Finding Text
2023-001 - Allowable Costs/Cost Principles
Federal Program Information:
Department of Education:
Passed through the State of Maine Department of Education
ALN - 84.425 - Education Stabilization Fund
Criteria: The following CFR(s) apply to this finding: 2 CFR 200.430(i)(1)
Condition: During audit procedures, it was identified that the School Department did not
have documented payrates on file for some employees.
Cause: The School Department does not require payrate documentation for all
employees.
Effect: Employees may not be paid the correct amount. This could result in unallowable
expenses being charged and subsequently improperly reimbursed by federal funds.
Identification of Questioned Costs: None identified.
Context: Out of a sample of 11 employees, it was determined that 3 employees did not
have documented payrates on file. This is a statistically valid sample.
Repeat Finding: This is a repeat finding of 2022-001.
Recommendation: It is recommended that the School Department implement internal
control processes and procedures to ensure that payroll files are complete and all
employees have documented payrates.
Views of Responsible Officials and Corrective Action Plan: Client agrees with finding,
and the unabridged version of their response can be found in the Corrective Action
Plan. Please see the Corrective Action Plan issued by the School Department.