Finding 12982 (2022-005)

-
Requirement
L
Questioned Costs
$1
Year
2022
Accepted
2023-02-12
Audit: 17649

AI Summary

  • Core Issue: The District inaccurately reported grant expenditures, leading to questioned costs of $962.
  • Impacted Requirements: Compliance with L.Reporting and federal regulations (subpart D, § 200.302) for maintaining accurate accounting records.
  • Recommended Follow-Up: Management should enhance internal controls and review policies to prevent future reporting errors.

Finding Text

Criteria or specific requirement (including statutory, regulatory, or other citation): The compliance requirements for "L.Reporting", requires the District to maintain accurate accounting records for grant expenditures. In addition, per subpart D (Post Federal Award Requirements), ? 200.302, the underlying accounts records must be adequately documented and consistent with the terms and conditions of the grant. Condition: The District did not submit their final expenditure report accurately based on the approved budgetary expenditures per function code. Questioned Costs: $962. Context: The 6/30/22 expenditure report submitted for reimbursement resulted in questioned costs of $962. We identified one item claimed totaling $962, of which resulted in deviations from the approved budget. These transactions may still be allowable costs per the grant if the budget were able to be amended. Effect: Requested grant reimbursements resulted in costs that were not budgeted for resulting in questioned costs of $962. Cause: The District claimed $962 due to budgeting a 2130-400 account into a 1000-400 line. This caused the $962 to be claimed under 1000-400, when there were no expenditures in the respective account on the general ledger. Recommendation: We recommend that management review its policies and procedures and implement changes to strengthen internal control over federal reporting. Management's response: The District has agreed with the findings and recommendation as presented. See Corrective Action Plan provided by the School District.

Corrective Action Plan

Condition: The District did not submit their final expenditure report accurately based on the approved budgetary expenditures per function code. Plan: Management will review its policies and procedures and implement changes to strengthen internal control over federal reporting. Anticipated Date of Completion: 6/30/2023. Name of Contact Person: Joe Zotto, Superintendent. Management Response: The District will verify all expenditures claimed support the respective accounts on the general ledger.

Categories

Questioned Costs Allowable Costs / Cost Principles Cash Management Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $187,808
84.027 Special Education_grants to States $60,928
10.555 National School Lunch Program $60,127
93.778 Medical Assistance Program $49,676
10.553 School Breakfast Program $43,276
84.365 English Language Acquisition State Grants $8,680
32.009 Emergency Connectivity Fund Program $6,540
84.173 Special Education_preschool Grants $5,999
84.367 Improving Teacher Quality State Grants $2,450
10.556 Special Milk Program for Children $107
84.425 Education Stabilization Fund $0