FINDING 2024-005 Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listings Numbers: 84.425D, 84.425U, 84.425W Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U210013, S425W210015 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness, Other Matters Condition and Context An effective internal control system was not in place at the School Corporation to ensure compliance with requirements related to the grant agreement and the Equipment and Real Property Management compliance requirement. A property record or capital asset listing which would include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number (FAIN)), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, and use and condition of the property is to be maintained for assets purchased that exceed the School Corporation's capitalization threshold. INDIANA STATE BOARD OF ACCOUNTS 25 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) The School Corporation purchased one capital asset with federal award funding during the audit period. It was determined that the tested capital asset was listed on the School Corporation's capital asset listing; however, the listing did not include the percentage of federal participation or the use and condition of the property. The lack of internal controls and noncompliance were systematic issues throughout the audit period. Criteria 2 CFR 200.303 states in part: "The non-Federal entity must: (a) Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in 'Standards for Internal Control in the Federal Government' issued by the Comptroller General of the United States or the 'Internal Control Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). . . ." 2 CFR 200.313(d)(1) states: "Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property." Cause The School Corporation was unaware of the requirements to track the percentage of federal participation in the project costs for the federal award under which the property was acquired and the use and condition of the property. Effect Without the proper implementation of an effectively designed system of internal controls, the internal control system cannot be capable of effectively preventing, or detecting and correcting, material noncompliance. As a result, assets purchased with federal dollars were not properly added to the School Corporation's asset listing. Noncompliance with the provisions of federal statutes, regulations, and the terms and conditions of the federal award could result in the loss of future federal funding to the School Corporation. Questioned Costs There were no questioned costs identified. INDIANA STATE BOARD OF ACCOUNTS 26 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) Recommendation We recommended that management of the School Corporation establish a proper system of internal controls and develop policies and procedures to ensure asset records include all the necessary information. Views of Responsible Officials For the views of responsible officials, refer to the Corrective Action Plan that is part of this report.
FINDING 2024-005 Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listings Numbers: 84.425D, 84.425U, 84.425W Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U210013, S425W210015 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness, Other Matters Condition and Context An effective internal control system was not in place at the School Corporation to ensure compliance with requirements related to the grant agreement and the Equipment and Real Property Management compliance requirement. A property record or capital asset listing which would include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number (FAIN)), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, and use and condition of the property is to be maintained for assets purchased that exceed the School Corporation's capitalization threshold. INDIANA STATE BOARD OF ACCOUNTS 25 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) The School Corporation purchased one capital asset with federal award funding during the audit period. It was determined that the tested capital asset was listed on the School Corporation's capital asset listing; however, the listing did not include the percentage of federal participation or the use and condition of the property. The lack of internal controls and noncompliance were systematic issues throughout the audit period. Criteria 2 CFR 200.303 states in part: "The non-Federal entity must: (a) Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in 'Standards for Internal Control in the Federal Government' issued by the Comptroller General of the United States or the 'Internal Control Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). . . ." 2 CFR 200.313(d)(1) states: "Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property." Cause The School Corporation was unaware of the requirements to track the percentage of federal participation in the project costs for the federal award under which the property was acquired and the use and condition of the property. Effect Without the proper implementation of an effectively designed system of internal controls, the internal control system cannot be capable of effectively preventing, or detecting and correcting, material noncompliance. As a result, assets purchased with federal dollars were not properly added to the School Corporation's asset listing. Noncompliance with the provisions of federal statutes, regulations, and the terms and conditions of the federal award could result in the loss of future federal funding to the School Corporation. Questioned Costs There were no questioned costs identified. INDIANA STATE BOARD OF ACCOUNTS 26 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) Recommendation We recommended that management of the School Corporation establish a proper system of internal controls and develop policies and procedures to ensure asset records include all the necessary information. Views of Responsible Officials For the views of responsible officials, refer to the Corrective Action Plan that is part of this report.
