Finding 564654 (2024-004)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-06-12
Audit: 358749
Organization: Teach.org Inc. (CA)
Auditor: Wegner CPAS

AI Summary

  • Core Issue: Two out of four financial reports lacked documented internal controls, raising concerns about compliance with reporting requirements.
  • Impacted Requirements: Compliance with Uniform Guidance 2 CFR 200.303(a) is at risk due to insufficient internal control documentation.
  • Recommended Follow-up: Develop and implement written policies for internal control documentation, including signed certifications for accuracy and completeness of reports.

Finding Text

Assistance Listing Number(s): 84.425V Name of Federal Program or Cluster: COVID-19 Education Stabilization Fund (ESF), American Rescue Plan – Emergency Assistance to Non-Public Schools (ARP EANS) Name of Federal Agency: Department of Education Federal Award Identification Number: S425V210042 Federal Award Date: February 26, 2021 and September 24, 2021 Name of Pass-through Entity: State of North Carolina Pass-through Entity Identifying Number: 60-04 and 60-05 Award Period: July 1, 2022 through September 30, 2023 and July 1, 2022 through September 30, 2024 Criteria: Uniform Guidance 2 CFR 200.303(a) requires the non-federal entity to establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition: 2 out of 4 financial reports tested did not have an internal control documented that supported reasonable assurance of compliance with reporting requirements. Cause: A written policy and procedures over documenting internal control(s) over reporting was not designed and implemented. Effect or Potential Effect: Reports may be incomplete or inaccurate. Repeat Finding: No Recommendation: Internal control should be documented to ensure compliance with the reporting compliance requirement. Documentation should include a signed certification by the preparer and a reviewer that the requests for payment, written summaries of reporting-specific meetings with grantors, and any other reporting activities are complete, accurate, and agree to supporting records of expenditures or other accounting or database information. Written policies and procedures should be designed and implemented for documentation of internal controls performed for reporting. Views of Responsible Officials: The organization agrees with the finding.

Categories

Subrecipient Monitoring Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 564649 2024-002
    Material Weakness
  • 564650 2024-003
    Material Weakness
  • 564651 2024-004
    Material Weakness
  • 564652 2024-002
    Material Weakness
  • 564653 2024-003
    Material Weakness
  • 1141091 2024-002
    Material Weakness
  • 1141092 2024-003
    Material Weakness
  • 1141093 2024-004
    Material Weakness
  • 1141094 2024-002
    Material Weakness
  • 1141095 2024-003
    Material Weakness
  • 1141096 2024-004
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $1.31M
93.434 Every Student Succeeds Act/preschool Development Grants $88,440