Finding 50163 (2022-001)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-01-18

AI Summary

  • Core Issue: The District failed to obtain certified payrolls for contractors under the ESSER grant, risking non-compliance with prevailing wage laws.
  • Impacted Requirements: ESSER mandates that contracts over $2,000 must adhere to Davis-Bacon prevailing wage requirements.
  • Recommended Follow-Up: Implement a system to withhold contractor payments until certified payrolls are received to ensure compliance.

Finding Text

SA-2022-1 ? SIGNIFICANT DEFICIENCY - 84.425 Education Stabilization Fund (ESSER), ESSER requires that for minor remodeling, renovation or construction contracts that are over $2,000 and use laborers and mechanics must meet Davis-Bacon prevailing wage requirements. The District did not get certified payrolls for many contractors within the ESSER grant. The reason for this is that the ESSER requirements are new and a lot of entities did not know the limit for certified payrolls was lowered to $2,000. The effect is it?s possible that some contractors did not pay prevailing wage. We recommend that the District put in place a system where invoices for contractors are not paid until they receive certified payrolls, or some sort of system that ensures compliance.

Categories

Significant Deficiency

Other Findings in this Audit

  • 50162 2022-001
    Significant Deficiency
  • 626604 2022-001
    Significant Deficiency
  • 626605 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $346,439
84.010 Title I Grants to Local Educational Agencies $209,512
10.553 School Breakfast Program $52,158
84.027 Special Education_grants to States $31,119
84.367 Improving Teacher Quality State Grants $25,531
84.358 Rural Education $22,222
84.424 Student Support and Academic Enrichment Program $16,491
84.126 Rehabilitation Services_vocational Rehabilitation Grants to States $14,331
10.555 National School Lunch Program $9,635
84.048 Career and Technical Education -- Basic Grants to States $5,826
10.559 Summer Food Service Program for Children $1,825
84.173 Special Education_preschool Grants $719
10.649 Pandemic Ebt Administrative Costs $614