Finding Text
Program information: Title I Grants to Local Educational Agencies, Title I Part I Imp Basic Programs. U.S. Department of Education, Passed through Michigan Department of Education, AL #84.010. Criteria: The School District has a responsibility to implement proper controls over the payroll processes related to the grant. Condition: For the Title I grant, we noted the following: - 10 out of 40 payroll transactions, for which the district could not provide personnel activity reports (PAR’s) to support the time charged to the title I grant. - 1 out of 40 payroll transactions for which the district paid the employee the incorrect rate. Questioned costs: None Cause and effect: This was caused due to significant turnover in the grants and payroll department, resulting in a lack of controls being followed. Recommendation: We recommend that the district reviews payroll processes with all employees and supervisors to ensure that all required documentation is being completed and maintained. Additionally, we recommend that the district obtains semi-annual certifications for all employees directly charged to the grant. Views of responsible officials: Management agrees with the finding. Corrective action plan: See attached corrective action plan.