FAC Explorer

Finding 1092502 (2023-002)

Material Weakness
Requirement
ABL
Questioned Costs
-
Year
2023
Accepted
2024-12-19
Audit: 333830
Organization: Red Oak Community School District (IA)
Auditor: Nolte Cornman & Johnson PC

AI Summary

  • Core Issue: One employee has too much control over key financial areas, risking incompatible duties.
  • Impacted Requirements: This affects compliance with internal control standards for major federal programs.
  • Recommended Follow-Up: Implement segregation of duties to enhance oversight and reduce risk.

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, investments, receipting, disbursements, capital assets, wire transfers, financial reporting and journal entries. See finding 2023-001.

Categories

Internal Control / Segregation of Duties Reporting

Other Findings in this Audit

  • 516060 2023-002
    Material Weakness
  • 516061 2023-002
    Material Weakness Repeat
  • 1092503 2023-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $723,359
10.555 National School Lunch Program $456,046
84.010 Title I Grants to Local Educational Agencies $371,819
10.553 School Breakfast Program $89,104
84.027 Special Education_grants to States $52,935
84.367 Improving Teacher Quality State Grants $45,122
10.582 Fresh Fruit and Vegetable Program $34,652
84.424 Student Support and Academic Enrichment Program $24,492
10.559 Summer Food Service Program for Children $17,650
84.358 Rural Education $966
10.185 Local Food for Schools Cooperative Agreement Program $348