Finding 565316 (2023-003)

Material Weakness
Requirement
BH
Questioned Costs
$1
Year
2023
Accepted
2025-06-18

AI Summary

  • Core Issue: Expenditures charged to the Education Stabilization Fund – ESSER III exceeded the allowable period of performance.
  • Impacted Requirements: Costs incurred from 10/1/24 to 2/28/27, totaling $135,005, are not compliant with the grant's period of performance (October 4, 2021 - September 30, 2024).
  • Recommended Follow-Up: Assabet Valley RTHS should implement procedures to ensure all future expenditures align with the grant's performance period.

Finding Text

Department of Education Noncompliance and Material Weakness Related to Internal Control over Compliance of the Major Program Finding 2023-003 – Education Stabilization Fund – ESSER III AL No. 84.425U Condition: During our test of controls over compliance it was noted that there are expenditures charged to the Education Stabilization Fund – ESSER III for services outside of the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education. Criteria: The Period of Performance for the Education Stabilization Fund – ESSER III was October 4, 2021 through September 30, 2024. Context: During our test of expenditures and review of the general ledger against the Education Stabilization Fund – ESSER III grant as it is related to compliance it was noted that the School paid in full a four year lease from 3/1/23 to 2/28/27 and charged 10/1/23 to 2/28/27 to the Education Stabilization Fund – ESSER III grant in the amount of $190,869 and thus the period from 10/1/24 to 2/28/27 would be outside the period of performance and thus would not be an allowable cost. Effect: Assabet Valley RTHS was not in compliance with the period of performance requirement as set forth by the Massachusetts Department of Elementary and Secondary Education. Questioned Costs: Questioned costs charged to the Education Stabilization Fund – ESSER III grant whose service period was beyond the grant end date of September 30, 2024 was in the amount of $135,005. Cause: Grant should have been amended. Identification as a Repeat Finding: N/A Recommendation: We recommend the Assabet Valley RTHS follow procedures to ensure that expenditures charged to the grant is within the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education. Managements Response: The District agrees with the recommendation and will work with those writing the grants.

Corrective Action Plan

Department of Education Noncompliance and Material Weakness Related to Internal Control over Compliance of the Major Program Finding 2023-003 – Education Stabilization Fund – ESSER III AL No. 84.425U Condition: During our test of controls over compliance it was noted that there are expenditures charged to the Education Stabilization Fund – ESSER III for services outside of the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education. Criteria: The Period of Performance for the Education Stabilization Fund – ESSER III was October 4, 2021 through September 30, 2024. Context: During our test of expenditures and review of the general ledger against the Education Stabilization Fund – ESSER III grant as it is related to compliance it was noted that the School paid in full a four year lease from 3/1/23 to 2/28/27 and charged 10/1/23 to 2/28/27 to the Education Stabilization Fund – ESSER III grant in the amount of $190,869 and thus the period from 10/1/24 to 2/28/27 would be outside the period of performance and thus would not be an allowable cost. Effect: Assabet Valley RTHS was not in compliance with the period of performance requirement as set forth by the Massachusetts Department of Elementary and Secondary Education. Questioned Costs: Questioned costs charged to the Education Stabilization Fund – ESSER III grant whose service period was beyond the grant end date of September 30, 2024 was in the amount of $135,005. Cause: Grant should have been amended Identification as a Repeat Finding: N/A Recommendation: We recommend the Assabet Valley RTHS follow procedures to ensure that expenditures charged to the grant is within the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education. Responsible for Corrective Plan: Maria Silva, Director of Business Operations Estimated Completion Date: 12/31/2024 Action Taken: The District agrees with the recommendation and will work with those writing the grants.

Categories

Questioned Costs Period of Performance Allowable Costs / Cost Principles Material Weakness

Other Findings in this Audit

  • 565315 2023-002
    Significant Deficiency Repeat
  • 565317 2023-001
    Significant Deficiency
  • 565318 2023-001
    Significant Deficiency
  • 1141757 2023-002
    Significant Deficiency Repeat
  • 1141758 2023-003
    Material Weakness
  • 1141759 2023-001
    Significant Deficiency
  • 1141760 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $224,670
84.010 Title I Grants to Local Educational Agencies $160,962
10.553 School Breakfast Program $107,473
84.063 Federal Pell Grant Program $101,675
10.555 National School Lunch Program $55,175
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $21,100
84.048 Career and Technical Education -- Basic Grants to States $5,518
84.425 Education Stabilization Fund $3,097
84.027 Special Education Grants to States $2,498
84.424 Student Support and Academic Enrichment Program $624