SCHOOL ADMINISTRATIVE DISTRICT NO. 31

Criteria: Uniform Guidance requires that the reporting package be submitted to the Federal Uniform Guidance clearinghouse within the earlier of: 9 months from the date of the end of the fiscal year or 30 days from the release of the audited financial statements. Condition: Delays in general ledger account reconciliations resulted in a delay of the completion of the audited financial statements. Cause: The District administrative structure changed effective July 1, 2025 resulting in establishment of a new district office and new administrative personal. Effect: Unreconciled general ledger account balances allow for errors to go undetected and results in inaccurate and possibly incomplete financial records for decision making. Recommendation: We recommend that general ledger account reconciliations be maintained regularly over the course of the fiscal year to avoid delays in preparing the accounting records for annual audit. Management’s Response: Management concurs with the finding.

Name of Contact Person: Jeffrey Hartung, Finance Director. Corrective Action: Management concurs with the recommendation and is working toward more timely completion and closing of the accounting records for audit. Proposed Completion Date: Immediately.