Finding 622073 (2022-003)

Material Weakness
Requirement
F
Questioned Costs
-
Year
2022
Accepted
2023-05-22

AI Summary

  • Core Issue: The Center did not record a heat pump and three furnaces worth $25,000 in their capital asset listing, violating federal requirements for property management.
  • Impacted Requirements: This finding breaches 2 CFR § 200.313(d)(1), which mandates detailed property records including descriptions, funding sources, and acquisition details.
  • Recommended Follow-up: The Treasurer and Superintendent should implement stronger controls to ensure all capital assets are properly documented and monitored.

Finding Text

Equipment Management Finding Number: 2022-003 Assistance Listing Number and Title: AL # 84.425C, Education Stabilization Fund- Governor's Emergency Education Relief Federal Award Identification Number / Year: 2022 Federal Agency: U.S. Department of Education Compliance Requirement: Section F: Equipment and Real Property Management Pass Through Entity: Ohio Department of Education Repeat Finding from Prior Audit? No Noncompliance and Material Weakness 2 CFR ? 3474.1 gives regulatory effect to the Department of Education for 2 CFR ? 200.313(d)(1) which provides that property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the Federal award identification number), who holds title, the acquisition date, cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property. The Center purchased a heat pump and three furnaces in the amount of $25,000 using their Governor's Emergency Education Relief (AL#84.425C) federal funding; however, they failed to add these assets to their capital asset listing due to a failure in adequately designed controls. The failure to properly record assets can lead to difficulties maintaining accountability for the related assets. The Treasurer and Superintendent should monitor transactions and ensure that all capital additions are properly documented in the capital assert records.

Categories

Equipment & Real Property Management Procurement, Suspension & Debarment Material Weakness

Other Findings in this Audit

  • 45631 2022-003
    Material Weakness
  • 45632 2022-004
    Material Weakness
  • 45633 2022-002
    Material Weakness
  • 45634 2022-002
    Material Weakness
  • 45635 2022-002
    Material Weakness
  • 45636 2022-002
    Material Weakness
  • 45637 2022-002
    Material Weakness
  • 622074 2022-004
    Material Weakness
  • 622075 2022-002
    Material Weakness
  • 622076 2022-002
    Material Weakness
  • 622077 2022-002
    Material Weakness
  • 622078 2022-002
    Material Weakness
  • 622079 2022-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.600 Head Start $83,067
93.310 Trans-Nih Research Support $64,345
84.027 Special Education_grants to States $58,044
84.173 Special Education_preschool Grants $17,717
93.575 Child Care and Development Block Grant $17,145
10.558 Child and Adult Care Food Program $9,291
84.010 Title I Grants to Local Educational Agencies $9,147
84.425 Education Stabilization Fund $8,564
93.590 Community-Based Child Abuse Prevention Grants $990