FAC Explorer

Finding 1182204 (2025-002)

Material Weakness Repeat Finding
Requirement
ABHIL
Questioned Costs
-
Year
2025
Accepted
2026-03-24
Audit: 393582
Organization: East Marshall Community School District (IA)
Auditor: NOLTE CORNMAN & JOHNSON PC

AI Summary

  • Answer: There is a lack of proper segregation of duties, allowing one employee to control multiple incompatible functions.
  • Trend: This issue could lead to increased risk of errors or fraud in managing major federal programs.
  • List: Review and adjust employee responsibilities to ensure duties are appropriately separated, particularly in cash, capital assets, receipts, inventories, journal entries, and payroll.

Finding Text

One important aspect of the internal control structure is the segregation of duties among employees to prevent an individual employee from handling duties which are incompatible. We noted one individual has control over portions of one or more of the following areas for the District relating to major federal programs; cash, capital assets, receipts, inventories, journal entries and payroll. See finding 2025-001.

Corrective Action Plan

The district acknowledges this finding. East Marshall operates with a small administrative and financial staff but we will continue to have segregation of duties as a priority.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1182202 2025-002
    Material Weakness Repeat
  • 1182203 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.555 NATIONAL SCHOOL LUNCH PROGRAM $216,824
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $150,000
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $84,512
81.041 STATE ENERGY PROGRAM $44,280
10.553 SCHOOL BREAKFAST PROGRAM $35,788
84.027 SPECIAL EDUCATION GRANTS TO STATES $23,983
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $16,273
84.425 EDUCATION STABILIZATION FUND $13,111
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $8,800
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $4,093