Finding 622010 (2022-005)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-01-15
Audit: 48008
Organization: Suring Public School District (WI)

AI Summary

  • Core Issue: The District lacks sufficient documentation to confirm compliance with internal control procedures for approving grant expenditures.
  • Impacted Requirements: Compliance with the Uniform Guidance on allowable costs is at risk due to inadequate record-keeping.
  • Recommended Follow-Up: Review and improve documentation processes to ensure all Board-approved expenditures are organized and easily retrievable.

Finding Text

Federal Agency: U.S. Department of Education Federal Program Name: IDEA Cluster Assistance Listing Number: 84.027 and 84.173 Pass-Through Agency: Wisconsin Department of Public Instruction Pass-Through Numbers: 2022-425670-DPI-FLOW-341, 2022-425670-DPI-FLOW-344, 2022-425670-DPI-PRESCH-347, 2022-425670-DPI-PRESCH-346 Award Period: 07/01/2021 ? 06/30/2022 Type of Finding: ? Significant Deficiency in Internal Control Over Compliance Compliance Requirement: Allowable Costs. Criteria or Specific Requirement: Uniform Guidance establishes allowable cost guidelines that must be adhered to in order to be in compliance with grant requirements. Determining whether a cost is allowable or not is dependent upon the District?s internal controls, specifically the review and approved of expenditures charge to the grant that verifies whether the expenditure is an allowable cost. Condition: The District was unable to provide sufficient supporting documentation in order for CLA to verify that they followed established internal control procedures related to approving grant expenditures. Questioned Costs: None. Context: When the Board of Education approved expenditures and the financial information at the monthly meetings, District staff did not keep organized documentation of all the information that was provided to the Board in order to be able to verify that the Board of Education approved certain credit card transactions from the year. Cause: The District was unable to provide supporting documentation related to the approval of three credit card charges in two separate months. Effect: Without adequate supporting documentation, federal and state agencies could potentially question if the expenditure was allowable. Repeat Finding: No Recommendation: We recommend the District review current procedures and record-keeping processes to verify key information that is presented to and/or approved by the Board of Education is kept in a central location and organized in a manner in which the documentation can be reproduced if needed. Views of Responsible Officials: Management agrees with this finding.

Categories

Allowable Costs / Cost Principles Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 45561 2022-004
    Material Weakness
  • 45562 2022-004
    Material Weakness
  • 45563 2022-004
    Material Weakness
  • 45564 2022-004
    Material Weakness
  • 45565 2022-004
    Material Weakness
  • 45566 2022-005
    Significant Deficiency
  • 45567 2022-005
    Significant Deficiency
  • 45568 2022-005
    Significant Deficiency
  • 45569 2022-005
    Significant Deficiency
  • 622003 2022-004
    Material Weakness
  • 622004 2022-004
    Material Weakness
  • 622005 2022-004
    Material Weakness
  • 622006 2022-004
    Material Weakness
  • 622007 2022-004
    Material Weakness
  • 622008 2022-005
    Significant Deficiency
  • 622009 2022-005
    Significant Deficiency
  • 622011 2022-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $143,218
84.287 Twenty-First Century Community Learning Centers $82,537
84.425 Education Stabilization Fund $76,348
93.778 Medical Assistance Program $67,253
10.553 School Breakfast Program $43,659
84.358 Rural Education $32,328
84.367 Improving Teacher Quality State Grants $23,525
84.027 Special Education_grants to States $20,796
10.555 National School Lunch Program $17,758
84.424 Student Support and Academic Enrichment Program $11,327
10.559 Summer Food Service Program for Children $4,736
84.048 Career and Technical Education -- Basic Grants to States $2,173
84.173 Special Education_preschool Grants $1,782