FINDING 2024-005 Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listings Numbers: 84.425D, 84.425U, 84.425W Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U210013, S425W210015 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness, Other Matters Condition and Context An effective internal control system was not in place at the School Corporation to ensure compliance with requirements related to the grant agreement and the Equipment and Real Property Management compliance requirement. A property record or capital asset listing which would include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number (FAIN)), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, and use and condition of the property is to be maintained for assets purchased that exceed the School Corporation's capitalization threshold. INDIANA STATE BOARD OF ACCOUNTS 25 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) The School Corporation purchased one capital asset with federal award funding during the audit period. It was determined that the tested capital asset was listed on the School Corporation's capital asset listing; however, the listing did not include the percentage of federal participation or the use and condition of the property. The lack of internal controls and noncompliance were systematic issues throughout the audit period. Criteria 2 CFR 200.303 states in part: "The non-Federal entity must: (a) Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in 'Standards for Internal Control in the Federal Government' issued by the Comptroller General of the United States or the 'Internal Control Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). . . ." 2 CFR 200.313(d)(1) states: "Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property." Cause The School Corporation was unaware of the requirements to track the percentage of federal participation in the project costs for the federal award under which the property was acquired and the use and condition of the property. Effect Without the proper implementation of an effectively designed system of internal controls, the internal control system cannot be capable of effectively preventing, or detecting and correcting, material noncompliance. As a result, assets purchased with federal dollars were not properly added to the School Corporation's asset listing. Noncompliance with the provisions of federal statutes, regulations, and the terms and conditions of the federal award could result in the loss of future federal funding to the School Corporation. Questioned Costs There were no questioned costs identified. INDIANA STATE BOARD OF ACCOUNTS 26 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) Recommendation We recommended that management of the School Corporation establish a proper system of internal controls and develop policies and procedures to ensure asset records include all the necessary information. Views of Responsible Officials For the views of responsible officials, refer to the Corrective Action Plan that is part of this report.
FINDING 2024-005 Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listings Numbers: 84.425D, 84.425U, 84.425W Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U210013, S425W210015 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness, Other Matters Condition and Context An effective internal control system was not in place at the School Corporation to ensure compliance with requirements related to the grant agreement and the Equipment and Real Property Management compliance requirement. A property record or capital asset listing which would include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number (FAIN)), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, and use and condition of the property is to be maintained for assets purchased that exceed the School Corporation's capitalization threshold. INDIANA STATE BOARD OF ACCOUNTS 25 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) The School Corporation purchased one capital asset with federal award funding during the audit period. It was determined that the tested capital asset was listed on the School Corporation's capital asset listing; however, the listing did not include the percentage of federal participation or the use and condition of the property. The lack of internal controls and noncompliance were systematic issues throughout the audit period. Criteria 2 CFR 200.303 states in part: "The non-Federal entity must: (a) Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in 'Standards for Internal Control in the Federal Government' issued by the Comptroller General of the United States or the 'Internal Control Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). . . ." 2 CFR 200.313(d)(1) states: "Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property." Cause The School Corporation was unaware of the requirements to track the percentage of federal participation in the project costs for the federal award under which the property was acquired and the use and condition of the property. Effect Without the proper implementation of an effectively designed system of internal controls, the internal control system cannot be capable of effectively preventing, or detecting and correcting, material noncompliance. As a result, assets purchased with federal dollars were not properly added to the School Corporation's asset listing. Noncompliance with the provisions of federal statutes, regulations, and the terms and conditions of the federal award could result in the loss of future federal funding to the School Corporation. Questioned Costs There were no questioned costs identified. INDIANA STATE BOARD OF ACCOUNTS 26 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) Recommendation We recommended that management of the School Corporation establish a proper system of internal controls and develop policies and procedures to ensure asset records include all the necessary information. Views of Responsible Officials For the views of responsible officials, refer to the Corrective Action Plan that is part of this report.
