Finding 28704 (2022-002)

Criteria: Per federal regulation 2 CFR section 200.516(b)(1), the School District is required to develop and maintain procedures regarding equipment acquired with federal funds. Condition: The School District has not adopted written procedures regarding the inventory and safeguarding of equipment purchased with federal funds. Cause: The School District was unaware of the detailed procedures required with respect to the accountability of federally funded equipment. Effect: The School District is not in compliance with the equipment requirements. Recommendation: We recommend that the School District adopt procedures to maintain property records on federally acquired equipment consistent with the required components identified in 2 CFR section 200.516; the safeguarding of such equipment; and perform an inventory of such equipment no less than once every two years. Management?s Response: Management agrees with this finding.