Finding 943208 (2023-003)

-
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-02-09
Audit: 289769
Organization: North Wasco County Sd #21 (OR)
Auditor: Sensiba LLP

AI Summary

  • Core Issue: The District failed to obtain certified payroll reports for construction projects funded by ESSER, which is required to ensure workers are paid the prevailing wage.
  • Impacted Requirements: Compliance with federal regulations regarding the monitoring of contractor wage payments was not met, despite the contract including the prevailing wage clause.
  • Recommended Follow-Up: The District should establish a new policy to obtain certified payroll reports for future construction projects funded by federal programs to ensure compliance.

Finding Text

Information on Federal Program: AL 84.424, Elementary and Secondary School Emergency Relief Fund (ESSER), US Department of Education, Award Year: July 1, 2022 – June 30, 2023, Compliance Requirement: N – Special Tests and Provisions (Construction of Assets); Type of Finding: Noncompliance Criteria: Construction of real property using ESSER funds requires the contract to specify that workers will be paid the prevailing wage rate. To monitor the contractor’s compliance with the requirement, the District is required to obtain and review certified payroll reports documenting the contractor’s compliance. Condition: The District did not obtain the required certified payroll reports. Context: While certified payroll reports were not obtained, the District did comply with related provisions, including the inclusion of the contract provision to pay prevailing wage rates contained in the contract with the contractor. Cause: The District’s current policy for obtaining certified payroll reports is compliant with state requirements, and did not contemplate the lower threshold required by federal regulation. Effect: The District did not confirm that the contractor who performed the work paid its workers the prevailing wage as required. Recommendation: We recommend the District implement policy for any upcoming real property construction to be funded using federal programs to ensure that prevailing wage requirements are monitored by use of obtaining certified payroll reports. Views of Responsible Officials: The District agrees with this finding and will adopt additional policies relating to construction projects with federal funds.

Categories

Special Tests & Provisions Equipment & Real Property Management

Other Findings in this Audit

  • 366766 2023-003
    -
  • 366767 2023-004
    Significant Deficiency
  • 943209 2023-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $5.00M
10.553 School Breakfast Program $359,154
84.287 Twenty-First Century Community Learning Centers $263,602
10.665 Schools and Roads - Grants to States $179,393
10.555 National School Lunch Program $75,042
84.010 Title I Grants to Local Educational Agencies $71,640
84.365 English Language Acquisition State Grants $64,826
84.424 Student Support and Academic Enrichment Program $63,950
10.559 Summer Food Service Program for Children $60,867
84.060 Indian Education_grants to Local Educational Agencies $57,789
84.367 Improving Teacher Quality State Grants $52,080
84.027 Special Education_grants to States $39,600
32.009 Emergency Connectivity Fund Program $34,620
10.558 Child and Adult Care Food Program $21,516
84.013 Title I State Agency Program for Neglected and Delinquent Children and Youth $14,566
84.173 Special Education_preschool Grants $3,383