Finding Text
Findings and Questioned Costs Related to Federal Awards
Finding Number: 2024-002
Repeat Finding: Yes, 2023-002
Program Name/Assistance Listing Title: Education Stabilization Fund
Assistance Listing Numbers: 84.425D; 84.425U
Federal Agency: U.S. Department of Education
Federal Award Numbers: S425D210038, S425U210038 Pass-Through Agency: Arizona Department of
Education Questioned Costs: N/A
Type of Finding: Noncompliance, Significant Deficiency
Compliance Requirement: Activities Allowed or Unallowed and Allowable Costs/Cost Principles
Criteria
Management is responsible for following internal controls over journal entries to allow management
or employees in the normal course of performing their assigned functions to prevent or detect and
correct misstatements on a timely basis.
Condition
The District did not have adequate controls over journal entries.
Cause
Due to turnover of personnel and staff vacancies, journal entry procedures were not always
followed.
Effect
The District did not comply with the activities allowed/unallowed and allowable cost/cost
principles requirements of the grant.
Context
For three of five journal entries reviewed, it could not be determined if the journal
entry was approved by an authorized person other than the preparer. The sample was not intended
to be, and was not, a statistically valid sample.
Recommendation
The District should properly implement internal controls over journal entries. Views of Responsible
Officials
See Corrective Action Plan.