Finding Text
2023-010 Coronavirus Relief Funding (CRF) Reporting – Repeated 2021/2022-018 CFDA Title: CRF CFDA Number: 21.019 Federal Award Number: N/A Federal Agency: U.S. Department of Treasury Pass-through Entity: Montana Governors Office Condition: The District continues to report the CRF funding received in fiscal year 2021 for Local Over schedule Transportation as expended which was not supported by the accounting records, and has not taken steps to resolve the liabilities. This is a repeat finding from the prior year audit. Context: In the prior audits, it was identified that CRF Local Over Schedule Transportation monies had not been spent and was determined it was owed back to state because the District was not able to provide documentation to support the money being used. In the current fiscal year, we followed with the District on this issue and it was not able to provide supporting documentation to support the funding being used and no action was taken to reach out to appropriate departments at state to determine how to resolve. Criteria: CRF Local Over Schedule Transportation monies were for additional pupil transportation related expenses related to the Coronavirus during the pandemic period of March 1, 2020, through December 30, 2020. Those expenditures related to this funding should be separately identified in the accounting system to support the amount reported. Any unspent funds at December 30, 2020 were to be sent back to the state. Effect: Noncompliance with the reporting requirement of CRF funding existed in the prior periods as the accounting system does not support expenditures for CRF Local Over schedule Transportation monies received, and therefore should be sent back to the state agency that provided the funding. Cause: The District was not properly accounting for the CRF funding as provided by the Montana Office of Public Instruction chart of accounts and did not code expenditures related to the funding directly to the grant monies. Recommendation :We recommend the District identify directly any expenditures which were for additional pupil transportation costs related to Coronavirus, then return any funding received which was not expended. In addition, the District should reach out to the Montana State Department of Commerce to work through how to submit the money back if no costs can be identified for that period.