Finding Text
Criteria or specific requirement: The compliance requirements for "A. Activities Allowed and Unallowed", requires the District to conform to the itemized budgets which were filed with and approved by ISBE. Condition: The District claimed expenditures that were incurred outside of the applicable periods of performance. Cause: The District's internal controls over compliance were not functioning effectively to ensure reimbursements were claimed for only expenditures incurred within the applicable periods of performance. Effect: The District was not in compliance with the period of performance compliance requirement. Questioned Costs: The following questioned costs were computed based on differences between the amounts claimed for reimbursement by the District and its expenditure accounting records for the applicable periods of performance: $127,741 (Project No. 25-4300-00) $1,185 (Project No. 25-4331-00) Context: The condition noted was identified upon reconciling reimbursements claimed by the District to the general ledger accounts in which related expenditures were recorded, for the applicable periods of performance, and investigation of differences identified. Recommendation: We recommend that the District strengthen grant management controls by implementing procedures to ensure all expenditures claimed for reimbursement are incurred within the applicable period of performance. This should include tracking grant period dates, reconciling expenditures to allowable timeframes prior to claiming, and management review of all reimbursement requests. Management's response: The District agrees with the auditor's finding and recommendation.