FY25 Corrective Action Plan

AID 2005847 · View on Simbli

Agenda Item

c. Approval of Fiscal Year 2025 Audit Corrective Action Plan (CAP)

Summary: Presented by: Mr. Byron Schueneman, Chief Financial Officer, Division of Finance
Request: It is requested that the DeKalb County Board of Education approve the fiscal year 2025 audit corrective action plan (CAP) developed in response to Senate Bill 68 requirements. Fiscal year 2025 audit results stipulate the District’s designated risk level as being high. 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 after our Audit Committee Letter (audit results) dated March 27, 2026.
Details: Senate Bill 68 stipulates that the Department of Audits and Accounts designate a risk level for each school district. The fiscal year 2025 audit contained one federal program significant deficiency (FA).

FA 2025-001 Improve Controls over Employee Compensation

This repeat finding results in the District’s designated risk level being high. Due to this designation, the District is required to submit to the State Board of Education a detailed corrective action plan within 120 days of the Audit Committee Letter (dated March 27, 2026). The corrective action plan should be presented at a regular board meeting and signed by each board member.
Contact: Mr. Byron Schueneman, Chief Financial Officer, Division of Finance, 678.676.0270
Effective: Upon Board Approval
                                                                    Ms. Allyson Gevertz, Board Chair, District 4
                                                                         Mr. Awet Eyasu, Vice Chair, District 7
                                                                                Mr. Andrew B. Ziffer, District 1
                                                                             Ms. Whitney McGinniss, District 2
                                                                               Mrs. Deirdre P. Pierce, District 3
Dr. Norman C. Sauce III                                                         Tiffany Hogan, Ph.D., District 5
Interim Superintendent of Schools                                             Mr. Diijon DaCosta, Sr., District 6

FA 2025-001 Improve Controls over Employee Compensation

Internal Control Impact: Significant Deficiency

Description:

The policies and procedures of the School District were insignificant to provide adequate internal
controls over the employee compensation process as it relates to the Child Nutrition Cluster.

   i.      One employee was paid on the incorrect scale and thus was overpaid by $4,903.
   ii.     Two employees were paid on the incorrect pay scale and thus were underpaid by $1,287.
   iii.    Additional pay totaling $967 for 2 employees was incorrectly charged to the federal program.
   iv.     Documentation of retrospective pay totaling $317 could not be located for 1 employee.

Corrective Action Plan

Addressing Pay Scale Assignment Issues

i and ii. To correct errors related to pay scale assignments and prevent future overpayments or
underpayments, Human Resources will implement the following actions:
    • Immediate initiation of payment plans to recover any identified overpayments.
    • Compensation provided to employees who were underpaid, ensuring equity and fairness.
    • A comprehensive audit of School Nutrition Assistants' compensation to verify proper grade and
         step placements, completed by December 31, 2026.
    • Review and approval of all salary table imports by the Director of Human Resource Information
         Systems.
    • Implementation of compensation validation protocols for all new hires, job changes, and pay
         adjustments.




Robert R. Freeman Administrative Complex
1701 Mountain Industrial Blvd. | Stone Mountain, GA 30083
678.676.1200 | dekalbschoolsga.org
Ensuring Accurate Payroll Cost Allocation

iii. To ensure payroll costs are allocated to appropriate funding sources, the Division of Finance will
enact these corrective measures:
      • Evaluation of funding sources for all supplemental payments processed outside the Time and
         Attendance system by the Director of Accounting and Financial Reporting or their appointed
         designee.
      • Review of all position control charge codes associated with additional duties by the Director of
         Budget or designated representative, with special focus on positions funded by federal sources.

Enhancing Payroll Transaction Documentation

iv. To guarantee proper supporting documentation for all payroll transactions, Human Resources will
establish the following procedures:
     • Implementation of a centralized digital recordkeeping system for maintaining and tracking all
        payroll-related documentation, including:
     • Salary quotes and changes
     • Pay adjustment approvals
     • Retroactive pay supporting documentation




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