Finding 524385 (2024-001)

Significant Deficiency
Requirement
A
Questioned Costs
$1
Year
2024
Accepted
2025-02-24
Audit: 343618
Organization: Haysville Usd No. 261 (KS)
Auditor: Loyd Group

AI Summary

  • Core Issue: Sales tax was improperly paid on multiple invoices using federal IDEA funds.
  • Impacted Requirements: Federal guidelines prohibit charging sales tax when purchasing from tax-exempt entities.
  • Recommended Follow-Up: Update or establish procedures to prevent future sales tax payments on IDEA-funded purchases.

Finding Text

2024-001 SIGNIFICANT DEFICIENCY – SALES TAX PAID Condition: During our review of IDEA funds, we noted that sales tax was paid on multiple invoices. Criteria: When federal dollars are used to pay for items from a tax exempt entity, it is important to ensure the vendor is not charging the entity sales tax. Cause: The District paid sales tax on multiple invoices we found during our testing. Effect: Unallowable cost through IDEA. Perspective: The District should have controls in place and a review process to ensure sales tax is not being charged. Recommendation: We recommend the District go through and update (or establish) procedures to ensure sales tax is not being paid. Views of Responsible Officials and Planned Corrective Actions: Haysville USD 261 staff involved will work with the necessary parties to ensure policies and procedures are updated.

Categories

Questioned Costs Allowable Costs / Cost Principles Significant Deficiency

Other Findings in this Audit

  • 524384 2024-001
    Significant Deficiency
  • 524386 2024-001
    Significant Deficiency
  • 1100826 2024-001
    Significant Deficiency
  • 1100827 2024-001
    Significant Deficiency
  • 1100828 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $1.81M
84.010 Title I Grants to Local Educational Agencies $948,942
10.553 School Breakfast Program $475,792
84.425 Education Stabilization Fund $172,393
84.424 Student Support and Academic Enrichment Program $166,266
10.559 Summer Food Service Program for Children $161,037
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $154,135
84.287 Twenty-First Century Community Learning Centers $122,288
84.196 Education for Homeless Children and Youth $55,000
84.048 Career and Technical Education -- Basic Grants to States $54,119
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $45,415
84.173 Special Education Preschool Grants $39,431
84.027 Special Education Grants to States $36,813
84.365 English Language Acquisition State Grants $25,386