Finding 521180 (2024-002)

Criteria Under 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, recipients of federal funds are required to maintain effective internal controls over the financial management and reporting of federal awards. Specifically, the District is required to ensure that reports submitted are accurate, complete, and timely. For this grant the District is required to submit data to the Wyoming Department of Education (WDE) for the State’s report. (2 CFR § 200.303). Condition The total expenditures reported to the WDE were correct, however the amounts by expenditure category and object code differed between the accounting system general ledger classification and the reports submitted. Cause The District’s system for summarizing the data from the general ledger and reporting it to WDE resulted in inaccurate summarizations. The District’s internal review and approval process for reports was not consistently followed resulting in missed errors. Effect or Potential Effect The District's reports were inaccurate and did not reflect the true expenditures by category and object code. Questioned Costs None Context The District was required to submit one financial report for ESSER I, ESSER II and ESSER III expenditures during the fiscal year. Each of the reports contained misclassified expenditures by category and object code. Identification as a Repeat Finding Not a repeat finding Recommendation We recommend that the District provide targeted training for personnel involved in the preparation and submission of reports to ensure they understand the specific compliance and reporting requirements. The District should additionally consider implementing a more rigorous review and reconciliation process for all financial reports prior to submission to ensure that any discrepancies between financial records and reports are resolved before the reports are finalized. Views of Responsible Officials The District will adopt a general ledger account structure that is directly correlated to the Wyoming Department of Education’s Accounting Manual.