Finding Text
Finding Type. Immaterial noncompliance; Significant deficiency in internal control over compliance (Activites allowed or unallowed and cost principles).
Federal Programs. Child Nutrition Cluster; U.S. Department of Agriculture; ALN 10.553 and 10.555.
Criteria. A single individual should not record the transaction in the accounting records without independent review from another employee.
Condition. Throughout the year journal entries were posted without independent approval.
Cause. This condition was the result of a lack of internal controls in place to ensure that each journal entry is independently approved before entered into the system.
Effect. As a result of this condition, the District is exposed to an increased risk that misstatements or misappropriations might occur and not be detected by management in a timely manner.
Questioned Costs. No costs have been questioned as a result of this finding.
Recommendation. We recommend that the District's journal entries be independently reviewed, signed and dated, as evidence of this control.
View of Responsible Officials. We concur with the audit assessment regarding this matter.