EIN: 860867843
UEI: RG6JEQ7G6RZ8
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on March 8, 2023. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by September 8, 2023, which was (1076 days ago).
What is a management decision? →REFERENCE: 2022-101 CFDA NUMBER 84.425d ? COVID 19 ? EDUCATION STABILIZATION FUND U.S. DEPARTMENT OF EDUCATION ? 2022 PASSED THROUGH ARIZONA STATE DEPARTMENT OF EDUCATION GRANT NUMBER: S425D210038 QUESTIONED COSTS N/A CONDITION Weekly certified payroll reports were not obtained from the construction contractor to be reviewed for compliance with Davis-Bacon prevailing wage rate requirements from the start of construction in June 2022 through July 2022. The certified payroll reports were obtained on July 29, 2022 and reviewed by the School?s staff. CRITERIA In accordance with 29 CFR Subtitle A, Part 5, Subpart A Davis-Bacon and Related Acts Provisions and Procedures, ? 5.5(a)(3)(ii)(A), the contractor shall submit weekly for each week in which any contract work is performed a copy of all payrolls to the (write in name of appropriate federal agency) if the agency is a party to the contract, but if the agency is not such a party, the contractor will submit the payrolls to the applicant, sponsor, or owner, as the case may be, for transmission to the (write in name of agency). The payrolls submitted shall set out accurately and completely all of the information required to be maintained under 29 CFR 5.5(a)(3)(i), except that full social security numbers and home addresses shall not be included on weekly transmittals. Instead the payrolls shall only need to include an individually identifying number for each employee (e.g., the last four digits of the employee's social security number). The required weekly payroll information may be submitted in any form desired. In accordance with 29 CFR Subtitle A, Part 5, Subpart A Davis-Bacon and Related Acts Provisions and Procedures, ? 5.5(a)(3)(ii)(B), Each payroll submitted shall be accompanied by a ?Statement of Compliance,? signed by the contractor or subcontractor or his or her agent who pays or supervises the payment of the persons employed under the contract and shall certify the following: (1) That the payroll for the payroll period contains the information required to be provided under ? 5.5 (a)(3)(ii) of Regulations, 29 CFR part 5, the appropriate information is being maintained under ? 5.5 (a)(3)(i) of Regulations, 29 CFR part 5, and that such information is correct and complete; (2) That each laborer or mechanic (including each helper, apprentice, and trainee) employed on the contract during the payroll period has been paid the full weekly wages earned, without rebate, either directly or indirectly, and that no deductions have been made either directly or indirectly from the full wages earned, other than permissible deductions as set forth in Regulations, 29 CFR part 3; (3) That each laborer or mechanic has been paid not less than the applicable wage rates and fringe benefits or cash equivalents for the classification of work performed, as specified in the applicable wage determination incorporated into the contract. In accordance with OMB Compliance Supplement, Part 4 ? Wage Requirements Cross-Cutting Section, Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements (which still may be referenced as the Davis-Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance (certified payrolls) (29 CFR sections 5.5 and 5.6; the A-102 Common Rule (section 36(i)(5)); OMB Circular A-110 (2 CFR Part 215, Appendix A, Contract Provisions); 2 CFR Part 176, Subpart C; and 2 CFR section 200.326). In accordance with OMB Compliance Supplement, Part 6 ? Internal Control, non-Federal entities receiving Federal awards establish and maintain internal control over the Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal awards in compliance with Federal statutes, regulations, and the terms and conditions of the Federal awards. EFFECT Program requirements were not complied with. The School may not complied with prevailing wage requirements. CAUSE Internal controls were not designed appropriately to ensure that documentation was obtained weekly for certified payroll reports to ensure compliance with prevailing wage requirements. RECOMMENDATION AND BENEFIT A process should be developed to obtain and review weekly certified payroll reports for construction services subject to Davis-Bacon. Documentation supporting prevailing wage requirements should be retained. This will help ensure that program and prevailing wage requirements are complied with. VIEWS OF RESPONSIBLE OFFICIALS See Corrective Action Plan.
