request for proposals #3096 audit of financial statements...jcps prepares and prints the entire cafr...

Request for Proposals #3096 Audit of Financial Statements

1. Are there any pain points in the current audit process that you would like to see improved? The school activity fund portion of the audit has traditionally required a massive amount of audit hours for approximately 3% of JCPS revenues and 0.5% of JCPS assets. These funds are traditionally the highest risk funds at JCPS, though, so we understand that these will remain a higher audit priority than their size. The law (702 KAR 3:130) requires that the school activity fund must be audited; however, this law changed effective for the 2019-2020 school year redefining the term “school activity fund” from meaning an individual school bank account to meaning the compiled fund of all school bank accounts. This permits the selected audit firm to perform an efficient, risk-based audit. The school activity bank account data is in a centralized, cloud-based accounting system called EPES. Numerous reports can be exported into Excel for analysis and planning.

2. How long have you been working with your current auditor?

We have been with our current audit firm since 1997.

3. Is the current audit firm allowed to bid on this RFP? The current firm is allowed to bid.

4. Please provide a summary of prior year hours associated with related to the services described in

the RFP. We do not have this information.

5. Approximately how many audit staff were onsite, and for how long during interim and year end

fieldwork? Main CAFR/Single Audit: Two or three staff with intermittent manager-level support and review School activity funds: Three or four with two manager-level reviewers off site (potential decrease of effort as explained in question number 1)

6. During a typical year, how many school activity funds does the auditor test, on average? On

average, how many hours did your audit firm spend, per school activity fund? Under the previous administrative regulation, all 167 schools were audited in person by the external audit firm. The winning bidder during our last RFP allocated 59% of the audit fee to school activity funds. As explained in question number 1, we anticipate this will decrease as efficiencies can be introduced into school activity fund auditing.

7. Were there any waived or posted audit adjustments for FY 2019?

Philosophically, JCPS prefers recording every proposed audit adjustment so our financials are as accurate as possible. Most adjustments are made based on JCPS review and posting. During the FYE 2019, we made less than five adjustments recommended by our auditors but made dozens of year end accruals, receivables, unrecorded liabilities, and estimated long-term items entries based on JCPS staff work.

8. Was a management letter issued in the prior year, and if so can you please provide a copy to us?

Both the main audit management letter and the spreadsheet of school activity findings required by the Kentucky Department of Education will be provided.

9. Approximately how long have key financial/accounting personnel been with JCPS? Have there been any recent key changes or are key changes expected? CFO/Treasurer Cordelia Hardin – 29 years Executive Administrator of Accounting Edward Muns CPA – 19 years Executive Administrator of Payroll Gina Kokojan – 17 years Supervisor of Accounting Hannah Lehman CPA – 5 years Supervisor of Grants and Awards Accounting Linda Miller – 7 years (less than one year in accounting) Director of Internal Audit Jodi Renn CPA CIA CFE – 1.5 years Coordinator of Accounting Susan Porter – 8 years Coordinator of Grants & Awards Accounting – Kim Wolf 18 years We do not anticipate any changes to these key financial/accounting personnel.

10. How many people are in the IT Department and what are their roles? Have there been any recent

key changes or are key changes expected? Our IT division has well over 100 staff, as shown in the organization charts provided. The division is organized into three departments – Information (traditional IT functions), Integration (technology training), and Innovation (introduction of new technology). The entire Innovation department is new with a new Executive Administrator. The Integration department has a new Executive Director of Technology Integration who was promoted from within the department. The division has been stable otherwise.

11. Were there any significant changes in operations in the current year vs. prior year including

changes in policies and procedures, or personnel? The Chief Operations Officer position is currently open. The Executive Administrator of Transportation position turned over at the beginning of the current year, and Transportation & Vehicle Maintenance is now led by Donald Robinson. No other changes of audit significance.

12. Are there any new federal or state awards in excess of $750,000 anticipated for FY 20?

None.

13. Are there any issuances of debt or refinancing expected for FY 20? We issue a bond in most fiscal years and expect to later this year.

14. Please confirm management prepares the CAFR.

JCPS prepares and prints the entire CAFR other than the audit opinion pages.

The Single Audit report (addendum to the CAFR) is prepared by auditor. JCPS provides the Schedule of Federal Expenditures for inclusion into this report.

The compilation report(s) of school activity funds is (are) prepared by the auditors.

The data collection form is to be completed by the auditors with JCPS approvals required.

This is discussed on page 24 of the RFP.

15. When does management anticipate having the draft CAFR available for auditor review?

We anticipate the first draft version of the general purpose financial statements (financial section of the CAFR) will be available on October 9.

16. Please indicate the preferred method for the audit firm to negotiate certain terms and conditions of the standard contract. If awarded the contract, please discuss these matters with Wyatte Wynn of JCPS Bids department.

17. In accordance with the AICPA Independence rules, the financial statement auditors may be able

to provide internal audit assistance and still maintain their independence. Based on our understanding of the services to be provided as stated in RFP #3096 and #3097, we believe the same accounting firm can provide both services. If the same firm is considered to be the best option for each RFP will you select them for both services? No, we will be selecting two different firms. Or is it your intention to hire 2 separate firms for the internal and external audit services? Yes, two different firms will be selected.

18. Will any consideration be given to a firm if they have no significant personnel or office in Jefferson

County? Yes, firm/staff residency is not an evaluation criteria Or if they have no significant personnel or office in the commonwealth of Kentucky? Yes, firm/staff residency is not an evaluation requirement

19. In RFP #3096 it is stated that detail testing of every school activity fund was performed in prior

years, however, going forward the school activity fund audit will be based on a risk evaluation and sampling determined appropriate by the audit firm. Is the amount of detail testing determined solely at the auditor’s discretion or will JCPS management request or require the auditors to perform detail testing at certain schools? This is entirely at the professional discretion of the audit firm except that the fund, as a whole, must be audited.

20. Will the Internal Audit Department of JCPS be available to perform certain audit procedures to

assist the external auditors with their audit of the financial statements? Given the limited internal audit resources, there are no plans for internal audit to assist the external auditors. However, if the selected firm would like to rely on the work performed by Internal Audit in the execution of their annual audit plan, internal audit is willing to share its work papers, etc. If so, approximately how many hours can be allocated to assist with the financial statement audit? No additional hours available.

21. On both RFPs (#3096 and #3097), page 6, Article 5 - Quotation Forms, under 5.5, it states: The

small sealed envelope should be marked "Proposal" and may be placed inside the large envelope, marked "Quotation." This is contradictory to what 5.3, 5.4, the Cost Schedule Form, Proposal Form, and Vendor Checklist say which is the opposite. Please confirm that the small sealed envelope should be marked "Quotation" and may be placed inside the large envelope, marked "Proposal”. We apologize for this error. The smaller envelope should include your firm’s Cost Schedule Form and should be sealed in an envelope marked “Quotation.” This sealed “Quotation” envelope should be included with your firm’s proposal responses and may be placed in a larger envelope that is marked “Proposal.”

22. Who handles the application of new standards, such as the new GASB standard related to leasing? JCPS makes every effort to stay on top of new GASB standards since we are responsible for preparing our own financial statements; however, we appreciate any assistance and resources we can get, including the assistance of our audit firm, to ensure we are following the standards accurately.

Communication of Management Comments Members of the Board and Management Board of Education of Jefferson County, Kentucky Louisville, Kentucky In planning and performing our audit of the financial statements of the governmental activities, the business-type activities, each major fund, the component unit, and the aggregate remaining fund information of Board of Education of Jefferson County, Kentucky (the “District”) as of and for the year ended June 30, 2019, in accordance with auditing standards generally accepted in the United States of America, we considered the District's internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the District’s internal control. Accordingly, we do not express an opinion on the effectiveness of the District’s internal control. Our consideration of internal control was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that would not be identified. However, as discussed below, we identified certain deficiencies in internal control that we consider to be significant deficiencies. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or combination of deficiencies in internal control, such that there is a reasonable possibility that a material misstatement of the District’s financial statements will not be prevented, or detected and corrected on a timely basis. We did not identify any deficiencies in internal control that we consider to be material weaknesses. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. During our audit, we became aware of deficiencies in internal control other than significant deficiencies or material weaknesses, and other matters that are opportunities for strengthening internal controls and operating efficiency that we have included in this letter. We will review the status of these comments during our next audit engagement. We have already discussed these comments and suggestions with various District personnel, and we will be pleased to discuss them in further detail at your convenience, to perform any additional study of these matters, or to assist you in implementing the recommendations.

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The District’s written responses to the comments identified in our audit have not been subjected to the audit procedures applied in the audit of the financial statements and, accordingly, we express no opinion on them. This communication is intended solely for the information and use of the Members of the Board, management and others within the District, and the Kentucky Department of Education, and is not intended to be and should not be used by anyone other than these specified parties. Louisville, Kentucky November 12, 2019

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Current Year Comments and Management Responses Board of Education of Jefferson County, Kentucky June 30, 2019

Item 2019-1 – School Activity Funds Condition & Criteria: Kentucky Department of Education requires all Kentucky schools to follow the “Redbook” in accounting for School Activity Funds. Currently, many schools are not properly following the policies/requirements of the Redbook when accounting for the various activities of the schools. Cause: Redbook policies/requirements were not followed by bookkeepers/principals in accounting for the various activities at the school in areas such as multiple receipt forms, ticket sales, invoice approval, and transfers. Effect: Non-compliance with Kentucky Department of Education Redbook policies/requirements. Recommendation: We recommend that Management continue to provide on-going training and follow-up for bookkeepers and principals, as well as monitor compliance with the Redbook. Management’s Response: Over the past two school years, JCPS Accounting Services has transformed Redbook training for principals and bookkeepers. Every new principal is trained in-person at their school to discuss principal-specific Redbook rules. New bookkeepers must complete an all-day Redbook training, then are coached one-on-one at their school site to address school-specific needs. All bookkeepers are asked to attend quarterly meetings where the Finance division discusses “hot topics” and important reminders about how to be successful in their roles. In addition to new bookkeeper and Principal trainings, we have created a Multiple Receipt Video that was required to be viewed by all sponsors at our JCPS schools at the beginning of the school year. This video ensures that Redbook receipt rules are discussed at each school by all sponsors. We are also working with IT3 to develop an EPES training course and other Redbook related video courses for all staff with financial functions. Comparing FY19 school activity fund findings to FY18 findings, the results show the positive impact of our new training model: 29% reduction in findings (524 vs. 733) and 24% increase in 0-finding schools (41 vs. 33). JCPS will continue this training model to ensure that our schools continue to improve and succeed with Redbook.

Management’s Anticipated Completion Date for Corrective Action: Ongoing

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Current Year Comments and Management Responses--Continued Board of Education of Jefferson County, Kentucky June 30, 2019

Technology Item 2019-2 – Develop Business Continuity and Disaster Recovery Plans

Condition & Criteria: While the District has made some arrangements for continuity and recovery of MUNIS and Infinite Campus processing in the case of disaster, certain technology and student information systems are not covered by a formal comprehensive Business Continuity Plan or Disaster Recovery Plan. Cause: A major disaster could cause loss of data and operational downtime. Effect: If a major disaster occurs, the District does not have a documented plan for how to continue business or recover data to continue business as usual. Recommendation: The District should consider the development of a comprehensive Business Continuity Plan and Disaster Recovery Plan. The Business Continuity Plan and Disaster Recovery Plan should be driven from the results of the IT risk assessment and should also address change management. This plan should include not only IT but all key accounting and business functions that are required to continue operation. Management’s Response: We agree. The IT group is working closely with the KY Department of Education (KDE) to designate a business continuity site. The purpose of this site is to provide real-time failover capability for critical systems in the event the main data center becomes inoperable. KDE is an integral part of this process since they manage the security principal required to authenticate users. Further, the district uses a cloud service to back up the data to minimize the impact of a disruption at the main data center.

Management’s Anticipated Completion Date for Corrective Action: We anticipate clarity on the business continuity site by July 2020.

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Current Year Comments and Management Responses--Continued Board of Education of Jefferson County, Kentucky June 30, 2019

Item 2019-3 – IT Tools related to Digital Backpack Initiative

Condition & Criteria: The District has created a digital backpack for students in the District. Google G-Suite is the platform used for this initiative. IT does not have the management tools available from Google to monitor and control what is stored in these digital backpacks. Cause: Without the tools available to monitor these digital assets, potentially harmful files or files that are not used for instruction could be stored in these digital backpacks. Effect: Harmful files such as malware or infected files could be transferred through the backpacks without proper tools for monitoring. Recommendation: The District should consider the purchase of the management tools needed to monitor these digital backpacks for potentially harmful files or files that are not of instructional value.