FINDING 2024-005 Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listings Numbers: 84.425D, 84.425U, 84.425W Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U210013, S425W210015 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness, Other Matters Condition and Context An effective internal control system was not in place at the School Corporation to ensure compliance with requirements related to the grant agreement and the Equipment and Real Property Management compliance requirement. A property record or capital asset listing which would include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number (FAIN)), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, and use and condition of the property is to be maintained for assets purchased that exceed the School Corporation's capitalization threshold. INDIANA STATE BOARD OF ACCOUNTS 25 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) The School Corporation purchased one capital asset with federal award funding during the audit period. It was determined that the tested capital asset was listed on the School Corporation's capital asset listing; however, the listing did not include the percentage of federal participation or the use and condition of the property. The lack of internal controls and noncompliance were systematic issues throughout the audit period. Criteria 2 CFR 200.303 states in part: "The non-Federal entity must: (a) Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in 'Standards for Internal Control in the Federal Government' issued by the Comptroller General of the United States or the 'Internal Control Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). . . ." 2 CFR 200.313(d)(1) states: "Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property." Cause The School Corporation was unaware of the requirements to track the percentage of federal participation in the project costs for the federal award under which the property was acquired and the use and condition of the property. Effect Without the proper implementation of an effectively designed system of internal controls, the internal control system cannot be capable of effectively preventing, or detecting and correcting, material noncompliance. As a result, assets purchased with federal dollars were not properly added to the School Corporation's asset listing. Noncompliance with the provisions of federal statutes, regulations, and the terms and conditions of the federal award could result in the loss of future federal funding to the School Corporation. Questioned Costs There were no questioned costs identified. INDIANA STATE BOARD OF ACCOUNTS 26 EAST NOBLE SCHOOL CORPORATION SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) Recommendation We recommended that management of the School Corporation establish a proper system of internal controls and develop policies and procedures to ensure asset records include all the necessary information. Views of Responsible Officials For the views of responsible officials, refer to the Corrective Action Plan that is part of this report.
(2024-049) Title: Internal control over ESF subrecipient monitoring procedures needs improvement Prior Year Findings: See schedule of Findings and Questioned costs for chart/table State Department: Education State Bureau: Commissioner’s Office Federal Agency: U.S. Department of Education Assistance Listing Title: Education Stabilization Fund (ESF) (COVID-19) Assistance Listing Number: 84.425D, 84.425R, 84.425U Federal Award Identification Number: See E-77 to E-78 Compliance Area: Subrecipient monitoring Type of Finding: Significant deficiency Questioned Costs: None Criteria: 2 CFR 200.303; 2 CFR 200.313; 2 CFR 200.332 The Department must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Department is managing the award in compliance with Federal statutes, regulations, and the terms and conditions of the award. For equipment acquired with Federal funding, records must be maintained that include: • a description and identification number; • the source of funding, including the Federal Award Identification Number; • who holds title and the acquisition date; • the cost of the property, including the percentage of Federal participation in the project costs for the Federal award under which the property was acquired; • the location, use and condition; and • any ultimate disposition data including the date of disposal and sale price of the property. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated. The Department must monitor the activities of the subrecipient as necessary to ensure that the subaward is used for authorized purposes, in compliance with Federal statutes, regulations, and the terms and conditions of the subaward, and that subaward performance goals are achieved. Condition: The Education Stabilization Fund (ESF) provides funding to school administrative units (SAUs) to purchase equipment for use in preventing, preparing for, or responding to the COVID-19 pandemic. All SAU equipment purchases reimbursed with ESF are subject to applicable inventory control, log maintenance, and disposition requirements consistent with Federal regulations for equipment and real property management. In the fiscal year 2022 and 2023 audits, the Office of the State Auditor identified that the Department did not have procedures in place to track SAU equipment purchases reimbursed with ESF. During fiscal year 2024, the Department developed