Finding Text
SIGNIFICANT DEFICIENCY IN INTERNAL CONTROL OVER COMPLIANCE – PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION - TITLE i GRANTS TO LOCAL EDUCATION AGENCIES FUNDS (FEDERAL ALN 84.010)
2024-005 Internal Control Over Compliance With Federal Reimbursement Submission Deadline Requirements
Criteria – 2 CFR § 200.328 requires the Academy to establish and maintain effective internal control over compliance with requirements applicable to federal program reporting, including reimbursement submission requirements applicable to Title I grants.
Condition – During our audit, we noted the Academy did not have sufficient controls in place within its Title I federal program to ensure compliance with federal reporting requirements.
Questioned Costs – Not applicable.
Context – During our testing, we noted for one request for reimbursement, the Academy did not submit the requrest to the MDE by the required deadline. This was not a statistically valid sample.
Repeat Finding – This is a current year finding.
Cause – This was an oversight by academy personnel.
Effect – Noncompliance with reimbursement submission deadline requirements may lead to the Academy not receiving reimbursement in a timely manner or at all.
Recommendation – We recommend that the Academy review its internal control procedures relating to reimbursement submission for the Title I program. Internal controls over compliance for this area should include documentation of submission policies and the Uniform Guidance requirements related to submission deadlines. These controls should also include steps to ensure any expenditure with which the Academy expects reimbursement to be submitted in a timely manner.
View of Responsible Official and Planned Corrective Actions – The Academy agrees with the finding. The Academy will review and update its policies and procedures relating to reimbursement submission for its federal programs to ensure compliance with the Uniform Guidance in the future. The Academy has separately issued a Corrective Action Plan related to this finding.