Finding 1169170 (2025-003)

Material Weakness Repeat Finding
Requirement
AB
Questioned Costs
-
Year
2025
Accepted
2026-01-15

AI Summary

  • Core Issue: The District failed to follow its own internal control policies by not having purchase orders for three vendor disbursements under the Child Nutrition Cluster.
  • Impacted Requirements: This oversight could lead to unapproved expenditures being charged to federal grants, risking compliance with program regulations.
  • Recommended Follow-Up: The District should enhance oversight and ensure adherence to internal control procedures consistently.

Finding Text

Criteria - The District is responsible for the design and implementation of internal controls over federal programs in order to prevent or detect and correct misstatements in the financial statement as well as ensure program compliance. Condition - Three vendor disbursements made under the Child Nutrition Cluster did not have the required purchase orders as required by the District's established internal control policies. Questioned Costs - None Context - Exceptions were noted in three of the forty items tested. Effect - Unallowable/unapproved expenditures could be charged to the grant. Cause - Lack of oversight over the program. Recommendation - The District should take steps to ensure its internal control procedures are being followed at all times. Management's response - Management agrees with the finding.

Corrective Action Plan

Finding Synopsis - Three vendor disbursements made under the Child Nutrition Cluster did not have the required purchase orders as required by the District's established internal control policies. Action Steps - The District will communicate with staff the importance of preparing purchase orders prior to making a purchase. We will establish a procedure in which the purchaser must review required documentation, inclusive of purchase orders, prior to making a purchase. Contact Person - Kevin Spain, Superintendent Anticipated Completion Date - December 31, 2025

Categories

Internal Control / Segregation of Duties Procurement, Suspension & Debarment Allowable Costs / Cost Principles School Nutrition Programs

Other Findings in this Audit

  • 1169163 2025-003
    Material Weakness Repeat
  • 1169164 2025-003
    Material Weakness Repeat
  • 1169165 2025-003
    Material Weakness Repeat
  • 1169166 2025-003
    Material Weakness Repeat
  • 1169167 2025-003
    Material Weakness Repeat
  • 1169168 2025-003
    Material Weakness Repeat
  • 1169169 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.027 SPECIAL EDUCATION GRANTS TO STATES $26,379
93.778 MEDICAL ASSISTANCE PROGRAM $19,724
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $19,036
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $14,455
84.358 RURAL EDUCATION $10,388
10.553 SCHOOL BREAKFAST PROGRAM $10,380
10.555 NATIONAL SCHOOL LUNCH PROGRAM $7,183
84.425 EDUCATION STABILIZATION FUND $4,907
10.555 NATIONAL SCHOOL LUNCH PROGRAM COMMODITIES (NON-CASH) $4,764
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $4,280
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $3,884
10.582 FRESH FRUIT AND VEGETABLE PROGRAM $1,903