FAC Explorer

Finding 1080725 (2023-002)

Material Weakness Repeat Finding
Requirement
ABFL
Questioned Costs
-
Year
2023
Accepted
2024-10-31
Audit: 326815
Organization: Osage Community School District (IA)
Auditor: Nolte Cornman & Johnson

AI Summary

  • Core Issue: One employee has too much control over multiple financial areas, which increases the risk of errors or fraud.
  • Impacted Requirements: This violates the principle of segregation of duties, essential for effective internal controls.
  • Recommended Follow-Up: Review and redistribute responsibilities to ensure no single employee manages 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, payroll, inventories, computer systems and journal entries. See finding 2023-001.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

  • 504280 2023-002
    Material Weakness Repeat
  • 504281 2023-002
    Material Weakness Repeat
  • 504282 2023-002
    Material Weakness Repeat
  • 504283 2023-002
    Material Weakness Repeat
  • 1080722 2023-002
    Material Weakness Repeat
  • 1080723 2023-002
    Material Weakness Repeat
  • 1080724 2023-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $386,335
84.010 Title I Grants to Local Educational Agencies $137,594
84.425 Education Stabilization Fund $64,344
84.027 Special Education Grants to States $41,785
10.553 School Breakfast Program $41,555
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $33,350
84.048 Career and Technical Education -- Basic Grants to States $16,211
84.424 Student Support and Academic Enrichment Program $10,000
10.185 Local Food for Schools Cooperative Agreement Program $7,835