Finding 562186 (2024-005)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2024
Accepted
2025-06-02

AI Summary

  • Core Issue: A significant deficiency in internal controls was found due to one timesheet not being signed and dated as required.
  • Impacted Requirements: Compliance with Uniform Guidance mandates effective internal controls and accurate payroll documentation for Federal awards.
  • Recommended Follow-Up: Ensure all payroll approvals are documented properly to prevent unallowable costs from being charged to Federal awards.

Finding Text

2024-005 Education Stabilization Fund – COVID 19 – Assistance Listing No. 84.425 Compliance Requirement: Allowable Costs/Activities Allowed Type of Finding: Significant Deficiency in Internal Control Over Compliance Fiscal Year Finding Initially Occurred 2024 Criteria: Uniform Guidance requires recipients to establish and maintain effective internal control over Federal awards and to support payroll costs charged to grants with “records that accurately reflect the work performed”. The School Board’s procedures require review of each time sheet for reasonableness, grant allowability, and proper allocation prior to posting to the general ledger, and document the review by signing or initialing and dating the time sheet. Condition: During our testing, it was determined that one timesheet was reviewed but was not signed and dated in accordance with the School Board policy. Cause: The School Board’s staff reviewed the timesheet making corrections and oversight resulted in the missing signature. Effect: Lack of proper review increases the risk that unallowable or inaccurately allocated labor costs could remain undetected and charged to the Federal award. Recommendation: The School Board should take steps to ensure that all required approvals are properly documented on official forms. Views of Responsible Officials: The School System has implemented necessary controls to ensure that all documents and official forms for payroll contain the necessary approvals prior to processing timesheets for payment.

Categories

Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $4.33M
10.555 National School Lunch Program $849,762
84.424 Student Support and Academic Enrichment Program $451,158
84.027 Special Education Grants to States $264,649
84.010 Title I Grants to Local Educational Agencies $180,324
84.371 Comprehensive Literacy Development $122,444
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $82,011
10.559 Summer Food Service Program for Children $40,414
84.048 Career and Technical Education -- Basic Grants to States $12,847
84.173 Special Education Preschool Grants $704