policies and procedures to track SAU equipment purchases reimbursed with ESF. These procedures outline documentation to be obtained from SAUs during the next subrecipient monitoring activity. Because the Department has not completed the subrecipient monitoring to obtain the necessary documentation, the Department does not have assurance that: • a complete and accurate record of all equipment purchased with ESF was maintained by each SAU. • subrecipients are in compliance with Federal regulations for equipment and real property management. Context: In fiscal year 2024, ESF expenditures totaled $194.1 million, of which $175.1 million was paid to subrecipient SAUs. Because a complete and accurate record of equipment purchased with ESF is not maintained, the amount of equipment purchased in fiscal year 2024 is unknown. Cause: • Newly developed policies and procedures have not been fully implemented. • Lack of supervisory oversight Effect: • Noncompliance with Federal regulations • SAUs may not be in compliance with equipment and real property management requirements. • Recordkeeping for assets purchased with ESF is not adequate, and as a result, the assets may not be properly safeguarded. Recommendation: We recommend that the Department conduct necessary subrecipient monitoring activities to ensure that a complete and accurate record of all equipment purchased with ESF is maintained by the Department and by each SAU. This record should be documented and maintained in order to verify ongoing compliance with Federal regulations for equipment and real property management. Corrective Action Plan: See F-21 Management’s Response: The Department agrees with this finding. The former Office of Federal Emergency Relief Programs will incorporate the collection of this information in the fiscal year 2024 and 2025 annual performance report. All equipment purchased with ESF will be self-reported by each individual School Administrative Unit. Contact: Shelly Chasse-Johndro, Director, ESEA, DOE, 207-458-3180 (State Number: 24-1235-01)
(2024-049) Title: Internal control over ESF subrecipient monitoring procedures needs improvement Prior Year Findings: See schedule of Findings and Questioned costs for chart/table State Department: Education State Bureau: Commissioner’s Office Federal Agency: U.S. Department of Education Assistance Listing Title: Education Stabilization Fund (ESF) (COVID-19) Assistance Listing Number: 84.425D, 84.425R, 84.425U Federal Award Identification Number: See E-77 to E-78 Compliance Area: Subrecipient monitoring Type of Finding: Significant deficiency Questioned Costs: None Criteria: 2 CFR 200.303; 2 CFR 200.313; 2 CFR 200.332 The Department must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Department is managing the award in compliance with Federal statutes, regulations, and the terms and conditions of the award. For equipment acquired with Federal funding, records must be maintained that include: • a description and identification number; • the source of funding, including the Federal Award Identification Number; • who holds title and the acquisition date; • the cost of the property, including the percentage of Federal participation in the project costs for the Federal award under which the property was acquired; • the location, use and condition; and • any ultimate disposition data including the date of disposal and sale price of the property. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated. The Department must monitor the activities of the subrecipient as necessary to ensure that the subaward is used for authorized purposes, in compliance with Federal statutes, regulations, and the terms and conditions of the subaward, and that subaward performance goals are achieved. Condition: The Education Stabilization Fund (ESF) provides funding to school administrative units (SAUs) to purchase equipment for use in preventing, preparing for, or responding to the COVID-19 pandemic. All SAU equipment purchases reimbursed with ESF are subject to applicable inventory control, log maintenance, and disposition requirements consistent with Federal regulations for equipment and real property management. In the fiscal year 2022 and 2023 audits, the Office of the State Auditor identified that the Department did not have procedures in place to track SAU equipment purchases reimbursed with ESF. During fiscal year 2024, the Department developed policies and procedures to track SAU equipment purchases reimbursed with ESF. These procedures outline documentation to be obtained from SAUs during the next subrecipient monitoring activity. Because the Department has not completed the subrecipient monitoring to obtain the necessary documentation, the Department does not have assurance that: • a complete and accurate record of all equipment purchased with ESF was maintained by each SAU. • subrecipients are in compliance with Federal regulations for equipment and real property management. Context: In fiscal year 2024, ESF expenditures totaled $194.1 million, of which $175.1 million was paid to subrecipient SAUs. Because a complete and accurate record of equipment purchased with ESF is not maintained, the amount of equipment purchased in fiscal year 2024 is unknown. Cause: • Newly developed policies and procedures have not been fully implemented. • Lack of supervisory oversight Effect: • Noncompliance with Federal regulations • SAUs may not be in compliance