Finding 514671 (2023-004)

Material Weakness
Requirement
P
Questioned Costs
-
Year
2023
Accepted
2024-12-17
Audit: 333072

AI Summary

  • Core Issue: The School overstated revenue and expenditures for the Education Stabilization Fund by $2,118,502, which was corrected during the audit.
  • Impacted Requirements: The School failed to meet its responsibilities under CFR Part 200 to prepare accurate financial statements, including the Schedule of Expenditures of Federal Awards (SEFA).
  • Recommended Follow-Up: The School should review grant documents and ensure revenue recognition aligns with Generally Accepted Accounting Principles (GAAP) and Uniform Guidance.

Finding Text

MATERIAL WEAKNESS 2023-004 PREPARATION OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Federal Agency: Department of Education Federal Program or Cluster: Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Years: Award Period 3/13/20-9/30/22: S425D200013 Award Period 3/13/20-9/30/23: S425D210013 Award Period 6/24/2022-9/30/24: S425U210013 Questioned Costs $0 Condition: The revenue, receivables, and associated expenditures for the Education Stabilization Fund were originally overstated on the trial balance and the Schedule of Expenditures of Federal Awards (SEFA) by $2,118,502. The amounts were corrected on both the trial balance and the SEFA during the audit. Criteria: According to the CFR Part 200, it is the auditee's responsibility to prepare appropriate financial statements, including the SEFA. The schedules should be complete and accurate. Cause: There was confusion at the School on the proper accounting for grants and awards given the unique nature of the Education Stabilization Fund. Effect: The School is not in compliance with the auditee responsibilities in the Uniform Guidance. Recommendation: The School should analyze grant documents and recognize revenue in accordance with Generally Accepted Accounting Principles (GAAP) and the Uniform Guidance.

Corrective Action Plan

2023-004 PREPARATION OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and has created and filled the position of Manager of Grants Management. This staff member will be responsible for the oversight and management of all grants. Additionally, the School has contracted with an outside firm that specializes in State Board of Accounts compliance, as well as Federal Award Compliance in line with Uniform Guidance. The firm will assist in the development of the required manuals, policies, procedures and review processes. The current estimated completion date is February 28, 2025.

