ACCLAIM CHARTER SCHOOLNon-Profit

Material Noncompliance and Material Weakness in Internal Control over Compliance 2021-001 Equipment and Real Property Management (noncompliance and material weakness in internal control) Department of Education COVID 19 ? Elementary and Secondary School Emergency Relief (ESSER I and II) Funds, FAL No. 84.425D, Award No. 20FESSER-010266-01A and 21FESSII-110266-01A American Rescue Plan Elementary and Secondary School Emergency Relief (ARP ESSER III) Fund, FAL No. 84.425U, Award No. 21FESIII-110-266-01A CRITERIA The School must maintain property and equipment records for equipment purchased with federal awards in accordance with 2 CFR ?200.313(d)(1). CONDITION The School did not maintain property and equipment records that included a serial number or other identification number; the source of funding; who hold title; the percentage of federal participation; the location; and use and condition of the property and equipment. EFFECT The School is not in compliance with the requirements for 2 CFR ?200.313(d)(1). CAUSE Unknown. This is the School?s first year purchasing equipment with federal awards. RECOMMENDATION AND BENEFIT The School should establish written policies and procedures requiring property and equipment records for equipment purchased with federal awards to be maintained in accordance with 2 CFR ?200.313(d)(1). The School should also have the contracted business services company involved in monitoring the completed property and equipment schedule to help ensure it is maintained in accordance with 2 CFR ?200.313(d)(1).