Management’s Response: We agree. In 2018, the district engaged with an outside agency to audit the Google management environment. The technology team has taken measures recommended by the audit. The office of the CIO is considering the purchase of the Google Enterprise for Education which is a suite of tools to aid in the management of the Google environment.

Management’s Anticipated Completion Date for Corrective Action: July 2020

Item 2019-4 – Security Awareness Training

Condition & Criteria: Cybercrime is becoming much more prevalent in our society.

Cause: The District is not currently requiring all employees to attend information technology security awareness training.

Effect: Employees are not properly updated on the potential for cybercrime.

Recommendation: Information technology security awareness training should be implemented on an annual basis for all employees. Management’s Response: We agree and recognize the critical need. The office of the CIO is working towards the creation of a dedicated information risk and compliance management position which will address this need.

Management’s Anticipated Completion Date for Corrective Action: July 2020

Prior Year Comments

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Prior Year Comments Board of Education of Jefferson County, Kentucky June 30, 2019 Financial Reporting

Item 2018-1 – Proper Inclusion of Component Units Condition & Criteria: Management believes the Jefferson County Public Education Foundation to be a component unit and it is not included in the District’s financial statements. Cause: The information necessary to properly include the Foundation has not been available by the date needed for inclusion. Effect: This component unit is not included in the District’s financial statements Recommendation: We recommend that management engage and complete in a timely manner the audit of the component unit so that it can be properly included in the financial statements.

Current Status: Not identified as an issue for the current year.

Personnel

Item 2018-2 – New-Hires Not Reported in Board Minutes Condition & Criteria: District policies require all newly hired employees be included in Board minutes.

Cause: Two out of the eight new hires selected for testing were not reported in the Board minutes.

Effect: District policy was not followed. Recommendation: We recommend that Human Resources personnel ensure that newly hired employees are properly reported in the Board minutes as required by District policy. Current Status: Not identified as an issue for the current year.

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Prior Year Comments--Continued Board of Education of Jefferson County, Kentucky June 30, 2019

Item 2018-3 – Standardized Electronic Timekeeping Condition & Criteria: During a review of overtime payroll performed by Internal Audit, it was observed that there were several errors in the calculation of payroll at various transportation centers.

Cause: These locations use handwritten time sheets, which require manual calculations.

Effect: Time reporting can be manipulated and current timekeeping systems may not be reliable to accurately report hours worked.

Recommendation: We recommend that the transportation centers adopt an electronic timekeeping system, using employee badges or other appropriate identification, in order to eliminate manual time sheets and calculations. Current Status: Not identified as an issue for the current year.

Capital Assets

Item 2018-4 - Disposal of Assets

Condition & Criteria: Documentation is not being completed when assets are disposed of.

Cause: District policy does not require a transfer or disposal form to always be completed when assets are auctioned, recycled, or otherwise disposed of. The District does utilize a tagging system to track assets. However, a formal process of documenting asset disposals and transfers should be implemented and the existing forms could improve this process.

Effect: Capital assets could be disposed of or destroyed without proper authorization.

Recommendation: We recommend that a request for disposal be prepared that describes the asset and the reason for and means of its disposal. An appropriate official who does not have custody of the asset should approve the request as a basis for establishing control over the asset pending its disposal.


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Prior Year Comments--Continued Board of Education of Jefferson County, Kentucky June 30, 2019 Other Items

Item 2018-5 – School Activity Funds Condition & Criteria: Kentucky Department of Education requires all Kentucky schools to follow the Redbook in accounting for School Activity Funds. Currently, many schools are not properly following the policies/requirements of the Redbook when accounting for the various activities of the schools. Cause: Redbook policies/requirements were not followed by bookkeepers/principals in accounting for the various activities at the school in areas such as multiple receipt forms, ticket sales, invoice approval, and transfers. Effect: Non-compliance with Kentucky Department of Education Redbook policies/requirements. Recommendation: We recommend that Management continue to provide on-going training and follow-up for bookkeepers and principals, as well as monitor compliance with the Redbook. Current Status: See Item 2019-1 Item 2018-6 – Transfer of School Funds to the District Activity Fund Condition & Criteria: District activity funds are used to support co-curricular and extra-curricular activities, and are not raised and expended by student groups. Historically, some district activity funds have been accounted for in the school activity account for convenience or other reasons. The District requires funds that are controlled by adults to be recorded in the District Activity Fund. Currently, many schools are not properly transferring such funds to the District on a monthly basis. Cause: District policy requiring the transfer of such funds was not followed. Effect: District policy was not followed. Recommendation: We recommend the Management remind school personnel on a monthly basis to transfer such funds accordingly. Current Status: Not identified as an issue for the current year.

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Prior Year Comments--Continued Board of Education of Jefferson County, Kentucky June 30, 2019 Technology 2018-7 – Centralized Security and IT Access

Condition & Criteria: There are various IT functions performed throughout the District and security over these functions is not centrally managed through IT.

Cause: Several departments throughout the District are administering their own security and access protocols.

Effect: Without centralized management around IT functions, there is a lack of a consistency in what security is enabled or the ability to enforce access giving District employees the minimum user rights to various applications needed to perform their job functions. This could result in security vulnerabilities that could be mitigated if functions were centralized.

Recommendation: We recommend that the District consolidate all security and access protocols within the IT Department. This should also include the annual review of access rights to all applications to ensure no user has more access than needed to perform their job functions. Current Status: Not identified as an issue for the current year.

2018-8 – Perform a Districtwide IT Risk Assessment Annually

Condition & Criteria: While the District currently does have personnel performing risk assessment functions, the District does not have a current formal IT Risk Assessment.

Cause: A Risk Assessment should be performed annually to remain current for changes in the IT environment in which the District operates.

Effect: The District will not have an up to date assessment documenting the critical systems and functions of the District that are vital to keep the District operating.

Recommendation: The District should consider a formal Risk Assessment which will identify critical systems and functions. This plan should include not only IT but all key accounting and business functions that are required to continue operation.


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2018-9 – Develop Business Continuity and Disaster Recovery Plans

Condition & Criteria: While the District has made some arrangements for continuity and recovery of MUNIS and Infinite Campus processing in the case of disaster, certain technology and student information systems are not covered by a formal comprehensive Business Continuity Plan or Disaster Recovery Plan. Cause: A major disaster could cause loss of data and operational downtime. Effect: If a major disaster occurs, the District does not have a documented plan for how to continue business or recover data to continue business as usual. Recommendation: The District should consider the development of a comprehensive Business Continuity Plan and Disaster Recovery Plan. The District should consider a formal Risk Assessment as discussed in the previous comment. The Business Continuity Plan and Disaster Recovery Plan will be driven from the results of the Risk Assessment. This plan should include not only IT but all key accounting and business functions that are required to continue operation. Current Status: See Item 2019-2

2018-10 – IT Tools related to Digital Backpack Initiative

Condition & Criteria: The District is currently undertaking a new initiative to create a digital backpack for students in the District. Google G-Suite is the platform used for this initiative. IT does not have the management tools available to be purchased from Google to monitor and control what is stored in these digital backpacks. Cause: Without the tools available to monitor these digital assets, potentially harmful files or files that are not used for instruction could be stored in these digital backpacks. Effect: Harmful files such as malware or infected files could be transferred through the backpacks without proper tools for monitoring. Recommendation: The District should consider the purchase of the management tools needed to monitor these digital backpacks for potentially harmful files or files that are not of instructional value.

Current Status: See Item 2019-3

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Item 2018-11 – Security Awareness Training

Condition & Criteria: Cybercrime is becoming much more prevalent in our society.

Cause: The District is not currently requiring all employees to attend information technology security awareness training.

Effect: Employees are not properly updated on the potential for cybercrime.

Recommendation: Information technology security awareness training should be implemented on an annual basis for all employees.

Current Status: See Item 2019-4

SCHOOL ACTIVITY FUND RESULTS SY2019

010203040

0 5 10 15 20

# O

F SC

HOO

LS

# OF FINDINGS

# OF SCHOOLS WITH FINDINGS

FY19 FY18

228

127

29

102

38

MOST COMMON FINDINGS

INCOMPLETE FORMS

MISSING FORMS

SEGREGATION OFDUTIES

UNTIMELYDEPOSITS/TRANSFERS

OTHER

1 IN 4 SCHOOLS HAD NO FINDINGS

"NO BANK" SUCCESS @ 7 PILOT SITES

115 SCHOOLS IMPROVED/SAME # OF FINDINGS

0 50 100 150 200

Bank Accounts

Credit Cards

Disbursements

Fundraisers

Fund 22 Balance

Inventory

Other

Policies/Procedures

Receipts/Revenue

Reporting

Ticket Sales

Transfers

FINDING TYPE

FY18 FY19

733(FY18)

524 (FY19)

29%

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SCHOOL ACTIVITY FUND RESULTS SY2019

Targeted Training• Schools with

many/repeat findings

• Common findings• Sponsor training

(video modules)

Expand No Bank Schools• 7 in SY2019• 2 added so far in

SY2020• Look for other

schools with low activity

Support New Staff• Principals• Bookkeepers• Sponsors

Implement Credit Card Receipts• Saves time,

resources, money• Bookkeeper can

accept CC payments• Less paperwork• No bank time

115 • Improved or

stayed the same

53• 3+ fewer

findings!

4• 10+ fewer

findings!

3341

BETTER AUDIT RESULTS

IMPROVEMENT AT ALL LEVELS

CONGRATULATION EMAILS WERE SENT TO CELEBRATE

MANY BOOKKEEPERS & PRINCIPALS FOR A JOB

WELL DONE!

Schools with 10+ Findings

26

13

50% Reduction!

Schools with 0 Findings

24% Increase!

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Comment AreaGeneral or Redbook

Audit CommentRepeat

Comment (R)

District Response

Transfers General

Bates ES: Fifteen of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

Prior to any transfer, the sponsor and principal will sign the transfer form along with the bookkeeper.

Disbursements General

Bates ES: There was one instance in which a disallowed expense was paid for out of the Student Activity Funds accounts. This is a direct violation of the Redbook as expenses should only be for the benefit of the students and the student organizations, clubs and athletic teams. We recommend that no disallowed expenses be paid out of the student activity funds and that they be paid through a MUNIS account.

In the future, any expense that I am unsure of being allowable, I will check with accounting services to verify.

Fund Balance General

Bates ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

I will insure that all general funds be deposited into the school's District Activity Fund every month.


Breckinridge-Franklin ES: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 2 - The model procurement section was not completed on the F-SA-7 3 - The bookkeeper's signature was not present 4 - The sponsor's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

There were 2 days where the Model Procurement section was not marked. Signatures were not present on the old forms that were used. When forms changed all forms were completed in full and correctly with all needed signatures. I am double checking all paperwork to assure this does not happen again.

Receipts/Revenue General

Breckinridge-Franklin ES: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 4 - Reason for Collection was not documented on the multiple receipt form 3 - Activity Account was not listed on the multiple receipt form 3 - Multiple receipt form was missing the bookkeeper signature 2 - Date of Collection was not documented on the F-SA-17 form We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

R

1 Multiple Receipt form did not have Activity Account on it. This form was used in the office for checks that came through the mail. Usually checks that get sentup to Fund 22 in the Pony. On that same form there were 2 columns that did not have dates and written at the bottom was sent over in Pony. There was 2separate forms that did not have reason for collection. Forms will be checked thoroughly to assure this will not happen again.

FY 2018-2019 Management Letter Comments

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Audit CommentRepeat

Comment (R)

District Response



Carter ES: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 7 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

I will make sure all signatures are completed on all forms.


Carter ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

All money will be transfered up every 30 days unless it is stated in our SBDM policy.

Inventory General

Coral Ridge ES: The required monthly inventory reporting (F-SA-5) were not completed for the spirit wear inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

Our spirit wear sales are on a pre-order basis and the inventory on hand is from the overages of that sale. However, I will complete the monthly inventory on these items.


Dixie ES: There were two instances in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

We will make sure all staff is trained in logging the multiple receipt and putting it in the multiple receipt book. All Dixie staff have viewed the multiple receipt training video.


Eisenhower ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

Recommendation to be followed. Monthly transfers to the District Activity Fund will be made and documentation will be shared with the Principal with each Monthly Bookkeeping Report.

Fundraisers General

Fairdale ES: There was one fundraiser with a loss of $9.00. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

All fundraisers will be managed closer to ensure that there are no losses.


Goldsmith ES: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 6 - Activity Account was not listed on the multiple receipt form 3 - Multiple receipt form was missing the bookkeeper totalWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Personnel change; new bookkeeper will attend all new bookkeeper sessions. School has moved to ‘no bank’ system for Just in Time auditing of purchases. Principal has attended formal and informal training on MUNIS, Redbook for better oversight.

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Audit CommentRepeat

Comment (R)

District Response



Goldsmith ES: There was one instance in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.



