Finding 977712 (2023-012)

Material Weakness
Requirement
B
Questioned Costs
$1
Year
2023
Accepted
2024-06-19

AI Summary

  • Core Issue: The Board failed to provide necessary documentation for employee salary allocations to the Education Stabilization Fund.
  • Impacted Requirements: This lack of documentation violates 2 CFR 200.430(i), which mandates proper records for personnel expenses across multiple funding sources.
  • Recommended Follow-up: Implement controls to ensure time and effort reports are maintained for all employees working on federal and non-federal awards.

Finding Text

Title 2 U.S. Code of Federal Regulations, Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards (Uniform Guidance), 2 CFR 200.430(i) outlines the standards for documenting personnel expenses. The current standards require that the distribution of an employee's salary or wages among specific activities or cost objectives must be supported by adequate documentation if the employee works on more than one federal award or a federal award and a non-federal award. While testing payroll expenditures coded to the Education Stabilization Fund, four instances were noted in which an employee's salary was allocated to the Education Stabilization Fund and to other programs, but no time and effort reports or other documentation were provided to document the time the employee spent working on a specific program. Controls were not in place to ensure that the Board maintained time and effort reports or other adequate documentation that supported the distribution of employees' salaries to the Education Stabilization Fund. As a result, the Board is not in compliance with Uniform Guidance as it pertains to the documentation required for personnel expenses charged to the Education Stabilization Fund.

Categories

Questioned Costs Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 401270 2023-012
    Material Weakness
  • 401271 2023-012
    Material Weakness
  • 401272 2023-012
    Material Weakness
  • 977713 2023-012
    Material Weakness
  • 977714 2023-012
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $1.11M
84.425 Education Stabilization Fund $270,243
10.553 School Breakfast Program $256,485
10.555 National School Lunch Program $55,507
84.367 Supporting Effective Instruction State Grants $53,125
84.424 Student Support and Academic Enrichment Program $49,612
84.048 Career and Technical Education -- Basic Grants to States $39,039
84.027 Special Education_grants to States $32,578
12.U01 Rotc $32,075
84.358 Rural Education $25,096
84.173 Special Education_preschool Grants $11,371
96.001 Social Security_disability Insurance $180