Finding 1165051 (2025-002)

Material Weakness Repeat Finding
Requirement
B
Questioned Costs
-
Year
2025
Accepted
2025-12-16
Audit: 375169
Organization: Souris Valley Special Services (ND)
Auditor: BRADY MARTZ

AI Summary

  • Core Issue: Missing documentation for time and effort certification in October 2024 raises concerns about payroll costs charged to the grant.
  • Impacted Requirements: Compliance with the Uniform Guidance regarding the use of federal funds for special education services.
  • Recommended Follow-Up: Ensure proper documentation is maintained for time certifications to support allowable costs and prevent future issues.

Finding Text

Criteria According to the Uniform Guidance, "An LEA may only use federal funds under IDEA, Part B for the excess costs of providing special education and related services to children with disabilities." To ensure that employee payroll being charged to the grant is for time actually spent providing special education services, a key control surrounding payroll is the certification of time and effort towards the grant twice a year. Condition All certified employees certify their time and effort toward the grant twice a year. During our testing, we were unable to verify the time and effort certification done in October 2024. Cause Supporting documentation was not available for review during the audit. Effect An unallowable payroll cost could be charged to the grant. Questioned Costs None Recommendation We recommend that the District maintain proper supporting documentation of the certification of time and effort to ensure proper payment and support allowable costs. Views of Responsible Officials and Planned Corrective Actions The time certifications that were missed during the year under audit was an isolated incident. The time certifications have already been done this month for our current fiscal year and we will ensure that time certifications are properly filed so this does not happen again. Indication of Repeat Finding This is a new finding in the current year.

Corrective Action Plan

2025-002 Contact Person Kelsie Harris, Business Manager Corrective Action Plan The time certifications that were missed during the year under audit was an isolated incident. The time certifications have already been done this month for our current fiscal year and we will ensure that time certifications are properly filed so this does not happen again. Completion Date Souris Valley Special Services will implement immediately.

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 1165050 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.027 SPECIAL EDUCATION GRANTS TO STATES $1.76M
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $48,965