FAC Explorer

Finding 513677 (2024-004)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2024-12-09
Audit: 331593
Organization: Great Hearts America - Texas (TX)
Auditor: Blazek & Vetterling

AI Summary

  • Core Issue: There is a significant deficiency in financial reporting controls, impacting federal programs like the School Breakfast and National School Lunch Programs.
  • Impacted Requirements: The lack of effective internal controls could lead to inaccurate billing for federal funds, repeating issues from previous audits.
  • Recommended Follow-Up: Management acknowledges the issue and has a corrective action plan in place; ensure timely implementation and monitor progress.

Finding Text

Finding #2024-004 – Reporting - Significant Deficiency. Applicable federal programs: U. S. Department of Agriculture, Passed through Texas Department of Agriculture: School Breakfast Program, AL#10.553, Contract #’s: 202423N109946 and 202120N19946, National School Lunch Program, AL#10.555, Contract #’s: 202423N109946 and 202222N109946, U. S. Department of Education, Passed through Texas Education Agency: Special Education Grants to States, AL#84.027A, Contract #: H027A230008. Criteria: Same as finding #2024-002. Condition and context: Same as finding #2024-002. Repeat of finding #2023-001. Cause: Same as finding #2024-002. Effect: Failure to have an effective system of internal control over financial reporting may result in inaccurate billings to federal programs. Recommendation: Same as finding #2024-002. Views of responsible officials and planned corrective actions: Management agrees with the finding. See Corrective Action Plan.

Corrective Action Plan

Findings #2024-002 and #2024-004 – Significant Deficiency. Applicable federal programs: U. S. Department of Agriculture, Passed through Texas Department of Agriculture: School Breakfast Program, AL#10.553, Contract #’s: 202423N109946 and 202120N19946, National School Lunch Program, AL#10.555, Contract #’s: 202423N109946 and 202222N109946, U. S. Department of Education, Passed through Texas Education Agency: Special Education Grants to States, AL#84.027A, Contract #: H027A230008. Recommendation: Reemphasize the need for timely analysis and reconciliations of the balance sheet accounts. Planned corrective action: The School will perform timely analysis and reconciliation of the balance sheet accounts in accordance with the organization’s policies and procedures. Responsible officer: Kevin Byrne, Vice President of Finance. Estimated completion date: January 1, 2025.

Categories

School Nutrition Programs Internal Control / Segregation of Duties Reporting Significant Deficiency

Other Findings in this Audit

  • 513676 2024-003
    Significant Deficiency
  • 513678 2024-005
    Significant Deficiency
  • 513679 2024-003
    Significant Deficiency
  • 513680 2024-004
    Significant Deficiency
  • 513681 2024-005
    Significant Deficiency
  • 513682 2024-005
    Significant Deficiency
  • 513683 2024-003
    Significant Deficiency
  • 513684 2024-004
    Significant Deficiency
  • 513685 2024-005
    Significant Deficiency
  • 513686 2024-006
    Significant Deficiency
  • 513687 2024-005
    Significant Deficiency
  • 513688 2024-005
    Significant Deficiency
  • 513689 2024-005
    Significant Deficiency
  • 513690 2024-005
    Significant Deficiency
  • 513691 2024-005
    Significant Deficiency
  • 1090118 2024-003
    Significant Deficiency
  • 1090119 2024-004
    Significant Deficiency
  • 1090120 2024-005
    Significant Deficiency
  • 1090121 2024-003
    Significant Deficiency
  • 1090122 2024-004
    Significant Deficiency
  • 1090123 2024-005
    Significant Deficiency
  • 1090124 2024-005
    Significant Deficiency
  • 1090125 2024-003
    Significant Deficiency
  • 1090126 2024-004
    Significant Deficiency
  • 1090127 2024-005
    Significant Deficiency
  • 1090128 2024-006
    Significant Deficiency
  • 1090129 2024-005
    Significant Deficiency
  • 1090130 2024-005
    Significant Deficiency
  • 1090131 2024-005
    Significant Deficiency
  • 1090132 2024-005
    Significant Deficiency
  • 1090133 2024-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $1.42M
84.027 Special Education Grants to States $1.37M
84.010 Title I Grants to Local Educational Agencies $670,939
84.425 Education Stabilization Fund $664,366
10.553 School Breakfast Program $281,160
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $180,204
84.424 Student Support and Academic Enrichment Program $55,334
84.365 English Language Acquisition State Grants $44,401