Finding Text
Finding 2022-004: Compliance with Davis Bacon Act and Lack of Documentation on Expenditures of Federal Awards Condition: The District?s internal control system was not designed to monitor the requirements of the Davis Bacon Act, specifically the prevailing wage requirements, for federal expenditures of the Elementary and Secondary School Emergency Relief Funds (ESSER II). The District lacked proper documentation for Davis Bacon Act monitoring on construction projects of the Elementary and Secondary School Emergency Relief Funds. Criteria: The District should monitor the requirements of the Davis Bacon Act, when applicable, and obtain proper documentation for construction projects required for the expenditures of federal awards. Effect of the Condition: The District is not in compliance with the requirements of the Davis Bacon Act and lacked proper documentation for construction projects required for the expenditures of federal awards. Cause of the Condition: The District did not realize that federal expenditures of the Elementary and Secondary School Emergency Relief Funds (ESSER II) were subject to the Davis Bacon Act. Recommendation: The District should obtain the proper documentation for the prevailing wage requirements when subject to the Davis Bacon Act and ensure that all expenditures of federal awards have proper documentation supporting the expenditure. Auditee Response: The District will obtain the documentation supporting the prevailing wage requirements under the Davis Bacon Act and will obtain the proper documentation to support the expenditures of federal awards.