Finding 1095936 (2023-009)

Significant Deficiency
Requirement
AB
Questioned Costs
$1
Year
2023
Accepted
2025-01-16

AI Summary

  • Core Issue: Employee contracts are not maintained, leading to uncertainty in pay allocation for federal awards.
  • Impacted Requirements: Compliance with Title 2 U.S. CFR 200.430(g)(1)(i) is compromised, as there’s no support for salary charges.
  • Recommended Follow-Up: Management should ensure all employee contracts are maintained to verify proper pay allocation.

Finding Text

Statement of condition: Contracts are not maintained for employees. Criteria: Title 2 U.S. Code of Federal Regulations (CFR) 200.430(g)(1)(i) requires that salaries and wages charged to federal awards must be supported by a system of internal controls that provides reasonable assurance that the charges are accurate, allowable, and properly allocated. The School’s control of reviewing and approving of time certifications and timesheets and providing evidence of this review and approval through signature of appropriate personnel meet this regulation, however, without a contract to support an employee’s pay, the allocation of pay to be charged to the program is unable to be determined. Cause of condition: Management has not kept or maintained a copy of an employee’s contract. Effect of condition: Due to management’s inability to provide a copy of an employee’s contract, we were unable to determine whether the employee’s pay was properly allocated to the program based on the employee’s completed time certification. Context: A sample of 40 employees paid with Education Stabilization funds were selected for testing. Management was unable to provide a copy of 1 employee’s contract. This resulted in $477 in questioned costs. Recommendation: To ensure the accuracy of salaries and wages that are allocated to federal award programs, management should maintain a copy of all employee contracts. Views of responsible officials and planned corrective actions: Management agrees with this finding and will ensue copies of all employee contracts are maintained. See 2023-004 for management’s detailed action plan, timeline, and the responsible parties for all Education Stabilization Fund findings.

Categories

Questioned Costs Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Other Findings in this Audit

  • 519483 2023-004
    Material Weakness
  • 519484 2023-005
    Significant Deficiency Repeat
  • 519485 2023-006
    Significant Deficiency
  • 519486 2023-007
    Significant Deficiency
  • 519487 2023-008
    Significant Deficiency
  • 519488 2023-009
    Significant Deficiency
  • 519489 2023-004
    Material Weakness
  • 519490 2023-005
    Significant Deficiency Repeat
  • 519491 2023-006
    Significant Deficiency
  • 519492 2023-007
    Significant Deficiency
  • 519493 2023-008
    Significant Deficiency
  • 519494 2023-009
    Significant Deficiency
  • 519495 2023-004
    Material Weakness
  • 519496 2023-005
    Significant Deficiency Repeat
  • 519497 2023-006
    Significant Deficiency
  • 519498 2023-007
    Significant Deficiency
  • 519499 2023-008
    Significant Deficiency
  • 519500 2023-009
    Significant Deficiency
  • 1095925 2023-004
    Material Weakness
  • 1095926 2023-005
    Significant Deficiency Repeat
  • 1095927 2023-006
    Significant Deficiency
  • 1095928 2023-007
    Significant Deficiency
  • 1095929 2023-008
    Significant Deficiency
  • 1095930 2023-009
    Significant Deficiency
  • 1095931 2023-004
    Material Weakness
  • 1095932 2023-005
    Significant Deficiency Repeat
  • 1095933 2023-006
    Significant Deficiency
  • 1095934 2023-007
    Significant Deficiency
  • 1095935 2023-008
    Significant Deficiency
  • 1095937 2023-004
    Material Weakness
  • 1095938 2023-005
    Significant Deficiency Repeat
  • 1095939 2023-006
    Significant Deficiency
  • 1095940 2023-007
    Significant Deficiency
  • 1095941 2023-008
    Significant Deficiency
  • 1095942 2023-009
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $2.03M
10.553 School Breakfast Program $456,462
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $114,561
10.555 National School Lunch Program $94,965
84.027 Special Education Grants to States $75,831
84.358 Rural Education $47,202
10.582 Fresh Fruit and Vegetable Program $43,234
84.173 Special Education Preschool Grants $10,621
84.425 Education Stabilization Fund $650
84.371 Comprehensive Literacy Development $51