{"database": "mytown-research", "table": "audit_findings", "rows": [[38, "wa-sao", "1021321", "2017-002", null, "WA", "Aberdeen School District No 5", "School District", "1882", null, "no_match", "Washington State Auditor's Office", "Financial and Federal audit \u2014 Aberdeen School District No 5", "Financial and Federal", 2017, "2016-09-01", "2017-08-31", "2018-05-17", "federal_award_compliance", "material_weakness", 0.0, "Questioned Cost Amount: $0", "The District did not have adequate internal controls to ensure compliance with the federal Title I grant requirements for the annual report card, high school graduation rate. CFDA Number and Title: 84.010 \u2013 Title 1 Grants to Local Educational Agencies Federal Grantor Name: U.S. Department of Education Federal Award/Contract Number: NA Pass-through Entity Name: Office of Superintendent of Public Ed", "Background \nThe objective of the Title I program is to improve the teaching and learning of \nchildren who are at risk of not meeting state academic standards and who reside in \nareas with high concentrations of children from low-income families. During fiscal \nyear 2017, the District spent $1,246,878 in Title I program funds. \nDistricts must report graduation rate data for all public high schools to the Office \nof Superintendent of Public Instruction (OSPI) annually. This is done by submitting \na Graduation Rate Report that indicates the student\u2019s enrollment status as \ngraduated, transferred out, dropped out, migrated to another country or deceased. \nThe district must retain adequate support for how it classifies a student\u2019s enrollment \nstatus. To confirm a student transferred out, the district must have official written \ndocumentation that the student enrolled in another school or in an educational \nprogram that culminates in the award of a regular high school diploma. \n \n \n \nWashington State Auditor's Office\n___________________________________________________________________________________________________________________\n \n \nDescription of Condition \nOur audit examined the District\u2019s documentation for students it classified as \n\u201ctransferred out.\u201d \nThe District\u2019s controls were not adequate to ensure it gathered the required \ndocuments to support its classification of students that left the District. Specifically, \nthe District did not obtain annual I ntent to Provide Home-Based Education forms \n(homeschool forms) for each student who left the District to be homeschooled. It \nalso did not obtain written documentation confirming students who transferred to \nanother district actually enrolled in the new district. Without these documents, the \nDistrict cannot report the students as a confirmed transfer. \nWe consider these control deficiencies to be material weaknesses. \nThis issue was not reported as a finding in the prior audit. \nCause of Condition \nDistrict staff were not aware of the documentation necessary to demonstrate \nstudents as confirmed transfers. \nEffect of Condition and Questioned Costs \nOut of nine transfers reviewed, four did not have proper documentation maintained. \nBy not maintaining proper documentation, the District cannot ensure it has \nprovided accurate reports to OSPI. Further, the District is at risk of incorrectly \ncalculating graduation rates. \nThere are no questioned costs associated with this compliance requirement. \nRecommendation s \nWe recommend the District establish controls to obtain and k eep documentation \nconfirming students that transfer out of the District are properly classified, \nincluding current homeschool forms and written notification confirming the student \nenrolled at the new District. \nDistrict\u2019s Response \nThe Aberdeen School District enrolls home schooled students who wish to register \nto take Running Start classes. In the past an Intent to Home School form was not \nrequired at the time of registration. The Aberdeen School District is changing that \nprocess and will now require any student who presents as a home school student to \ncomplete an Intent to Home School form with the enrollment packet. To ensure \ncontinuous enrollment and academic progress in a course of study. \n \n \nWashington State Auditor's Office\n___________________________________________________________________________________________________________________\n \n \nAuditor\u2019s Remarks \nWe thank the District for its c ooperation throughout the audit and the steps it is \ntaking to address these concerns. We will review the status of the District\u2019s \ncorrective action during our next audit \nApplicable Laws and Regulations \nThe American Institute of Certified Public A ccountants defines significant \ndeficiencies and material weaknesses in its Codification of Statements on Auditing \nStandards, section 935, Compliance Audits, paragraph 11. \nTitle 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative \nRequirements, Cost Principles, and Audit Requirements for Federal Awards \n(Uniform Guidance, section 303 \u2013 Internal controls, describes the requirements for \nauditees to maintain internal controls over federal programs and comply with \nfederal program requirements. \nTitle 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative \nRequirements, Cost Principles, and Audit Requirements for Federal Awards \n(Uniform Guida nce), section 516 Audit findings, establishes r eporting \nrequirements for audit findings. \nTitle 2 CFR Part 200, Uniform Guidance, Section 34 \u2013 High School Graduation \nRates, discusses requirements for reporting cohort graduation rates and changes in \nhow changes in student status are classified. \nTitle 34 CFR Part 200, Subpart A \u2013 Improving Basic Programs Operated by Local \nEducational Agencies, Section 200.19 \u2013 Other academic indicators \u2013 establishes \nthe requirement for Districts to have official written documentation to confirm a \nstudent transferred out. \n \n \n \n \n \n \n \n \n \nWashington State Auditor's Office\n___________________________________________________________________________________________________________________\n \n \nIND EPENDENT AUDITOR\u2019S R EPORT ON INTERNAL CO NTROL \nOVER FINANCIAL REPOR TING AND ON COMPLIAN CE AND \nOTHER MATTERS BASED ON AN AUDIT OF FINAN