Finding 613622 (2022-002)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-09-04

AI Summary

  • Core Issue: The District improperly charged employee costs to the ESSER II Fund based on budget estimates without proper monitoring.
  • Impacted Requirements: This violates the Uniform Guidance, which requires accurate allocation of compensation based on actual work performed.
  • Recommended Follow-Up: Implement stronger internal controls to track employee work activities and adjust budgeted charges accordingly.

Finding Text

Federal Program Affected Program Name: COVID-19: Elementary and Secondary School Emergency Relief II (ESSER II) Fund Assistance Listing Number: 84.425D Pass-Through Entity: California Department of Education (CDE) Federal Agency: U.S. Department of Education Criteria or Specific Requirements The Uniform Guidance 2 CFR ? 200.430(i)(1)(viii) states that budget estimates alone may not be used to allocate compensation charges to Federal awards. When using budget estimates for interim accounting purposes, entities must also establish internal controls to identify significant changes in corresponding work activities and review and adjust after-the-fact interim charges to reflect accurate, allowable, and properly allocated charges. Condition The District charged multi-funded employees based on budget estimates. There was not a system of monitoring and internal controls to identify significant changes in corresponding work activities nor to adjust budgeted charges to reflect the actual percentage of work performed for the grant. Cause The condition identified appears to be due to lack of sufficient internal controls to monitor and adjust after-the-fact employee budgeted time to actual time reflected on approved employee time certifications.

Categories

Subrecipient Monitoring Internal Control / Segregation of Duties

Other Findings in this Audit

  • 37180 2022-002
    Significant Deficiency
  • 37181 2022-003
    Material Weakness
  • 37182 2022-004
    Significant Deficiency
  • 613623 2022-003
    Material Weakness
  • 613624 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
32.009 Emergency Connectivity Fund Program $638,750
84.424 Student Support and Academic Enrichment Program $594,323
84.367 Improving Teacher Quality State Grants $447,667
84.048 Career and Technical Education -- Basic Grants to States $395,594
10.553 School Breakfast Program $384,588
84.010 Title I Grants to Local Educational Agencies $293,752
10.555 National School Lunch Program $217,267
84.425 Education Stabilization Fund $66,059
12.000 Junior Reserve Officer Training Corps - Air Force $63,014
10.558 Child and Adult Care Food Program $27,598
84.365 English Language Acquisition State Grants $5,687
84.027 Special Education_grants to States $300