Finding 622169 (2022-002)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-06-05
Audit: 40164
Organization: Regional School Unit No. 1 (ME)

AI Summary

  • Core Issue: The Unit lacks a consistent method for approving invoices and purchase orders, risking unallowable costs being charged to the program.
  • Impacted Requirements: Compliance with 2 CFR 200.303 is not being met due to insufficient internal controls.
  • Recommended Follow-Up: Develop and implement documented policies for a consistent approval process to ensure only allowable costs are charged.

Finding Text

2022-002 - Allowable Costs/Cost Principles Federal Program Information: Department of Education - ALN: - 84.425 - Education Stabilization Fund Criteria: The following CFR(s) apply to this finding: 2 CFR 200.303 Condition: During audit procedures, it was identified that the Unit does not have a consistent, documented method over invoice and/or purchase order approval to ensure that only allowable costs are being charged to the program. Cause: The Unit has not adopted a policy documenting consistent internal controls for invoice and/or purchase order approval to ensure that only allowable costs are charged to the program. Effect: The Unit is at an increased risk for unallowable cost to be charged to the program. Identification of Questioned Costs: None identified. Context: The population for the test consisted of transactions of over 250 expenditures. 63 samples were selected using the haphazard method. Of the 63 samples, 17 did not have consistent, documented approval of invoices and/or purchase orders to ensure that only allowable costs were being charged to the program. Repeat Finding: This is not a repeat finding. Recommendation: It is recommended that the Unit develop and implement policies and procedures for a consistent, documented approval process to ensure that only allowable costs are charged to the program. Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Regional School Unit 01.

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 45726 2022-001
    Significant Deficiency
  • 45727 2022-002
    Significant Deficiency
  • 45728 2022-001
    Significant Deficiency
  • 45729 2022-002
    Significant Deficiency
  • 45730 2022-001
    Significant Deficiency
  • 45731 2022-002
    Significant Deficiency
  • 45732 2022-001
    Significant Deficiency
  • 45733 2022-002
    Significant Deficiency
  • 45734 2022-001
    Significant Deficiency
  • 45735 2022-002
    Significant Deficiency
  • 45736 2022-001
    Significant Deficiency
  • 45737 2022-002
    Significant Deficiency
  • 622168 2022-001
    Significant Deficiency
  • 622170 2022-001
    Significant Deficiency
  • 622171 2022-002
    Significant Deficiency
  • 622172 2022-001
    Significant Deficiency
  • 622173 2022-002
    Significant Deficiency
  • 622174 2022-001
    Significant Deficiency
  • 622175 2022-002
    Significant Deficiency
  • 622176 2022-001
    Significant Deficiency
  • 622177 2022-002
    Significant Deficiency
  • 622178 2022-001
    Significant Deficiency
  • 622179 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $541,413
84.425 Education Stabilization Fund $375,432
10.553 School Breakfast Program $282,811
84.027 Special Education_grants to States $105,617
84.367 Improving Teacher Quality State Grants $103,121
10.555 National School Lunch Program $34,589
10.582 Fresh Fruit and Vegetable Program $5,989
84.173 Special Education_preschool Grants $5,584
10.575 Farm to School Grant Program $3,684
84.048 Career and Technical Education -- Basic Grants to States $1,337
10.649 Pandemic Ebt Administrative Costs $724
10.559 Summer Food Service Program for Children $616