Finding 1169608 (2024-010)

Material Weakness Repeat Finding
Requirement
F
Questioned Costs
-
Year
2024
Accepted
2026-01-19
Audit: 382583
Organization: Guam Department of Education (GU)

AI Summary

  • Core Issue: A discrepancy was found in the property records for one asset, leading to a questioned cost of $1,842.
  • Impacted Requirements: Noncompliance with 2 CFR 200.313 regarding proper management and documentation of equipment.
  • Recommended Follow-Up: Ensure responsible personnel accurately record asset information in property records to prevent future discrepancies.

Finding Text

Finding No.: 2024-010 Federal Agency: U.S. Department of Education AL Program: 84.425 Education Stabilization Fund ED Subprogram: 84.425X American Rescue Plan – Outlying Areas State Educational Agency (ARP-OA-SEA) Federal Award No.: S425X210003 Area: Equipment and Real Property Management Questioned Costs: $1,842 Criteria: FY2024 U.S. Department of Education Special Conditions, paragraph (5) states that “GDOE must ensure that all tangible personal property procured under Department grants is managed in accordance with the requirements of 2 CFR 200.313(a) and (c)-(e ) to ensure that such property is properly inventoried, maintained, and stored to prevent loss, damage, or theft of such property”. 2 CFR 200.313(d) states that regardless of whether equipment is acquired in part or its entirety under the Federal award, the recipient must manage equipment (including replacement equipment) utilizing procedures that meet the requirement of having property records that include a description of the property, a serial number or another identification number, the source of funding for the property (including the FAIN), the title holder, the acquisition date, the cost of the property, the percentage of the Federal agency contribution towards the original purchase, the location, use and condition of the property, and any disposition data including the date of disposal and sale price of the property. Condition: For one (or 3%) of forty items, aggregating $84,774 of $5,480,631 in total cost of assets subjected to equipment acquisition test, cost of asset was incorrectly recorded in the property records. Asset # Description Cost per Property Record Cost per Invoice Variance Questioned Cost 99813 APPLE A2696 10.9" IPAD $1,842 $533 $1,309 $1,842 Finding No.: 2024-010, continued Federal Agency: U.S. Department of Education AL Program: 84.425 Education Stabilization Fund ED Subprogram: 84.425X American Rescue Plan – Outlying Areas State Educational Agency (ARP-OA-SEA) Federal Award No.: S425X210003 Area: Equipment and Real Property Management Questioned Costs: $1,842 Cause: Responsible personnel did not properly record the cost of the asset in the property records. Effect: GDOE is in noncompliance with applicable equipment and real property management requirements. Questioned cost is calculated as the value of the asset that was accumulated in the equipment listing and recorded as expenditure in the current fiscal year. Recommendation: Responsible personnel should ensure that asset information are accurately captured in the property records.

Corrective Action Plan

Views of Auditee and Corrective Actions: GDOE agrees with the finding. The audit identified one asset for which the acquisition cost recorded in the property records did not match the vendor invoice amount. The discrepancy was attributed to a data entry error during the initial recording of the asset. Plan of action and completion date: The asset record has been corrected in Munis, the asset system of record, to accurately reflect the correct acquisition cost based on the vendor invoice and supporting documentation. Plan to monitor and responsible officials: The GDOE Property Management Office will continue to conduct periodic internal reviews of newly recorded assets to ensure that acquisition costs entered into Munis align with vendor invoices and receiving documentation prior to final posting. Any discrepancies identified will be promptly corrected and documented as part of routine compliance monitoring. The Inventory Management Officer, Maribeth Benavente, and Property Control Officers will be responsible for ensuring accurate asset records are maintained. Corrective action for this finding was completed as of December 28, 2025.

Categories

Equipment & Real Property Management

Other Findings in this Audit

  • 1169595 2024-003
    Material Weakness Repeat
  • 1169596 2024-003
    Material Weakness Repeat
  • 1169597 2024-004
    Material Weakness Repeat
  • 1169598 2024-004
    Material Weakness Repeat
  • 1169599 2024-005
    Material Weakness Repeat
  • 1169600 2024-005
    Material Weakness Repeat
  • 1169601 2024-006
    Material Weakness Repeat
  • 1169602 2024-006
    Material Weakness Repeat
  • 1169603 2024-007
    Material Weakness Repeat
  • 1169604 2024-007
    Material Weakness Repeat
  • 1169605 2024-008
    Material Weakness Repeat
  • 1169606 2024-009
    Material Weakness Repeat
  • 1169607 2024-010
    Material Weakness Repeat
  • 1169609 2024-011
    Material Weakness Repeat
  • 1169610 2024-011
    Material Weakness Repeat
  • 1169611 2024-012
    Material Weakness Repeat
  • 1169612 2024-012
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 EDUCATION STABILIZATION FUND $105.41M
84.403 CONSOLIDATED GRANT TO THE OUTLYING AREAS $30.00M
84.181 SPECIAL EDUCATION-GRANTS FOR INFANTS AND FAMILIES $1.66M
10.558 CHILD AND ADULT CARE FOOD PROGRAM $648,102
84.027 SPECIAL EDUCATION GRANTS TO STATES $561,018
10.560 STATE ADMINISTRATIVE EXPENSES FOR CHILD NUTRITION $383,408
93.600 HEAD START $356,080
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $331,968
93.092 AFFORDABLE CARE ACT (ACA) PERSONAL RESPONSIBILITY EDUCATION PROGRAM $232,589
12.U01 ARMY JROTC $220,601
12.U02 AIR FORCE JROTC $190,116
84.371 COMPREHENSIVE LITERACY DEVELOPMENT $173,631
84.372 STATEWIDE LONGITUDINAL DATA SYSTEMS $167,485
84.323 SPECIAL EDUCATION - STATE PERSONNEL DEVELOPMENT $157,292
10.541 CHILD NUTRITION-TECHNOLOGY INNOVATION GRANT $148,409
10.555 NATIONAL SCHOOL LUNCH PROGRAM $125,219
10.579 CHILD NUTRITION DISCRETIONARY GRANTS LIMITED AVAILABILITY $79,076
12.U03 MARINE JROTC $42,462
10.574 TEAM NUTRITION GRANTS $26,237
15.875 ECONOMIC, SOCIAL, AND POLITICAL DEVELOPMENT OF THE TERRITORIES $19,840
10.645 FARM TO SCHOOL STATE FORMULA GRANT $14,242
10.568 EMERGENCY FOOD ASSISTANCE PROGRAM (ADMINISTRATIVE COSTS) $3,986