To: Laura Sitrin, Director of Finance, Town of Falmouth
From: Paul Dart, Director of Finance & Operations
Date: March 31, 2025
RE: IDEA 240 Grant Expenditures
The following outlines the findings, resolution and ongoing corrective actions for the IDEA FY24 Grant and FY25 Grant.
Findings:
Federal Award Findings and Questioned Costs 2024-001 U.S. Department of Education
Passed-through the Commonwealth of Massachusetts’ Department of
Elementary and Secondary Education
Special Education Cluster (IDEA) – ALN 84.027 & 84.173 COVID-19 – Special Education Cluster (IDEA) – ALN 84.027X Resolution:
The following corrective actions have been taken to immediately address this finding and ensure compliance with federal procurement regulations going forward: ● Journal entries have been submitted to the Town Accountant in order to move all FY24 expenses originally charged to the FY24 240 IDEA grant to either the School Choice Contracted Services account or Circuit Breaker Contracted Services account, as appropriate.
● A grant amendment is in process to reallocate funds in the FY24 240 grant originally intended for these specialized vendors to out of district tuition instead, ensuring compliance with procurement requirements.
● In addition to the above corrective actions related to the FY24 grant spending, any expenses for goods and services incurred in FY25 that did not meet federal procurement requirements have been corrected for FY24 grants that remain open. ● Grant amendments and journal entries for the FY25 240 grant and FY25 262 grant are in process for the current fiscal year to maintain compliance. These actions resolve the issue in the current fiscal year for all grants that are currently open. To strengthen internal controls and prevent recurrence, the Business Office is updating the District procurement policies and procedures to ensure the most restrictive procurement provision is followed for all purchases made with federal funds. All procurement and grant management staff have met to review training on the federal procurement process including thresholds, methods, documentation/justification for non-competitive procurements, and the differences between state and federal regulations. The district is committed to ensuring continued compliance through ongoing staff training, monitoring and policy updates.
For further information or questions regarding this corrective action plan, please do not hesitate to contact me.