with equipment and real property management requirements. • Recordkeeping for assets purchased with ESF is not adequate, and as a result, the assets may not be properly safeguarded. Recommendation: We recommend that the Department conduct necessary subrecipient monitoring activities to ensure that a complete and accurate record of all equipment purchased with ESF is maintained by the Department and by each SAU. This record should be documented and maintained in order to verify ongoing compliance with Federal regulations for equipment and real property management. Corrective Action Plan: See F-21 Management’s Response: The Department agrees with this finding. The former Office of Federal Emergency Relief Programs will incorporate the collection of this information in the fiscal year 2024 and 2025 annual performance report. All equipment purchased with ESF will be self-reported by each individual School Administrative Unit. Contact: Shelly Chasse-Johndro, Director, ESEA, DOE, 207-458-3180 (State Number: 24-1235-01)
(2024-049) Title: Internal control over ESF subrecipient monitoring procedures needs improvement Prior Year Findings: See schedule of Findings and Questioned costs for chart/table State Department: Education State Bureau: Commissioner’s Office Federal Agency: U.S. Department of Education Assistance Listing Title: Education Stabilization Fund (ESF) (COVID-19) Assistance Listing Number: 84.425D, 84.425R, 84.425U Federal Award Identification Number: See E-77 to E-78 Compliance Area: Subrecipient monitoring Type of Finding: Significant deficiency Questioned Costs: None Criteria: 2 CFR 200.303; 2 CFR 200.313; 2 CFR 200.332 The Department must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the Department is managing the award in compliance with Federal statutes, regulations, and the terms and conditions of the award. For equipment acquired with Federal funding, records must be maintained that include: • a description and identification number; • the source of funding, including the Federal Award Identification Number; • who holds title and the acquisition date; • the cost of the property, including the percentage of Federal participation in the project costs for the Federal award under which the property was acquired; • the location, use and condition; and • any ultimate disposition data including the date of disposal and sale price of the property. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated. The Department must monitor the activities of the subrecipient as necessary to ensure that the subaward is used for authorized purposes, in compliance with Federal statutes, regulations, and the terms and conditions of the subaward, and that subaward performance goals are achieved. Condition: The Education Stabilization Fund (ESF) provides funding to school administrative units (SAUs) to purchase equipment for use in preventing, preparing for, or responding to the COVID-19 pandemic. All SAU equipment purchases reimbursed with ESF are subject to applicable inventory control, log maintenance, and disposition requirements consistent with Federal regulations for equipment and real property management. In the fiscal year 2022 and 2023 audits, the Office of the State Auditor identified that the Department did not have procedures in place to track SAU equipment purchases reimbursed with ESF. During fiscal year 2024, the Department developed policies and procedures to track SAU equipment purchases reimbursed with ESF. These procedures outline documentation to be obtained from SAUs during the next subrecipient monitoring activity. Because the Department has not completed the subrecipient monitoring to obtain the necessary documentation, the Department does not have assurance that: • a complete and accurate record of all equipment purchased with ESF was maintained by each SAU. • subrecipients are in compliance with Federal regulations for equipment and real property management. Context: In fiscal year 2024, ESF expenditures totaled $194.1 million, of which $175.1 million was paid to subrecipient SAUs. Because a complete and accurate record of equipment purchased with ESF is not maintained, the amount of equipment purchased in fiscal year 2024 is unknown. Cause: • Newly developed policies and procedures have not been fully implemented. • Lack of supervisory oversight Effect: • Noncompliance with Federal regulations • SAUs may not be in compliance with equipment and real property management requirements. • Recordkeeping for assets purchased with ESF is not adequate, and as a result, the assets may not be properly safeguarded. Recommendation: We recommend that the Department conduct necessary subrecipient monitoring activities to ensure that a complete and accurate record of all equipment purchased with ESF is maintained by the Department and by each SAU. This record should be documented and maintained in order to verify ongoing compliance with Federal regulations for equipment and real property management. Corrective Action Plan: See F-21 Management’s Response: The Department agrees with this finding. The former Office of Federal Emergency Relief Programs will incorporate the collection of this information in the fiscal year 2024 and 2025 annual performance report. All equipment purchased with ESF will be self-reported by each individual School Administrative Unit. Contact: Shelly Chasse-Johndro, Director, ESEA, DOE, 207-458-3180 (State Number: 24-1235-01)
