FAC Explorer

Finding 380903 (2022-001)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2024-03-18
Audit: 295580
Organization: Northeast Vernon County R1 School District (MO)
Auditor: Dswa Certified Public Accountants PC

AI Summary

  • Core Issue: The District spent $492,941 in COVID-19-CRRSA ESSER II funds without using the correct project and source codes as required by DESE.
  • Impacted Requirements: This oversight means the District did not meet DESE's reporting standards for federal programs.
  • Recommended Follow-Up: The District should review its accounting manual and DESE guidelines to ensure proper coding of federal expenditures moving forward.

Finding Text

Criteria: In accordance with information provided by the Missouri Department of Elementary and Secondary Education (DESE), specific project and source codes were to be used for accounting for COVID 19-CRSSA ESSER II expenditures. Condition: The District expended COVID-19-CRRSA ESSER II funds in the amount of $492,941. These expenditures where not listed in the District’s accounting with the proper project and source code. Cause: The District did not follow the guidance provided by DESE regarding coding of the federal expenditures for the COVID 19-CRSSA ESSER II expenditures. Effect: The District did not comply with the reporting requirements of DESE for all federal programs. Questioned Costs: $0 Context: It appears that the District used the proper project codes for similar federal programs. Recommendation: We recommend that the District review the accounting manual as well as other information provided by DESE regarding the coding of Federal program expenditures and code these to the proper project code in the general ledger. Response: Management acknowledges the finding and has prepared a response and corrective action plan.

Corrective Action Plan

Corrective Action Plan: The District will follow the coding procedures provided by the Department of Elementary and Secondary Education (DESE) regarding the coding of Federal program expenditures and ensure these expenditures are properly coded with respect to function, object, location, project and source codes in the District’s general ledger.

Categories

Reporting

Other Findings in this Audit

  • 957345 2022-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $391,000
84.010 Title I Grants to Local Educational Agencies $144,351
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $53,550
10.559 Summer Food Service Program for Children $25,263
10.553 School Breakfast Program $24,456
84.367 Improving Teacher Quality State Grants $20,192
84.424 Student Support and Academic Enrichment Program $10,879
10.555 National School Lunch Program $6,550
10.558 Child and Adult Care Food Program $5,047
84.358 Rural Education $4,905
84.027 Special Education_grants to States $1,768