Finding Text
2022-005 IMPACT AID GRANT - IMPACT AID WAGE RATE REQUIREMENTS ? ALN 84.041 ? MATERIAL WEAKNESS FINDING TYPE: Material Weakness Finding 2022-005 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 did not have any procedures in place relating to the internal controls surrounding the Wage Rate Requirements applicable to the Impact Aid Grant funds for the construction of the new school. Effect Oberon Public School increases its risk of noncompliance with the Wage Rate Requirements relating to Impact Aid without proper internal controls. Cause Oberon Public School District was not aware of the Wage Rate Requirements applicable to construction contracts in excess of $2,000 financed by federal assistance funds. Criteria 2 CFR 200.303(a) states that non-Federal entities must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Questioned Costs None. Prior Recommendation Yes. Recommendation We recommend Oberon Public School District implement procedures to ensure compliance with the Wage Rate Requirements. Oberon Public School District?s Response See Corrective Action Plan.