FAC Explorer

Finding 1061054 (2023-002)

Material Weakness Repeat Finding
Requirement
ABFL
Questioned Costs
-
Year
2023
Accepted
2024-08-20
Audit: 317501
Organization: Edgewood-Colesburg Community School District (IA)
Auditor: Nolte Cornman & Johnson PC

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 essential for effective internal controls.
  • Recommended Follow-Up: Review and reassign responsibilities to ensure no single employee handles incompatible duties.

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, receipts, disbursements, capital assets, wire transfers, journal entries, payroll and school lunch program. See finding 2023-001.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

  • 484611 2023-002
    Material Weakness Repeat
  • 484612 2023-002
    Material Weakness Repeat
  • 1061053 2023-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $804,437
10.555 National School Lunch Program $193,340
84.010 Title I Grants to Local Educational Agencies $110,361
32.009 Emergency Connectivity Fund Program $38,535
84.358 Rural Education $37,665
84.367 Improving Teacher Quality State Grants $22,973
84.027 Special Education_grants to States $19,748
10.553 School Breakfast Program $18,749
84.424 Student Support and Academic Enrichment Program $10,000
84.048 Career and Technical Education -- Basic Grants to States $8,795
10.185 Local Food for Schools Cooperative Agreement Program $3,986