FAC Explorer

Finding 34734 (2022-002)

Material Weakness Repeat Finding
Requirement
ABEILN
Questioned Costs
-
Year
2022
Accepted
2023-08-17
Audit: 33564
Organization: Edgewood-Colesburg Community School District (IA)
Auditor: Nolte Cornman & Johnson PC

AI Summary

  • Core Issue: One employee has too much control over multiple financial areas, increasing the risk of errors or fraud.
  • Impacted Requirements: Segregation of duties is not being properly enforced, which is critical for internal controls.
  • Recommended Follow-Up: Review and redistribute responsibilities to ensure no single employee manages incompatible duties.

Finding Text

One important aspect of the internal control structure is the segregation of duties among employees to prevent an individual employee from handling duties which are incompatible. We noted one individual has control over portions of one or more of the following areas for the District relating to federal programs; cash, receipts, disbursements, capital assets, wire transfers, journal entries, payroll and school lunch program. See finding 2022-001.

Corrective Action Plan

The District will continue to look for ways to improve segregation of duties.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

  • 34735 2022-002
    Material Weakness Repeat
  • 34736 2022-002
    Material Weakness Repeat
  • 611176 2022-002
    Material Weakness Repeat
  • 611177 2022-002
    Material Weakness Repeat
  • 611178 2022-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $348,306
84.425 Education Stabilization Fund $133,405
84.010 Title I Grants to Local Educational Agencies $116,029
10.553 School Breakfast Program $53,544
84.358 Rural Education $36,816
84.367 Improving Teacher Quality State Grants $22,553
10.559 Summer Food Service Program for Children $15,532
84.424 Student Support and Academic Enrichment Program $10,000
84.048 Career and Technical Education -- Basic Grants to States $8,345
84.027 Special Education_grants to States $3,018