Finding 401651 (2023-003)

Material Weakness Repeat Finding
Requirement
Activities Allowed/Unallowed
Questioned Costs
-
Year
2023
Accepted
2024-06-24
Audit: 309606
Organization: City of Salem School District (NJ)

AI Summary

  • Core Issue: There are discrepancies between reimbursement requests and School District records, leading to potential non-compliance with federal requirements.
  • Impacted Requirements: Compliance with Uniform Guidance for allowable activities and accurate reporting is at risk due to inadequate internal controls.
  • Recommended Follow-Up: The School District should ensure all records align with submitted documents and implement stronger internal controls to prevent future issues.

Finding Text

Information on the Federal Program U.S. Department of Education – Passed-through New Jersey Department of Education: Special Education Cluster: I.D.E.A. Part B – Basic Assistance Listing No. 84.027 7/01/2022 – 9/30/2023 I.D.E.A. Part B – Preschool Assistance Listing No. 84.173 7/01/2022 – 9/30/2023 Education Stabilization Fund (ESF): ESSER II Assistance Listing No. 84.425 3/13/2020 – 9/30/2023 ESSER III Assistance Listing No. 84.425 3/13/2020 – 9/30/2024 ESSER III – Learning Acceleration Assistance Listing No. 84.425 3/13/2020 – 9/30/2024 ESSER III – Summer Learning and Enrichment Assistance Listing No. 84.425 3/13/2020 – 9/30/2024 Criteria or Specific Requirement Uniform Guidance compliance requirements for (A) Activities Allowed or Unallowed and (L) Reporting dictate the determination whether federal awards were expended only for allowable activities (A) and determine whether required reports for federal awards include all activity of the reporting period, are supported by applicable accounting or performance records, and are fairly presented in accordance with governing requirements (L). Condition The reimbursement requests, final reports, specific charges and approved budget amendments / appropriations were not always supported by or in agreement with School District workpapers. Questioned Costs Unknown. Context During the single audits performed over the above referenced Federal Programs, the selected reimbursement requests, final reports, specific allowable charges and approved budget amendments / appropriations could not be properly reconciled and supported by School District records. Effect or Potential Effect Non-compliance with Uniform Guidance compliance requirements (A) Activities Allowed or Unallowed and (L) Reporting. Cause Various breakdowns in the internal controls of the finance office. Identification as a Repeat Finding See Finding 2022-002. Recommendation The School District should maintain records that agree to submitted reimbursement requests, final reports, approved or amended budget appropriations, and identify specific charges. View of Responsible Officials and Planned Corrective Action The responsible officials agree with the finding and will address the matter as part of their corrective action plan.

Categories

Cash Management Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 401648 2023-003
    Material Weakness Repeat
  • 401649 2023-003
    Material Weakness Repeat
  • 401650 2023-003
    Material Weakness Repeat
  • 401652 2023-003
    Material Weakness Repeat
  • 401653 2023-003
    Material Weakness Repeat
  • 401654 2023-004
    - Repeat
  • 401655 2023-004
    - Repeat
  • 401656 2023-004
    - Repeat
  • 401657 2023-004
    - Repeat
  • 978090 2023-003
    Material Weakness Repeat
  • 978091 2023-003
    Material Weakness Repeat
  • 978092 2023-003
    Material Weakness Repeat
  • 978093 2023-003
    Material Weakness Repeat
  • 978094 2023-003
    Material Weakness Repeat
  • 978095 2023-003
    Material Weakness Repeat
  • 978096 2023-004
    - Repeat
  • 978097 2023-004
    - Repeat
  • 978098 2023-004
    - Repeat
  • 978099 2023-004
    - Repeat

Programs in Audit

ALN Program Name Expenditures
10.553 School Breakfast Program $370,788
84.027 Special Education_grants to States $356,287
93.778 Medical Assistance Program $175,743
10.555 National School Lunch Program $155,877
84.367 Improving Teacher Quality State Grants $73,766
84.424 Student Support and Academic Enrichment Program $66,322
10.582 Fresh Fruit and Vegetable Program $49,534
84.010 Title I Grants to Local Educational Agencies $49,023
10.559 Summer Food Service Program for Children $30,156
84.425 Education Stabilization Fund $26,712
84.048 Career and Technical Education -- Basic Grants to States $16,212
84.173 Special Education_preschool Grants $9,784
10.185 Local Food for Schools Cooperative Agreement Program $904