Finding 1173658 (2025-001)

Material Weakness Repeat Finding
Requirement
ABF
Questioned Costs
-
Year
2025
Accepted
2026-02-16

AI Summary

  • Answer: There is a significant issue with internal controls due to inadequate segregation of duties.
  • Trend: This weakness impacts compliance requirements across multiple categories.
  • List: Follow up by reviewing and improving duty segregation to strengthen internal controls.

Finding Text

A material weakness in internal controls was noted due to a lack of proper segregation of duties which affect compliance requirement categories.

Corrective Action Plan

Betsy Rohde, CEO/Business Manager for the Colome School District, is the contact person responsible for the corrective action plan for this finding. This finding is due to the limited number of staff employed in the district's business office. The size of the school district and the monetary resources available prevent the hiring of additional staffing to the business office at the proper levels for internal controls. Planned Corrective Action Plan: The Colome School District has an internal controls policy to identify areas of risk and implements that policy to reduce the risk of any mistakes and inappropriate or illegal activity within the school district. The school board takes an active role in monitoring financials, including reviewing the bank statements, claims, and financial sofware reports each month. They may request any supporting documentation that is not already provided at school board meetings by meeting one on one with the CEO/Business Manager. The principal was added to email alerts of all bank transfers including payroll and ACH payments. This ensures an additional staff member is notified when the CEO/Business Manager makes financial transactions within the school district's bank accounts. The school board will review the policy to identify any areas that still leave a significant risk to ensure all financial activities are monitored by more than one individual. This is an ongoing process.

Categories

Internal Control / Segregation of Duties Material Weakness

Other Findings in this Audit

  • 1173657 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 EDUCATION STABILIZATION FUND $622,029
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $315,939
84.027 SPECIAL EDUCATION GRANTS TO STATES $131,266
10.555 NATIONAL SCHOOL LUNCH PROGRAM $100,148
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $49,033
84.041 IMPACT AID $46,118
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $38,739
10.553 SCHOOL BREAKFAST PROGRAM $15,684
10.582 FRESH FRUIT AND VEGETABLE PROGRAM $10,043
84.358 RURAL EDUCATION $5,837
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $4,310
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $563