FAC Explorer

Finding 386661 (2023-002)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-03-27
Audit: 298972
Organization: Palmdale School District (CA)
Auditor: Eide Bailly LLP

AI Summary

  • Core Issue: The District failed to provide necessary supporting documents for FTE information reported to the California Department of Education.
  • Impacted Requirements: This noncompliance violates federal regulations requiring retention of records for three years.
  • Recommended Follow-Up: Implement procedures to ensure all federal program reports are backed by adequate records and maintained for the required retention period.

Finding Text

50000 (Reporting, Significant Deficiency, and Noncompliance) Federal Program Affected Federal Agency: U.S. Department of Education Pass-Through Entity: California Department of Education Program Name: Education Stabilization Fund Assistance Listing Numbers: 84.425C, 84.425D, 84.425U Criteria or Specific Requirements Per Title 2, Code of Federal Regulations, Part 200, Subpart D, Section 200.333, records and supporting documents pertinent to a Federal award must be retained for a period of three years from the date of submission of reports to the awarding agency or pass-through entity. Condition The District was unable to provide supporting documents that agreed to the full-time equivalent (FTE) information as of September 30, 2019 reported to the California Department of Education on the Annual Report submission dated January 29, 2021. Questioned Costs There were no questioned costs associated with the identified condition. Context The District was unable to provide supporting documents that agreed to the full-time equivalent (FTE) information as of September 30, 2019 reported to the California Department of Education on the Annual Report submission dated January 29, 2021. Effect The District has not complied with the requirements identified in Title 2, Code of Federal Regulations, Part 200, Subpart D, Section 200.333. Cause The identified condition appears to have materialized due to insufficient procedures related to the retention of federal program records. Repeat Finding No. Recommendation The District should ensure that all federal program reports are supported by adequate records. These records should be maintained for a period of three years from the date of submission of the reports to the awarding agency or pass-through entity.

Corrective Action Plan

With the COVID-19 health pandemic came significant response and relief federal revenues in the General Fund. These funds included reporting requirements that had vague instructions and little subsequent clarifying information. The first GEER and ESSER Annual Report that was submitted on January 29, 2021, requested Full-Time Equivalent (FTE) position data for four different historical dates (9/30/2018, 9/30/2019, 3/13/2020, and 9/30/2020). The District has documentation that agreed and supports three of the four figures reported to the California Department of Education (CDE); however, the supporting documentation for the 9/30/2019 FTE figure did not agree to the figure reported. The report contained the FTE of 1,714.00, but the supporting documentation maintained by the District had an FTE of 2,177.96. Unfortunately, the Fiscal Services Administrator who completed the calculation and submitted the report left employment with the District in June of 2021, so we are unable to determine why a different FTE figure was submitted than showed on the supporting backup documentation maintained by the District. Upon inquiry of the supporting documentation by the external auditors, the District recalculated the position FTE figures for the same period and the District has concluded that the 1,714.00 FTE figure submitted was incorrect.

Categories

Subrecipient Monitoring Reporting Significant Deficiency

Other Findings in this Audit

  • 386662 2023-002
    Significant Deficiency
  • 386663 2023-002
    Significant Deficiency
  • 386664 2023-002
    Significant Deficiency
  • 386665 2023-002
    Significant Deficiency
  • 386666 2023-002
    Significant Deficiency
  • 963103 2023-002
    Significant Deficiency
  • 963104 2023-002
    Significant Deficiency
  • 963105 2023-002
    Significant Deficiency
  • 963106 2023-002
    Significant Deficiency
  • 963107 2023-002
    Significant Deficiency
  • 963108 2023-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.553 School Breakfast Program $4.12M
84.027 Special Education_grants to States $1.18M
93.600 Head Start $903,602
84.165 Magnet Schools Assistance $871,520
84.010 Title I Grants to Local Educational Agencies $839,653
84.365 English Language Acquisition State Grants $748,188
84.367 Improving Teacher Quality State Grants $742,039
84.424 Student Support and Academic Enrichment Program $439,181
10.555 National School Lunch Program $363,154
84.181 Special Education-Grants for Infants and Families $138,566
10.558 Child and Adult Care Food Program $119,112
84.425 Education Stabilization Fund $77,267
84.011 Migrant Education_state Grant Program $72,570
93.575 Child Care and Development Block Grant $71,430
84.173 Special Education_preschool Grants $3,325