Committe of the Whole Presentation (added 07.08.2022)

Committee of the Whole
    July 11, 2022
Board of Education Meeting
FY 2021 AUDIT


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         FY 2021 Audit Timeline Improvements
  Audit Activity                  FY 2021                   FY 2020
Year End Close Complete    September 10-12, 2021     September 25-27, 2020

Audit Field Work Began     Financial and Federal –   Financial – January, 2021
                           November, 2021            Federal – November, 2020
DOAA Audit Report          March 31, 2021            April 28, 2021
Published
DOAA Single Audit Report   May 27, 2022              June 3, 2021
Published
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              FY 2021 Audit Results Improvements
• FY 2021 audit opinion is unmodified (clean audit opinion).
• Two previously reported findings were resolved and cleared.
   • Controls over Financial Reporting (Material Weakness)
   • Special Education – Improve Controls over Procurement (Significant Deficiency)
• One previously reported finding was partially resolved.
   • School Nutrition – Improve Controls over Equipment (Significant Deficiency)
• No Material Weakness findings were reported in FY 2021.
• Audit misstatements were less in number and dollar value amount.
• Audit team noted significant improvements throughout audit.
• Supporting documentation was more organized and properly maintained.
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               FY 2021 Audit Deficiencies
• Four Significant Deficiency Findings:
   1. Strengthen oversight of the Information System Conversion
   2. Strengthen Information Technology general controls
   3. Strengthen controls over Employee Compensation
   4. ESSER – Strengthen controls over expenditures
• Four Management Letter Comments:
   1. IT Disaster Recovery/Business Continuity planning
   2. Ledger maintenance
   3. Controls over Capital Assets
   4. Cash maintenance
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              Senate Bill 68 Risk Designation
• Senate Bill 68 Risk Designation – Moderate Risk.
• Georgia Department of Education (GDOE) has sent notification and the District
  will have 120 days from receipt of audit report (May 27, 2022) to develop a
  detailed corrective action plan.
• Corrective action plan must address the four FY 2021 significant deficiency
  findings and the FY 2020 partially resolved finding.
• This plan must be agreed upon by all Board members and include their
  signatures.
• Moderate Risk designation requires Superintendent and Board members to
  attend additional training provided by the State.
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                             NEXT STEPS
• DCSD will draft corrective action plans for the noted deficiencies to be adopted
  at the August 2022 board meeting.
• The plans will be developed with the ERP implementation team, DIIT, HR,
  Federal Programs, and School Nutrition Services.
• Finance will coordinate response development and prepare the resolution
  using the sample provided by the Department of Audits and Accounts (DOAA).
• Once adopted, each board member will be required to sign the resolution.
• Finance will coordinate delivery of the required training for the Board members
  and Superintendent. DOAA has indicated that the training requires 30-60
  minutes.



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QUESTIONS


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