Goldsmith ES: There was one instance in which a disallowed expense was paid for out of the Student Activity Funds accounts. This is a direct violation of the Redbook as expenses should only be for the benefit of the students and the student organizations, clubs and athletic teams. We recommend that no disallowed expenses be paid out of the student activity funds and that they be paid through a MUNIS account.



Goldsmith ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.


Bank Accounts General

Greathouse ES: Upon review of monthly bank statements it was noted that yearly bank fees were in excess of $1,800. This is an excessive amount and considered government waste. We recommend communicating with your bank to determine the cause of these fees and to renegotiate a more reasonable fee schedule or to switch the school's banking relationship to another bank with more favorable terms.

RGreathouse Shyrock changed banks in the month of August in an attempt to reduce fees. The new bookkeeper is working with the new bank to further reduce fees.


Greathouse ES: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - Multiple receipt form was missing the bookkeeper total 2 - Multiple receipt form was missing the sponsor signatureWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Moving forward the new bookkeeper will closely review each multiple receipt form to ensure all documentation is properly recorded.


Hite ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

We will deposit all fees and donation, etc. monthly and assure funds get transferred to the District Activity Fund.

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Audit CommentRepeat

Comment (R)

District Response



Jacob ES: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 7 - The requester's signature was not present on the F-SA-7 We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

We will ensure that all documents are thoroughly completed, as well as, reviewed by the bookkeeper and principal. With having a new bookkeeper go through training, we are able to bring in the correct knowledge for all activity accounts and what they are to be used for.

Inventory General

Jacob ES: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

We have informed all departments that they are to be completing an F-SA-5 form for all inventory that they have had throughout the month.

Reporting General

Jacob ES: The year-end Bank Reconciliation Report and Financial Report were not signed by the Principal. We recommend that the reports are reviewed, signed, and dated for each responsible party.

While transferring to a new bookkeeper, the original paperwork was lost that was filled out. The auditor arrived and we could not find it. We were told that he could not start without the paperwork so we just had to re-print the documents.

Transfers General

Jacob ES: One of the inspected transfers did not have prior approval. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal and to verify this they should be dated.

All transfers will be approved before the transfer is made.


Kenwood ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, family resource center funds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

RFuture general-use funds will get transferred into the District Activity Fund in compliance with JCBOE Policy.


Kerrick ES: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 3 - Activity Account was not listed on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Will make sure name of activity accountis documented and that proper Redbook procedures are followed.


Kerrick ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

I will make sure that money is swept up to fund 22 monthly from activity accounts when needed and follow Redbook procedures.

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Audit CommentRepeat

Comment (R)

District Response



King ES: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 2 - Activity Account was not listed on the F-SA-7 We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

The activity accounts will be listed on purchase request form.

Inventory General

King ES: The required year end inventory report was not completed for the year end staff shirt inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

Inventory will be completed at the end of the year for staff shirts.


King ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

In the future, money is to be transferred to Fund 22 monthly.


Klondike Lane ES: There was one instance in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

Effective immediately, the bookkeeper will ensure that all multiple receipt forms are accounted for. The Principal will review the multiple receipt log on a monthly basis to ensure it is being appropriately completed and that outstanding multiple receipt forms are being monitored.


Klondike Lane ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

Effective immediately, the bookkeeper will ensure that general-use funds are deposited into the school's District Activity Fund monthly. The Principal will monitor deposits and activity accounts to ensure funds are deposits and moved to the District Activity Fund monthly.


Norton ES: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 4 - Activity Account was not listed on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Norton will ensure complete documentation on Multiple Receipt Forms, including activity account.


Roosevelt-Perry ES: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 5 - The sponsor's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

I have looked over your finding and have set in place a different request flow. In the past, I typed up the forms upon the request of the Teacher or Sponsor. In doing so I sometimes fail to go back and obtain their written signatures. I will now let them write or type up their own request, give it to me and pass it on to the principal for the final approval. Hopefully this will ensure each form is completed in its entirety before I place the order.

- 7 -


Audit CommentRepeat

Comment (R)

District Response



Smyrna ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly for the bookfair money in the Library account and the Tshirt account. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

RAll fund 22 money will be sent to the board to be deposited into the school's district activity fund on a monthly basis.

Bank Accounts General

Unseld Learning Center: Upon review of monthly bank statements it was noted that yearly bank fees were in excess of $200. This is an excessive amount and considered government waste. We recommend communicating with your bank to determine the cause of these fees and to renegotiate a more reasonable fee schedule or to switch the school's banking relationship to another bank with more favorable terms.

R

We are currently working with the Accounting department within JCPS to transition our bank account into a Fund 22 account. This type of account will be managed at the district level, which will reduce the amount of paperwork and bank fees for our location.


Watson Lane ES: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 3 - The sponsor's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

I will have the sponsor sign the documents.


Watson Lane ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

R I will move funds to Fund 22 monthly.

Policies/Procedures General

Watson Lane ES: It was noted that funds donated to the Family Resource Center were transferred to another account and a check was written to someone other than "JCPS Treasurer". Only checks made payable to JCPS may be written against the FRC account. Auditor recommends only using the FRC account for collections specifically for the FRC and that checks written against this account are only written to JCPS.

I will only write checks to JCPS Treasurer.


Wheatley ES: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 3 - Date of Collection was not documented on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

As the bookkeeper I will make sure I follow the procedure for redbook. I will make sure each multiple receipt form is filled correctly by each teacher and sponsor and make sure it is dated correctly.

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Audit CommentRepeat

Comment (R)

District Response



Wheatley ES: There was one instance in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

As the bookkeeper I will make sure to keep track of all multiple receipt forms.

Fundraisers General

Wheatley ES: Ensure completeness of documentation of the Fundraiser Forms. We discovered instances in which the Fundraiser Forms were not properly completed in its entirety and the specific issues were as follows: 8 - The profit section was not completely filled outWe recommend that documentation of fundraisers be reviewed for completeness and accuracy to adequately support the fundraisers in the School Activity Funds.

As the bookkeeper I will make sure going forward that I make sure that there is a fundraiser worksheet for each fundraiser that is done for the year. I will also make sure it is filled out correctly.


Wheatley ES: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 14 - The sponsor's signature was not present 14 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

As the bookkeeper I will make sure going forward that each F-SA-7 & F-SA-8 forms are filled out correctly. I will make sure the required signatures are where they need to be.


Wheatley ES: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

As the bookkeeper I will make sure I submit all funds up to fund 22.

Transfers General

Wilder ES: One of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

All transfers will be signed by the sponsor on the transfer form instead of the EPES receipt.

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Audit CommentRepeat

Comment (R)

District Response

Disbursements Redbook

Barrett Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There was one instance in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

Approval will be obtained, and purchase will be signed by the sponsor and principal before any items are ordered. The dance sponsor has been reminded of this rule.


Barrett Middle School: Per the 2013 Redbook the principal shall not be both the requestor and the approver for a disbursement. We recommend that faculty sponsor make the purchase requests from the School Activity Funds to avoid the principal being in a situation of having to approve his/her own purchase request.

The principal will not sign as both the requestor and the approver for any disbursement.

Transfers General

Binet Middle School: Transfers between accounts should only be for expenses related to students if they are coming out of student accounts. Any expenditures related to repairs and maintenance, bank charges or adult/staff expenses should not be transferred to these accounts from student accounts. We recommend that these expenditures go through the District.

RWe will ensure that most of our expenditures go through the District. This should eliminate the transfers from student accounts.

Transfers Redbook

Binet Middle School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." On five instances there was not a Transfer Form present. We recommend that no transfers be made between accounts without the proper documentation and approval.

We will make sure the proper from is completed and approved before the transfer is made.

Transfers General

Binet Middle School: One of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

Transfers will be approved and signed by the sponsor, bookkeeper, and the principal before being made.


Binet Middle School: There was one instance in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

The Bookkeeper will keep accurate files and ensure that she has all supporting documents for Multiple Receipt Forms.


Binet Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

The Bookkeeper will send checks to the District monthly from inventory sales and donations.

Inventory General

Binet Middle School: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

RThe required monthly inventory reporting form (F-SA-5) will be completed on a monthly basis for all accounts with inventories.


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Audit CommentRepeat

Comment (R)

District Response


Inventory General

Binet Middle School: The required year end inventory report was not completed for the year end inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

The required year end inventory report will be completed at the end of each year for all accounts with inventories.

Fund Balance Redbook

Carrithers Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future bookstore funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be incompliance with Jefferson County Board of Education policy.

A SBDM policy has been created.

Inventory Redbook

Carrithers Middle School: The required monthly inventory reporting (F-SA-5) were not completed for the Bookstore inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

RBookkeeper ensures inventories are now part of the month end closing process.

Inventory Redbook

Carrithers Middle School: The required monthly inventory reporting (F-SA-5) were not completed for the STLP Concessions inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

RInventories are now part of the month end closing process. The bookkeeper will ensure that all inventories are done in a timely manner.

Inventory Redbook

Carrithers Middle School: The required year end inventory report was not completed for the year end STLP Concessions inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

RSponsor has been reminded of his responsibilities. The bookkeeper will ensure that all inventories are done in a timely manner.

Receipts/Revenue Redbook

Carrithers Middle School: There was one instance in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

All steps are being taken to ensure Redbook compliance.


Carrithers Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were three instances in which amounts over $100 were deposited more than one day after collection from the following sources: 10 - Late deposits of multiple receipt forms 2 - Late deposit of ticket sale proceeds We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

RAll steps are being taken to ensure Redbook compliance. The bookkeeper is aware of all guidelines that involve deposits. Bookkeeper will ensure deposits are made daily.

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Audit CommentRepeat

Comment (R)

District Response



Carrithers Middle School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were five instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

R System has been implemented to ensure all Multiple Receipt forms are filled out with student signatures upon arrival. This system is double checked by the bookkeeper.


Carrithers Middle School: Per the 2013 Redbook, "All money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day/" There was one instance were funds were shown collected on the Multiple Receipt Form, but were never turned into the bookkeeper (funds were lost). We recommend turning funds in daily to decrease the likelihood of funds being lost.

Teacher involved has been addressed and his collection method has been changed and checked weekly.


Carrithers Middle School: Per the 2013 Redbook, "The school treasurer shall match up the purchase order, shipping documents (if applicable), and the vendor or standard invoice and verify that all items ordered have been received, services have been satisfactorily performed, all amounts agree, and that all necessary approvals and signatures have been obtained." On two instances there was not a vendor or standard invoice attached to the purchase request. We recommend no checks be written without having a vendor or standard invoice to support the transaction.

RBookkeeper ensures that everyone with a change fund fills out a standard invoice. Prior to any check being created bookkeeper will have a standard invoice.


Carrithers Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There was one instance in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

RAll steps are being taken to ensure Redbook compliance. Bookkeeper and Principal will ensure approval is granted prior to any purchase request moving forward.


Carrithers Middle School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 12 - The requester's signature was not present on the F-SA-7 13 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

The bookkeeper will ensure that the requesters and authorizer's signatures are on purchase request forms. And reviewed for completeness and accuracy.

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Audit CommentRepeat

Comment (R)

District Response


Fundraisers Redbook

Carrithers Middle School: There was one fundraiser with a loss of $840.00. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

Sponsors have been told to plan on a worse case scenario they still need to make a 10% profit. That fundraiser has been canceled.

Transfers Redbook

Carrithers Middle School: Transfers between accounts should only be for expenses related to students if they are coming out of student accounts. Any expenditures related to repairs and maintenance, bank charges or adult/staff expenses should not be transferred to these accounts from student accounts. We recommend that these expenditures go through the District.

Moving forward all pertinent expenditures shall go through Fund 22.

Transfers Redbook

Carrithers Middle School: Five of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

Going forward all transfers shall be approved prior to the transfer by the principal.


Conway Middle School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were three instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

I have spoken with both teachers who signed the form for students and explained that students must sign for themselves. I have also created a reminder form that will accompany MR forms going forward regarding procedures for filling out the form.


Conway Middle School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 5 - Date of Collection was not documented on the multiple receipt form 2 - Multiple receipt form was missing the sponsor totalWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

I have created a form that will accompany MR forms going forward that highlights the parts of the form that the sponsor is responsible for filling out.


Conwasy Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts under $100 were not deposited by the end of the week. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

I will ensure that all deposits are made in a timely manner and that sponsors understand that money should be turned in within 24 hours of collection.

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Audit CommentRepeat

Comment (R)

District Response



Conway Middle School: Per the 2013 Redbook, "all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.”" There were 4 instances in which amounts over $100 were deposited more than one day after collection. There were 3 related to late multiple receipt deposits and 1 late deposit of ticket sales. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

I will ensure that deposits are made in a timely manner and I will document instances in which a deposit cannot be made on my monthly calendar.


