Finding Text
Statement of Condition
During our testing, we noted that VSS internal controls were not sufficient or were not operating as designed to meet the federal requirements. VSS’s capital asset records were incomplete and had not been reconciled with the physical inventory conducted by each department. Additionally, the auditor proposed material adjustments to record capital assets that had been improperly expensed. Also, VSS does not have an annual certified inventory list, signed by the management.
Context
The issues below were noted for both programs tested:
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During our testwork we noted no physical inventory was taken during the fiscal year ended June 30, 2023.
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The fixed asset listing does not contain the required information to properly identify purchases with federal funds.
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VSS does not currently tag all assets purchased with federal monies.
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VSS does not have controls in place to track purchases with federal funds on a spreadsheet or something similar.