Finding 634766 (2022-001)

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Requirement
AB
Questioned Costs
-
Year
2022
Accepted
2023-03-18

AI Summary

  • Core Issue: The School District did not keep proper time and activity reports for employees funded by the Title I grant.
  • Impacted Requirements: Documentation must include signed personnel activity reports or semiannual certifications, prepared at least monthly.
  • Recommended Follow-up: Implement a robust internal control system to ensure compliance with federal documentation requirements for employee time records.

Finding Text

Finding No. 2022-001 Information on the Federal Program Title I Grants to Local Educational Agencies Federal Assistance Listing No. 84.010 Criteria or Specific Requirement The Appendix to 2 CFR Part 225 requires an employee whose salary and wages are supported, in whole or in part, with Federal Funds to document his/her time spent working on Federal programs in order to ensure that charges to each Federal program reflect an accurate account of the employee?s time and effort devoted to that program. There are two allowable types of documentation: semiannual certifications and personnel activity reports. Condition The School District failed to maintain proper time and activity reports for employees charged to the Title I grant. Questioned Costs N/A - None Context During our testing of the Title I program, we noted that various employee salaries were split between Federal programs without maintaining proper personnel activity reports, at least monthly. While some documentation was maintained, the reports were not signed by the employee and were not prepared at least monthly, as required. In addition, one employee tested who worked solely on Title I, did not have a semiannual certification on file, as required. Effect or Potential Effect The District did not comply with federal grant requirements and there is a risk the School District could face penalties if selected for any type of monitoring by the State. Cause A breakdown in internal controls over ensuring proper time records are being maintained. Identification as a Repeat Finding The condition did not exist in the immediately preceding fiscal year. Recommendation That the District maintain an effective system of internal control over Federal programs as required by the Appendix to 2 CFR Part 225, requiring proper time records for Federal supported salaries. View of Responsible Officials and Planned Corrective Action The responsible officials agree with the finding and will address the matter as part of their corrective action plan.

Categories

Subrecipient Monitoring Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.425 Arp- Esser III $3.03M
84.425 Esser II $1.63M
10.555 National School Lunch Program $1.62M
84.027 Special Education - Grants to States - Part B $1.16M
10.553 School Breakfast Program $607,723
84.010 Title I Grants to Local Educational Agencies $455,206
84.027 Arp - Special Education - Grants to States - Part B $191,798
84.425 Coronavirus Aid Relief and Economic Security Act (cares) $136,407
10.555 National School Lunch Program - Commodities (noncash) $134,202
21.019 Additional Or Compensatory Special Education & Related Services $82,967
84.425 Learning Acceleration - Esser II $77,982
93.778 Medical Assistance Program (semi) $66,316
84.173 Special Education - Preschool Grants $36,275
84.358 Student Support and Academic Enrichment Grants (title Iv) $33,603
84.367 Supporting Effective Instruction State Grants (title Ii) $25,697
84.425 Mental Health - Esser II $24,432
10.555 After School Snacks $20,329
84.173 Arp - Special Education - Preschool Grants $16,311
84.048 Carl D. Perkins - Secondary $10,223
84.365 English Language Acquisition Grants (title Iii) $8,282
10.649 P-Ebt Administrative Cost $3,135