EIN: 262041512
UEI: UALXXNL586N6
Audited by: Heveron and Company CPAs, PLLC
Oversight agency: 84 [Department of Education]
View federal awards & risk assessment →
Data as of September 7, 2026
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on January 2, 2026. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by July 2, 2026 (69 days ago).
What is a management decision? →FAC accepted this audit on October 28, 2024 — management decision was due April 28, 2025.
FAC accepted this audit on November 13, 2023 — management decision was due May 13, 2024.
FAC accepted this audit on November 27, 2022 — management decision was due May 27, 2023.
The Davis-Bacon Act (the Act) requires contractors to pay federally prescribed prevailing wages to laborers for federally-funded construction projects that exceed $2,000. Grant recipients must include in construction contracts a provision requiring contractors and subcontractors to comply with the Act. Additionally, grant recipients must have controls in place to ensure the contractors and subcontractors are in compliance. We found the School did not have adequate internal controls in place to ensure compliance with the Act. Context: The School entered into two contracts for construction greater than $2,000 that did not include prevailing wage requirements as required, one funded with each grant, ESSER and ARP ESSER. The total construction contract related to the ESSER grant to date totaled $1,433,266 of which $277,174 was funded with the ESSER grant this year. The total construction contract related to the ARP ESSER grant was $1,981,026 of which $757,400 was funded with grant funds this year. Both contracts included costs for labor and materials although the cost of materials ($372,377) on the ESSER grant exceeded the federal funding spent and on the ARP ESSER grant, only $22,400 of the $757,400 was used for labor. The School did not have controls in place to know that the contracts should include provisions for the prevailing wages to be paid. Effect: This could have resulted in an underpayment of wages to laborers working on the project. Cause: The School was not aware of the Act and thus, did not have proper controls in place to ensure all compliance requirements were met. Recommendation: The School should ensure that processes are in place to require contractors and subcontractors to comply with the Act, including proper provisions in any construction contracts over $2,000. The School should also require documentation that the contractors are following the regulations and paying proper wages and the School should review and confirm that the contractors are compliant. Views of responsible officials and planned corrective actions: The School is in the process of reviewing the rules and designing and implementing controls to ensure compliance with the Act.
Show full finding ▾Hide full finding ▴Criteria and Condition: The Davis-Bacon Act (the Act) requires contractors to pay federally prescribed prevailing wages to laborers for federally-funded construction projects that exceed $2,000. Grant recipients must include in construction contracts a provision requiring contractors and subcontractors to comply with the Act. Additionally, grant recipients must have controls in place to ensure the contractors and subcontractors are in compliance. We found the School did not have adequate internal controls in place to ensure compliance with the Act. Context: The School entered into two contracts for construction greater than $2,000 that did not include prevailing wage requirements as required, one funded with each grant, ESSER and ARP ESSER. The total construction contract related to the ESSER grant to date totaled $1,433,266 of which $277,174 was funded with the ESSER grant this year. The total construction contract related to the ARP ESSER grant was $1,981,026 of which $757,400 was funded with grant funds this year. Both contracts included costs for labor and materials although the cost of materials ($372,377) on the ESSER grant exceeded the federal funding spent and on the ARP ESSER grant, only $22,400 of the $757,400 was used for labor. The School did not have controls in place to know that the contracts should include provisions for the prevailing wages to be paid. Effect: This could have resulted in an underpayment of wages to laborers working on the project. Cause: The School was not aware of the Act and thus, did not have proper controls in place to ensure all compliance requirements were met. Recommendation: The School should ensure that processes are in place to require contractors and subcontractors to comply with the Act, including proper provisions in any construction contracts over $2,000. The School should also require documentation that the contractors are following the regulations and paying proper wages and the School should review and confirm that the contractors are compliant. Views of responsible officials and planned corrective actions: The School is in the process of reviewing the rules and designing and implementing controls to ensure compliance with the Act.
Finding 2022-001 - Elementary and Secondary School Emergency Relief Fund (ESSER)- COVID-19 - Assistance Listing No. 84.425D and American Rescue Plan - Elementary and Secondary School Emergency Relief(ARP ESSER) - COVID-19 -Assistance Listing No. 84.425U Recommendation: The School should ensure that processes are in place to require contractors and subcontractors to comply with the Act, including proper provisions in any construction contracts over $2,000. The School should also require documentation that the contractors are following the regulations and paying proper wages and the School should review and confirm that the contractors are compliant. Action Taken: In regard to the ESSER II Grant finding; the school signed a contract without a prevailing wage requirement with the best bidder and the school used its general funds to pay the contractor for its labor-related charges which are generally allowed for the charter schools. The total project cost is $1,433,266 of which only $277,174 is paid using the Federal ESSER II Grant. The cost of the materials for this project is a minimum $372,377(See Document#1). The remaining amount of the cost is a combination of the materials and the labor costs. The school's intention was to use ESSER II funds to pay for materials only. The school will contact its NYSED ESSER Agency to find out if this finding can be removed based on the aforementioned clarification. In regard to the ESSER III Grant finding; the school signed a contract without a prevailing wage requirement with the best bidder and the school used its general funds to pay the contractor for its labor related charges except the labor cost of $22,400 (See Document#2). The total project cost as of 6-30-2022 is $1,981,026 of which $757,400 is from the Federal ESSER III Grant. The school paid $735,000 for materials only. The remaining $22,400 was paid for the labor. We will contact NYSED ESSER Agency to amend the Federal Grant to remove payment for labor and replace it with materials because the total cost for materials only is more $757,400. As a result of the amendment, all of the Federal Funds will be used for covering materials cost only. The school still improve its current procedures to align with the federal requirements for future projects if Federal Grant will be used for the construction wages. The school will educate the Business Administrator, CEO and the Finance Committee on the requirements of the Davis-Bacon Act. The school will add the requirement to its federal procurement policy and procedures. The school will also add this requirement to its bid proposal for any future federally funded construction contracts in excess of $2,000. The finance committee will review and approve any future federally funded construction contracts over $2,000 so that they can ensure the proper verbiage is included. The Business Administrator will monitor the contractors involved to ensure that they are complying with wage requirements. The CEO will monitor the Business Administrator and ensure this is occurring. See Corrective Action Plan for chart/table.
