Finding 1100604 (2024-007)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-02-21

AI Summary

  • Core Issue: There are discrepancies between the general ledger and the quarterly expenditure reports, indicating inconsistent recording of expenditures.
  • Impacted Requirements: Expenditures totaling $313,090 were misclassified across various accounts, violating the requirement for matching accounts.
  • Recommended Follow-Up: Implement a verification process with oversight to ensure accurate reconciliation of the general ledger and expenditure reports before submission.

Finding Text

Criteria: Reporting. The accounts used to record expenditures on the quarterly expenditure reports should match the general ledger accounts where the expenditures are recorded. Condition: It was noted that there was an inconsistency when comparing the general ledger to what was reported on the expenditure reports. Questioned Costs: There are no questioned costs. Context: The accounts used to record expenditures on the quarterly expenditure reports should match the general ledger accounts where the expenditures are recorded. $78,796 of ESSER II purchased services (2540-300) were recorded in a capital outlay account. $42,050 of ESSER III purchased services (2540-300) were recorded in non-grant supplies accounts. $84,475 of ESSER III supplies (2540-400) were recorded in non-grant purchased services accounts. $108,769 of ESSER III items reported as 2540-500 items should be reported as purchased services. Effect: The expenditures were not recorded/reported consistently between the financial records and the ISBE expenditure reports. Cause: A journal entry was meant to be made to move items into the correct accounts, but it was not made. A coding error was made when entering the expenditures into the general ledger. Recommendation: We recommend that steps are taken, including oversight by a second employee, to reconcile the general ledger to the expenditure reports, and the expenditure reports against the budget items before submitting. Management's Response: The District will add a verification process to reconcile the general ledger to the budget and expenditure reports before submitting.

Categories

Procurement, Suspension & Debarment Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 524160 2024-004
    Significant Deficiency
  • 524161 2024-006
    Significant Deficiency
  • 524162 2024-007
    Significant Deficiency
  • 524163 2024-005
    Significant Deficiency Repeat
  • 524164 2024-007
    Significant Deficiency
  • 524165 2024-005
    Significant Deficiency Repeat
  • 524166 2024-005
    Significant Deficiency Repeat
  • 524167 2024-005
    Significant Deficiency Repeat
  • 524168 2024-005
    Significant Deficiency Repeat
  • 1100602 2024-004
    Significant Deficiency
  • 1100603 2024-006
    Significant Deficiency
  • 1100605 2024-005
    Significant Deficiency Repeat
  • 1100606 2024-007
    Significant Deficiency
  • 1100607 2024-005
    Significant Deficiency Repeat
  • 1100608 2024-005
    Significant Deficiency Repeat
  • 1100609 2024-005
    Significant Deficiency Repeat
  • 1100610 2024-005
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $647,099
84.027 Special Education Grants to States $254,447
10.553 School Breakfast Program $92,143
84.424 Student Support and Academic Enrichment Program $66,128
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $64,532
84.287 Twenty-First Century Community Learning Centers $43,871
84.173 Special Education Preschool Grants $29,175
84.425 Education Stabilization Fund $17,776
84.048 Career and Technical Education -- Basic Grants to States $17,526
10.559 Summer Food Service Program for Children $9,655
93.778 Medical Assistance Program $5,852
84.196 Education for Homeless Children and Youth $3,355
10.555 National School Lunch Program $680
10.649 Pandemic Ebt Administrative Costs $653