Finding 22260 (2022-004)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2022-12-27
Audit: 26281
Organization: Oblong Cusd #4 (IL)

AI Summary

  • Core Issue: The District failed to comply with reporting requirements, leading to an overstatement of expenditures by $9,698 on the June 30, 2022 report.
  • Impacted Requirements: Inadequate controls over reviewing and approving monthly claims and quarterly expenditure reports violate compliance standards set by the Department of Education.
  • Recommended Follow-up: The superintendent should regularly review and approve expenditure reports and documentation, ensuring all approvals are manually signed and dated before submission.

Finding Text

United States Department of Education Education Stabilization Fund - CFDA #84.425D, 84.425W Finding: 2022-004 Noncompliance with Reporting Requirements Criteria: Per the compliance supplement, the ?ESSER Grantees must submit an annual performance report with data on expenditures, planned expenditures, subrecipients, and uses of funds, including for mandatory reservations.? Internal controls should be in place to provide reasonable assurance that "historical expenditure reports" filed with the Illinois State Board of Education agree and reconcile to actual expenditures incurred and paid by the District. Condition: The District has inadequate controls over reviewing and approving child nutrition monthly "claims summary" forms. Condition: The District has inadequate controls over reviewing and approving quarterly "historical expenditure reports" filed with the Illinois State Board of Education. Context: Quarterly "historical expenditure reports" filed with the Illinois State Board of Education were reconciled to the Districts general ledger. The District erroneously overstated the June 30, 2022 "historical expenditure report" by duplicating expenditures previously claimed on the March 31, 2022 report. The overstatement amounted to $9,698. Effect: Program expenditures may be overstated on the "historical expenditure reports" submitted to the Illinois State Board of Education and result in excess funding reimbursements. Cause: The ?Historical Expenditure Summary Report? is prepared by one employee and is not reviewed and approved for accuracy prior to its electronic submission. Recommendation: The superintendent should review and approve quarterly 'historical expenditure reports" and supporting documentation on a regular basis prior to electronic submissions. Corresponding documents should be manually signed and dated to indicate approval. Management?s Response: The District intends to implement the recommendations in FY 2023.

Corrective Action Plan

UNITED STATED DEPARTMENT OF EDUCATION Education Stabilization Fund? 84.425D/84.425W Corrective Action Plan ? Noncompliance with Reporting Requirements Finding No.: 2022-004 Condition: The District has inadequate controls over reviewing and approving quarterly ?historical expenditure reports? filed with the Illinois State Board of Education. Plan: The superintendent will review and approve quarterly ?historical expenditure reports? and supporting documentation on a regular basis prior to electronic submissions. Corresponding documents will be manually signed and dated to indicate approval. Anticipated Date of Completion: January 1, 2023 Management Response: The District intends to implement the recommendations in FY 2023. Name of Contact Person: Michelle Meese, District Superintendent (P): 618-592-3933

Categories

Subrecipient Monitoring Cash Management Reporting School Nutrition Programs Internal Control / Segregation of Duties

Other Findings in this Audit

  • 22253 2022-003
    Significant Deficiency
  • 22254 2022-003
    Significant Deficiency
  • 22255 2022-003
    Significant Deficiency
  • 22256 2022-003
    Significant Deficiency
  • 22257 2022-003
    Significant Deficiency
  • 22258 2022-003
    Significant Deficiency
  • 22259 2022-003
    Significant Deficiency
  • 22261 2022-004
    Significant Deficiency
  • 22262 2022-004
    Significant Deficiency
  • 598695 2022-003
    Significant Deficiency
  • 598696 2022-003
    Significant Deficiency
  • 598697 2022-003
    Significant Deficiency
  • 598698 2022-003
    Significant Deficiency
  • 598699 2022-003
    Significant Deficiency
  • 598700 2022-003
    Significant Deficiency
  • 598701 2022-003
    Significant Deficiency
  • 598702 2022-004
    Significant Deficiency
  • 598703 2022-004
    Significant Deficiency
  • 598704 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $160,361
10.555 National School Lunch Program $144,512
10.553 School Breakfast Program $39,025
10.559 Summer Food Service Program for Children $22,905
84.367 Improving Teacher Quality State Grants $22,189
84.358 Rural Education $14,757
84.424 Student Support and Academic Enrichment Program $11,097
93.778 Medical Assistance Program $10,511
84.425 Education Stabilization Fund $1,953
84.048 Career and Technical Education -- Basic Grants to States $1,720
84.027 Special Education_grants to States $1,431
10.649 Pandemic Ebt Administrative Costs $614
84.173 Special Education_preschool Grants $228