FAC Explorer

Finding 1182259 (2025-002)

Material Weakness Repeat Finding
Requirement
ABL
Questioned Costs
-
Year
2025
Accepted
2026-03-24
Audit: 393638
Organization: Chariton Community School District (IA)
Auditor: NOLTE CORNMAN & JOHNSON PC

AI Summary

  • Core Issue: One employee has too much control over critical financial areas, risking incompatible duties.
  • Impacted Requirements: This situation violates the principle of segregation of duties, essential for internal controls.
  • Recommended Follow-Up: Review and redistribute responsibilities to ensure no single employee manages conflicting tasks.

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, disbursements, journal entries and financial reporting. See finding 2025-001.

Corrective Action Plan

The District Office is going through roles and responsibilities to potentially be able to move jobs duties around. This includes having someone else pick up and sort mail, having our AP enter cash receipts and the Business Manager to review and post. We have a limited number of staff in the office, we are actively working to build better internal controls.

Categories

Internal Control / Segregation of Duties Reporting

Other Findings in this Audit

  • 1182258 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 EDUCATION STABILIZATION FUND $920,529
10.555 NATIONAL SCHOOL LUNCH PROGRAM $477,088
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $449,056
97.067 HOMELAND SECURITY GRANT PROGRAM $140,769
10.553 SCHOOL BREAKFAST PROGRAM $136,769
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $62,087
84.027 SPECIAL EDUCATION GRANTS TO STATES $61,586
84.358 RURAL EDUCATION $45,510
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $30,993
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $17,687
10.559 SUMMER FOOD SERVICE PROGRAM FOR CHILDREN $5,435