Conway Middle School: There was one instancePer the 2013 Redbook, “The form F-SA-17 is to be used each time money is collected from these activities and turned in with the money to the school treasurer." There was one instance where the funds were remitted to the bookkeeper without an F-SA-17 being completed in its entirety for bookfairs. We recommend that teachers/sponsors be advised that the F-SA-17 should be completed for all funds received and turn in by teachers/sponsors for bookfairs. where the Form F-SA-17 was not completed in it's entirety. The F-SA-17 was missing the appropriate signatures as well as the name of the individual who turned in the money. We recommend that the Form F-SA-17 is reviewed for completeness and accuracy.

I will ensure all documents have been filled out and are turned in with deposits going forward. I will also complete monthly audits to ensure all paperwork is present and signed.


Conway Middle School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 12 - The authorizer's signature was not present We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

This finding occurred on the old F-SA-7 form and the wording was not clear. On the new F-SA-7 form, which has a clear line for the bookkeepers signature, there were no exceptions. The only time the F-SA-8 form isn't signed is when the check is mailed for a refund and that is stated on the form.


Conway Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were two instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

I will ensure that all purchases are approved prior to purchases being made.


Conway Middle School: Per the 2013 Redbook, "The school treasurer shall match up the purchase order, shipping documents (if applicable), and the vendor or standard invoice and verify that all items ordered have been received, services have been satisfactorily performed, all amounts agree, and that all necessary approvals and signatures have been obtained." On two instances there was not a vendor or standard invoice attached to the purchase request. We recommend no checks be written without having a vendor or standard invoice to support the transaction.

I will ensure that all paperwork is present and signed. I will also be conducting monthly audits of paperwork ensure all documents are present.

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Audit CommentRepeat

Comment (R)

District Response



Conway Middle School: Per the 2013 Redbook, "Schools are exempt from the payment of sales tax in Kentucky. The only exception is the reimbursing tax on meals and hotel expenses for employees and students during travel for school activity fund purposes." There were two instances where sales tax was reimbursed for a non-qualifying expense. We recommend inspecting invoices to ensure that sales tax is not a part of the total being reimbursed.

I will ensure that no sales taxes are paid going forward.


Conway Middle School: Per the 2013 Redbook the principal shall not be both the requestor and the approver for a disbursement. We recommend that faculty sponsor make the purchase requests from the School Activity Funds to avoid the principal being in a situation of having to approve his/her own purchase request.

This will not be an exception going forward.

Ticket Sales General

Conway Middle School: Ensure completeness of documentation of the Requisition and Report of Ticket Sales Form. We discovered instances in which the Requisition and Report of Ticket Sales Form was not properly completed in its entirety and the specific issues were as follows: 3 - Ticket sellers initials were missing 3 - Ticket taker was not listed 2 - Person in charge of sales was not listedWe recommend that documentation of sales be reviewed for completeness and accuracy to adequately support the sales of tickets in the School Activity Funds.

The new ticket sales form is better for ensuring all signatures and initials are received. This will be reviewed more carefully at the time of deposit and signatures received before receipting the deposit.

Ticket Sales Redbook

Conway Middle School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On one instance the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

We have a new AD who is proactive in making sure the games are staffed.

Inventory Redbook

Conway Middle School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price. We recommend that inventory be kept at cost.

I challenge this audit finding. The F-SA-5 asks for sales. I have detailed inventories for every month on the form provided by Redbook. At no time during my audit could the auditors show me a F-SA-5 from or Redbook that states inventory should be kept at cost. In order for me to keep inventory at cost I would have to change the F-SA-5 form.

Transfers General

Conway Middle School: Fifteen of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

The principal signature was present for approval, the bookkeeper signature was typed instead of signed. This will be corrected going forward.


Crosby Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There was one instance in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

R

All purchase request forms will be completed by staff/sponsors and approved by the principal priorto orders being placed with vendors in order to be incompliance with Redbook.

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Audit CommentRepeat

Comment (R)

District Response



Crosby Middle School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 3 - The bookkeeper's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Forms F-SA-7 and F-SA-8 will be reviewed for accuracy and to ensure the appropriate signatures have been obtained.


Crosby Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

Monthly deposits will be made to the District Activity Fund 22 when those funds are available.


Crosby Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be incompliance with Jefferson County Board of Education policy.

The Crosby Middle School SBDM will approve apolicy allowing a certain percentage of the athletic ticket sales be kept in the school activity fund. Thispolicy will reviewed annually.

Transfers Redbook

Crosby Middle School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." On three instances there was not a Transfer Form present. We recommend that no transfers be made between accounts without the proper documentation and approval.

Forms F-SA-10 will be used for all activity fundtransfers.


Crosby Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

RStaff/sponsors will continue to be instructed toturn money into the bookkeeper on the day it iscollected.


Crosby Middle School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On two instances the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

The Athletic Director and Assistant Athletic Director have been instructed the ticket taker and seller may not be the same person working the gate at athletic events.

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Audit CommentRepeat

Comment (R)

District Response



Duvalle Education Center: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were three instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

I will ensure that purchase orders are completed and approved prior to placing orders with vendors so that I am in compliance with the Redbook.


Duvalle Education Center: Per the 2013 Redbook, "The school treasurer shall match up the purchase order, shipping documents (if applicable), and the vendor or standard invoice and verify that all items ordered have been received, services have been satisfactorily performed, all amounts agree, and that all necessary approvals and signatures have been obtained." On one instance there was not a vendor or standard invoice attached to the purchase request. We recommend no checks be written without having a vendor or standard invoice to support the transaction.

I will ensure that purchase orders, shipping documents, and the vendor standard invoices all match, have the necessary approvals, and signatures. All standard invoices will be attached to purchase request prior to checks being written.


Farnsley Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were three instances in which amounts over $100 were deposited more than one day after collection from the following sources: 2 - Late deposits of multiple receipt forms 1 - Late deposit of ticket sale proceeds We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

Staff have been reminded of the policy stating all monies collected must be turned in next business day. Bookkeeper will make deposits each day that money is turned in.


Farnsley Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were three instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

R

Staff and sponsors have been reminded that there is a policy stating that all purchases must first be submitted on the correct paperwork and receive principal approval before making the purchase.

Transfers General

Farnsley Middle School: Ensure completeness of documentation of the Transfer Forms. We discovered instances in which the Transfer Forms were not properly completed in its entirety and the specific issues were as follows: 2 - Activity accounts were not listed 2 - Amount transfered were not listedWe recommend that documentation of transfers be reviewed for completeness and accuracy to adequately support the inventory in the School Activity Funds.

Bookkeeper will ensure correct documentation accompanies all transfers.

- 17 -


Audit CommentRepeat

Comment (R)

District Response


Transfers Redbook

Farnsley Middle School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." On two instances there was not a Transfer Form present. We recommend that no transfers be made between accounts without the proper documentation and approval.

Bookkeeper will ensure correct documentation accompanies all transfers.

Fundraisers General

Farnsley Middle School: There was one fundraiser with a loss of $6.70. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

Fundraisers will be monitored to ensure there is either profit made, or it is even close at the end of the fundraiser.

Inventory General

Farnsley Middle School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price. We recommend that inventory be kept at cost.

Inventory control forms will be kept at sales cost and school cost.


Farnsley Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

Bookkeeper will send the funds to district activity account monthly until and SBDM policy states otherwise.


Farnsley Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be incompliance with Jefferson County Board of Education policy.

RBookkeeper will send funds monthly until at SBDM policy is in place stating otherwise.

Inventory Redbook

Frost Middle School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price. We recommend that inventory be kept at cost.

The F-SA-5 has been completed monthly for all inventory items. Inventory items can be kept at cost price in the future, however, the current F-SA-5 requires sales price. The Redbook does state on page 30 that the inventory control worksheet details unit selling price for each individual activity.

- 18 -


Audit CommentRepeat

Comment (R)

District Response



Highland Middle School: Per Jefferson County Board of Education policy, general-use funds, such as donations and lost book fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be incompliance with Jefferson County Board of Education policy.

Lisa Schneider (Bookkeeper) is now aware that donations have to be reported to resource development right away. She will make this part of her routine when processes multiple receipts.

Fundraisers Redbook

Highland Middle School: There was one fundraiser with a loss of $60.00. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

We will never participate in this fundraiser again since it proved not to be profitable.


Jefferson County Traditional Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

R

Each general-use fund will be reviewed when compiling the end of month report and any monies needing to be transferred to the district activity fund will be transferred. This will ensure the transfers will be made monthly to be incompliance with Jefferson County Board of Education policy.

Inventory Redbook

Jefferson County Traditional Middle School: Ensure completeness of documentation of the Inventory Reporting Forms. We discovered instances in which the Inventory Reporting Forms were not properly completed in its entirety and the specific issues were as follows: 3 - Reviewer's signature was not presentWe recommend that documentation of inventory be reviewed for completeness and accuracy to adequately support the inventory in the School Activity Funds.

The person who did inventories with me quit their position with JCPS and was not available for signature. Inventory forms will be reviewed for completeness and accuracy to ensure all signatures are on all forms .


Johnson Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were three instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

Will have all documents approved and signed before disbursement.

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Audit CommentRepeat

Comment (R)

District Response



Johnson Middle School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There was one instance where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

Will have all students sign multiple receipts when collecting money.


Johnson Middle School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On two instances the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

Will have a staff and volunteers work gate for ticket sales.


Johnson Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Will deposit money the day of event of following business day.

Inventory General

Johnson Middle School: The required year end inventory report was not completed for the bookstore or PE uniforms. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

Will assign someone to track bookstore inventory.


Johnson Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

Will deposit funds monthly to District Account.

Transfers General

Johnson Middle School: Three of the inspected transfers were not approved before the transfer was completed. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal and to verify this they should be dated.

Will have approvals and verified before transfer.


Kammerer Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

We self-corrected by the end of last year by sending the required funds to Fund22 in a timely manner and making sure that have a SBDM committee approval for any funds retained at the school level.

- 20 -


Audit CommentRepeat

Comment (R)

District Response


Fundraisers General

Kammerer Middle School: There was one fundraiser with a loss of $21.00. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

Faculty sponsor will pre-sell the t-shirts for $1.00 over the cost of the shirts to ensure no negative balance will be incurred.

Inventory Redbook

Kammerer Middle School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price. We recommend that inventory be kept at cost.

The concessions inventory control sheet has been amended to contain a retained inventory at cost column.

Inventory General

Knight Middle School: The required monthly inventory reporting (F-SA-5) were not completed for the pencil machine. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

The bookkeeper met with sponsor handling pencils and will ensure these reposts are completed monthly from now on.

Inventory General

Knight Middle School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price. We recommend that inventory be kept at cost.

The bookkeeper has updated the inventory worksheets to add an area for cost to ensure we are maintaining proper inventory records.


Lassiter Middle School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 5 - Reason for Collection was not documented on the multiple receipt form 2 - Activity Account was not listed on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

I will make better documentation of transactions and check for completeness and accuracy of activity funds.

Fundraisers General

Lassiter Middle School: Ensure completeness of documentation of the Fundraiser Forms. We discovered instances in which the Fundraiser Forms were not properly completed in its entirety and the specific issues were as follows: 9 - The sponsor signature was missingWe recommend that documentation of fundraisers be reviewed for completeness and accuracy to adequately support the fundraisers in the School Activity Funds.

RI will better review fundraiser documents for completeness and accuracy of sponsor signatures.

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Audit CommentRepeat

Comment (R)

District Response



Lassiter Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were four instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

RI will make sure all purchase order forms be approved and completed prior to placing orders with vendors to be in compliance with Redbook.

Transfers General

Lassiter Middle School: Thirteen of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

I will make sure all transfers are approved with signature prior transfer being made.

Transfers General

Lassiter Middle School: Two of the inspected transfers were missing one or more activity account listings. All transfers should have an activity account listed on form F-SA-10.

I will make sure all transfers have an activity account listed.


Lassiter Middle School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On three instances the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

I will work with our athletic director to insure that two separate people take ticket at gate events to be in compliance with Redbook.


Lassiter Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

RI will insure that all money collect from a sponsor be deposited the next business day if collected after school hours to insure we are in compliance with Redbook.

Inventory General

Lassiter Middle School: The required year end inventory report was not completed for the year end inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

RI will ensure that all yearend inventory be completed for each account at the end of the year.

Inventory Redbook

Lassiter Middle School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price. We recommend that inventory be kept at cost.

RI will ensure that all inventory control worksheets be kept at cost and not sale price for the year.

Credit Cards Redbook

Lassiter Middle School: Per the 2013 Redbook, "Schools are exempt from the payment of sales tax in Kentucky. The only exception is the reimbursing tax on meals and hotel expenses for employees and students during travel for school activity fund purposes." There were three instances where sales tax was reimbursed for a non-qualifying expense. We recommend inspecting invoices to ensure that sales tax is not a part of the total being reimbursed.

