Finding Text
CONDITION:
The District’s internal control over compliance failed to prevent non-compliance with the Equipment/Real Property Management requirements applicable to the Education Stabilization Fund (see Compliance Finding #2023-006).
CRITERIA:
Internal controls over federal programs are to be sufficient to ensure compliance with the Education Stabilization Fund grant requirements, including those for Equipment/Real Property Management, as discussed in Compliance Finding #2023-006.
CAUSE:
The cause of the internal control deficiency was a lack of management oversight of the District personnel involved with federal programs, as well as the failure to monitor communications from the oversight agency.
EFFECT:
The effect of this deficiency in internal controls over federal programs was the District’s failure to comply with the Equipment/Real Property Management requirements of the Education Stabilization Fund (specifically obtaining pre-approval for projects).
RECOMMENDATION:
We recommend that District personnel responsible for grants management educate themselves on the requirements of the Education Stabilization Funds. We further recommend the implementation of a review process by management to ensure the grants are managed correctly and communications from the oversight agency are monitored and addressed timely.
MANAGEMENT RESPONSE:
Management agrees with the recommendations and will have personnel responsible for grant management educate themselves on the requirements of the Education Stabilization Funds. Further, we will resume regular management team meetings to ensure the team is tracking grant progress, as well as monitoring and responding to communications from the Pennsylvania Department of Education.