Finding Text
Finding Number: 2024-009 Assistance Listing Number and Title: AL # 84.425 Education Stabilization Fund Federal Award Identification Number / Year: 2024 Federal Agency: U.S. Department of Education Compliance Requirement: Equipment And Real Property Management Pass-Through Entity: Ohio Department of Education and Workforce Repeat Finding from Prior Audit? Yes Prior Audit Finding Number: 2023-008 Noncompliance and Material Weakness- Physical Inventories 2 C.F.R. § 3474.1 gives regulatory effect to the Department of Education for 2 C.F.R. §200.313(d)(2), which states, a physical inventory of the property must be taken and the results reconciled with the property records at least once every 2 years. Due to a failure of internal controls, there was no indication that a physical inventory of the property acquired under the American Rescue Plan Elementary and Secondary School Emergency Relief (ARP ESSER), AL number 84.425U had been performed within the preceding two years. Further, the District did not maintain a listing of capital assets purchased using this grant fund. Physical inventories should be performed, at a minimum, once every two years to verify that assets held per the capital asset listing actually exist. This will help detect errors, fraud, theft, or omissions.