FINDING 2024-002 Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listings Number: 84.425U Federal Award Number or Year (or Other Identifying Number): S425U210013 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness, Other Matters Condition and Context A property record or capital asset listing which would include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, and use and condition of the property is to be maintained for assets purchased that exceed the School Corporation's capitalization threshold. The School Corporation purchased 21 pieces of equipment totaling $218,573 during the audit period, of which 4 were selected for testing. The 4 items selected for testing were listed on the School Corporation's capital asset listing; however, the listing did not include the percentage of federal participation or the use and condition of property. INDIANA STATE BOARD OF ACCOUNTS 19 DEKALB COUNTY EASTERN COMMUNITY SCHOOL DISTRICT SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) The lack of internal controls and noncompliance were systemic issues throughout the audit period. Criteria 2 CFR 200.303 states in part: "The non-Federal entity must: (a) Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in 'Standards for Internal Control in the Federal Government' issued by the Comptroller General of the United States or the 'Internal Control Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). . . ." 2 CFR 200.313(d)(1) states: "Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property." Cause The School Corporation was unaware of the requirements to track the percentage of federal participation in the project costs for the federal award under which the property was acquired and the use and condition of the property. Effect Without the proper implementation of an effectively designed system of internal controls, the internal control system cannot be capable of effectively preventing, or detecting and correcting, material noncompliance. As a result, assets added to the capital assets listing did not include all the required elements. Noncompliance with the provisions of federal statutes, regulations, and the terms and conditions of the federal award could result in the loss of future federal funding to the School Corporation. Questioned Costs There were no questioned costs identified. Recommendation We recommended that management of the School Corporation establish a proper system of internal controls and develop policies and procedures to ensure asset records include all the necessary information and new assets are added. Views of Responsible Officials For the views of responsible officials, refer to the Corrective Action Plan that is part of this report.
FINDING 2024-002 Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listings Number: 84.425U Federal Award Number or Year (or Other Identifying Number): S425U210013 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness, Other Matters Condition and Context A property record or capital asset listing which would include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, and use and condition of the property is to be maintained for assets purchased that exceed the School Corporation's capitalization threshold. The School Corporation purchased 21 pieces of equipment totaling $218,573 during the audit period, of which 4 were selected for testing. The 4 items selected for testing were listed on the School Corporation's capital asset listing; however, the listing did not include the percentage of federal participation or the use and condition of property. INDIANA STATE BOARD OF ACCOUNTS 19 DEKALB COUNTY EASTERN COMMUNITY SCHOOL DISTRICT SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) The lack of internal controls and noncompliance were systemic issues throughout the audit period. Criteria 2 CFR 200.303 states in part: "The non-Federal entity must: (a) Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in 'Standards for Internal Control in the Federal Government' issued by the Comptroller General of the United States or the 'Internal Control Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). . . ." 2 CFR 200.313(d)(1) states: "Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property." Cause The School Corporation was unaware of the requirements to track the percentage of federal participation in the project costs for the federal award under which the property was acquired and the use and condition of the property. Effect Without the proper implementation of an effectively designed system of internal controls, the internal control system cannot be capable of effectively preventing, or detecting and correcting, material noncompliance. As a result, assets added to the capital assets listing did not include all the required elements. Noncompliance with the provisions of federal statutes, regulations, and the terms and conditions of the federal award could result in the loss of future federal funding to the School Corporation. Questioned Costs There were no questioned costs identified. Recommendation We recommended that management of the School Corporation establish a proper system of internal controls and develop policies and procedures to ensure asset records include all the necessary information and new assets are added. Views of Responsible Officials For the views of responsible officials, refer to the Corrective Action Plan that is part of this report.
