Finding 1024095 (2022-001)

Significant Deficiency
Requirement
AN
Questioned Costs
-
Year
2022
Accepted
2022-11-16
Audit: 313202
Auditor: Axley & Rode LLP

AI Summary

  • Core Issue: Limited personnel prevents proper segregation of accounting duties, increasing the risk of errors and fraud.
  • Impacted Requirements: Segregation of recording, authorizing, and custody functions is not being met.
  • Recommended Follow-Up: Board and management should monitor internal controls and implement compensating controls to safeguard assets and ensure timely transaction recording.

Finding Text

Segregation of dutiesCondition - Due to the limited number of personnel, a segregation of certain accounting functions was not possible.Criteria - Proper segregation of duties should ensure segregation of the recording, authorizing, and custody functions.Effect - Improper segregation might not have allowed management, in performing their assigned functions, to provent,or detect and correct misstatements on a timely basis.Cause - The District has limited resources and personnel within the business office.Recommendation - We recommend that the Board and management continue to monitor the internal control proceduresin use to assume that compensating controls are utilized to provide assurance that assets are safeguarded andtransactions are proper and recorded in a timely manner. These actions will mitigate, but not eliminate the risk ofmisstatements or misappropriations.Contact - SuperintendentTimeframe - Continuing

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

  • 447653 2022-001
    Significant Deficiency
  • 447654 2022-001
    Significant Deficiency
  • 1024096 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $250,108
84.010 Title I Grants to Local Educational Agencies $167,348
10.555 National School Lunch Program $97,689
10.666 Schools and Roads - Grants to Counties $45,158
10.553 School Breakfast Program $39,927
84.424 Student Support and Academic Enrichment Program $18,030
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $16,788
84.367 Improving Teacher Quality State Grants $16,368
10.565 Commodity Supplemental Food Program $16,254