I will make sure I thoroughly inspect invoices to ensure sales tax is not being reimbursed.

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Audit CommentRepeat

Comment (R)

District Response



Lassiter Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that a policy is in place, but that it is not being followed. We recommend that in the future general-use funds get transfers to the District Activity Fund as stated in the written policy with the SBDM Council.

I will ensure the proper transfer of general funds to District Activity Funds as stated in the written policy with SBDM.

Inventory General

Lassiter Middle School: The required year end inventory report was not completed for the year end inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

I will ensure that the yearend inventory be completed at the end of each year for all accounts with inventories.

Transfers Redbook

Meyzeek Middle School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." For all transfers there was not a Transfer Form present. We recommend that no transfers be made between accounts without the proper documentation and approval.

The F-SA-10 transfer form has been in use since the beginning of the 2019-2020 school year. No transfers have been made or will be made between accounts for all future transfers without proper forms.

Inventory Redbook

Newburg Middle School:The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

R Inventory reporting will be conducted each month.

Inventory Redbook

Newburg Middle School: The required year end inventory report was not completed for the year end inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

RThe year end report will be completed by the end of the 19-20 school year for all of Newburg's accounts with inventories.


Newburg Middle School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 4 - Reason for Collection was not documented on the multiple receipt form 3 - Activity Account was not listed on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

RThe MSF's at Newburg will be completed correctly by listing the date, the activity account in which funds are being collected daily.


Newburg Middle School: Ensure completeness of documentation on the sales from concessions/bookstore/school store/pencil machine (F-SA-17) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - initials of verified by were missingWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

R

The F-SA-17 Forms documenting concession sales will be properly completed with all required areas filled in. This will hold true for our bookstore sales as well. At Newburg, we will ensure that verification initials will be present as well.

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Audit CommentRepeat

Comment (R)

District Response



Newburg Middle School: There was one instance in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

MRFs will be kept/retained along with any/all other fiscal documentation.


Newburg Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were five instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

RAt Newburg, we will ensure that POs will be prepared and approved before payment is made.


Newburg Middle School: Ensure completeness of documentation of the Requisition and Report of Ticket Sales Form. We discovered instances in which the Requisition and Report of Ticket Sales Form was not properly completed in its entirety and the specific issues were as follows: 2 - Bookkeeper signature was not providedWe recommend that documentation of sales be reviewed for completeness and accuracy to adequately support the sales of tickets in the School Activity Funds.

The requisition and report of ticket sales will be properly completed, reviewed, and signed off by the bookkeeper and any other needed parties to ensure accuracy.

Fundraisers Redbook

Newburg Middle School: Ensure completeness of documentation of the Fundraiser Forms. We discovered instances in which the Fundraiser Forms were not properly completed in its entirety and the specific issues were as follows: 4 - The bookkeeper signature was missing 4 - The principal signature was missingWe recommend that documentation of fundraisers be reviewed for completeness and accuracy to adequately support the fundraisers in the School Activity Funds.

Fund raiser forms will be completed with accuracy and signed off by all required parties. Signatures will not be missing.


Newburg Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

As we move forward at Newburg, general use funds will get transferred to the District Activity Funds in order to be in compliance with JCBE Policy.


Noe Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were three instances in which amounts over $100 were deposited more than one day after collection from the following sources: 2 - Late deposits of multiple receipt forms 1 - Late deposit of ticket sale proceeds We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

ROur new bookkeeper makes deposits daily. The findings were associated to the prior bookkeeper. Our AD is scheduling Redbook Training with Eddie Muns.

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Audit CommentRepeat

Comment (R)

District Response



Noe Middle School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 5 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Our new bookkeeper reviewed Redbook procedures and trained staff at opening day. The findings were associated to the prior bookkeeper.


Noe Middle School: Per the 2013 Redbook, "Change or rotate ticket colors with each event." There were three instances where different colored tickets were not used for consecutive events. We recommend that rotating ticket colors are used for consecutive events.

Our AD has multiple sets of tickets in different colors now. He is also reaching out to Eddie Muns for additional training.


Noe Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

R

Our new bookkeeper makes these deposits monthly. The findings were associated to the prior bookkeeper. The Fee Funds are moved monthly. Field Trip and Fundraiser funds are left at the school level to be used by the teacher at their discretion.


Noe Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be incompliance with Jefferson County Board of Education policy.

R

The Fee Funds are moved monthly. Field Trip and Fundraiser funds are left at the school level to be used by the teacher at their discretion. Many of our elective classes do fundraisers. Gate sales are considered a fundraiser.


Olmsted Academy North: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - Reason for Collection was not documented on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

There were only 3 MR forms that were not completely filled out. Reason for collection was noted as the missing information. I will pay more attention to these forms when returned to me and make sure that all lines contain correct information.


Olmsted Academy North: There were two instances where the Form F-SA-17 was not completed in it's entirety. The F-SA-17 was missing the appropriate signatures as well as the name of the individual who turned in the money. We recommend that the Form F-SA-17 is reviewed for completeness and accuracy.

We have had little to no inventory in our concession stand. There has also been a change in personnel which I believe will assist in F SA 17 being completed properly

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Audit CommentRepeat

Comment (R)

District Response



Olmsted Academy North: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Every effort is made to deposit monies on the same day. The Audit Comment states “there was 1 instance”. Most likely this was due to teachers failing to return to bookkeeper in a timely manner, I normally write a note indicating why the deposit was late being made.


Olmsted Academy North: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 2 - The model procurement section was not completed on the F-SA-7 2 - The authorizer's signature was not present We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

I will make every effort to assure that F SA 7 and 8 are completed accurately and with all proper attachments and signatures.


Olmsted Academy North: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were four instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

I have spoken to all the teachers about the correct protocol for ordering items.


Olmsted Academy North: Per the 2013 Redbook, "The school treasurer shall match up the purchase order, shipping documents (if applicable), and the vendor or standard invoice and verify that all items ordered have been received, services have been satisfactorily performed, all amounts agree, and that all necessary approvals and signatures have been obtained." On one instance there was not a vendor or standard invoice attached to the purchase request. We recommend no checks be written without having a vendor or standard invoice to support the transaction.

Of all the orders created throughout the school year, reference is made to one instance that failed to meet all requirements. I will certainly do my best to make sure that all documentation is attached and no checks are written out of the proper time sequence.

Inventory General

Olmsted Academy North: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

There was little to no inventory to report and the current AD did not consider this a priority. New coaches have been hired and are eager to do a good job. Discussion has already taken place with these 2 coaches to follow all expectations regarding the concession stand and its inventory.

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Audit CommentRepeat

Comment (R)

District Response


Fundraisers Redbook

Olmsted Academy North: Per the 2013 Redbook, “Fundraisers where items are sold, whether they are purchased or donated or both, require the use of the Fundraiser Worksheet (Form F-SA-2B), which is used to recap the profitability of a fundraiser sales cycle.” On one instance there was not a Fundraiser Worksheet present. We recommend the sponsor complete the form F-SA-2B for each approved fundraiser performed, and report to the principal for review and filing within one week of the completion of the fundraising period or event.

There are very few fundraisers in our school. Unfortunately there was a slip-up in getting the FSA-2B form to the 2 instances of fundraising. This will be watched much more closely in the new school year.

Bank Accounts Redbook

Olmsted Academy North: Per the 2013 Redbook, “Each month the bank statement shall be e-mailed directly (if electronically) or opened (if mailed or picked up) by the principal prior to the treasurer having access to it.” It was noted that the bookkeeper accesses the bank statements electronically prior to the principal's signoff. We recommend that bookkeeper does not have access to the bank statements until after the principal has reviewed them.

With our new principal in place, she wants to follow all rules regarding the bank statement. This previous process has been eliminated.

Inventory General

Olmsted Academy North: The required year end inventory report was not completed for the concession stand. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

There was a year-end inventory report compiled on 6/13 which was the last day for the bookkeeper before summer break. In the future I will make sure that the date is the last day of the entire school year, i.e., 6/30.


Olmsted Academy South: Olmsted Academy South: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were three instances in which amounts over $100 were deposited more than one day after collection which occurred from the following sources: Three – late deposits of ticket sale proceeds; Three – late deposit of Multiple Receipt Form. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

Per OAS Staff Handbook and staff training, all monies collected daily must be submitted to the bookkeeper be 2:00pm for deposit the same day. Training was provided to all staff during opening day August 12, 2019. Frequent calendar reminders set for high collection events such as basketball, school dances and fundraisers. all deposits will be made in accordance with Redbook procedures.

Inventory General

Olmsted Academy South: The required monthly inventory reporting (F-SA-5) were not completed for the vending inventory. We recommend that the required monthly vending inventory reporting be completed on a monthly basis for all accounts with inventories.

OAS administration will ensure that monthly reporting (F-SA-5) is completed for vending inventory and for all accounts with inventories.


Olmsted Academy South: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be incompliance with Jefferson County Board of Education policy.

OAS will develop a SBDM policy that requires a percentage of general-use funds, such as registration fees, gates and concessions from athletic events, donations, locket rental, inventory sales, book fair proceeds, lost book fees and parking fees be transferred to the District Activity Funds and the remaining percentage remain at the Student Activity Level.

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Audit CommentRepeat

Comment (R)

District Response



Ramsey Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were three instances in which amounts over $100 were deposited more than one day after collection from the following sources: 5 - Late deposits of multiple receipt forms 4 - Late deposit of ticket sale proceeds We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

RWe will ensure timely deposits will be made in order to prevent theft of loss of money and to be in compliance with Redbook.


Ramsey Middle School: Ensure completeness of documentation on the sales from concessions/bookstore/school store/pencil machine (F-SA-17) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - initials of verified by were missingWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Will ensure completeness of documentation on the sales from concessions/ bookfair forms.


Ramsey Middle School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On one instance the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

We will ensure that two people are working the gate to be in compliance with the Redbook.


Ramsey Middle School: Per the 2013 Redbook, “Each month the bank statement shall be e-mailed directly (if electronically) or opened (if mailed or picked up) by the principal prior to the treasurer having access to it.” It was noted that the bookkeeper accesses the bank statements electronically prior to the principal's signoff. We recommend that bookkeeper does not have access to the bank statements until after the principal has reviewed them.

Since our statements are now sent electronically, we will have the Secretary download the monthly statement, and give it to the Principal to be review, signed and dated. Statement will then be given to bookkeeper for preparation of monthly reports.


Ramsey Middle School: Per the 2013 Redbook, the principal should "Review the bank statements, signing and dating the front page after review." After reviewing the bank statements it was noted that the principal did not date the statements indicating when the statement had been reviewed. We recommend that the principal add a date when reviewing of the monthly bank statements.



Ramsey Middle School: Per the 2013 Redbook, the principal should "Review the bank statements, signing and dating the front page after review." After reviewing the bank statements it was noted that there were one instance where the principal's signature was not present indicating that the statement had been reviewed. We recommend that the principal add a signature to his review of the monthly bank statements.


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Audit CommentRepeat

Comment (R)

District Response


Transfers General

Ramsey Middle School: Three of the inspected transfers were missing the amount transferred. All transfers should have an amount to be transferred so that the sponsor, bookkeeper, and principal can verify the amount to be transferred.

We Will ensure all activity forms have the amount of the transfer posted on them.


Stuart Middle School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money." There was one instance where the funds were remitted to the bookkeeper without a Multiple Receipt Form being completed in its entirety. We recommend that teachers/sponsors be advised that the Multiple Receipts Form should be completed for all funds received and turn in by teachers/sponsors.

Will we ensure teachers/sponsors are aware of the Redbook procedure by: going over procedures in the beginning of year meeting, showing staff the Multiple Receipts video, when assigning a form go over the procedures of collecting and completing the form, reviewing the form for accuracy and completeness with teacher when returning the form.


Stuart Middle School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were two instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.



Stuart Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.



Stuart Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts under $100 were not deposited by the end of the week. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

Will make sure teachers/sponsors are aware of the Redbook procedures by: going over procedures in the beginning of year meeting, showing staff the Multiple Receipt video.


Stuart Middle School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There was one instance in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

RWill make persons involved aware of the Redbook procedures. Will also go over procedures in the beginning of the year meeting.

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Audit CommentRepeat

Comment (R)

District Response



Stuart Middle School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 4 - The sponsor's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Will review for accuracy and completeness of paperwork before filing in appropriate folder.

Inventory General

Stuart Middle School: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

RWill make persons involved aware of the need for inventory being turned in monthly. Will email end of month reminders as needed.


Stuart Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

Will write up policy/procedure of these funds and start monthly transfers when needed.


Thomas Jefferson Middle School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - Multiple receipt form was missing the sponsor totalWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Multiple receipt forms will be reviewed to ensure completeness of documentation when turned in. Sponsor did not enter a total amount turned in on form for transaction and was not corrected at the time of deposit.


