SPARTA AREA SCHOOLS

Current Year Findings 2019-001 Internal Control/Federal Written Procedures Finding type: Significant deficiency in internal control over major programs. Criteria: Uniform Guidance, 2 CFR 200.303, requires that the District establish and maintain effective internal controls over Federal awards that provide reasonable assurance that the non-Federal entity is managing Federal awards in compliance with Federal statutes, regulations, and the terms and conditions of the federal award. Condition: The District did not consistently follow procedures established for the administering of Federal awards as documented in its Federal Written Procedures. Cause: The District?s business office did not update its Federal Written Procedures for Time and Effort reporting. Effect: District policies and procedures, as documented in its Federal Written Procedures, were not consistently adhered to. Control activities performed by the business office staff were ineffective or, in some cases, nonexistent, increasing the risk of noncompliance with requirements of Federal programs administered by the District. Questioned costs: $0 Context: The District did not update its Federal Written Procedures for Time and Effort reporting. Therefore, the District?s actual current procedures in this area do not follow what is outlined in its procedures document. Recommendation: We recommend that the District review its documented Federal Written Procedures and make revisions as necessary to ensure that actual procedures performed are consistent with written procedures, and that such procedures support an effective control environment that provides reasonable assurance that the District is in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Views of Responsible Officials: The District agrees with the finding and will review and revise its written procedures to reflect current policies.

2019-001 - Corrective Action: Annually, the District will review the Federal Written Procedures and make the necessary revisions to ensure actual procedures performed are consistent with the written procedures.