FAC Explorer

Finding 560621 (2024-002)

Material Weakness Repeat Finding
Requirement
ABL
Questioned Costs
-
Year
2024
Accepted
2025-05-19
Audit: 356530
Organization: Clarinda Community School District (IA)
Auditor: Nolte Cornman & Johnson

AI Summary

  • Core Issue: An employee has too much control over both disbursements and accounting, risking incompatible duties.
  • Impacted Requirements: This violates the principle of segregation of duties, which is crucial for internal controls.
  • Recommended Follow-Up: Review and adjust responsibilities to ensure proper segregation of duties among staff.

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; disbursements and accounting systems. See finding 2024-001.

Corrective Action Plan

The working plan is for one person to deposit money, one person to enter receipts into Software, and one person to reconcile the bank statements. Accounts Payable - we have a chain of approval for requisitions - building Principal, Superintendent, Director of Finance, and Accounts Payable Clerk.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

  • 560622 2024-002
    Material Weakness Repeat
  • 1137063 2024-002
    Material Weakness Repeat
  • 1137064 2024-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $548,690
84.010 Title I Grants to Local Educational Agencies $261,962
10.553 School Breakfast Program $84,421
21.027 Coronavirus State and Local Fiscal Recovery Funds $50,000
84.027 Special Education Grants to States $49,054
93.600 Head Start $36,450
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $34,972
10.555 National School Lunch Program $24,304
84.424 Student Support and Academic Enrichment Program $14,675
84.048 Career and Technical Education -- Basic Grants to States $8,622
10.574 Team Nutrition Grants $997
10.169 Specialty Crop Block Grant Program $994