Linden-Kildare Consolidated Independent School District

Identification of Federal Program: Elementary and Secondary School Emergency Relief (ESSER) – AL #84.425D Criteria or specific requirement (including statutory, regulatory, or other citation): Allowable Costs: Section 18003(d) of the ARP Act provides a list of allowable LEA ESSER activities Condition: During our review of the District’s ESSER revenues and expenditures for the current year, it was noted that the final drawdown made in September 2024 was not reduced for TCLAS amounts previously received and did not contemplate other expense reversals that were recorded at year-end. Cause: Due to the transition of personnel within the payroll and business office during the year, the District did not properly account for amounts that were previously requested under the grant as well as expense reversals that occurred near year-end. Effect or Potential Effect: The net impact of these errors resulted in the District having requested funds in excess of expenditures totaling $34,664. Questioned Costs: As of year-end, the District had requested but not yet received $34,664 for those associated expenditures. Context: The District requested $34,664 in unallowable cost reimbursements in the current year. Recommendation: We recommend that the District implement additional controls to monitor compliance with federal program guidelines. View of Responsible Officials: See corrective action plan.

Due to the transition of personnel within the payroll and business office during the year, the District did not properly account for amounts that were previously requested under the grant as well as expense reversals that occurred near year-end. The District will take the recommendation of the auditors and implement additional controls to monitor compliance with federal program guidelines.