Finding 1164844 (2025-004)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2025
Accepted
2025-12-15

AI Summary

  • Core Issue: The District failed to provide a complete schedule of federal and state expenditures, lacking proper fund allocation by CFDA number and funding source.
  • Impacted Requirements: This violates Uniform Guidance, section 300, which mandates accurate identification and reporting of federal awards and expenditures.
  • Recommended Follow-Up: Assign a qualified individual to prepare the necessary schedules to ensure compliance and accurate reporting.

Finding Text

2025-004 Preparation of Schedule of Expenditures of Federal Awards and State Financial Assistance Condition: As is the case with many school districts, the District administers a vast array of federal and state grants. The District was unable to provide us with a schedule of federal and state expenditures with the appropriate allocation of funds by CFDA number and funding source. Criteria: Uniform Guidance, section 300, requires that the District “identify, in its accounts, all federal awards received and expended and the federal programs under which they were received. Federal program and award identification shall include, as applicable, the CFDA title and number, award number and year, name of the federal agency, and name of the pass-through entity. In addition, the District is required to “prepare appropriate financial statements, including the schedule of expenditures of federal awards in accordance with section 310.” A similar requirement exists for state programs. Effect: Because the auditors do not have the in-depth knowledge of the District’s general ledger detail, it is possible that a grant award could be missed or reported in error. Cause: The District did not have the resources to devote to preparing the schedules. Recommendation: We recommend that the District assign an individual internally that is qualified to prepare these schedules. Response: The District agrees with this finding and will work to alleviate this issue. District staff reviewed and took responsibility for the schedules.

Corrective Action Plan

2025-004 Preparation of Schedule of Expenditures of Federal Awards and State Financial Assistance; District management believes that the cost of employing internal resources to draft the Schedule of Expenditures of Federal Awards and State Financial Assistanace Statement and related notes would outweigh the benefits to be received. Furthermore, District management will continue to employ personnel who have the capability to review, approve and accept responsibility for the Schedule of Expenditures of Federal Awards and State Financial Assistance Statement.

Categories

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting

Other Findings in this Audit

  • 1164841 2025-001
    Material Weakness Repeat
  • 1164842 2025-002
    Material Weakness Repeat
  • 1164843 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $176,794
84.027 SPECIAL EDUCATION GRANTS TO STATES $168,579
10.555 NATIONAL SCHOOL LUNCH PROGRAM $165,415
93.778 MEDICAL ASSISTANCE PROGRAM $163,871
10.553 SCHOOL BREAKFAST PROGRAM $56,115
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $21,195
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $11,372
10.559 SUMMER FOOD SERVICE PROGRAM FOR CHILDREN $10,547
10.579 CHILD NUTRITION DISCRETIONARY GRANTS LIMITED AVAILABILITY $8,113
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $6,887
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $6,298