Finding Text
2023-007 ALLOWABLE COSTS
Federal Agency: Department of Education
Federal Program or
Cluster: Education Stabilization Fund
Assistance Listing
Number: 84.425D, 84.425U
Federal Award
Numbers and Years:
Award Period 3/13/20-9/30/22: S425D200013
Award Period 3/13/20-9/30/23: S425D210013
Award Period 6/24/2022-9/30/24: S425U210013
Questioned Costs: $8,029
Condition: Out of a sample of sixty expenditures, two expenditures tested did not have
supporting documentation which was misplaced and could not be located. It was
not possible to determine the allowability of the expenditures without necessary
support and documentation.
Criteria: The School should retain documentation to support all expenditures included on
the Schedule of Expenditures of Federal Awards. The School is required to design,
implement and maintain a system of internal control relevant to the preparation and
fair presentation of financial statements that are free from material misstatement
whether due to fraud or error. All expenditures claimed under federal awards
should have supporting documentation as required by 2 CFR Section 200 Subpart
E.
Cause: The supporting documentation for the selected transactions was misplaced and
unable to be located.
Effect: The School may have used federal funds for unallowable costs which could result
in recapture by the federal agency.
Recommendation: The School should review best practice guidelines pertaining to document retention
and implement the necessary controls to ensure only allowable expenditures are
claimed under grants.
Identification of
repeat findings: This is not a repeat finding.