CIAL \nSTATEMENTS PERFORMED IN ACCORDANCE WITH \nGOVERNMENT AUDITING STANDARDS \n \nAberdeen School District No. 5 \nGrays Harbor County \nSeptember 1, 2016 through August 31, 2017 \n \nBoard of Directors \nAberdeen School District No. 5 \nAberdeen, Washington \nWe have audited, in accordance with auditing standards generally accepted in the United States of \nAmerica and the standards applicable to financial audits contained in Government Auditing \nStandards, issued by the Comptroller General of the United States, t he financial statements of \nAberdeen School District No. 5, Grays Harbor County, Washington, as of and for the year ended \nAugust 31, 2017, and the related notes to the financial statements, which collectively comprise the \nDistrict\u2019s financial statements, and have issued our report thereon dated May 16, 2018. \nWe issued an unmodified opinion on the fair presentation of the District\u2019s financial statements in \naccordance with its regulatory basis of accounting. We issued an adverse opinion on the fair \npresentation with regard to accounting principles generally accepted in the United States of \nAmerica (GAAP) because , as described in Note 1, the Accounting Manual for Public School \nDistricts in the State of Washington does not require the District to prepare the government-wide \nstatements presenting the financial position and changes in financial position of its governmental \nactivities as required by GAAP. The effects on the financial statements of the variances between \nthe basis of accounting described in Note 1 and accounting principles generally accepted in the \nUnited States of America, although not reasonably determinable, are presumed to be material. \n \nINTERNAL CONTROL OVER FINANCIAL REPORTING \nIn planning and performing our audit of the financial statements, we considered the District\u2019s \ninternal control over financial reporting (internal control) to determine the audit procedures that \nare appropriate in the circumstances for the purpose of expressing our opinion on the financial \nstatements, but not for the purpose of expressing an opinion on the effectiveness of the District\u2019s \n \n \nWashington State Auditor's Office\n___________________________________________________________________________________________________________________\n \n \ninternal control. Accordingly, we do not express an opinion on the effectiveness of the District\u2019s \ninternal control. \nA deficiency in internal control exists when the design or operation of a control does not allow \nmanagement or employees, in the normal course of performing their assigned functions, to prevent, \nor detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a \ncombination of deficiencies, in i nternal control such that there is a reasonable possibility that a \nmaterial misstatement of the District's financial statements will not be prevented, or detected and \ncorrected on a timely basis. A significant deficiency is a deficiency, or a combination of \ndeficiencies, in internal control that is less severe than a material weakness, yet important enough \nto merit attention by those charged with governance. \nOur consideration of internal control was for the limited purpos e described in the first paragraph \nof this section and was not designed to identify all deficiencies in internal control that might be \nmaterial weaknesses or significant deficiencies. Given these limitations, during our audit we did \nnot identify any defic iencies in internal control that we consider to be material weaknesses. \nHowever, material weaknesses may exist that have not been identified. \n \nCOMPLIANCE AND OTHER MATTERS \nAs part of obtaining reasonable assurance about whether the District\u2019s financial statements are free \nfrom material misstatement, we performed tests of the District\u2019s compliance with certain \nprovisions of laws, regulations, contracts and grant agreements, noncompliance with which could \nhave a direct and material effect on the determinatio n of financial statement amounts. However, \nproviding an opinion on compliance with those provisions was not an objective of our audit, and \naccordingly, we do not express such an opinion. \nThe results of our tests disclosed no instances of noncompliance or other matters that are required \nto be reported under Government Auditing Standards. \n \nPURPOSE OF THIS REPORT \nThe purpose of this report is solely to describe the scope of our testing of internal control and \ncompliance and the results of that testing, and not to provide an opinion on the effectiveness of the \nDistrict\u2019s internal control or on compliance. This report is an integral part of an audit performed \nin accordance with Government Auditing Standards in considering the District\u2019s internal control \nand compliance. Accordingly, this communication is not suitable for any other purpose. However, \n \n \n \n \nWashington State Auditor's Office\n___________________________________________________________________________________________________________________\n \n \nthis report is a matter of public record and its distribution is not limited. It also serves to \ndisseminate information to the public as a reporting tool to h elp citizens assess government \noperations. \n \nPat McCarthy \nState Auditor \nOlympia, WA \n \nMay 16, 2018 \n \n \n \n \nWashington State Auditor's Office\n___________________________________________________________________________________________________________________", "https://portal.sao.wa.gov/ReportSearch/Home/ViewReportFile?arn=1021321&isFinding=false&sp=false", "2026-07-30 13:24:54"]], "columns": ["rowid", "source", "report_number", "finding_number", "muni_id", "state", "entity_name", "entity_type", "entity_ext_id", "place_geoid", "match_method", "auditor", "report_title", "audit_type", "fiscal_year", "period_start", "period_end", "published_date", "finding_category", "severity", "questioned_cost", "cost_basis", "finding_title", "finding_text", "report_url", "fetched_at"], "primary_keys": ["rowid"], "primary_key_values": ["38"], "units": {}, "query_ms": 45.777950988849625, "source": "MyTown", "source_url": "https://mytown.theboringparts.com", "license": "CC BY 4.0", "license_url": "https://creativecommons.org/licenses/by/4.0/"}