Thomas Jefferson Middle School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were two instances in which amounts under $100 were not deposited by the end of the week. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Administration has directed school staff to follow the Redbook procedures, including turning money in on a daily basis as collected from the students for deposit. Staff is instructed on the Redbook money collection procedures at the beginning of the year PD and are required to watch the Multiple Receipt Form procedure video provided be the district. Bookkeeper makes notations when a sick day or holiday occurs and deposits are not able to deposited at the bank on those days. All monies are locked in the school safe until money is deposited in the bank.

Inventory Redbook

Waller Williams Middle School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price. We recommend that inventory be kept at cost.

Based on the finding that inventory should be kept at cost moving forward all inventory for Wallers Williams Environmental School will be kept at cost as advised.

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Audit CommentRepeat

Comment (R)

District Response


Fundraisers Redbook

Waller Williams Middle School: Per the 2013 Redbook, “Fundraisers where items are sold, whether they are purchased or donated or both, require the use of the Fundraiser Worksheet (Form F-SA-2B), which is used to recap the profitability of a fundraiser sales cycle.” On one instance there was not a Fundraiser Worksheet present. We recommend the sponsor complete the form F-SA-2B for each approved fundraiser performed, and report to the principal for review and filing within one week of the completion of the fundraising period or event.

Based on the finding that the Fundraiser Worksheet Form (F-SA-2B) was not completed we will use the Multiple Receipt Form as per the current Redbook guidelines.


Waller Williams Middle School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - Date of Collection was not documented on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Based on the finding that date of collection was not documented on multiple receipt forms for vending, we will account for all vending transactions on a multiple receipt form.


Western Middle School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, athletic insurance, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be incompliance with Jefferson County Board of Education policy.

RFuture funds mentioned will be transferred to the District Activity Account.


Western Middle School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were two instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

Teachers have been advised that multiple receipt forms must be signed by each student for funds collected.


Western Middle School: Per the 2013 Redbook, "Always use a purchase order (Form F-SA-7) to initiate a purchase, including for independent contractors and reimbursements to district employees." There was one instance where a purchase request was not present. We recommend using purchase requests for all checks written to be in compliance with the Redbook.

Purchase requests are being used for all checks written.

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Audit CommentRepeat

Comment (R)

District Response



Western Middle School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 2 - The bookkeeper's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Bookkeeper's signature will appear on all required documents. Documentation will be reviewed for accuracy.

Transfers Redbook

Western Middle School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." On two instances there was not a Transfer Form present. We recommend that no transfers be made between accounts without the proper documentation and approval.

Transfer forms will be used for all activity fund transfers.


Western Middle School: Per the 2013 Redbook, "The Requisition and Report of Ticket Sales (F-SA-1) is to be used to report and reconcile the number of tickets sold and the funds collected." On two instances it was noted that this form was not present for a ticketed event. We recommend that this form be completed for every ticketed event to be incompliance with the Redbook.

F-SA-1 form will be used for all ticket sales.

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Audit CommentRepeat

Comment (R)

District Response

Disbursements general

Atherton High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 3 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

The bookkeeper will put additional review processes in place to ensure all paperwork is filled out accurately.


Atherton High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were two instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

We had started training sessions for team sponsors near the end of the school year to combat some of these issues. Teachers and staff have received training at the beginning of the school year. We will include club sponsors in this training. Most offenders have begun correcting procedures.


Atherton High School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On one instance the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

Both the Athletic Director and the bookkeeper were new this year. After further discussions, we realized there were two separate people working with the gates. The paperwork wasn’t filled out until money was turned in the following morning. At this point neither the ticket taker nor the ticket seller were available to sign. In order to have the (F-SA-1) filled out properly in the future, we have included the form with the cash box so the proper people can fill out the forms correctly.


Atherton High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Our sponsor training does include turning in cash immediately. Most offenders have begun correcting procedures.


Atherton High School: Per the 2013 Redbook, “Each month the bank statement shall be e-mailed directly (if electronically) or opened (if mailed or picked up) by the principal prior to the treasurer having access to it.” It was noted that the bookkeeper accesses the bank statements electronically prior to the principal's signoff. We recommend that bookkeeper does not have access to the bank statements until after the principal has reviewed them.

We have switched over our account to mail paper statements. They will go directly to the principal before the bookkeeper has access to them.


Atherton High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

All fees but ticket sales were sent up to the board monthly. We have addressed the SBDM policy that we thought included ticket sales. We do now have a SBDM policy stating 65% of ticket sales shall remain at the school for expenses. We have included 355 of ticket sales with our regular transfer.


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Audit CommentRepeat

Comment (R)

District Response



Ballard High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were three instances in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R Better procedures will be implemented to get cash receipts returned to me and deposited in a timely manner.


Ballard High School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There was one instance where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

RI will remind teachers/sponsors that students must sign their own name on the multiple receipt forms.


Ballard High School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - Reason for Collection was not documented on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

R Multiple receipt forms will be filled out completely.


Ballard High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 2 - The requester's signature was not present on the F-SA-7 8 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

RAll standard invoices and purchase orders will be complete with all signatures.


Ballard High School: Per the 2013 Redbook the principal shall not be both the requestor and the approver for a disbursement. We recommend that faculty sponsor make the purchase requests from the School Activity Funds to avoid the principal being in a situation of having to approve his/her own purchase request.

Two different signatures will be on a purchase order when the principal is the requester.


Ballard High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were six instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

Purchase orders will be approved and dated before payment is made.

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Audit CommentRepeat

Comment (R)

District Response


Transfers Redbook

Ballard High School: Three of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

Transfers will have all signatures and approved before they are made.


Ballard High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

RI will be more aware of transferring funds to the District Activity fund.


Ballard High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be in compliance with Jefferson County Board of Education policy.

RWe do have a written policy from our SBDM committee to keep some funds in our Activity Account.


Ballard High School: Per the 2013 Redbook, "The principal or school treasurer, who shall not be the person in charge of sales, is to have safekeeping of the pre-numbered tickets (be the ticket controller)." It was noted that athletic director (who is in charge of ticket sales) is keeping the tickets locked in his office. We recommend that all tickets be stored with either the principal or bookkeeper to be in compliance with the Redbook.

I will discuss with our athletic director about storing the tickets in a safe, locked closet with me or the principal.


Ballard High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were four instances in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

RI will remind the teachers and sponsors to turn any money collected in on the same day it was collected.

Inventory Redbook

Ballard High School: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

We have always done the inventory for our bookstore monthly. We will now do the snack machine inventory as well.

Inventory Redbook

Butler High School: The required year end inventory report was not completed for the Bear Wear year end inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

R Our A.D. retired and we must have missed that this was not turned in. I did have the inventory for last year. (see '18-'19 response)

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Audit CommentRepeat

Comment (R)

District Response



Butler High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were three instances in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

RI will stress to the coaches/sponsors, etc. that monies MUST be turned in daily and be ready for deposit by the next business day.


Butler High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 3 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

I will be more careful and make sure thatall signatures are obtained.

Fundraisers Redbook

Butler High School: There was one fundraiser with a loss of $218.00. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

RWe will make sure that we do not repeat a fundraising activity that was not successful.

Transfers Redbook

Butler High School: Transfers between accounts should only be for expenses related to students if they are coming out of student accounts. Any expenditures related to repairs and maintenance, bank charges or adult/staff expenses should not be transferred to these accounts from student accounts. We recommend that these expenditures go through the District.

We understood that we could transfer thesemonies because adults do purchase and help raise these funds also. We will monitorthe student & adult funds closer.


Butler High School: Per the 2013 Redbook, "The principal or school treasurer, who shall not be the person in charge of sales, is to have safekeeping of the pre-numbered tickets (be the ticket controller)." It was noted that athletic director (who is in charge of ticket sales) is keeping the tickets locked in his office. We recommend that all tickets be stored with either the principal or bookkeeper to be in compliance with the Redbook.

Offices were moved last year and again this year. The tickets had been transferred to the A.D.'s office because the school vault was no longer available. Tickets are back in the vault under the bookkeeper's supervision.


Butler High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done for the Bear Wear store or ticket sales. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

We will make sure that all applicable funds get transferred to the DistrictActivity Fund.

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Audit CommentRepeat

Comment (R)

District Response



Butler High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be in compliance with Jefferson County Board of Education policy.

We will make sure that all applicablefunds get transferred to the DistrictActivity Fund and that we obtain a written SBDM policy for the funds that areneeded to be kept in the School ActivityFund.


Central High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done for the Speedway Spirit Wear. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

The Speedway Store does not sell Spirit Wear. They do sell food items and the profit from their sales will be transferred to the district Fund 22 account.


Central High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be in compliance with Jefferson County Board of Education policy.

The only account that had funds being kept the school level was Athletics. There was a policy in place to keep the funds at the school level.

Inventory Redbook

Central High School: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

The required monthly inventory will be completed

on a monthly basis for the Speedway Store and for

the Athletic Department.


Central High School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money." There was one instance where the funds were remitted to the bookkeeper without a Multiple Receipt Form being completed in its entirety. We recommend that teachers/sponsors be advised that the Multiple Receipts Form should be completed for all funds received and turn in by teachers/sponsors.

The teachers and sponsors will be advised that the

multiple receipt form must be completed in its

entirety.

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Audit CommentRepeat

Comment (R)

District Response



Central High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were five instances in which amounts over $100 were deposited more than one day after collection. The number of instances of late deposits occurred from the following sources: 4 - late deposits of ticket sales proceeds; 1 - late deposit of Multiple Receipt Form. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Deposits will be made in a timely manner.


Central High School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were three instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

Teachers and sponsors will be made aware that all students must sign the multiple receipt form themselves when funds are collected from the students.


Central High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were four instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

All purchase request forms will be completed and approved prior to placing an order with any vendor.

Fundraisers Redbook

Central High School: There was one fundraiser with a loss of $128.00. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

Fundraisers will be monitored by the teacher, sponsor and/or bookkeeper to ensure losses are minimized.

Fundraisers Redbook

Central High School: Ensure completeness of documentation on fundraiser (F-SA-2B) forms. There was one instance in which this form was not properly completed in its entirety where the inventory section was not documented. We recommend that all fundraiser worksheet be reviewed for completeness and returned to the faculty sponsor if items are incomplete.

All fundraiser forms will be reviewed for completeness and returned to the teacher or sponsor if the form in incomplete.

Transfers Redbook

Central High School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." On two instances there was not a Transfer Form present. We recommend that no transfers be made between accounts without the proper documentation and approval.

Any transfers made will be have the proper documentation attached or a transfer will not be made without the proper documentation and approval.

Transfers Redbook

Central High School: Eight of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

All transfer were approved prior to the transfer being made. All transfers was signed but the issue was that I had the sponsor sign where the bookkeeper should have signed. The bookkeeper will be sure to sign the transfer form if it is a student account without a sponsor.

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Audit CommentRepeat

Comment (R)

District Response



Central High School: Per the 2013 Redbook, "Change or rotate ticket colors with each event." There were two instances where different colored tickets were not used for consecutive events. We recommend that rotating ticket colors are used for consecutive events.

The bookkeeper and athletic director will rotate ticket colors for consecutive events.

Fundraisers Redbook

Doss High School: Ensure completeness of documentation of the Fundraiser Forms. We discovered instances in which the Fundraiser Forms were not properly completed in its entirety and the specific issues were as follows: 2 - The sponsor signature was missingWe recommend that documentation of fundraisers be reviewed for completeness and accuracy to adequately support the fundraisers in the School Activity Funds.

When the fundraiser forms are filled out and turned in for record keeping, we do require that the sponsor signs the fundraiser forms. The two instances that were from a sponsor that resigned during the school year and did not turn in any documentation.

Transfers Redbook

Doss High School: One of the inspected transfers were missing prior approval. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

Closer attention will be paid and double checked on the signatures and dating of the transfers as we do understand how important the dates are.


Doss High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Sponsors and staff have been reminded and advised the importance of turning in any collected money daily by 3:00 pm so that the bank deposit can be made. Further, a comment will be put into place on the deposit print out should there be a reason that the funds aren't deposited on that they were collected. (Such as bookkeeper absence, weekends after games, emergency days out of school... etc)


Doss High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 5 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Purchase orders will not be accepted until all information including signature is completed. On the standard invoices, a check will not be mailed until the vendor signs the standard invoice as well as the person that is requesting payment.


DuPont Manual High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

R

Once approved by SBDM, 50% of all yearbook sales will be sent to the school's District Activity Fund monthly. All money that is collected is sent to the school's District Activity Fund monthly.

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Audit CommentRepeat

Comment (R)

District Response



DuPont Manual High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be in compliance with Jefferson County Board of Education policy.

R

Once approved by SBDM, 50% of all yearbook sales will be sent to the school's District Activity Fund monthly. All money that is collected is sent to the school's District Activity Fund monthly. There is a written policy approved by SBDM for 10% of all Athletic gates to be sent to Fund 22.