REFERENCE: 2022-101 CFDA NUMBER 84.425d ? COVID 19 ? EDUCATION STABILIZATION FUND U.S. DEPARTMENT OF EDUCATION ? 2022 PASSED THROUGH ARIZONA STATE DEPARTMENT OF EDUCATION GRANT NUMBER: S425D210038 CLIENT RESPONSE AND CORRECTIVE ACTION PLAN We concur with the condition. 1. Name of the contact person responsible for corrective action: Donella Jurado 2. Corrective action planned: Ensure weekly payroll reports are received weekly and reviewed in comparison with Davis-Bacon prevailing wage rate requirements. 3. Anticipated completion date: This has already been done for current fiscal year (FY22 06/30/2022) and FY2023 (07/01/2022).
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on March 30, 2022. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by September 30, 2022, which was (1419 days ago).
What is a management decision? →REFERENCE: 2021-101 CFDA NUMBER 84.425d ? COVID 19 ? EDUCATION STABILIZATION FUND U.S. DEPARTMENT OF EDUCATION ? 2021 PASSED THROUGH ARIZONA STATE DEPARTMENT OF EDUCATION GRANT NUMBER: S425D200038 QUESTIONED COSTS N/A CONDITION Documentation was not available for review to demonstrate that the vendors had been reviewed for suspension or debarment prior to purchases being made. CRITERIA In accordance with 2 CFR 200.213 Suspension and debarment, Non-federal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR part 180. These regulations restrict awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in Federal assistance programs or activities. In accordance with OMB Compliance Supplement, Part 6 ? Internal Control, non-Federal entities receiving Federal awards establish and maintain internal control over the Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal awards in compliance with Federal statutes, regulations, and the terms and conditions of the Federal awards. EFFECT Program requirements were not complied with. The School may not have received the best pricing for goods or services. CAUSE Internal controls were not designed appropriately to ensure that documentation was retained for all applicable vendors to ensure that they were not suspended or debarred prior to purchases being made. RECOMMENDATION AND BENEFIT A control system should be developed and implemented to monitor when federal expenditures require procurement. All documentation supporting procurement should be retained. This will help ensure that program requirements are complied with and the School receives the uses vendors that have not been suspended or debarred.
REFERENCE: 2021-101 CFDA NUMBER 84.425d ? COVID 19 ? EDUCATION STABILIZATION FUND U.S. DEPARTMENT OF EDUCATION ? 2021 PASSED THROUGH ARIZONA STATE DEPARTMENT OF EDUCATION GRANT NUMBER: S425D200038 CLIENT RESPONSE AND CORRECTIVE ACTION PLAN We concur with the condition. 1. Name of the contact person responsible for corrective action: Donella Jurado 2. Corrective action planned: Ensure suspension or debarment is reviewed prior to any purchases being made at the beginning of the fiscal year. Also, to ensure all reviews are dated and save electronically. 3. Anticipated completion date: This has already been done for the current fiscal year.
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on January 30, 2020. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by July 30, 2020, which was (2211 days ago).
What is a management decision? →ARIZONA AGRIBUSINESS & EQUINE CENTER, INC. SCHEDULE OF FINDINGS AND QUESTIONED COSTS SECTION 3 ? FINDINGS AND QUESTIONED COSTS FOR FEDERAL AWARDS NONCOMPLIANCE AND MATERIAL WEAKNESS IN INTERNAL CONTROL JUNE 30, 2019 REFERENCE: 2019-101 CFDA NUMBER 84.282 ? CHARTER SCHOOLS U.S. DEPARTMENT OF EDUCATION - 2019 PASSED THROUGH ARIZONA STATE DEPARTMENT OF EDUCATION GRANT NUMBER: U282A150009 QUESTIONED COSTS N/A CONDITION For three purchases tested requiring procurement the following errors were noted: ? For 3 of 3 purchases, documentation was not available for review to demonstrate that the vendor had been reviewed for suspension or debarment prior to the purchases being made. ? For 1 of 3 purchases requiring procurement using small purchase methods, quotes were not available for review for the acquisition of $39,413 of equipment. ? For 1 of 3 purchases made, internal controls over procurement procedures, which required formal bids or a request for proposal, were not followed. Only two written quotes were obtained for the acquisition of $142,392 of equipment and furniture. CRITERIA In accordance with 2 CFR 215.320 Methods of Procurement to be Followed, the non-Federal entity must use one of the following methods of procurement. (a) Procurement by micro-purchases. Procurement by micro-purchase is the acquisition of supplies or services, the aggregate dollar amount of which does not exceed the micro-purchase threshold (?200.67 Micro-purchase). To the extent practicable, the non-Federal entity must distribute micro-purchases equitably among qualified suppliers. Micro-purchases may be awarded without soliciting