Finding 1080233 (2024-002)

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Requirement
AB
Questioned Costs
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Year
2024
Accepted
2024-10-28

AI Summary

  • Core Issue: The District did not spend the required amount under Section 611 for special education services, falling short by approximately $17,940 for the 2022-2023 grant.
  • Impacted Requirements: Compliance with U.S. Department of Education regulations regarding the proportionate share for children with disabilities in private schools has not been met.
  • Recommended Follow-Up: The District should allocate resources to resolve this issue and collaborate with relevant agencies to create a corrective action plan.

Finding Text

2024-002 U.S. Department of Education Program Title: Special Education Cluster Federal Assistance Listing Number(s): 84.027 Federal Award Number: 230450-2223 Federal Award Period: July 1, 2022 to September 30, 2024 Pass-Through Entity: Michigan Department of Education Type of Compliance: Immaterial Noncompliance Criteria: The District is required to provide, to the extent consistent with the number and location of children with disabilities who are enrolled by their parents in private, including religious, elementary schools, and secondary schools, located in the school district served by the District, for the participation of those children with special education and related services. To meet this requirement, the District must spend funds received under sections 611 and 619 consistent with the formula in 34 CFR 300.133. Condition: As of June 30, 2024, the District had not expended the amount required under Section 611. Cause: This condition was caused by the District’s proportionate share calculation being impacted by a virtual school the District receives funding for and then passes on to the virtual school. Because the total dollars received increases, the total proportionate share has increased dramatically over the past several years. Effect: As a result of this condition, the District has not complied with the U.S. Department of Education’s requirement related to proportionate share. Perspective Information: The District was approximately $17,940 short of meeting the spending requirement for the 2022-2023 grant. The District has received funds for the 2023-2024 grant that have been allocated towards proportionate share, but have not been spent. Recommendations: We recommend that the District continue to devote time and resources towards addressing this issue. We also recommend that the District continue working the appropriate agencies to develop a plan to correct the issue. Views of Responsible Officials: The District has been working with the appropriate agencies to work towards a resolution. The District has been monitoring the calculations and status of this issue very closely and will continue to do so until it has been resolved to the best of the District’s ability.

Categories

Subrecipient Monitoring

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.048 Career and Technical Education -- Basic Grants to States $722,096
93.778 Medical Assistance Program $123,205
93.434 Every Student Succeeds Act/preschool Development Grants $43,199
84.010 Title I Grants to Local Educational Agencies $38,717
84.358 Rural Education $33,623
84.181 Special Education-Grants for Infants and Families $18,847
84.027 Special Education_grants to States $2,719
84.173 Special Education_preschool Grants $2,188
21.027 Coronavirus State and Local Fiscal Recovery Funds $0