Finding 618681 (2022-002)

Significant Deficiency Repeat Finding
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-01-29
Audit: 38762
Auditor: Atlas

AI Summary

  • Core Issue: The audit finding is a repeat from 2018, highlighting ongoing challenges with financial reporting due to insufficient staff.
  • Impacted Requirements: There are inadequate internal controls over financial reporting, which do not meet the standards set by grant agreements.
  • Recommended Follow-Up: Develop and implement policies to strengthen internal controls, despite management's concerns about practicality.

Finding Text

1. Audit Finding 2022-001 2. This finding is a repeat from a prior year. Year originally reported: 2018. 3. Criteria or specific requirement - Lack of staff to prepare and review financial reporting. 4. Condition - Financial reporting controls are limited due to small staff size. 5. Context - There is currently only one person performing many bookkeeping functions. 6. Effect - Significant deficiency in internal control over financial reporting not considered to be a material weakness. 7. Cause - Due to limited resources (staff, finances, IT improvements), the District is unable to maintain appropriate internal controls over financial reporting. 8. Recommendation - Implementation of policies and procedures that include appropriate internal controls over financial reporting, as required by grant agreements. 9. Management's Response - That is not practical due to staff size and finances.

Categories

Material Weakness Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 42238 2022-001
    Significant Deficiency Repeat
  • 42239 2022-002
    Significant Deficiency Repeat
  • 618680 2022-001
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $700,052
93.778 Medical Assistance Program $503,015
84.048 Career and Technical Education -- Basic Grants to States $116,107
84.126 Rehabilitation Services_vocational Rehabilitation Grants to States $96,200