Finding 571323 (2024-007)

Significant Deficiency
Requirement
L
Questioned Costs
$1
Year
2024
Accepted
2025-07-15
Audit: 362277
Organization: Dolton West School District 148 (IL)

AI Summary

  • Core Issue: The District reported expenditures that did not match their accounting records, leading to an overclaim of $110,867.
  • Impacted Requirements: Compliance with grant reporting standards under § 200.302 was not met, resulting in inaccurate financial reporting.
  • Recommended Follow-Up: The District should regularly review its budget and ensure claimed expenditures align with actual records, making amendments as needed.

Finding Text

8. Criteria or specific requirement (including statutory, regulatory, or other citation): The compliance requirements for "L. Reporting", requires the District to maintain accurate accounting records for grant expenditures. In addition, per subpart D (Post Federal Award Requirements), § 200.302, the underlying accounts records must be adequately documented and consistent with the terms and conditions of the grant. '9. Condition: The District claimed expenditures that did not agree with their underlying accounting records. '10. Questioned Costs: 110867. '11. Context: During compliance testing of the District’s accounting records in comparison to the expenditure reports filed with the Illinois State Board of Education, it was noted that the District overclaimed a total of $110,867 in expenditures as of June 30, 2024. The following discrepancies were identified: Function 1000-300: The District claimed $50,148 on the quarterly report filed as of 6/30/24. This amount could not be traced to the accounting records as of that date, resulting in an overclaim of $50,148. Function 1000-200: The District claimed $107,470 on the final report filed 9/30/24. Supporting expenditures could only be provided for $67,752, resulting in an overclaim of $39,718. Function 2130-100: The District claimed $10,440 on the final report filed 9/30/24. Supporting expenditures could only be provided for $10,200, resulting in an overclaim of $240. Function 2130-200: The District claimed $1,054 on the final report filed 9/30/24. Supporting expenditures could only be provided for $709, resulting in an overclaim of $345. Function 2400-100: The District claimed $44,160 on the final report filed 9/30/24. Supporting expenditures could only be provided for $37,960, resulting in an overclaim of $6,200. Function 2660-300: The District claimed $1,711,854 on the final report filed 9/30/24 for expenditures as of 6/30/24. Supporting expenditures could only be provided for $1,697,638, resulting in an overclaim of $14,216. '12. Effect: The District was not compliant with reporting requirements. Inaccurate reporting resulted in the District being reimbursed for an additional $110,867 as of 6/30/24. 13. Cause: Policies and procedures are in place that provide reasonable assurance that reports of federal awards submitted to ISBE are supported by the underlying accounting records and are fairly presented in accordance with program requirements. These policies and procedures were not followed when the expenditure report was prepared and filed. 14. Recommendation: We recommend the District periodically review the itemized budget and ensure claimed expenditures fall within or file amendments as necessary for any changes. 15. Management's response: The District has agreed with the findings and recommendations as presented. The District will review the itemized budget and ensure claimed expenditures fall within the grant. See Corrective Action Plan provided by the District.

Corrective Action Plan

Condition: The District claimed expenditures that did not agree with their underlying accounting records. Plan: The District will hire a full-time employee to execute the completion of all State and Federal grants. Addidtional training and reources will be provided to ensure the District remains in compliance. Anticipated Date of Completion: 'June 30, 2025. Name of Contact Person: Dr. Kevin J. Nohelty, Superintendent. Management Response: The District will review the itemized budget and ensure claimed expenditures fall within the grant. If necessary, amendments will be filed accordingly.

Categories

Questioned Costs Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $595,918
10.553 School Breakfast Program $515,533
10.558 Child and Adult Care Food Program $364,904
93.778 Medical Assistance Program $223,987
84.027 Special Education Grants to States $119,311
84.424 Student Support and Academic Enrichment Program $112,541
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $79,081
10.555 National School Lunch Program $53,001
10.559 Summer Food Service Program for Children $22,080
84.010 Title I Grants to Local Educational Agencies $20,052
84.173 Special Education Preschool Grants $11,498
84.425 Education Stabilization Fund $10,935
10.649 Pandemic Ebt Administrative Costs $3,256