Finding Text
Criteria: Semi-annual certifications are required for Title I personnel whose compensation is funded solely from the Title I grant. Additionally, time and effort documentation is required for Title I personnel whose time is charged in part to Title I and in part to other revenue sources (split-funded staff). Condition: During our testing, we noted insufficient documentation for fifteen employees to substantiate time charged to Title I for thirty-five paychecks selected for testing out of a sample of sixty. Questioned Costs: While testing payroll expenditures, we noted thirty-five of sixty pay checks where supporting documentation for fifteen employees was incomplete resulting in known questioned costs of $47,473.17. Projected to the population as a whole, questioned costs are estimated to be approximately $426,460.89. Context: Total salaries charged to Title I were $509,091 for the year ended June 30, 2025. Payments were made to actual employees of the district in a district that is Title I eligible. However, single audit procedures require costs not adequately supported to be questioned. Effect: The District was not in compliance with the Federal requirement. Cause: The District was unaware that semi-annual certifications, time and effort logs, or a substitute system for time-and-effort reporting needed to be documented for employees working on multiple cost objects. Recommendation: We recommend that the District complete the required semi-annual certifications or time and effort logs for each employee who has time allocated to a grant. Management's Response: The District will begin completing the necessary semi-annual certifications of time and effort distribution records.