Transfers Redbook

Eastern High School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." On fifteen instance(s) there was not a Transfer Form present. We recommend that no transfers be made between accounts without the proper documentation and approval.

We have the signatures with the approval from each group authorizing the transfer. The signatures are just on the printed EPES copy instead of on the FSA form, which in previous years the auditors said was fine with the 3 signatures. We will in the future use only the FSA-10.


Eastern High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

RWe will send funds up to Fund 22 accounts monthly. Not all accounts generate funds, to be sent on a monthly basis.


Eastern High School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were three instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

All staff viewed the Multiple Receipt video showing them how to complete a Multiple Receipt. We also told our parent volunteers to have the student write their names during the Eagle Prep - they were only trying to make them so we could read the names and amounts. With the new training this should not be a problem.


Eastern High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts under $100 were not deposited by the end of the week. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

We have told the coaches and staff to turn all money in daily, the Garda is to pick up daily. If the AD or myself may be absent then the money from a game is going to set in the vault an additional day before the deposit, this will be noted on the receipts for that day.


Eastern High School: There were three instances in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

R

I have made copies of the Multiple Receipt forms as I give them back to the coaches or teachers. The forms are in BIG COLORFUL envelopes, to make them hard to lose. I send out multiple reminders and requests for them to be returned with what # they have and what it was signed for.

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Audit CommentRepeat

Comment (R)

District Response



Eastern High School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - Reason for Collection was not documented on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

I will ensure all lines are completed before I hand out the Multiple Receipt forms to be used for money collection. Will also ensure all sections are completed at the bottom when money is turned in to be receipted in EPES.


Fairdale High School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were four instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

RWe have advised all teachers that students must sign their own name on multiple receipts.


Fairdale High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

Deposits will be made each day unless noted on Sequential List of Receipts (as advised by auditors) for times such as emergencies or the bank being closed.


Fairdale High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts under $100 were not deposited by the end of the week. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Teachers have been advised to ALWAYS turn money into bookkeeper each day, no matter the amount.


Fairdale High School: There was one instance in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

R

Sponsor made bookkeeper aware that the multiple receipt was lost but NO money was collected on it. Sponsor was made aware that ALL multiple receipts need to be returned and the importance of each MR.


Fairdale High School: Ensure completeness of documentation on purchase requests. We discovered 3 instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 3 - The model procurement section was not completed on the F-SA-7 We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

R

Bookkeeper will review and all signatures will be verified on D&F, and all boxes will be checked as to what type of model procurement has been met.

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Audit CommentRepeat

Comment (R)

District Response



Fairdale High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There was one instance in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

RBookkeeper will ensure that the date of approval will be listed correctly and completely.


Fairdale High School: Per the 2013 Redbook, "Schools are exempt from the payment of sales tax in Kentucky. The only exception is the reimbursing tax on meals and hotel expenses for employees and students during travel for school activity fund purposes." There were two instances where sales tax was reimbursed for a non-qualifying expense. We recommend inspecting invoices to ensure that sales tax is not a part of the total being reimbursed.

Coach was given tax exempt forms. It was not used at a restaurant where the meals were paid with Cash Advancement for out of town tournament, (she forgot). Auditors advised bookkeeper to request that in the future, the tax be reimbursed by the Coach, if forms are not used. Bookkeeper will pass along the information to all Coaches/Sponsors responsible.

Inventory General

Fairdale High School: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

R

Inventories for 3 months were absent. This year and moving forward, all inventories are completed on the is1 of the month (or first day of the NEW MONTH).

Inventory Redbook

Fairdale High School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price. We recommend that inventory be kept at cost.

The Inventory Control sheet has been changed and the bookkeeper worked with the new information, due to the new requirements - this should not be an issue moving forward.

Inventory General

Fairdale High School: Ensure completeness of documentation of the Inventory Reporting Forms. We discovered instances in which the Inventory Reporting Forms were not properly completed in its entirety and the specific issues were as follows: 2 - The deliveries/purchases were not listedWe recommend that documentation of inventory be reviewed for completeness and accuracy to adequately support the inventory in the School Activity Funds.

Auditors/Bookkeeper/Principal all reviewed the Inventory form and discussed what was required. Bookkeeper will review/complete as advised by auditors in the future.


Fairdale High School: Per the 2013 Redbook, "Change or rotate ticket colors with each event." There were two instances where different colored tickets were not used for consecutive events. We recommend that rotating ticket colors are used for consecutive events.

Bookkeeper has discussed with A.D. and he will address this issue in the future.


Fairdale High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were two instances in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Weekend tournaments are locked up and deposited next business day. Bookkeeper even came in during winter break to deposit tickets sales. Saturday night games must be held over 2 days. Moving forward, all possible instances will be exhausted to make sure that ticket sales will be deposited next day.

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Audit CommentRepeat

Comment (R)

District Response



Fern Creek High School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On two instances the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

R The AD has been made aware of this finding and will take corrective action to ensure that the ticket taker and seller are two separate people.

Inventory Redbook

Fern Creek High School: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

All sponsors will receive monthly reminders to submit inventories to the bookkeeper. This will ensure that the required monthly inventory reporting is completed on a monthly basis for all accounts with inventories.

Inventory Redbook

Fern Creek High School: The required year end inventory report was not completed for the year end inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

All sponsors maintaining inventory will be informed that they must submit year end inventory as part of the check-out process.


Fern Creek High School: There were two instances in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

The bookkeeper will make efforts to collect MR forms and implement a more stringent retrieval process for lost MR forms. This will ensure that all supporting documentation is completed and retained.


Fern Creek High School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 4 - Date of Collection was not documented on the multiple receipt form 2 - Reason for Collection was not documented on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

All staff will watch the MR training video. The bookkeeper will be more vigilant when checking the MR forms for completeness and accuracy.


Fern Creek High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 4 - Date of Delivery was not documented on the F-SA-7 3 - The model procurement section was not completed on the F-SA-7We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

The bookkeeper will review purchase requests for completeness and accuracy


Fern Creek High School: Per the 2013 Redbook, "The school treasurer shall match up the purchase order, shipping documents (if applicable), and the vendor or standard invoice and verify that all items ordered have been received, services have been satisfactorily performed, all amounts agree, and that all necessary approvals and signatures have been obtained." On three instances there was not a vendor or standard invoice attached to the purchase request. We recommend no checks be written without having a vendor or standard invoice to support the transaction.

Going forward no checks will be written without having a vendor or standard invoice to support the transaction.

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Audit CommentRepeat

Comment (R)

District Response



Fern Creek High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 4 - Date of Delivery was not documented on the F-SA-7 3 - The model procurement section was not completed on the F-SA-7 8 - The vendor information section was not completedWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Going forward documentation of transactions will be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.


Fern Creek High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be in compliance with Jefferson County Board of Education policy.

In the future general-use funds will be transferred to the District Activity Fund unless there is written policy to do otherwise.


Fern Creek High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

In the future general-use funds will be transferred to the District Activity Fund to comply with Jefferson County Board of Education policy.


Iroquois High School: Per the 2013 Redbook, "The principal or school treasurer, who shall not be the person in charge of sales, is to have safekeeping of the pre-numbered tickets (be the ticket controller)." It was noted that athletic director (who is in charge of ticket sales) is keeping the tickets locked in his office. We recommend that all tickets be stored with either the principal or bookkeeper to be in compliance with the Redbook.

Tickets are now being locked up in the bookkeeper's office.


Liberty High School: Per Jefferson County Board of Education policy, general-use funds, SSI checks, should be deposited into the school's District Activity Fund. It was noted that this was not being done. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

All SSI checks will be sent up to district for deposit.


Liberty High School: There were five instances in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

MRs will be kept, easily located and retained.

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Audit CommentRepeat

Comment (R)

District Response



Liberty High School: Per the 2013 Redbook, "Always use a purchase order (Form F-SA-7) to initiate a purchase, including for independent contractors and reimbursements to district employees." There were three instances where a purchase request was not present. We recommend using purchase requests for all checks written to be in compliance with the Redbook.

There will always be a purchase order before making a purchase.


Liberty High School: Per the 2013 Redbook, "The school treasurer shall match up the purchase order, shipping documents (if applicable), and the vendor or standard invoice and verify that all items ordered have been received, services have been satisfactorily performed, all amounts agree, and that all necessary approvals and signatures have been obtained." On three instances there was not a vendor or standard invoice attached to the purchase request. We recommend no checks be written without having a vendor or standard invoice to support the transaction.

This will be corrected by the bookkeeper.


Liberty High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were two instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

There will be dates on all future purchase orders.


Liberty High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 5 - Activity Account was not listed on the F-SA-7We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

All lines will be signed and activity accounts will be on documents.

Transfers Redbook

Liberty High School: Two of the inspected transfers were missing one or more approval signatures. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal.

There will be signed transfer forms for all transfers.


Liberty High School: Per the 2013 Redbook, the principal should "Review the bank statements, signing and dating the front page after review." After reviewing the bank statements it was noted that there were not principal signatures or dates present indicating that the statement had been reviewed. We recommend that the principal add a signature and a date to her review of the monthly bank statements.

The Principal will open, sign and date all bank statements going forward.

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Audit CommentRepeat

Comment (R)

District Response



Louisville Male High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were three instances in which amounts over $100 were deposited more than one day after collection from the following sources: 4 - Late deposits of multiple receipt forms 3 - Late deposit of ticket sale proceeds We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

We will make sure our staff understands that Redbook language about the importance of following timelines for turning in money to the office. Further, if we find that staff is not in compliance we will make efforts to correct and instruct individually.


Moore High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were four instances in which amounts over $100 were not deposited by the end of the week. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

In order to stay in compliance with the Redbook, deposits will be made to the bookkeeper in a timely manner. Deposits will be turned in to the bookkeeper on the day of collection or the following day if funds were collected after school hours.


Moore High School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were two instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

RMoore will ensure students will sign the Multiple Receipt form themselves when funds are collected. Moore will advise their teachers of this Redbook requirement.

Fundraisers General

Phoenix School: of Discovery: There was one fundraiser with a loss of $159.15. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

As a new bookkeeper, I will ensure that we manage our fundraisers better. We will follow proper protocol to make sure we do not take a loss in profits in the future. We hope to have successful fundraisers this school year or, in worst case scenario, break even.

Fundraisers General

Pleasure Ridge Park High School: There was one fundraiser with a loss of $810.00. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

There was one instance of a fundraiser with a loss of $810. The team was selling discount cards for $20 and many of the cards were returned to the coach unsold. The team set up at local businesses to sell the cards to customers. They also tried to sell them for a discount at PRPs home games. The coach contacted the company numerous times and they finally agreed to accept 250 cards back to help lessen the loss for the team. Going forward, the coach will be doing fundraisers that take pre-orders instead of buying in bulk.


Pleasure Ridge Park High School: Per the 2013 Redbook, "Schools are exempt from the payment of sales tax in Kentucky. The only exception is the reimbursing tax on meals and hotel expenses for employees and students during travel for school activity fund purposes." There were one instance where sales tax was reimbursed for a non-qualifying expense. We recommend inspecting invoices to ensure that sales tax is not a part of the total being reimbursed.

There was one instance where sales tax was reimbursed. Going forward I will ensure sales tax is not a part of the invoice and if it is I will make sure to exclude it in the reimbursement total.

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Audit CommentRepeat

Comment (R)

District Response



Pleasure Ridge Park High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were two instances in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

There were two instances in which ticket sales reports were not deposited the day of collection. One instance occurred prior to me starting . The second instance, the AD was out sick the day following the event. He gave the report to me his first day back. I will continue to deposit ticket sale reports the next business day following the athletic event.


Pleasure Ridge Park High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

There was one instance where the deposit was made more than one day after collection. This again was prior to my start date. The deposit was secured in the vault and given to me on my first day at PRP. The money was receipted into EPES and taken to the bank the same day. I will continue to make deposits within one business day of collection.

Inventory General

Pleasure Ridge Park High School: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

R

There was one instance where it was noted that the monthly inventory was not done for the Panther Pit. Please note, detailed inventory was done each month on the Panther Pit and given to me at the start of each month. The sponsors use their POS system to print out the inventory, which lists the quantity, cost, sales price, and description of the item. They use that print out to do a physical hand count of the inventor and make note of discrepancies. The auditor said the monthly inventory mentioned in the finding was missing the sponsors signature for one month on the print out, not that the required monthly inventory was missing all together. Going forward, I will continue to have the coaches and sponsors track inventory and turn in completed inventory counts each month. I will make sure they sign every inventory count.


Seneca High School: There was one instance in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

Bookkeeper keeps a log of all multiple receipt forms and dated once the form is complete.


