FAC Explorer

Finding 1054314 (2022-002)

Material Weakness Repeat Finding
Requirement
ABFL
Questioned Costs
-
Year
2022
Accepted
2024-07-08
Audit: 314508
Organization: South Central Calhoun Community School District (IA)
Auditor: Nolte Cornman & Johnson

AI Summary

  • Core Issue: One employee has too much control over multiple financial areas, increasing the risk of errors or fraud.
  • Impacted Requirements: This violates the principle of segregation of duties, which is crucial for effective internal controls.
  • Recommended Follow-Up: Reassign responsibilities to ensure no single employee manages incompatible duties across cash, disbursements, and other key areas.

Finding Text

One important aspect of the internal control structure is the segregation of duties among employees to prevent an individual employee from handling duties which are incompatible. We noted one individual has control over portions of one or more of the following areas for the District relating to major federal programs; cash, disbursements, inventories, payroll, receipts, financial reporting, school nutrition program and journal entries. See finding 2022-001.

Categories

Internal Control / Segregation of Duties Reporting

Other Findings in this Audit

  • 477870 2022-002
    Material Weakness Repeat
  • 477871 2022-002
    Material Weakness Repeat
  • 477872 2022-002
    Material Weakness Repeat
  • 1054312 2022-002
    Material Weakness Repeat
  • 1054313 2022-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $817,218
10.555 National School Lunch Program $542,805
84.010 Title I Grants to Local Educational Agencies $161,349
10.553 School Breakfast Program $138,646
84.367 Improving Teacher Quality State Grants $33,280
93.600 Head Start $23,450
84.424 Student Support and Academic Enrichment Program $10,108
84.027 Special Education_grants to States $6,779
10.559 Summer Food Service Program for Children $614
84.048 Career and Technical Education -- Basic Grants to States $414