Finding Text
U.S. DEPARTMENT OF EDUCATION PASSED THROUGH ARKANSAS DEPARTMENT OF EDUCATION COVID - 19 - EDUCATION STABILIZATION FUND - AL NUMBER 84.425D PASS-THROUGH NUMBER 4605 AUDIT PERIOD - YEAR ENDED JUNE 30, 2022" 2022-001. Equipment and Real Property Management Criteria: Proper records should be maintained for equipment acquired with federal awards as specified in 2 CFR section 200.313. Additionally, the District should ensure that disposition of such equipment is in accordance with federal requirements, including the federal awarding agency is appropriately compensated for its share of any property sold or converted to non-federal use. Condition: The District could not account for three equipment items, costing $4,079, purchased from the COVID-19 - Education Stabilization Funds. Cause: Lack of internal controls over equipment subsidiary records. Effect or potential effect: The District's equipment subsidiary records were not accurate. Context: Selected 21 items with a total initial cost of $93,791 for inspection purposes from a population of 206 equipment items with a total initial cost of $4,283,051 recorded in the equipment subsidiary records for the Education Stabilization program. Recommendation: Proper records should be maintained for equipment acquired with federal awards. Views of responsible officials: District will more closely monitor the inventories of fixed assets and equipment and supplies purchased with Federal and non-Federal funding. More indepth training will be provided to campus leadership and departmental heads on the disposal process of fixed assets and items purchased under Federal funding. The District will take every precaution necessary to ensure that fixed assets and items purchased with Federal funds will be handled appropriately throughout the life-cycle and assure that proper records are maintained for equipment in accordance with Arkansas Department of Elementary and Secondary Education, as well as Federal, guidelines and procedures for program expenditures.