Finding 1176284 (2025-007)

Material Weakness Repeat Finding
Requirement
A
Questioned Costs
-
Year
2025
Accepted
2026-03-03

AI Summary

  • Core Issue: The District inaccurately reported expenses by claiming $10,169 for an obligation that was not paid by year-end.
  • Impacted Requirements: The District failed to follow guidelines for allowable costs by not recording unpaid expenses as outstanding obligations.
  • Recommended Follow-Up: Implement a review process involving a second employee to ensure only paid expenses are reported in future expenditure reports.

Finding Text

Criteria: Allowable Costs/Activites Allowed: The District is required to reprot allowable costs/activities allowed based on the grant , the grant budget and for the period of the grant. Condition: The District did not submit accurate expenditure reports by claiming an expense that was obligated at year end. The District claimed an expense that was not paid by year end. This expense should have been recorded as an outstanding obligation. Questioned Costs: $10,169 in 1000-400 the District claimed an expense for an open purchase order that was not paid by year end. Context: The District claimed an expense that was not paid during the current year. Effect: The District overstated the grants expense by $10,169. Cause: The District did not employ proper oversight to ensure that the quarterly expenditure reports claimed only expenses that were paid during the current year. Recommendation: We recommend that steps are taken, including oversight by a second employee, to ensure that expenditures reports are reviewed for allowable expenses and that all expenses claimed are for expenses paid during the year. Management response: The District will take the necessary steps to only claim allowance expenses on future expenditure reports.

Corrective Action Plan

Condition: The District claimed expenses on the June 30, 2025 expenditure report that were not paid untl after year end. Recommendation We recommend that steps are taken, including oversight by a second employee, to ensure that expenditure reports are reviewed for allowable expenses and that all expenses claimed are for expenses paid during the year. Managements Response: The District will take the necessary steps to only claim allowable expenses on future expenditure reports.

Categories

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

Other Findings in this Audit

  • 1176282 2025-006
    Material Weakness Repeat
  • 1176283 2025-006
    Material Weakness Repeat
  • 1176285 2025-008
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.374 TEACHER AND SCHOOL LEADER INCENTIVE GRANTS (FORMERLY THE TEACHER INCENTIVE FUND) $732,585
10.553 SCHOOL BREAKFAST PROGRAM $602,179
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $314,817
84.027 SPECIAL EDUCATION GRANTS TO STATES $312,446
16.710 PUBLIC SAFETY PARTNERSHIP AND COMMUNITY POLICING GRANTS $258,144
10.558 CHILD AND ADULT CARE FOOD PROGRAM $144,187
93.778 MEDICAL ASSISTANCE PROGRAM $137,973
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $136,776
10.582 FRESH FRUIT AND VEGETABLE PROGRAM $96,345
10.555 NATIONAL SCHOOL LUNCH PROGRAM $83,470
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $83,270
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $78,977
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $33,179
10.559 SUMMER FOOD SERVICE PROGRAM FOR CHILDREN $19,814
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $9,403
84.425 EDUCATION STABILIZATION FUND $853