Finding 7674 (2023-002)

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Requirement
L
Questioned Costs
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Year
2023
Accepted
2024-01-08
Audit: 10020

AI Summary

  • Core Issue: The School District failed to submit 10 financial reports on time, violating compliance requirements for reporting to ISBE.
  • Impacted Requirements: Timely filing of financial reports is essential; delays can lead to potential freezing of federal funds.
  • Recommended Follow-Up: Management should enhance internal controls and review policies to ensure timely reporting in the future.

Finding Text

Criteria or specific requirement (including statutory, regulatory, or other citation): The compliance requirements for "Reporting", requires that LEA's report financial information to the pass-through entity and that those reports are accurate and supported by the underlying accounting records. Condition: School District did not comply with the requirements of filing period and quarterly reports by the due date set by ISBE. A total of 10 reports were filed late. Questioned Costs: N/A. Context: The School District did not timely file multiple period and quarterly expenditure reports. The report for the period ending 11/30/2022, due 12/20/2022, was submitted on 01/11/2023 for grant 84.010. The report for the quarter ending 12/31/2022, due 01/20/2023, was submitted on 02/09/2023 for grant 84.425D. The reports for the quarter ending 12/31/2022, due 01/20/2023, were submitted on 02/10/2023 for grants 84.425W, 84.027X, 84.425C, and 84.173. The report for the quarter ending 3/31/2023, due 4/20/2023, was submitted on 05/12/2023 for grant 84.010. The report for the quarter ending 03/31/2023, due 04/20/2023, was submitted on 05/02/2023 for grant 84.425D. The report for the period ending 04/30/2023, due 05/20/2023, was submitted on 06/26/2023 for grant 84.365. The report for the period ending 05/31/2023, due 06/20/2023, was submitted on 06/26/2026 for grant 84.425U. Effect: The District was not compliant with reporting requirements. Due to the late filing of reports, ISBE could freeze the School District's federal funds. Cause: Policies and procedures are in place that provided reasonable assurance that reports of federal awards submitted to ISBE are filed in a timely manner by the due dates provided by ISBE. The School District did not follow this process. Recommendation: We recommend that management review its policies and procedures and implement changes to strengthen internal control over federal reporting. Management's response: The District has agreed with the findings and recommendations as presented. The District will review the reporting deadlines and file reports moving forward in a timely manner by the due dates.

Corrective Action Plan

Condition: School District did not comply with the requirements of filing period and quarterly reports by the due date set by ISBE. Plan: Management will review its policies and procedures and implement changes to strengthen internal control over federal reporting. Anticipated Date of Completion: 6/30/2024. Name of Contact Person: Joe Zotto, Superintendent. Management Response: Management will work together with staff to verify that reporting deadlines are met moving forward.

Categories

Reporting Subrecipient Monitoring

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
10.553 School Breakfast Program $235,464
93.778 Medical Assistance Program $102,740
84.367 Improving Teacher Quality State Grants $99,466
10.555 National School Lunch Program $47,600
84.365 English Language Acquisition State Grants $16,803
84.010 Title I Grants to Local Educational Agencies $1,215
10.649 Pandemic Ebt Administrative Costs $628
84.027 Special Education_grants to States $0
84.173 Special Education_preschool Grants $0
84.425 Education Stabilization Fund $0