June 30, 2024, but no later than June 30, 2025 due to the delays that occurred in the completion of the audit ending June 30, 2023.