competitive quotations if the non-Federal entity considers the price to be reasonable. (b) Procurement by small purchase procedures. Small purchase procedures are those relatively simple and informal procurement methods for securing services, supplies, or other property that do not cost more than the Simplified Acquisition Threshold. If small purchase procedures are used, price or rate quotations must be obtained from an adequate number of qualified sources. In accordance with 2 CFR 200.318 General Procurement Standards, (a) The non-Federal entity must use its own documented procurement procedures which reflect applicable State, local, and tribal laws and regulations, provided that the procurements conform to applicable Federal law and the standards identified in this part. (b) Non-Federal entities must maintain oversight to ensure that contractors perform in accordance with the terms, conditions, and specifications of their contracts or purchase orders. In accordance with 2 CFR 200.318 General Procurement Standards, (i) The non-Federal entity must maintain records sufficient to detail the history of procurement. These records will include, but are not necessarily limited to the following: rationale for the method of procurement, selection of contract type, contractor selection or rejection, and the basis for the contract price. In accordance with the School?s Internal Controls Guidelines, Procurement, Purchases made with Federal Funds, Procurements of $100,000 or more paid with federal funds must be made using Request for Proposal (RFP), Request for Qualifications (RFQ), Sealed Bid, Sole-Source, or through a Cooperative Purchasing Agreement such as Arizona?s State Procurement Office. If Sole-Source is used, documentation describing efforts made to identify sources, and the results of those efforts, shall be maintained on file in the Central office. In accordance with 2 CFR 200.213 Suspension and debarment, Non-federal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR part 180. These regulations restrict awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in Federal assistance programs or activities. In accordance with OMB Compliance Supplement, Part 6 ? Internal Control, non-Federal entities receiving Federal awards establish and maintain internal control over the Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal awards in compliance with Federal statutes, regulations, and the terms and conditions of the Federal awards. EFFECT Program requirements were not complied with. The School may not have received the best pricing for goods or services. CAUSE Internal controls were not followed for purchases in excess of $100,000. Additionally, internal controls were not developed to ensure that vendors were not suspended or debarred prior to purchases being made. RECOMMENDATION AND BENEFIT A control system should be developed and implemented to monitor when federal expenditures require procurement. All documentation supporting procurement should be retained. This will help ensure that program requirements are complied with and the School receives the best pricing for goods and services. (concluded)
Arizona Agribusiness & Equine Center Inc Address: 315 E. Mulberry Dr. ? Phoenix, AZ 85012 Phone: 602-297-8500 ? Fax: 602-297-8540 E-mail: info@aaechighschools.com Website: www.aaechighschools.com CORRECTIVE ACTION PLAN JUNE 30, 2019 REFERENCE: 2019-101 CFDA NUMBER 84.282 ? CHARTER SCHOOLS U.S. DEPARTMENT OF EDUCATION - 2019 PASSED THROUGH ARIZONA STATE DEPARTMENT OF EDUCATION GRANT NUMBER: U282A150009 CLIENT RESPONSE AND CORRECTIVE ACTION PLAN We concur with the condition. 1. Name of the contact person responsible for corrective action: Donella Jurado, Finance & Operations Manager. 2. Corrective action planned: AAEC is currently aware of this item since December of 2019 and has implemented the following procedure. The Finance & Operations Manager will monitor to ensure that the charter utilizes the Arizona State Procurement for purchases of $100,000.00 or more. The Assistant Executive Director will serve as a secondary monitor on all requisitions to ensure that the charters remain in compliance. In reference to debarment finding, the Finance Manager will annually verify suspension or debarment for all vendors used routinely. This verification will also be performed for new vendors prior to procuring goods or services from the vendor. 3. Anticipated completion date: 1/15/2020
Data source: This information comes from the Federal Audit Clearinghouse, the official repository of Single Audit data. All data is public domain. Verify this organization's audit history at fac.gov.
Track your findings and corrective action plans across audit cycles.
Start tracking findings →Monitor subrecipient audit findings and compliance status.
Start monitoring →Single Audit Intelligence is an independent tool powered by Federal Audit Clearinghouse data. Not affiliated with GSA, OMB, or any federal agency.