The Davis-Bacon Act (the Act) requires contractors to pay federally prescribed prevailing wages to laborers for federally-funded construction projects that exceed $2,000. Grant recipients must include in construction contracts a provision requiring contractors and subcontractors to comply with the Act. Additionally, grant recipients must ensure that the contractors and subcontractors are in compliance. We found the School did not comply with the Act. Context: The School entered into two contracts for construction greater than $2,000 that did not include prevailing wage requirements as required, one funded with each grant, ESSER and ARP ESSER. The total construction contract related to the ESSER grant to date totaled $1,433,266 of which $277,174 was funded with the ESSER grant this year. The total construction contract related to the ARP ESSER grant was $1,981,026 of which $757,400 was funded with grant funds this year. Both contracts included costs for labor and materials although the cost of materials ($372,377) on the ESSER grant exceeded the federal funding spent and on the ARP ESSER grant, only $22,400 of the $757,400 was used for labor. Neither construction contract included a provision requiring the contractors to comply with the Act and thus, the contractor may not have paid the proper prevailing wages. Effect: This could have resulted in an underpayment of wages to laborers working on the project. Cause: The School was not aware of the requirements of the Act. Recommendation: The School should ensure that all federally funded construction contracts over $2,000 should include the required provision to follow the Act and the School should ensure that the contractors are following the regulations and paying proper wages. Views of responsible officials and planned corrective actions: The School is in the process of reviewing the rules and designing and implementing controls to ensure compliance with the Act.
Show full finding ▾Hide full finding ▴Criteria and Condition: The Davis-Bacon Act (the Act) requires contractors to pay federally prescribed prevailing wages to laborers for federally-funded construction projects that exceed $2,000. Grant recipients must include in construction contracts a provision requiring contractors and subcontractors to comply with the Act. Additionally, grant recipients must ensure that the contractors and subcontractors are in compliance. We found the School did not comply with the Act. Context: The School entered into two contracts for construction greater than $2,000 that did not include prevailing wage requirements as required, one funded with each grant, ESSER and ARP ESSER. The total construction contract related to the ESSER grant to date totaled $1,433,266 of which $277,174 was funded with the ESSER grant this year. The total construction contract related to the ARP ESSER grant was $1,981,026 of which $757,400 was funded with grant funds this year. Both contracts included costs for labor and materials although the cost of materials ($372,377) on the ESSER grant exceeded the federal funding spent and on the ARP ESSER grant, only $22,400 of the $757,400 was used for labor. Neither construction contract included a provision requiring the contractors to comply with the Act and thus, the contractor may not have paid the proper prevailing wages. Effect: This could have resulted in an underpayment of wages to laborers working on the project. Cause: The School was not aware of the requirements of the Act. Recommendation: The School should ensure that all federally funded construction contracts over $2,000 should include the required provision to follow the Act and the School should ensure that the contractors are following the regulations and paying proper wages. Views of responsible officials and planned corrective actions: The School is in the process of reviewing the rules and designing and implementing controls to ensure compliance with the Act.
Finding 2022-002 - Elementary and Secondary School Emergency Relief Fund (ESSER) - COVID-19 - Assistance Listing No. 84.425D and American Rescue Plan - Elementary and Secondary School Emergency Relief (ARP ESSER) - COVID-19 - Assistance Listing No. 84.425U Recommendation: The School should ensure that all federally funded construction contracts over $2,000 should include the required provision to follow the Act and the School should ensure that the contractors are following the regulations and paying proper wages. Action Taken: Details of the process and action plan explained above still applies to here. In addition to securing future processes if Federal Grant is used; the School will ensure that all future federally funded construction contracts over $2,000 will include the required provision to follow the Act. The Business Administrator will monitor the contractors involved in any future contracts to ensure that they are complying with wage requirements. The CEO will monitor the Business Administrator and ensure this is occurring.
FAC accepted this audit on November 2, 2021 — management decision was due May 2, 2022.
Data source: This information comes from the Federal Audit Clearinghouse, the official repository of Single Audit data. All data is public domain. Verify this organization's audit history at fac.gov.
Browse other Single Audit organizations in New York →
Track your findings and corrective action plans across audit cycles.
Start tracking findings →Add it to a monitored group and get alerted when a new audit, finding, repeat finding, or management-decision deadline shows up — instead of checking back.
Checking several at once? Portfolio view →
© 2026 Single Audit Intelligence. All data is public domain.