Categories

Reporting Material Weakness

Other Findings in this Audit

  • 514657 2023-002
    Material Weakness Repeat
  • 514658 2023-002
    Material Weakness Repeat
  • 514659 2023-002
    Material Weakness Repeat
  • 514660 2023-002
    Material Weakness Repeat
  • 514661 2023-002
    Material Weakness Repeat
  • 514662 2023-002
    Material Weakness Repeat
  • 514663 2023-002
    Material Weakness Repeat
  • 514664 2023-002
    Material Weakness Repeat
  • 514665 2023-002
    Material Weakness Repeat
  • 514666 2023-002
    Material Weakness Repeat
  • 514667 2023-002
    Material Weakness Repeat
  • 514668 2023-003
    Material Weakness Repeat
  • 514669 2023-003
    Material Weakness Repeat
  • 514670 2023-003
    Material Weakness Repeat
  • 514672 2023-004
    Material Weakness
  • 514673 2023-004
    Material Weakness
  • 514674 2023-004
    Material Weakness
  • 514675 2023-004
    Material Weakness
  • 514676 2023-004
    Material Weakness
  • 514677 2023-004
    Material Weakness
  • 514678 2023-004
    Material Weakness
  • 514679 2023-005
    Material Weakness
  • 514680 2023-005
    Material Weakness
  • 514681 2023-005
    Material Weakness
  • 514682 2023-005
    Material Weakness
  • 514683 2023-005
    Material Weakness
  • 514684 2023-005
    Material Weakness
  • 514685 2023-005
    Material Weakness
  • 514686 2023-005
    Material Weakness
  • 514687 2023-006
    Material Weakness
  • 514688 2023-006
    Material Weakness
  • 514689 2023-006
    Material Weakness
  • 514690 2023-006
    Material Weakness
  • 514691 2023-006
    Material Weakness
  • 514692 2023-006
    Material Weakness
  • 514693 2023-006
    Material Weakness
  • 514694 2023-006
    Material Weakness
  • 514695 2023-007
    Material Weakness
  • 514696 2023-007
    Material Weakness
  • 514697 2023-007
    Material Weakness
  • 514698 2023-007
    Material Weakness
  • 514699 2023-007
    Material Weakness
  • 514700 2023-007
    Material Weakness
  • 514701 2023-007
    Material Weakness
  • 514702 2023-007
    Material Weakness
  • 514703 2023-008
    Material Weakness Repeat
  • 514704 2023-008
    Material Weakness Repeat
  • 514705 2023-008
    Material Weakness Repeat
  • 514706 2023-008
    Material Weakness Repeat
  • 514707 2023-008
    Material Weakness Repeat
  • 514708 2023-008
    Material Weakness Repeat
  • 514709 2023-008
    Material Weakness Repeat
  • 514710 2023-008
    Material Weakness Repeat
  • 514711 2023-008
    Material Weakness Repeat
  • 514712 2023-008
    Material Weakness Repeat
  • 514713 2023-008
    Material Weakness Repeat
  • 1091099 2023-002
    Material Weakness Repeat
  • 1091100 2023-002
    Material Weakness Repeat
  • 1091101 2023-002
    Material Weakness Repeat
  • 1091102 2023-002
    Material Weakness Repeat
  • 1091103 2023-002
    Material Weakness Repeat
  • 1091104 2023-002
    Material Weakness Repeat
  • 1091105 2023-002
    Material Weakness Repeat
  • 1091106 2023-002
    Material Weakness Repeat
  • 1091107 2023-002
    Material Weakness Repeat
  • 1091108 2023-002
    Material Weakness Repeat
  • 1091109 2023-002
    Material Weakness Repeat
  • 1091110 2023-003
    Material Weakness Repeat
  • 1091111 2023-003
    Material Weakness Repeat
  • 1091112 2023-003
    Material Weakness Repeat
  • 1091113 2023-004
    Material Weakness
  • 1091114 2023-004
    Material Weakness
  • 1091115 2023-004
    Material Weakness
  • 1091116 2023-004
    Material Weakness
  • 1091117 2023-004
    Material Weakness
  • 1091118 2023-004
    Material Weakness
  • 1091119 2023-004
    Material Weakness
  • 1091120 2023-004
    Material Weakness
  • 1091121 2023-005
    Material Weakness
  • 1091122 2023-005
    Material Weakness
  • 1091123 2023-005
    Material Weakness
  • 1091124 2023-005
    Material Weakness
  • 1091125 2023-005
    Material Weakness
  • 1091126 2023-005
    Material Weakness
  • 1091127 2023-005
    Material Weakness
  • 1091128 2023-005
    Material Weakness
  • 1091129 2023-006
    Material Weakness
  • 1091130 2023-006
    Material Weakness
  • 1091131 2023-006
    Material Weakness
  • 1091132 2023-006
    Material Weakness
  • 1091133 2023-006
    Material Weakness
  • 1091134 2023-006
    Material Weakness
  • 1091135 2023-006
    Material Weakness
  • 1091136 2023-006
    Material Weakness
  • 1091137 2023-007
    Material Weakness
  • 1091138 2023-007
    Material Weakness
  • 1091139 2023-007
    Material Weakness
  • 1091140 2023-007
    Material Weakness
  • 1091141 2023-007
    Material Weakness
  • 1091142 2023-007
    Material Weakness
  • 1091143 2023-007
    Material Weakness
  • 1091144 2023-007
    Material Weakness
  • 1091145 2023-008
    Material Weakness Repeat
  • 1091146 2023-008
    Material Weakness Repeat
  • 1091147 2023-008
    Material Weakness Repeat
  • 1091148 2023-008
    Material Weakness Repeat
  • 1091149 2023-008
    Material Weakness Repeat
  • 1091150 2023-008
    Material Weakness Repeat
  • 1091151 2023-008
    Material Weakness Repeat
  • 1091152 2023-008
    Material Weakness Repeat
  • 1091153 2023-008
    Material Weakness Repeat
  • 1091154 2023-008
    Material Weakness Repeat
  • 1091155 2023-008
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.553 School Breakfast Program $247,829
84.282 Charter Schools $202,514
84.010 Title I Grants to Local Educational Agencies $171,892
10.558 Child and Adult Care Food Program $166,913
10.649 Pandemic Ebt Administrative Costs $81,104
84.425 Education Stabilization Fund $64,437
10.555 National School Lunch Program $49,407
84.367 Student Support and Academic Enrichment Program $27,913
84.424 Student Support and Academic Enrichment Program $20,626
93.778 Medical Assistance Program $8,845
84.173 Special Education Preschool Grants $4,892
84.027 Special Education Grants to States $1,254