Clearance Letter - SB 68

                                                      July 19, 2023

Vasanne S. Tinsley, Ed.D.
Interim Superintendent
DeKalb County Board of Education
1701 Mountain Industrial Boulevard
Stone Mountain, Georgia 30083

Subject: Audit Report - Year Ending June 30, 2022

Dear Dr. Tinsley:

The Financial Review Section of the Georgia Department of Education has the responsibility to follow-up and
close audit reports which show findings and improper or questioned costs, as shown in the above-mentioned
audit report, for funds (state and/or federal) disbursed by this Department.

Indirect Cost Rate Calculation
Federal guidelines require the indirect cost rate to be calculated with final, audited expenditure data. Please
complete the attached worksheet, including all adjustments posted to the DE 46 by either the school system
or auditors. Disaggregate the adjustments by fund, function, and object. The worksheet will need to be
submitted even if your school system does not currently recover indirect costs, as the FY 2022 expenditures
are needed for future rate calculations. Failure to provide the requested information could restrict your
system from participating in indirect cost recovery in future fiscal years. Please return the worksheet via email
within 30 days to Jasmine Williams, jasmine.williams@doe.k12.ga.us.

Clearance of Audit Report
As described in Section II and Section III, Financial Statement Findings and Questioned Costs and Federal
Award Findings and Questioned Costs, which addresses the audit findings in the above-mentioned Audit
Report, our comments on each finding, by audit control number, are as follows:

   FS 2022-001
   Strengthen Oversight of the Information System Conversion
   Your Corrective Action Plan states the district is developing corrective action plans to strengthen oversight
   of the Munis conversion from Legacy. This finding should show resolution as of Fiscal Year 2024.

   FS 2022-002
   Strengthen Information Technology General Controls
   Your Corrective Action Plan states the district is developing corrective action plans to strengthen
   Information Technology internal controls, policies, and procedures and ensure adherence through
   improved monitoring. This finding should show resolution as of Fiscal Year 2024.
                    1652 Twin Towers East • 205 Jesse Hill Jr. Drive • Atlanta, GA 30334 • www.gadoe.org
2                                                                             Dr. Vasanne Tinsley



    FS 2022-003
    Internal Control Procedures
    Your Corrective Action Plan states that you currently developing a detail plan to strengthen Finance
    internal controls, policies, and procedures relative to this finding. With the full implementation of this
    plan, this finding should show resolution as of Fiscal Year 2024.

    FS 2022-004
    Strengthen Controls over Employee Compensation
    Your Corrective Action Plan states that you currently developing a detail plan to strengthen internal
    control controls, policies, and procedures relative to this finding. With the full implementation of this
    plan, this finding should show resolution as of Fiscal Year 2024.

    FA 2022-001
    Improve Budgetary Controls over Expenditures
    This finding is pending review by the Federal Programs Division of the Georgia Department of Education to
    determine if a refund is appropriate.

    FA 2022-002
    Improve Controls over Indirect Costs
    This finding is pending review by the Federal Programs Division of the Georgia Department of Education to
    determine if a refund is appropriate.

    FA 2022-003
    Improve Controls over Equipment
    This finding is pending review by the Federal Programs Division of the Georgia Department of Education.

Thank you for your cooperation during the audit resolution process. Our file on this audit report is pending
resolution of finding FA-2022-001, FA 2022-002, and FA 2022-003.


Moderate Risk Designation
Per Official Code of Georgia Annotated Section 20-2-67 (as amended per Senate Bill 68 during the 2020
legislative session), the Department of Audits and Accounts (DOAA) is required to designate a risk level for
each school system. Those school systems with irregularities or budget deficits reported for three or more
consecutive years are classified as high-risk. School systems with irregularities or budget deficits reported for
one or two consecutive years are classified as moderate risk. Based on the Audit Committee Letter dated June
29, 2023, DeKalb County Board of Education has been designated as moderate risk. With that designation, the
superintendent is required to submit to the State Board of Education, within 120 days of the date of the Audit
Committee Letter, a detailed corrective action plan regarding the risk status. The corrective action plan should
include specific changes to the internal control structure of the school system that are designed to reduce the
risk status of the district from moderate risk. Please note this corrective action plan is separate from the
corrective action you may have submitted as part of the audit process. The corrective action plan should be
presented to the local board of education in a regular meeting and signed by each board member. After local
3                                                                            Dr. Vasanne Tinsley


board approval, please submit the signed corrective action plan via email to Jasmine Williams,
jasmine.williams@doe.k12.ga.us. The designation by the Department of Audits and Accounts is based on the
following findings:

       FS 2022-001 Strengthen Oversight of the Information System Conversion
       FS 2022-002 Strengthen Information Technology General Controls
       FS 2022-003 Internal Control Procedures
       FS 2022-004 Strengthen Controls over Employee Compensation
       FA 2022-001 Improve Budgetary Controls over Expenditures
       FA 2022-002 Improve Controls over Indirect Costs
       FA 2022-003 Improve Controls over Equipment
       And the related prior year findings

Additionally, as the Superintendent, you are required to attend financial management and financial
governance training, pursuant to Office Code of Georgia Annotated Section 20-2-109 (as amended per Senate
Bill 68 during the 2020 legislative session). You will be notified of the available training dates when set.

Lastly, the Office of Student Achievement is also notified of the DOAA-designated risk status.

                                     Sincerely,



                                     Jasmine Williams
                                     Financial Review

cc: Bryon Schueneman, Chief Financial Officer
    Stacey Lutz, Office of Student Achievement