Finding 1216337 (2025-009)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-06-02

AI Summary

  • Core Issue: The District's annual Impact Aid application contained inaccuracies, particularly regarding enrollment data for children with disabilities.
  • Impacted Requirements: The application must align with underlying enrollment and financial records as per U.S. Department of Education regulations and 2 CFR 200.
  • Recommended Follow-up: Management should establish a reconciliation process to ensure the application matches accounting data, and they are currently working on this improvement.

Finding Text

Reporting for Impact Aid Federal program: ALN 84.041 Impact Aid Federal agency: U.S. Department of Education Pass-through entity: NA Criteria: As a grantee under Impact Aid (ALN 84.041), the District is required to submit an annual application to the U.S. Department of Education that is accurate and supported by underlying enrollment and financial records, in accordance with program regulations and 2 CFR 200. Condition: The District submitted the required annual Impact Aid application; however, key data elements, including total membership enrolled in state‑approved education programs for children with disabilities, did not agree to the underlying student membership and accounting records. Cause: Controls to ensure the annual application is reconciled to the underlying accounting data do not exist. Effect: Because the application was not reconciled to supporting records, the District cannot demonstrate that the membership data reported to the U.S. Department of Education were accurate, which could result in improper Impact Aid payment amounts. Questioned costs: None noted. Context: Testing was performed over the total population of required reports. Statistical sampling was not used. Recommendation: Management should implement procedures to reconcile the annual application to the underlying accounting data. Views of responsible officials and planned corrective action: Management agrees with this finding and is working on implementing an annual application reconciliation process as staffing allows.

Corrective Action Plan

Federal program: ALN 84.041 Impact Aid Federal agency: U.S. Department of Education Pass-through entity: NA Criteria: As a grantee under Impact Aid (ALN 84.041), the District is required to submit an annual application to the U.S. Department of Education that is accurate and supported by underlying enrollment and financial records, in accordance with program regulations and 2 CFR 200. Condition: The District submitted the required annual Impact Aid application; however, key data elements, including total membership enrolled in state‑approved education programs for children with disabilities, did not agree to the underlying student membership and accounting records. Management Response and Planned Corrective Actions Criteria: Management agrees with this finding and is working on implementing an annual application reconciliation process as staffing allows. Responsibility for Corrective Action: Chris Smith, Superintendent and Brittany Clark, Business Manager Anticipated Completion Date: Summer 2026

Categories

Subrecipient Monitoring Reporting

Programs in Audit

ALN Program Name Expenditures
84.041 IMPACT AID $389,838
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $246,947
84.425 EDUCATION STABILIZATION FUND $90,000
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $84,741
10.553 SCHOOL BREAKFAST PROGRAM $70,377
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $47,717
10.579 CHILD NUTRITION DISCRETIONARY GRANTS LIMITED AVAILABILITY $43,718
10.555 NATIONAL SCHOOL LUNCH PROGRAM $34,320