Finding Text
Education Stabilization Fund (U.S. Department of Education)
Passed Through North Dakota Department of Public Instruction – F84425D
Passed Through North Dakota Department of Public Instruction – F84425U
Passed Through North Dakota Department of Health
Criteria
Payroll charges to federal grant programs should be properly supported and approved.
Condition
The District does not have controls in place to ensure all payroll transactions are formally
approved.
Effect
There is an increased risk of unallowable costs being charged to grants.
Cause
Management oversight
Questioned Costs
None
Context
Out of seventeen payroll transactions tested, two employee timesheets were not approved
until after payroll was processed. Additionally, thirteen employees did not have a formally
documented approved rate of pay.
Repeat Finding
Yes
Recommendation
The District should implement policies and procedures to ensure all timesheets are approved
prior to processing payroll and that signed contracts are obtained for all employees.
Views of Responsible Officials and Planned Corrective Actions
To ensure that all payroll expenditures are allowable for hourly employees, timesheets will be
approved by each supervisor and/or the Superintendent. Any additional pay issued to
certified staff will have Superintendent approval documented on a pay request sheet. All
certified employees will continue to have a signed contract on file each year. All non-certified
employees will have a letter of assignment signed and on file each year.