FINDING - The District did not comply with Federal regulations by maintaining property records to identify the location of equipment funded by the ESF Program, resulting in questioned costs totaling $2,186,066. CRITERIA - Title 2, Section 200.313(d)(1) and (2), Code of Federal Regulations (CFR), requires that property records for equipment be maintained that include various details, such as a descriptions of the property; an identification number; the source of funding for the property (including the Federal award identification number); the location, use, and condition of the property; and any ultimate disposition data including the date of disposal and sales price of the property. Additionally, a physical inventory of the property must be conducted and the results must be reconciled with the property records at least once every 2 years. Title 2, Section 200.1, CFR, defines equipment as tangible personal property, including information technology systems, having a useful life of more than 1 year and a per-unit acquisition cost which equals or exceeds the lesser of the capitalization threshold established by the District or $5,000. According to Board Policy 7450 - Property Inventory, the Superintendent must maintain an adequate and accurate record of all tangible personal property with a value or cost of $1,500 or more. CONDITION - During the 2020-21 through 2023-24 fiscal years, District ESF Program expenditures totaled $14,293,633, including $2,186,066 for capitalized equipment with a value or cost of $1,500 or more. Although we requested, District personnel could not provide any property records that identified the equipment identification number, source of funding, condition, location, or otherwise properly account for the items. Moreover, the District did not conduct physical inventory procedures during the 2022-23 or 2023-24 fiscal years. CAUSE - According to District personnel, due to staff turnover, the property records were not consistently maintained and the physical inventory was not recently conducted. EFFECT - Without effective accountability over equipment purchased with Federal funds, including the maintenance of appropriate property records and periodic physical inventories, there is an increased risk that the equipment may be used for unauthorized purposes. Absent required property records, ESF Program moneys for equipment acquisitions totaling $2,186,066 represent questioned costs. RECOMMENDATION - The District should establish effective accountability over equipment purchased with Federal funds. Such accountability should include the maintenance of required property records based on Federal equipment acquisitions, the conduct of a physical inventory of the equipment, and a reconciliation of the inventory results with the property records at least once every 2 years. In addition, for any unlocated ESF Program equipment items, the District should restore to the FDOE the related questioned costs and contact applicable law enforcement agencies regarding necessary actions to help recover the unlocated equipment. DISTRICT RESPONSE - The District has designated a team from the finance department and operations/maintenance to review and update procedures to account appropriately for the equipment/inventory. These procedures will include a comprehensive inventory count no less than every two years that will be reconciled to records maintained within the District's financial management software.
