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DCSD Corrective Action Plan - FY23 Audit

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Agenda Item

b. Approval of the FY 2023 Audit Corrective Action Plan

Summary: Presented by: Mr. Byron Schueneman, Chief Financial Officer, Division of Finance
Request: It is requested that the Board of Education approve the FY 2023 audit corrective action plan developed in response to Senate Bill 68 requirements. FY 2023 audit results stipulate the District’s designated risk level as being moderate. The District’s corrective action plan must be presented at a regular board meeting, signed by each board member, and submitted to the State Board of Education no later than 120 days from receiving audit results (June 28, 2025).
Why: Approval of the corrective action plan is in accordance with the provisions of Senate Bill 68.
Details: Senate Bill 68 stipulates that the Department of Audits and Accounts designate a risk level for each school system. The FY 2023 audit contained seven significant deficiency findings. These seven items result in the School District’s designated risk level being moderate. With this designation, the School District 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. The corrective action plan should be presented at a regular board meeting and signed by each board member.
Financial impact: No Financial Impact
Contact: Mr. Byron Schueneman, Chief Financial Officer, Division of Finance, 678.676.0270
Mr. Lance McConkey, Comptroller, Division of Finance, 678.676.0445
Effective: Upon Board Approval
Status: Attorney Approval Not Required
                                                                             Mrs. Deirdre P. Pierce, Board Chair
                                                                                Ms. Allyson Gevertz, Vice Chair
                                                                                           Mr. Andrew B. Ziffer
                                                                                        Ms. Whitney McGinniss
                                                                                           Tiffany Hogan, Ph.D.
                                                                                         Mr. Diijon DaCosta, Sr.
Dr. Devon Q. Horton, Superintendent                                                             Mr. Awet Eyasu

2023-001 Timely Financial Reporting and Maintenance of the General Ledger

Criteria: Timely and accurate financial reporting and maintenance of the general ledger of all funds
included in the financial statements of the School District to facilitate informed financial decisions by the
District’s management and those with oversight of management is imperative.

Corrective Action Plan:

The District has strengthened internal controls, policies, and procedures and ensured adherence through
improved monitoring.

Completed actions included:
   • Fully transitioned to a single ERP system, Munis, as of June 30th, 2024.
   • After the transition was complete, Finance analyzed and reconciled the general ledger and
      subsidiary ledgers in advance of fiscal year 2024 year-end close. During this time, account
      balances were reviewed, reconciled and appropriate entries were made to ledgers to ensure
      proper reporting.
   • After the fiscal year 2024 year-end close, the District’s fiscal year 2024 financial statement
      exhibits, notes, and schedules were completed in house and submitted timely before the
      December 31, 2024, deadline.
   • The Finance Division prepared in advance, maintained and provided supporting documentation
      to the Georgia Department of Audits and Accounts (DOAA) and the Georgia Department of
      Education (GaDOE) on or before established due dates. This includes but is not limited to timely
      submission of the CS-1 file, three DE-046 files, Transparency in Government (TIGA) file, Audit
      History file, as well as reconciled listings for subsidiary balances reported on the FY2024 financial
      statements.

Estimated Completion Date: Implementation completed in fiscal year 2024
Contact Person: Mr. Byron Schueneman, Chief Financial Officer
Telephone: 678-676-1200
E-mail: Byron_Schueneman@dekalbschoolsga.org




Robert R. Freeman Administrative Complex
1701 Mountain Industrial Blvd. | Stone Mountain, GA 30083
678.676.1200 | dekalbschoolsga.org
2023-002 Cash and Interfund Balances

Criteria: Internal controls should be in place to ensure financial statements properly present the
financial position of the District’s funds in accordance with generally accepted accounting principles and
that funds properly report cash balances and interfund payables and receivables.

Corrective Action Plan:

The District will strengthen internal controls, policies, and procedures and ensure adherence through
improved monitoring.

Completed actions include:
   • Fully transitioned to a single ERP system, Munis, as of June 30th, 2024.
   • After the transition was complete, Finance analyzed and reconciled several general ledger cash
      accounts within the Munis bank reconciliation module to ensure proper reporting. The following
      accounts are now actively being reconciled within Munis’s bank reconciliation module:
         o Athletics
         o SPLOST VI
         o School Food Nutrition (Catering)
         o Georgia Fund 1 accounts

Planned actions include:
    • Analyze and reconcile remaining bank accounts to the general ledger by bank and fund to ensure
      proper cash maintenance and reporting. The remaining funds to be completed and brought into
      Munis’s bank reconciliation module prior to June 30th, 2025, are:
          o General Operating Account (includes Accounts Payable and Payroll Clearing Accounts)
          o SPLOST V
          o School Food Nutrition
    • Partner with DebtBooks to develop a formal treasury management strategy. DebtBooks will
      provide an analytical tool that will help monitor cash balances and ensure appropriate balances
      are maintained in each account while maximizing interest earnings from Georgia Fund 1.
    • Repurposing an available, unfilled Finance position and create an Account II position over
      treasury maintenance that will monitor and maintain cash on a daily basis.
    • Utilizing smart sheets to improve the consistency and accuracy of month-end close procedures of
      the general ledger and monthly reporting and accuracy.

