ENEMY SWIM DAY SCHOOL

2021-002 Department of Education Passed through the Bureau of Indian Education, if applicable 84.425D, Education Stabilization Fund (Elementary and Secondary School Emergency Relief Fund) Allowable Costs Material Weakness in Internal Control over Compliance and Material Non-Compliance Criteria: The CARES Act specifically notes that all allowable costs under the program are required to be incurred on or after March 13, 2020. Condition: During 2021, the School made a transfer to the Fiduciary Fund to cover costs allowed under the CARES Act; however, a portion of the expenses were incurred prior to the March 13, 2020, period of performance date noted in the CARES Act. Cause: The School was aware of the requirement but missed that a portion of the expenses were from a period prior to March 13, 2020. Effect: The School spent federal money on costs that were not allowed to be reimbursed with federal money due to the timing of when expenses were incurred. Questioned Costs: $36,616 for costs incurred prior to March 13, 2020. Context/Sampling: A sample was not used as this issue was noted in review of population of expenses noting dates prior to March 13, 2020. Repeat Finding from Prior Year(s): No Recommendation: As part of the audit procedures, an entry was posted to adjust the transfer made to move the transfer to the General Fund money for the $36,616 which were allowed to be covered by non-federal money. We recommend for future purchases that the School reviews the dates of expenses incurred to ensure specific federal program money can be used to cover those costs. Views of Responsible Officials: Management agrees with the finding.