Finding 519104 (2024-001)

50000 – Reporting (Significant Deficiency, Noncompliance) Federal Agency: U.S. Department of Education Pass-Through Entity: California Department of Education (CDE) Program Name: COVID-19: COVID-19: Elementary and Secondary School Relief III (ESSER III) Fund: Learning Loss, COVID-19: Elementary and Secondary School Emergency Relief III (ESSER III) Fund, COVID-19: ESSER III State Reserve Emergency Needs, and COVID-19: ESSER III State Reserve Learning Loss Federal Financial Assistance Listing: 84.425U Compliance Requirement: L.3. Special Reporting Type of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria or Specific Requirements Per Title 2, Code of Federal Regulations, Part 200, Subpart D, Section 200.333, financial records and supporting documents pertinent to a Federal award must be retained for a period of three years from the date of submission of expenditure reports to the awarding agency or passthrough entity. Condition The District was unable to provide financial records or supporting documents that agreed to the full-time equivalent positions required by the ESSER annual report. Cause The identified condition appears to have materialized due to an oversight at the time of submission of the report. Effect The District has not complied with the requirements identified in Title 2, Code of Federal Regulations, Part 200, Subpart D, Section 200.333. Questioned Costs There were no questioned costs associated with the identified condition. Context The condition was identified through inquiry with District personnel and through the review of documentation used to prepare the reports. Repeat Finding Yes, see prior year finding 2023-001. Recommendation The District should ensure all full-time equivalent positions are reported accurately on the ESSER annual report, and that supporting documentation is maintained to support the amounts reported. Corrective Action Plan and Views of Responsible Officials The District has implemented a secondary review of ESSER reports prior to final submission.