Information on the federal program: Subject: Education Stabilization Fund – Internal Controls Federal Agency: Department of Education Federal Program: COVID-19 – Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers: S425D210013, S425U210013 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness Criteria: 2 CFR 200.313(d) states in part: "Management requirements. Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, as a minimum, meet the following requirements: (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. . . ." Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the Equipment and Real Property Management Requirements compliance requirements. Cause: The School Corporation's management had not developed a system of internal controls to ensure compliance with the compliance requirements listed above. Effect: The failure to establish an effective internal control system placed the School Corporation at risk of noncompliance with the grant agreement and the compliance requirements. A lack of segregation of duties within an internal control system could have also allowed noncompliance with the compliance requirements and allowed the misuse and mismanagement of federal funds and assets by not having proper oversight, reviews, and approvals over the activities of the programs. Questioned Costs: There were no questioned costs identified. Context: For two sample items tested, we noted the School Corporation expended approximately $63,000 on roof replacement and $10,000 on an air conditioning unit for the server room, which were all charged to the ESSER II (84.425D) and ESSER III (84.425U) grant awards. It was noted these capital asset acquisitions could not be traced to the capital asset listing for the School Corporation as of June 30, 2024. We noted the acquisitions were properly approved by IDOE in the grant application, management completed a physical inventory in the 2-year audit period, and the assets were properly maintained and safeguarded. Identification as a repeat finding: Yes. See Finding 2022-006 in the prior period audit report. Recommendation: We recommend the School Corporation update the capital asset listing at least annually to include all equipment and real property acquisitions and review for potential capital asset dispositions. The capital asset listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and has prepared a corrective action plan.
Information on the federal program: Subject: Education Stabilization Fund – Internal Controls Federal Agency: Department of Education Federal Program: COVID-19 – Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers: S425D210013, S425U210013 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Equipment and Real Property Management Audit Findings: Material Weakness Criteria: 2 CFR 200.313(d) states in part: "Management requirements. Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, as a minimum, meet the following requirements: (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. . . ." Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the Equipment and Real Property Management Requirements compliance requirements. Cause: The School Corporation's management had not developed a system of internal controls to ensure compliance with the compliance requirements listed above. Effect: The failure to establish an effective internal control system placed the School Corporation at risk of noncompliance with the grant agreement and the compliance requirements. A lack of segregation of duties within an internal control system could have also allowed noncompliance with the compliance requirements and allowed the misuse and mismanagement of federal funds and assets by not having proper oversight, reviews, and approvals over the activities of the programs. Questioned Costs: There were no questioned costs identified. Context: For two sample items tested, we noted the School Corporation expended approximately $63,000 on roof replacement and $10,000 on an air conditioning unit for the server room, which were all charged to the ESSER II (84.425D) and ESSER III (84.425U) grant awards. It was noted these capital asset acquisitions could not be traced to the capital asset listing for the School Corporation as of June 30, 2024. We noted the acquisitions were properly approved by IDOE in the grant application, management completed a physical inventory in the 2-year audit period, and the assets were properly maintained and safeguarded. Identification as a repeat finding: Yes. See Finding 2022-006 in the prior period audit report. Recommendation: We recommend the School Corporation update the capital asset listing at least annually to include all equipment and real property acquisitions and review for potential capital asset dispositions. The capital asset listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and has prepared a corrective action plan.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.
Finding 2024-004 – Equipment Management (Significant Deficiency and Noncompliance) Information on the Federal Program: Research & Development Cluster-Multiple ALNs Criteria: 2 CFR 200.313(d) states in part: “Procedures for managing equipment (including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, at a minimum, meet the following requirements; (1) Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date and cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. (2) A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage or theft of the property. Any loss, damage or theft must be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. Condition: Documentation of a physical inventory performed was not available. Additionally, we noted the University’s equipment listing did not contain all the required information, including an identification number and the source of federal funding for the equipment, outlined in the criteria above. Cause: The University did not perform a physical inventory of assets purchased with federal funds in the last two years. Effect or Potential Effect: The University did not have appropriate documentation that a physical inventory was performed. Questioned Costs: None Repeat Finding – No similar findings identified in the prior year. Recommendation: We recommend the University strengthen its policies and procedures over equipment management to ensure a physical inventory is performed every two years, at a minimum. The equipment listing should include all required information to track capital asset acquisitions purchased with federal funding. Views of Responsible Officials: See Management’s View and Corrective Action Plan included at the end of the report.