Finding 1217270 (2023-001)

Finding 2023-001 – Special Education Cluster – AL No.’s 84.027 & 84.173 Department of Education Massachusetts Department of Elementary and Secondary Education Noncompliance and Significant Deficiency Related to Internal Control over Compliance of the Major Programs Criteria: The Period of Availability for the SPED PL 94-142 Grant was September 22, 2022 through September 30, 2024. Condition: During our test of controls over compliance it was noted that there are expenditures charged to the SPED PL 94-142 Grant (September 22, 2022 through September 30, 2024) for services outside of the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education. Context: During our test of expenditures and review of the general ledger against the SPED PL 94-142 Grant as it is related to compliance it was noted that 8 expenditures charged to the grant had service periods that were completely or partially for services prior to the grant start date of September 22, 2022 and thus would be outside the period of performance and thus would not be allowable costs. Effect: The School Department was not in compliance with the period of performance requirement as set forth by the Massachusetts Department of Elementary and Secondary Education. Questioned Costs: Questioned costs for the expenditures charged to the grant whose service period was completely or partially for services prior to the grant start date of September 22, 2022 was $31,948.58. Cause: A journal entry to charge costs to the grant included invoices that were outside of the grant award start. Recommendation: We recommend the School Department follow procedures to ensure that expenditures charged to the grant are within the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education. Responsible for Corrective Plan: Kathleen Grant Estimated Completion Date: Immediately Action Taken: Updated our procedures to ensure that expenditures charged to grants are within the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education.