FAC Explorer

Finding 2023 (2022-002)

Significant Deficiency
Requirement
F
Questioned Costs
$1
Year
2022
Accepted
2023-11-16
Audit: 3535
Organization: Fairfield City Board of Education (AL)
Auditor: Potter Bryant and Moore PC

AI Summary

  • Answer: A $29,500 computer server was not recorded as capitalized equipment.
  • Trend: This oversight indicates a potential pattern of misclassification in asset management.
  • List: Ensure all equipment over $5,000 is accurately classified and included in property records.

Finding Text

2 CFR Sections 200.313 (c) through (e) require equipment having a useful life of more than one year and a per-unit acquisition cost which equal or exceeds $5,000 must be maintained in the Board’s property records. A computer server costing $29,500 was not properly classified as capitalized equipment and as such, was omitted from the Board’s Fixed Asset Inventory.

Corrective Action Plan

The management of the Board was notified of the error and made the adjusting entries to correct the financial statements. The Technology Coordinator and CSFO will review expenditures for non-capitalized equipment more carefully.

Categories

Questioned Costs Equipment & Real Property Management

Other Findings in this Audit

  • 578465 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $897,727
84.010 Title I Grants to Local Educational Agencies $857,309
10.558 Child and Adult Care Food Program $312,017
10.553 School Breakfast Program $257,777
84.425 Education Stabilization Fund $68,181
12.U01 Air Force Rotc $56,759
84.424 Student Support and Academic Enrichment Program $56,141
84.041 Impact Aid $38,074
84.367 Improving Teacher Quality State Grants $36,197
84.048 Career and Technical Education -- Basic Grants to States $36,148
84.126 Rehabilitation Services_vocational Rehabilitation Grants to States $26,566
10.559 Summer Food Service Program for Children $26,313
84.173 Special Education_preschool Grants $9,573
10.560 State Administrative Expenses for Child Nutrition $9,236
84.027 Special Education_grants to States $2,878
96.001 Social Security_disability Insurance $780