Finding 401656 (2023-004)

- Repeat Finding
Requirement
BI
Questioned Costs
-
Year
2023
Accepted
2024-06-24
Audit: 309606
Organization: City of Salem School District (NJ)

AI Summary

  • Core Issue: The School District did not follow required formal procurement methods for purchases exceeding the threshold set by New Jersey.
  • Impacted Requirements: This violates 2 CFR § 200.320, which mandates compliance with formal procurement processes for federal awards.
  • Recommended Follow-Up: Ensure the School District retains documentation proving compliance with procurement methods as outlined in federal regulations.

Finding Text

Information on the Federal Program U.S. Department of Education – Passed-through New Jersey Department of Education: 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 Per 2 CFR § 200.320 under Part 200 of the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards dictates when the value of procurement for property or services exceed the simplified acquisition threshold or a lower threshold established by a non-Federal entity (State of New Jersey), formal procurement methods are required. Condition The School District did not provide evidence that it was in complete compliance with formal procurement methods. Questioned Costs Unknown. Context Purchases made by the School District in excess of the procurement threshold established by a non-Federal entity (State of New Jersey) did not have supporting documentation available to verify complete compliance with formal procurement methods. Effect or Potential Effect The School District was not in compliance with 2 CFR § 200.320 under Part 200 of the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Cause Unknown. Identification as a Repeat Finding See Finding 2022-003. Recommendation That the School District retain evidence that it complied with formal procurement methods as noted in 2 CFR § 200.320 under Part 200 of the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. 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

Procurement, Suspension & Debarment Allowable Costs / Cost Principles

Other Findings in this Audit

  • 401648 2023-003
    Material Weakness Repeat
  • 401649 2023-003
    Material Weakness Repeat
  • 401650 2023-003
    Material Weakness Repeat
  • 401651 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
  • 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