Estimated Completion Date: June 30, 2025
Contact Person: Mr. Byron Schueneman, Chief Financial Officer
Telephone: 678-676-1200
E-mail: Byron_Schueneman@dekalbschoolsga.org




Robert R. Freeman Administrative Complex
1701 Mountain Industrial Blvd. | Stone Mountain, GA 30083
678.676.1200 | dekalbschoolsga.org
2023-003 Receivables and Related Balances

Criteria: Internal Controls should be in place to ensure that amounts reported as receivables, revenues,
and unavailable revenues are appropriate and properly valued in accordance with generally accepted
accounting principles.

Corrective Action Plan:

The District has strengthened internal controls, policies, and procedures and ensured adherence through
improved monitoring.

Completed actions included:
   • The District’s fiscal year 2024 financial statement exhibits, notes, and schedules were completed
      in house.
   • All necessary financial statement entries, including receivables, were documented to accurately
      present the District’s fiscal year 2024 financial standing.

Estimated Completion Date: Implementation completed in fiscal year 2024
Contact Person: Mr. Byron Schueneman, Chief Financial Officer
Telephone: 678-676-1200
E-mail: Byron_Schueneman@dekalbschoolsga.org




Robert R. Freeman Administrative Complex
1701 Mountain Industrial Blvd. | Stone Mountain, GA 30083
678.676.1200 | dekalbschoolsga.org
2023-004 Allowable Costs

Program Name: Child Nutrition Cluster
Assistance Listing Number: 10.553 and 10.555

Criteria: In accordance with the terms of the Child Nutrition Grant and 2 CFR 200, Cost Principles for
States, Local Governments, and Indian Tribes, specific documentation must be maintained to support
salaries and wages charged to the federal program. Where employees are expected to work solely on a
single Federal award or cost objective, charges for their salaries and wages will be supported by periodic
certifications that the employees worked solely on that program for the period covered by the
certification. These certifications will be prepared at least semi-annually and will be signed by the
employee or supervisory official having first-hand knowledge of the work performed by the employee.
Where employees work on multiple activities or cost objectives, a distribution of their salaries or wages
will be supported by personnel activity reports or equivalent documentation.

Corrective Action Plan:

The District will strengthen internal controls, policies, and procedures and ensure adherence through
improved monitoring.

Planned actions include:
    • In February 2025, the Finance Division hired a School Nutrition Accountant to work
      collaboratively with the School Nutrition Department and provide dedicated financial and
      reporting support.
    • The Finance Division and the School Nutrition Department will review payroll detail reports and
      ensure periodic certifications for all employees are completed timely.
    • Completed periodic certifications will be gathered and maintained centrally.

Estimated Completion Date: Fiscal Year 2025
Contact Person: Dr. Connie Walker, School Nutrition Executive Director
Telephone: 678-676-1200
E-mail: Connie_R_Walker@dekalbschoolsga.org




Robert R. Freeman Administrative Complex
1701 Mountain Industrial Blvd. | Stone Mountain, GA 30083
678.676.1200 | dekalbschoolsga.org
2023-005 Equipment and Real Property Management

Program Name: Emergency Connectivity Funds
Assistance Listing Number: 32.009

Criteria: Internal controls should be in place to ensure that equipment and real property management
requirements are met as specified in the guidance provided by the Federal Communications Commission
(FCC). FCC guidance specified that the District was required to maintain asset inventories of the devices
purchased with the ECF program. The Uniform Guidance requires any recipients of federal awards to
comply with the equipment and real property management requirements indicated by the grantor
agency.

Corrective Action Plan:

The District will strengthen internal controls, policies, and procedures and ensure adherence through
improved monitoring.

Planned actions include:
    • Board policy DIB: Financial Reports, will be reviewed and updated to establish District reporting
      requirements around bulk purchases.
    • The Finance Division’s Capital Asset Department will ensure all Divisions are informed of the
      capitalization requirements and have on-going inquiries in monthly/quarterly meetings of any
      recent or upcoming purchases that may qualify.
    • The Finance Division will work with all Divisions to ensure qualifying purchases are recorded in
      the financial records and properly inventoried.

Estimated Completion Date: Fiscal Year 2025
Contact Person: Dr. Kermit Belcher, Chief Technology Officer
Telephone: 678-676-1200
E-mail: Kermit_Belcher@dekalbschoolsga.org




Robert R. Freeman Administrative Complex
1701 Mountain Industrial Blvd. | Stone Mountain, GA 30083
678.676.1200 | dekalbschoolsga.org
Presented to and approved by the DeKalb County Board of Education at the March 10, 2025, Board
Meeting.

Signed By:


Dr. Devon Q. Horton, Superintendent


Mrs. Deirdre P. Pierce, Board Chair


Ms. Allyson Gevertz, Vice Board Chair


Mr. Andrew B. Ziffer


Ms. Whitney McGinniss


Dr. Tiffany Hogan


Mr. Diijon DaCosta


Mr. Awet Eyasu




Robert R. Freeman Administrative Complex
1701 Mountain Industrial Blvd. | Stone Mountain, GA 30083
678.676.1200 | dekalbschoolsga.org