Century Unit School District No. 100Local Government

Criteria: For internal controls, wages should be appropriately paid according to amounts authroized by the Board, and this authorization should be documented. Condition: During our tests of internal controls, it was discovered that two employees were paid incorrectly based on their step on the approved salary scale. Questioned Costs: $1,382.89. Context: Total salaries paid with these grant funds was approximately $176,802. Total salaries paid by the District was approximately $2,797,900. Effect: The District claimed salaries that were not allowable by the grant as the employees were overpaid based on the approved salary schedule. Cause: The District did not use the correct salary scale when setting up the salaries for these employees at the beginning of the year. Recommendation: We recommend the District pay its employees in accordance with Board approved amounts. Management's Response: The District will ensure that all employees are paid correctly based on the approved salary scale and step going forward.

Criteria: Per Title 2 CFR 200.512(d), "the data collection form must be submitted within the earlier of 30 calendar days after receipt of the auditors' report, or nine months after the end of the audit period. Condition: The District did not file their Data Collection form on time. The 2023 Data Collection Form was not filed until June 10, 2024. Questioned Costs: N/A. Context: The Data Collection form must be submitted to the Federal Audit Clearinghouse in a timely manner. Effect: The District is not in compliance with the Single Audit Act of 1984 and Title 2 U.S. Code of Federal Regulations (CFR) Part 200. Cause: The District requested assistance from the auditing firm to upload the required form with oversight by the District. The submission was overlooked after the audit was completed. Recommendation: We recommend that all required filings be submitted timely according to the Single Audit Act of 1984 and Title 2 U.S. Code of Federal Regulations guidelines. Management's Response: The Auditors discussed the issue with the District. A new checklist will be used with audit completion to ensure timely submission for the 2024 fiscal year.

Criteria: According to 2 CFR Section 180.300, when a non-federal entity enters into a covered transaction with an entity at a lower tier, the nonfederal entity must verify that the entity is not suspended, debarred or otherwise excluded. Condition: The District had transactions in excess of $25,000 with one vendor that they did not check for suspension and debarment or have a signed certification. Questioned Costs: None Context: Total payments to the vendor were $108,776 as of June 30, 2021. Effect: The District was at risk of making material payments to vendors who are not allowed to do business with the federal government. There was no noncompliance, but there was no internal control in place to prevent noncompliance. Cause: The District was not aware of this requirement. Recommendation: We recommend the District check the Excluded Parties List System or collect certifications from the entity for any vendor that the District expects to pay more than $25,000 for the year. Management's Response: We were not aware of this requirement, but we will ensure that we comply going forward.

Criteria: For grant reporting to be accurate, expenditures should only be claimed in the fiscal year in which they were actually spent. Condition: The District over reported expenditures for the fiscal year ended June 30, 2021 for the grant by claiming expenditures for fiscal year 2020 and fiscal year 2022 on the fiscal year 2021 expenditure reports. Questioned Costs: None Context: Total expenditures claimed for the grant were $399,387 for fiscal year ended June 30, 2021. Effect: Expenditures were not reported in the correct accounting period for these grants. Cause: There was a lack of oversight by the Superintendent on the preparation of the quarterly expenditure reports along with the supporting documentation used to prepare them by the Bookkeeper. The reports were prepared for the incorrect dates resulting in the inaccuracy. Recommendation: We recommend that the Superintendent review the quarterly expenditure reports and all supporting documentation to ensure all costs are reported accurately. Management's Response: The Superintendent will review the quarterly expenditure reports and all supporting documentation to ensure they are accurate going forward.