Finding 44218 (2022-004)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-03-27

AI Summary

  • Core Issue: Oberon Public School District lacks adequate documentation for the Impact Aid Grant, leading to potential misreporting of application information.
  • Impacted Requirements: The district did not follow internal control standards or OMB compliance requirements for documenting and verifying grant-related data.
  • Recommended Follow-Up: The district should establish and maintain proper documentation processes for the Impact Aid Grant to ensure compliance and accurate reporting.

Finding Text

2022-004 IMPACT AID GRANT - IMPACT AID DOCUMENTATION ? ALN 84.041 ? MATERIAL WEAKNESS AND MATERIAL NON-COMPLIANCE FINDING TYPE: Material Weakness ? Material Noncompliance Finding 2022-004 Federal Program: Impact Aid ALN: 84.041 Federal Award Number(s) and Year(s): S041B226254, 2022 Federal Agency: U.S. Department of Education Questioned Cost: $0 Condition Oberon Public School District does not have adequate support documentation for the Impact Aid Grant. Oberon Public School District was unable to substantiate amounts claimed on the 2022 application submitted for the Impact Aid Grant. Unsubstantiated items include children with disabilities who reside on eligible Indian lands and children who reside on eligible Indian lands. Effect Oberon Public School District may have improperly reported application information, which may have resulted in receiving additional Impact Aid Grant money. Cause Oberon Public School District does not have adequate policies and procedures to assign oversight and records retention for the Impact Aid Grant. Criteria ?Standards for Internal Control in the Federal Government? (Green Book) requires management to document in policies for each unit its responsibility for an operational process?s objectives and related risks, and control activity design, implementation, and operating effectiveness. Each unit, with guidance from management, determines the policies necessary to operate the process based on the objectives and related risks for the operational process. Each unit also documents policies in the appropriate level of detail to allow management to effectively monitor the control activity. Part 4 of the 2022 OMB Compliance Supplement, in the reporting section, requires auditors to test the membership data used to support the application. Questioned Costs None. Prior Recommendation Yes. OBERON PUBLIC SCHOOL DISTRICT NO. 16 Schedule of Audit Findings and Questioned Costs ? Continued 46 Recommendation We recommend Oberon Public School District acquire and maintain the proper supporting documentation surrounding the Impact Aid Grant. Oberon Public School District?s Response See Corrective Action Plan.

Corrective Action Plan

2022-004 - Impact Aid Grant - Impact Aid Documentation - ALN 84.041 - Material Weakness and Material Non-Compliance Condition: Oberon Public School District does not have adequate support documentation for the Impact Aid Grant. Oberon Public School District was unable to substantiate amount claimed on the 2022 application submitted for the Impact Aid Grant. Unsubstantiated items include children with disabilities who reside on eligible Indian lands and children who reside on eligible Indian lands. Corrective Action Plan: We agree, the District will acquire and maintain the proper supporting documentation surrounding the Impact Aid Grant. Anticipated Completion Date: FY 2022-2023

Categories

Internal Control / Segregation of Duties Material Weakness Reporting

Other Findings in this Audit

  • 44219 2022-005
    Material Weakness Repeat
  • 620660 2022-004
    Material Weakness Repeat
  • 620661 2022-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.041 Impact Aid $753,874
84.010 Title I Grants to Local Educational Agencies $191,812
84.425 Education Stabilization Fund $182,835
10.555 National School Lunch Program $32,988
10.553 School Breakfast Program $12,546
84.367 Improving Teacher Quality State Grants $4,849
84.424 Student Support and Academic Enrichment Program $4,753
10.582 Fresh Fruit and Vegetable Program $3,025
84.358 Rural Education $1,488
10.560 State Administrative Expenses for Child Nutrition $725
10.649 Pandemic Ebt Administrative Costs $614