FAC Explorer

Finding 10010 (2023-002)

Significant Deficiency Repeat Finding
Requirement
C
Questioned Costs
-
Year
2023
Accepted
2024-01-25
Audit: 13648
Organization: Cumberland County Board of Education (NC)
Auditor: Anderson Smith & Wike PLLC

AI Summary

  • Core Issue: Timely bank reconciliations were not completed, impacting the accuracy of financial reporting for decision-making.
  • Impacted Requirements: Compliance with cash management controls, specifically the timely preparation of monthly bank reconciliations.
  • Recommended Follow-Up: Management should continue to monitor and review monthly reconciliations to ensure ongoing compliance and accuracy.

Finding Text

U.S. Department of Education Passed Through the N.C. Department of Public Instruction Program Names: COVID-19 – Education Stabilization Fund (AL #: 84.425) Special Education Cluster (AL #’s: 84.027 and 84.173) Title I, Grants to Local Educational Agencies (AL #: 84.010) SIGNIFICANT DEFICIENCY Compliance – Cash Management Criteria: Controls should ensure that bank reconciliations are prepared in a timely manner each month to enable the Board to make timely decisions based upon accurate data. Condition: State bank account reconciliations were not prepared in a timely manner during the year. Effect: Since bank account reconciliations were not performed in a timely manner, management decisions could have been made by the Board while relying upon inaccurate financial reporting. Cause: The June 30, 2022 audit could not completed until late March, 2023 due to account reconciliations having to be finalized. Therefore, the account reconciliation process for the 2022-2023 year was already approximately nine months behind at the conclusion of the 2022 audit. Management implemented controls and procedures during the 2022-2023 year to address this issue and has worked diligently to catch-up these reconciliations for the 2022-2023 year. Questioned costs: None. Identification of a repeat finding: This is a repeat finding from the immediate previous audit, Finding 22-07. Recommendation: Management has indicated that with the controls and procedures put in place during the 2022-2023 year, the district is now current with its monthly reconciliation processes. We recommend that management continue to monitor and review these monthly reconciliations to ensure that all general ledger accounts are being reconciled in a timely manner. Views of responsible officials and planned corrective actions: The Board of Education agrees with this finding. Management will take the necessary actions as described in the Corrective Action Plan.

Categories

Subrecipient Monitoring Cash Management Reporting Significant Deficiency

Other Findings in this Audit

  • 9996 2023-002
    Significant Deficiency Repeat
  • 9997 2023-002
    Significant Deficiency Repeat
  • 9998 2023-002
    Significant Deficiency Repeat
  • 9999 2023-002
    Significant Deficiency Repeat
  • 10000 2023-002
    Significant Deficiency Repeat
  • 10001 2023-002
    Significant Deficiency Repeat
  • 10002 2023-002
    Significant Deficiency Repeat
  • 10003 2023-002
    Significant Deficiency Repeat
  • 10004 2023-002
    Significant Deficiency Repeat
  • 10005 2023-002
    Significant Deficiency Repeat
  • 10006 2023-002
    Significant Deficiency Repeat
  • 10007 2023-002
    Significant Deficiency Repeat
  • 10008 2023-002
    Significant Deficiency Repeat
  • 10009 2023-002
    Significant Deficiency Repeat
  • 10011 2023-002
    Significant Deficiency Repeat
  • 10012 2023-002
    Significant Deficiency Repeat
  • 10013 2023-002
    Significant Deficiency Repeat
  • 10014 2023-002
    Significant Deficiency Repeat
  • 10015 2023-002
    Significant Deficiency Repeat
  • 10016 2023-002
    Significant Deficiency Repeat
  • 10017 2023-002
    Significant Deficiency Repeat
  • 586438 2023-002
    Significant Deficiency Repeat
  • 586439 2023-002
    Significant Deficiency Repeat
  • 586440 2023-002
    Significant Deficiency Repeat
  • 586441 2023-002
    Significant Deficiency Repeat
  • 586442 2023-002
    Significant Deficiency Repeat
  • 586443 2023-002
    Significant Deficiency Repeat
  • 586444 2023-002
    Significant Deficiency Repeat
  • 586445 2023-002
    Significant Deficiency Repeat
  • 586446 2023-002
    Significant Deficiency Repeat
  • 586447 2023-002
    Significant Deficiency Repeat
  • 586448 2023-002
    Significant Deficiency Repeat
  • 586449 2023-002
    Significant Deficiency Repeat
  • 586450 2023-002
    Significant Deficiency Repeat
  • 586451 2023-002
    Significant Deficiency Repeat
  • 586452 2023-002
    Significant Deficiency Repeat
  • 586453 2023-002
    Significant Deficiency Repeat
  • 586454 2023-002
    Significant Deficiency Repeat
  • 586455 2023-002
    Significant Deficiency Repeat
  • 586456 2023-002
    Significant Deficiency Repeat
  • 586457 2023-002
    Significant Deficiency Repeat
  • 586458 2023-002
    Significant Deficiency Repeat
  • 586459 2023-002
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $25.46M
10.553 School Breakfast Program $8.36M
32.009 Emergency Connectivity Fund Program $7.29M
84.041 Impact Aid $4.85M
84.367 Improving Teacher Quality State Grants $2.31M
84.424 Student Support and Academic Enrichment Program $1.63M
12.000 Army Youth Programs in Your Neighborhood $1.13M
84.048 Career and Technical Education -- Basic Grants to States $1.06M
12.000 Rotc $535,577
10.559 Summer Food Service Program for Children $441,392
10.582 Fresh Fruit and Vegetable Program $396,960
84.027 Special Education_grants to States $388,405
84.365 English Language Acquisition State Grants $356,821
84.060 Indian Education_grants to Local Educational Agencies $278,524
84.173 Special Education_preschool Grants $182,136
84.184 Safe and Drug-Free Schools and Communities_national Programs $157,645
10.555 National School Lunch Program $139,844
84.196 Education for Homeless Children and Youth $68,978
12.556 Competitive Grants: Promoting K-12 Student Achievement at Military-Connected Schools $63,994
10.185 Local Food for Schools Cooperative Agreement Program $60,603
10.579 Child Nutrition Discretionary Grants Limited Availability $51,359
93.235 Affordable Care Act (aca) Abstinence Education Program $50,964
84.425 Education Stabilization Fund $27,367