FAC Explorer

Finding 771282 (2022-002)

Material Weakness
Requirement
ABEILN
Questioned Costs
-
Year
2022
Accepted
2023-09-20
Audit: 178617
Organization: Grundy Center Community School District (IA)
Auditor: Nolte Cornman & Johnson PC

AI Summary

  • Core Issue: One employee has too much control over multiple financial areas, risking incompatible duties.
  • Impacted Requirements: This violates the principle of segregation of duties, which is crucial for internal controls.
  • Recommended Follow-up: Review and redistribute responsibilities to ensure no single employee manages conflicting tasks.

Finding Text

One important aspect of the internal control structure is the segregation of duties among employees to prevent an individual employee from handling duties which are incompatible. We noted one individual has control over portions of one or more of the following areas for the District relating to major federal programs; cash, investments, inventories, receipts, disbursements, payroll, journal entries, computer systems and the school nutrition program. See finding 2022-001.

Categories

Internal Control / Segregation of Duties

Other Findings in this Audit

  • 194838 2022-002
    Material Weakness
  • 194839 2022-002
    Material Weakness
  • 194840 2022-002
    Material Weakness
  • 771280 2022-002
    Material Weakness
  • 771281 2022-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $408,927
84.425 Education Stabilization Fund $124,337
84.010 Title I Grants to Local Educational Agencies $53,115
10.553 School Breakfast Program $46,304
84.367 Supporting Effective Instruction State Grants $12,133
84.424 Student Support and Academic Enrichment Program $10,000
84.027 Special Education_grants to States $4,505
10.559 Summer Food Service Program for Children $3,919
10.649 Pandemic Ebt Administrative Costs $614