Finding Text
Criteria or Specific Requirement:
Cash reciepts for federal grants should be requested to be paid on a reimbursement basis subsequent to federal grant expenditures.
Condition:
Requests for federal grant payments (draw downs) exceeded expenditures for various programs. Grant
awards were drawn down without supporting documentation for related expenditures. Related
expenditures were encumbured and disbursed in the subsequent fiscal year.
Questioned Costs:
N/A
Context:
The excess draw downs of $69,060 are 5.3% of federal expenditures.
Effect:
Excess cash of $69,060 was drawn down in advance of the related expenditure.
Cause:
Lack of controls over federal grant cash management monitoring.
Recommendation:
The board should monitor federal programs and request cash reimbursements subsequent to the program expenditure.
Views of management and planned corrective actions:
The district plans to develop controls to request grant award payments on a reimbursement basis.