Finding Text
2025-002: Material Weakness in Financial Reporting (L) Federal Assistance Listing Number: 84.425D and 84.425U Federal Award Year: 2022 Program Title: Education Stabilization Fund – Elementary and Secondary School Emergency Relief (ESSER) Name of Federal Agency: U.S. Department of Education Name of Pass-Through Entity: Colorado Department of Education COVID-19 Program: Yes Criteria: Award letter federal provisions from the pass-through entity states that the grantee shall report data elements to SAM.gov and to the pass-through entity as required. The pass-through entity, the Colorado Department of Education, required that the District submit a report by December 1, 2024. Condition: We have identified that the District did not file the report by December 1, 2024. The District filed this required report to the Colorado Department of Education on June 3, 2025. Cause: The District was noncompliance with this requirement. Internal controls and processes related to the reporting requirements at the District were not properly established and implemented in order to mitigate the noncompliance. This District experienced significant turnover during the grant period of this award. Effect: The District has a high likelihood of noncompliance with this requirement with the ESSER and potentially other federal grant programs. Repeat Finding: No. Questioned Costs: None. Recommendation: We recommend that the District establish and implement a policy and process that will consistently monitor the reporting requirements for federal awards and make sure that they are submitted to the grantor agency in a timely manner. In addition, we recommend that an internal control review process is established to verify that all the required reports are submitted to the grantor agency in a timely manner.