FAC Explorer

Finding 396204 (2023-001)

Material Weakness
Requirement
B
Questioned Costs
-
Year
2023
Accepted
2024-05-09
Audit: 305840
Organization: Waldron Area Schools (MI)
Auditor: Gabridge & Company Plc

AI Summary

  • Core Issue: Employees reimbursed under ESSER III lack required signed certifications or activity reports.
  • Impacted Requirements: The School must ensure compliance with federal grant regulations regarding employee wage documentation.
  • Recommended Follow-Up: Implement a process for employees to sign necessary certifications or reports to confirm proper wage allocation.

Finding Text

2023-001 – Activities/Costs Allowed Finding Type: Material Weakness in Internal Controls over Compliance Criteria: The School is responsible for ensuring that employee wages reimbursed under federal grants have signed semi-annual certifications or activity reports to certify time spent under each grant. Condition/Finding: During our audit procedures, it was discovered that employees reimbursed under ESSER III did not have signed semi-annual certifications or activity reports on file. Cause: This condition is the result of lack of controls in place by management. Effect: As a result of this condition, the School may not have properly allocated wages to the ESSER III grants. Recommendation: We recommend that the School have employees reimbursed under federal grants sign semi-annual certifications or activity reports to verify allocation of wages. View of Responsible Officials (Corrective Action): See corrective action plan.

Corrective Action Plan

November 1, 2023 CORRECTIVE ACTION PLAN Pursuant to federal regulations, Uniform Administrative Requirements Section 200.511, the following are the findings, as noted in the Waldron Area School’s, Single Audit report for the year ended June 30, 2023, and corrective actions to be completed. Finding: 2023-001 – Activities/Costs Allowed Auditor Description of Condition and Effect: The school reimbursed employees under ESSER III without having the signed semi-annual certifications or activity reports on file. Auditor Recommendation: We recommend that the School have employees reimbursed under federal grants sign semi-annual certifications or activity reports to verify allocation of wages. Corrective Action: The School will have all employees reimbursed under federal grants sign semi-annual certifications or activity reports to verify allocation of wages. Responsible Person: Regina Warner, Business Manager Anticipated Completion Date: June 30, 2024

Categories

Allowable Costs / Cost Principles Material Weakness Internal Control / Segregation of Duties

Other Findings in this Audit

  • 396205 2023-001
    Material Weakness
  • 972646 2023-001
    Material Weakness
  • 972647 2023-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $632,873
84.010 Title I Grants to Local Educational Agencies $118,986
10.553 School Breakfast Program $39,122
84.424 Student Support and Academic Enrichment Program $20,000
84.358 Rural Education $18,466
84.367 Improving Teacher Quality State Grants $15,677
93.994 Maternal and Child Health Services Block Grant to the States $5,000
10.555 National School Lunch Program $2,330
10.559 Summer Food Service Program for Children $1,716
93.778 Medical Assistance Program $882