Finding Text
2024-004 U.S. Department of Education, Assistance Listing #84.425D, #84.425U, and #84.425W, Elementary and Secondary School Emergency Relief Funds for the year July 1, 2023, through June 30, 2024 Criteria: In accordance with 2 CFR 200.313, property records for equipment and real property purchased with Federal funds must be maintained that include a description of the property, a serial number or other identification number, the source funding for the property, who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the Federal award, the location, use, and condition of the property. Condition: The Facilities Department maintains a spreadsheet of capital assets purchased with Elementary and Secondary School Emergency Relief Funds (ESSER) for assets procured through the Facilities Department. The City Finance Department also maintains a capital asset listing for financial reporting purposes, however, assets funded by grant proceeds are not separately identified in the listing. Cause: There are no formal procedures for tracking Federally funded assets. Effect: Federally funded assets are not identified and tracked. If the City were to sell a Federally funded asset, they may be required to remit some of the proceeds back to the grantor agency. Therefore, if the asset was not properly identified and tracked the City could inadvertently profit from the Federal funding. Recommendation: It is our recommendation that procedures be established for the tracking of federally funded assets. Questioned Costs: None