FAC Explorer

Finding 524712 (2023-002)

Material Weakness
Requirement
ABFL
Questioned Costs
-
Year
2023
Accepted
2025-02-27
Audit: 344142
Organization: Lake Mills Community School District (IA)
Auditor: Nolte Cornman & Johnson PC

AI Summary

  • Answer: There is a lack of proper segregation of duties, allowing one employee to control multiple incompatible areas.
  • Trend: This issue could lead to increased risk of errors or fraud in managing major federal programs.
  • List: Review and adjust employee roles to ensure duties are properly segregated, particularly in cash, investments, receipts, payroll, financial reporting, and computer systems.

Finding Text

One important aspect of the internal control structure is the segregation of duties among employees to prevent an individual employee from handling duties which are incompatible. We noted one individual has control over portions of one or more of the following areas for the District relating to major federal programs; cash, investments, receipts, payroll, financial reporting and computer systems. See finding 2023-001

Categories

Internal Control / Segregation of Duties Reporting

Other Findings in this Audit

  • 524711 2023-002
    Material Weakness
  • 1101153 2023-002
    Material Weakness
  • 1101154 2023-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $499,973
10.555 National School Lunch Program $260,126
84.010 Title I Grants to Local Educational Agencies $59,326
10.553 School Breakfast Program $30,346
84.027 Special Education Grants to States $25,372
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $19,664
84.424 Student Support and Academic Enrichment Program $10,000
84.048 Career and Technical Education -- Basic Grants to States $7,851