FAC Explorer

Finding 497550 (2023-003)

Material Weakness Repeat Finding
Requirement
A
Questioned Costs
$1
Year
2023
Accepted
2024-09-22
Audit: 320292
Organization: Cornerstone Jefferson-Douglass Academy (MI)
Auditor: The Clairmount Group Plc

AI Summary

  • Core Issue: The Academy has a repeat finding of noncompliance with laws, specifically missing the November 1 audit deadline.
  • Impacted Requirements: Compliance with the State School Aid Act MCL 388.1718 is critical for operational integrity.
  • Recommended Follow-Up: Establish a clear process with designated individuals to monitor compliance requirements year-round.

Finding Text

Finding Type: Material Weakness and Material Noncompliance (Repeat Finding) Criteria There should be a process in place to ensure that the Academy complies with laws and regulations. Condition There were instances identified where the Academy was not in compliance with laws and regulations. State School Aid Act MCL 388.1718 requires that annual audits are submitted by November 1 to the Michigan Department of Education. Cause/Effect There was a change in staff and staff shortages which led to noncompliance with MCL 388.1718. Recommendation We recommend that the Academy implement a process that identifies specific individuals for identifying and monitoring applicable compliance requirements throughout the year.

Corrective Action Plan

The work done during the year to shore up our monthly close process and ensure we are reconciling our books consistently and timely will aid in addressing this finding as well. We will also engage the auditors to begin the audit process in June, which is 2-3 months before we have been starting to help us ensure audits are completed and submitted on time

Categories

Questioned Costs Subrecipient Monitoring Material Weakness

Other Findings in this Audit

  • 497548 2023-001
    Material Weakness Repeat
  • 497549 2023-002
    Material Weakness Repeat
  • 1073990 2023-001
    Material Weakness Repeat
  • 1073991 2023-002
    Material Weakness Repeat
  • 1073992 2023-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $1.31M
84.010 Title I Grants to Local Educational Agencies $329,476
10.553 School Breakfast Program $139,062
84.027 Special Education_grants to States $84,952
10.565 Commodity Supplemental Food Program $22,263
84.424 Student Support and Academic Enrichment Program $14,786
10.555 National School Lunch Program $6,070
84.367 Improving Teacher Quality State Grants $3,888
10.185 Local Food for School $1,315
10.649 Pandemic Ebt Administrative Costs $628