Finding Text
Federal Program Affected: ESSER Fund Compliance Requirement: Reporting Questioned Costs: None Condition and Cause: As in prior years, we were requested to draft the audited financial statements, and related footnote disclosures as part of our regular audit services. Additionally, we were requested to draft the schedule of expenditures of federal awards. Ultimately, it is management?s responsibility to provide for the preparation of the District?s statements and footnotes, and the responsibility of the auditor to determine the fairness of presentation of those statements. From a practical standpoint, we do both for the District at the same time in connection with our audit. This is not unusual for us to do with organizations of the District?s size. Criteria and Effect: It is our responsibility to inform the School Board this deficiency could result in a material misstatement to the financial statements that would have not been prevented or detected by the District?s management. Recommendation: As in prior years, we have instructed management to review a draft of the auditor prepared financials in detail for their accuracy; we have answered any questions they might have, and have encouraged research of any accounting guidance in connection with the adequacy and appropriateness of classification and disclosure in the District?s financial statements. We are satisfied that the appropriate steps have been taken to provide the District with the completed financial statements. It is the responsibility of management and the School Board to make the decision whether to accept the degree of risk associated with this condition because of cost or other considerations. Response/Corrective Action Plan: The District agrees with the above finding. See Corrective Action Plan.