Finding 36016 (2022-001)

Criteria - Uniform Guidance indicates that for a District to be in compliance with the Equipment/Real Property Management requirements, the District must receive prior approval for capital expenditures for equipment acquisition or improvements to land, buildings, or equipment. Condition - The District?s current procurement process does not include controls that incorporate the Uniform Guidance compliance requirement for obtaining prior approval for capital expenditures for equipment acquisition or improvements. The District purchased capital equipment acquisition and improvements prior to receiving approval Effect of Condition - The District is not in compliance with Uniform Guidance Recommendation - We recommend that the District further develop internal controls in order to ensure that the District receive prior approval for any capital expenditures for equipment acquisition of improvements Management?s Response - (A) Current Finding on the Schedule of Findings and Responses (1) Audit Finding 2022-001 - Education Stabilization Fund - 84.425 (a) Comments on the finding and recommendation: The District agrees with the finding. The District also agrees with the recommendation. See below for actions taken. (b) Actions Taken: Management will further develop internal controls in order to ensure that the District receives prior approval for any capital expenditures for equipment acquisition of improvements. (c) Anticipated Completion Date: Management anticipates this finding will be resolved by June 30, 2023.