Finding Text
2022-003 Federal Agency: U.S. Department of Education Pass Thru Entity: Oklahoma State Department of Education Program: COVID-19 Education Stabilization Fund Assistance Listing: COVID-19- 84.425D & 84.425U Grant Period: Year ending June 30, 2022 Condition: Payroll related expenditures were not supported by terms of the employment contract. Criteria: 2 CFR ?200.403 (g) Costs that meet general criteria in order to be allowable under federal awards must be adequately documented. Cause: Employment contracts were not prepared based on actual contract days. Context: A sample of 40 expenditures totaling $1,546,887 was selected for audit from a population of $3,350,305. The test found 10 items that were not in compliance with questioned costs totaling $311,952. Effect: The expenditures may be disallowed. Recommendation: Payroll-related expenditures need to be supported by the term of the employment contract. Employment contracts need to include actual contract days and the total amount of pay for those days. Repeat Finding from Prior Year: No Views of Responsible Officials and Planned Corrective Action: Due to lack of training and guidance the prior human resource director, did not complete contracts accurately and consistently. New human resource director has completed training. In addition, District has reviewed a portion of contracts from FY21 and all contracts for FY22 and implemented procedures to ensure amounts paid agree with contract terms. FY23 new procedures were in place at time contracts were written.