JOINT SCHOOL DISTRICT NO. 2Local Government

2022-002 Federal Agency Name: Federal Communications Commission Federal Financial Assistance Listing/CFDA Number: 32.009 Program Name: COVID-19 Emergency Connectivity Fund Compliance Requirement ? Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria: The Federal Communications Commission (the Commission) has determined that $400 is a reasonable, maximum support amount for connected devices. Applicants may request a waiver of the reasonable support amount for connected devices, if the reasonable cost to purchase devices for students, school staff, or patrons with disabilities is higher than $400 and the public interest warrants deviation from the general rule. Condition: The District purchased laptops with a per unit cost greater than the $400 limit and initially charged this amount to the grant. As a result of our audit procedures the excess cost was identified and covered by other allowable funding. Cause: A control was not in place to ensure that the excess cost was not charged to the grant. Effect: The grant may have been overcharged for amounts that were not allowable or had not received a waiver. Questioned Costs: None reported Context/Sampling: Tested 3 of 3 invoices charged to the grant accounting for 100% of Emergency Connectivity Fund expenditures for allowable costs/cost principles testing. Repeat Finding from Prior Year: No Recommendation: The District should establish a process to ensure that allowable costs are appropriately charged to the grant in accordance with the grant application or grant agreement. Views of Responsible Officials: Management agrees with the findings.

2020-001 U.S. Department of Agriculture passed through State Department of Education CFDA# 10.553, 10.555, 10.559 Child Nutrition Cluster Cash Management Significant Deficiency in Internal Control over Compliance Criteria: 2 CFR Section 200.305 indicates that when non-federal entities are funded under the reimbursement method, that the costs for which reimbursement was requested occurred prior to the date of the reimbursement request. Condition: During our testing of compliance there was 1 instance in our sample of cash draws where the supporting documentation did not support the requested reimbursement. Cause: The District?s existing control procedures for reviewing cash draws was not strong enough to identify that incorrect data was submitted for reimbursement. Effect: The District requested reimbursement for the incorrect dollar amount. Questioned Costs: None Reported Context/Sampling: A nonstatistical sample of 60 count sheets of meals served from March 20, 2020 ? June 30, 2020 out of 1,679 counts sheets of meals served and requested for reimbursement. Repeat Finding from Prior Year: No Recommendation: The District should review the current control process over the reimbursement requirement to ensure accuracy. Views of Responsible Officials: The District agrees with the finding.