FAC Explorer

Finding 481391 (2023-004)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-08-19
Audit: 317412
Organization: Redbank Valley School District (PA)
Auditor: Mark C Turnley CPA

AI Summary

  • Core Issue: The School District did not use the required general ledger totals for the ESSER II grant's Final Expenditure Reports, relying instead on an incomplete spreadsheet.
  • Impacted Requirements: This practice violates the Pennsylvania Department of Education's regulations for recording expenses, which mandate using the designated funding source accounts.
  • Recommended Follow-Up: Ensure that all future reports are based on accurate general ledger data and conduct a review to reconcile the spreadsheet with the FER.

Finding Text

During my review of the District’s compliance with the laws and regulations related to filing its federal grant program Final Expenditure Reports (FER), I noted that the School District Final Expenditure Report totals for the ESSER II grant program were not derived from general ledger totals posted to the funding source 989 as required to be used to record expenses for that grant by the Pennsylvania Department of Education Chart of Accounts. The District utilized a spreadsheet to accumulate and record applicable expenses in lieu of utilizing the general ledger funding source accounts. This spreadsheet was not completely updated and balanced with the FER.

Corrective Action Plan

Early in the 2023-2024 fiscal year the District hired a new Business Manager that possesses the skills, knowledge and education to understand how to properly reconcile all balance sheet accounts on a routine basis in order to ensure that all transactions are properly posted on a timely basis so that accurate financial reporting can be provided to the Board of Directors monthly. The new Business Manager worked diligently to reconcile the accounts for the 2022-2023 fiscal year in preparation for the audit. She will continue to work on adopting procedures to ensure that all transactions are posted properly and reconciliations are done timely going forward in 2023-2024 and beyond.

Categories

No categories assigned yet.

Other Findings in this Audit

  • 481392 2023-003
    Material Weakness
  • 1057833 2023-004
    Material Weakness
  • 1057834 2023-003
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $230,135
10.553 School Breakfast Program $177,870
10.555 National School Lunch Program $71,051
84.027 Special Education_grants to States $40,903
84.425 Education Stabilization Fund $23,900
84.424 Student Support and Academic Enrichment Program $20,960
84.367 Improving Teacher Quality State Grants $17,997
84.173 Special Education_preschool Grants $2,470
10.649 Pandemic Ebt Administrative Costs $628
93.778 Medical Assistance Program $530