Finding Text
ALN 84.425 Elementary and Secondary School Emergency Fund Program United States Department of Education
Passed through State of Louisiana Department of Education 2022 Funding
Criteria: In accordance with 2 CFR Part 200.303(a), the School must establish, document, and maintain effective internal control over Federal awards that provide reasonable assurance that the recipient of subrecipient is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. In addition, 2 CFR 200.508(d) requires that the auditee ‘provide the auditor access to personnel, accounts, books, records, supporting documentation, and any other information needed for the auditor to perform the audit required by this part.’
Condition: The School did not maintain documentation for amounts submitted for reimbursement through the program. As a result, we were unable to obtain sufficient, appropriate audit evidence to support $111,006, or
approximately 25%, of the total expenditures reimbursed under the Education Stabilization Fund during the year ended June 30, 2022. Thus, we were unable to form a conclusion on the School’s compliance with
direct and material requirements for a material portion of Federal award expenditures.
Cause: The change in key finance department personnel caused misplacement of some of the documentation supporting the program expenditures.
Effect: Amounts could be reimbursed that are not properly supported and the federal agency could request repayment of the unsupported
reimbursement amounts.
Questioned Costs: None
Recommendation: We recommend that the School revise and implement controls to ensure consistent maintenance of all supporting documentation even if there are
changes in personnel.
Management Response: See corrective action plan on page 33.