Seneca High School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were two instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

All multiple receipts users have completed the multiple receipt training and assessment. Failure to comply with rules will result in principal being notified.

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Audit CommentRepeat

Comment (R)

District Response



Seneca High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There were two instances in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

All money will be turned into Bookkeeper on the day it is collected. If after school business hours for evening or weekend, money will be turned in the next business day. All money deposits of $100 will be deposited that day to be in compliance with Redbook.


Seneca High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 8 - The sponsor's signature was not present We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Bookkeeper will review for competition before turning over to Principal. If not completed, Principal will not sign.


Seneca High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were three instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

Purchase orders will be approved by sponsor and principal with documented date prior to payment being disbursed.


Seneca High School: There was one instance in which a disallowed expense for repairs and maintenance was paid for out of the Student Activity Funds accounts. This is a direct violation of the Redbook as expenses should only be for the benefit of the students and the student organizations, clubs and athletic teams. We recommend that no disallowed expenses be paid out of the student activity funds and that they be paid through a MUNIS account.

All repairs and maintenance will be paid directly through MUNIS. Only expenses for benefit of the students and the student organizations, clubs and athletics teams. No disallowance expenses will be paid out of student activity funds.


Seneca High School: Per the 2013 Redbook, "The school treasurer shall match up the purchase order, shipping documents (if applicable), and the vendor or standard invoice and verify that all items ordered have been received, services have been satisfactorily performed, all amounts agree, and that all necessary approvals and signatures have been obtained." On one instance there was not a vendor or standard invoice attached to the purchase request. We recommend no checks be written without having a vendor or standard invoice to support the transaction.

Bookkeeper will review all purchase request and have standard invoices before payment will be made.


Seneca High School: Per the 2013 Redbook, "Change or rotate ticket colors with each event." There were three instances where different colored tickets were not used for consecutive events. We recommend that rotating ticket colors are used for consecutive events.

Tickets are rotated by color for each game. Bookkeeper and Athletic Director have gone over procedures for this.

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Audit CommentRepeat

Comment (R)

District Response



Seneca High School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On three instances the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

Principal and Athletic Director will make sure there is a ticket seller and ticket taker for each game. Updated Redbook laws have been discussed and will be enforced.

Inventory General

Seneca High School: The required year end inventory report was not completed for the year end spirit wear inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

Inventory will be completed at the end of each month and end of the year.


Seneca High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

General use funds will be deposited into the school’s District Activity Fund every 60 days per new Jefferson County Board of Education Policy.


Shawnee High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

Ensure that all ticket sales are deposited more timely to prevent theft or loss of money and to be in compliance with the Redbook.


Shawnee High School: Ensure completeness of documentation of the Credit Card Log. We discovered multiple instances in which the credit card log was signed out by the same person who was witnessing the return of the card. We recommend having someone other than the person using the card witness its return to be in compliance with the Redbook.

Ensure Someone other than the person using the card witness its return to be in compliance with the Redbook.

Fundraisers Redbook

Shawnee High School: There was one fundraiser with a loss of $957.00. The purpose of fundraising activities is both educational and to increase funding for student activities. As such, fundraisers should be managed to break even at the worst case scenario. We recommend that future fundraiser efforts be monitored to ensure losses are minimized and/or eliminated.

Fundraising efforts will be monitored to ensure losses are minimized and/or eliminated.

Fundraisers Redbook

Shawnee High School: Ensure completeness of documentation on fundraiser (F-SA-2B) forms. There was two instances in which this form was not properly completed in its entirety where the inventory section was not documented. We recommend that all fundraiser worksheet be reviewed for completeness and returned to the faculty sponsor if items are incomplete.

Fundraiser worksheets will be reviewed for completeness and returned to the sponsor if items are incomplete.

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Audit CommentRepeat

Comment (R)

District Response



Shawnee High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There was one instance in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

RAll Purchase Requests will be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.


Shawnee High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 2 - The requester's signature was not present on the F-SA-7 1 - The original invoice was missingWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

RThe documentation of transactions will be reviewed for completeness and accuracy to adequately support the transactions.

Inventory Redbook

Shawnee High School: The required monthly inventory reporting (F-SA-5) were not completed for the June concession inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

REnsure all the required monthly inventory reporting is completed on a monthly basis for all accounts and inventories.


Shawnee High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be in compliance with Jefferson County Board of Education policy.

Ensure the transfer of general use funds to the District Activity Fund unless there is a written policy to do otherwise to be in compliance with the Jefferson County Board of Education policy.


Southern High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be in compliance with Jefferson County Board of Education policy.

We have not had a SBDM in place but we do now and will work with them to get policies in place to be able to keep general funds at the Student Activity Fund level and other funds will be sent to the District Activity Fund as they come available.

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Audit CommentRepeat

Comment (R)

District Response


Fundraisers Redbook

State Agency: Per the 2013 Redbook, “Fundraisers where items are sold, whether they are purchased or donated or both, require the use of the Fundraiser Worksheet (Form F-SA-2B), which is used to recap the profitability of a fundraiser sales cycle.” On two instances there was not a Fundraiser Worksheet present. We recommend the sponsor complete the form F-SA-2B for each approved fundraiser performed, and report to the principal for review and filing within one week of the completion of the fundraising period or event.

For the 19-20 school year we have a new Horticulture sponsor and are utilizing the FS-A-2B Form. For the 18-19 school year we reviewed all documentation, including invoices, deposits and purchases to complete the FS-A-2B.We will ensure sponsors complete the proper forms and submit information to the principal for review.

Inventory General

State Agency: The required year end inventory report was not completed for the year end inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

Inventory was kept via purchases, deposits and invoices that were kept in a binder for each sale of horticulture. For 19-20 monthly inventory are now being kept on F-SA-5.


State Agency: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were two instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

In the 2 incidents the field trips were actually approved ahead of time, but the teacher received an invoice instead of a quote. We are working with teachers to ensure they ask for correct forms. The principal will make sure approvals are signed off on before invoices are received for purchase orders.


State Agency: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 3 - The Bookkeeper's signature was not present We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

The bookkeeper/secretary position was vacant for 4 months and in that time various people helped with orders. An old form was being used that need not have a signature line for the bookkeeper. From here on out we are using the correct purchase request form and ensuring the bookkeeper/secretary signs this form. Documentation of transactions will be reviewed for completeness and accuracy.


Valley High School: Per the 2013 Redbook, "The school treasurer shall match up the purchase order, shipping documents (if applicable), and the vendor or standard invoice and verify that all items ordered have been received, services have been satisfactorily performed, all amounts agree, and that all necessary approvals and signatures have been obtained." On two instances there was not a vendor or standard invoice attached to the purchase request. We recommend no checks be written without having a vendor or standard invoice to support the transaction.

Bookkeeper will ensure all vendor /standard invoices will be filled out and attached to purchase request before check is written.


Valley High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were five instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

Bookkeeper has spoken to coaches/teachers about never ordering items before the purchase request is sign and approved.

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Audit CommentRepeat

Comment (R)

District Response



Valley High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 7 - The authorizer's signature was not presentWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Bookkeeper will make sure all transactions have all signatures present.

Transfers Redbook

Valley High School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." On thirteen instances there was not a Transfer Form (F-SA-10) present. We recommend that no transfers be made between accounts without the proper documentation and approval.

Bookkeeper will ensure all transfers have a transfer form completed before transfer is done.

Inventory Redbook

Valley High School: The required monthly inventory reporting (F-SA-5) were not completed for the bookstore or concession inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

Bookkeeper has assigned a person to complete monthly inventories.


Valley High School: Ensure completeness of documentation of the Requisition and Report of Ticket Sales Form. We discovered instances in which the Requisition and Report of Ticket Sales Form was not properly completed in its entirety and the specific issues were as follows: 5 - Ticket sellers initials were missingWe recommend that documentation of sales be reviewed for completeness and accuracy to adequately support the sales of tickets in the School Activity Funds.

Bookkeeper has talked with Athletic Director to make sure all ticket sellers report have initials.


Valley High School: There were two instances where the Form F-SA-17 was not completed in it's entirety. The F-SA-17 was missing the appropriate signatures as well as the name of the individual who turned in the money. We recommend that the Form F-SA-17 is reviewed for completeness and accuracy.

Bookkeeper will make sure FSA-17 has all signatures and person turning money in name.


Valley High School: Ensure completeness of documentation on the sales from concessions/bookstore/school store/pencil machine (F-SA-17) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 2 - initials of verified by were missingWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Bookkeeper will make sure initials of verified person are on all forms.


Valley High School: Ensure completeness of documentation on multiple receipt (F-SA-6) forms. We discovered instances in which these forms were not properly completed in their entirety and the specific issues were as follows: 4 - Date of Collection was not documented on the multiple receipt formWe recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

Bookkeeper had all staff watch video on how to complete the multiple receipt forms correctly.

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Audit CommentRepeat

Comment (R)

District Response



Valley High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

Bookkeeper will have all monies in activity funds sent up every 30 days.


Valley High School: Per Jefferson County Board of Education policy, general-use funds, such as bookstore profits and concessions from athletic events, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that funds are being kept at the Student Activity Level without a policy to do so being in place. We recommend that in the future general-use funds get transfers to the District Activity Fund unless there is written policy to do otherwise to be in compliance with Jefferson County Board of Education policy.

Bookkeeper will have council write a policy to keep on file that a percent of the activity funds need to be kept at school.

Transfers Redbook

Waggener High School: One of the inspected transfers was missing the date of signoff. All transfers should be approved prior to the transfer being made by the sponsor, bookkeeper, and principal and to verify this they should be dated.

Yes, the missing approval signature was just human error. It would be helpful if a date was given for this mistake so I could look at it and give a better explanation.


Waggener High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

R

The bookkeeper will continue to remind the faculty on the importance of following the Redbook requirements and will instruct on how to fill out the Multiple Receipt forms in their entirety, including the date of collection. A copy of the red book is made available to all staff and sponsors.As for the one instance that was not deposited within the day of receipt or the next day was because I was out of town for several days which was told to the auditor. I deposited it when I returned. The bookkeeper understands the importance of making the deposits.


Waggener High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were two instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

The bookkeeper will remind and require the sponsors to sign all required lines on the FSA-7 (Purchase Request form) before submitting for approval by the principal.


Waggener High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund unless there is a written policy with the SBDM Council to keep a certain percentage of the funds at the Student Activity Fund level. It was noted that a policy is in place, but that it is not being followed. We recommend that in the future general-use funds get transfers to the District Activity Fund as stated in the written policy with the SBDM Council.

The policy that was written did not meet the requirements by the auditor. A new policy will be written to include funds being sent to Fund 22.

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Audit CommentRepeat

Comment (R)

District Response



Waggener High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

Depositing funds into the Fund 22 account has been implemented.

Inventory Redbook

Waggener High School: Per the 2013 Redbook, "The Inventory Control Worksheet recaps the flow of inventory monthly and identifies overages or shortages; it is not designed to measure profits." This means that inventory should be kept at cost, not sales price. Upon review of the year end inventory worksheets, it was noted that inventory was being kept at sales price for the concessions account. We recommend that inventory be kept at cost.

RAthletic Director has been notified to correct the inventory procedures to insure that it is reconciled monthly.

Inventory Redbook

Waggener High School: The required year end inventory report was not completed for the year end inventory for after school snacks, Cannons class and library pens/pencils accounts. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

Athletic Director has been notified to correct the inventory procedures to insure that it is reconciled monthly.

Inventory Redbook

Waggener High School: The required monthly inventory reporting (F-SA-5) were not completed for the bookstore inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

RAthletic Director has been notified to correct the inventory procedures to insure that it is reconciled monthly.


Western High School: There were eight instances in which the multiple receipt form was unable to be located. We recommend that the bookkeeper ensures that all supporting documentation is completed and retained.

The bookkeeper will ensure that all supporting documentation is completed and retained.


Western High School: Per the 2013 Redbook, “teachers, sponsors, or students shall use the Multiple Receipt Form or pre-numbered receipts when collecting money. Students third grade and above must sign the Multiple Receipt Form.” There were three instances where the students did not sign their own name. We recommend that teachers be advised that the students are required to sign the multiple receipts form themselves when funds are collected from students.

Teachers will be advised that the students are required to sign the multiple receipts from themselves when funds are collected.


Western High School: Per the 2013 Redbook, “all money collected by a teacher or sponsor shall be given to the school treasurer on the day collected or, if the money is collected after school business hours for evening or weekend events, on the next business day.” There was one instance in which amounts over $100 were deposited more than one day after collection. We recommend that more timely deposits be made to prevent theft or loss of money and to be in compliance with the Redbook.

The bookkeeper will make timely deposits to help prevent the act of theft or loss of money.

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Audit CommentRepeat

Comment (R)

District Response


Transfers General

Western High School: Inspected transfers were missing one or more of the following: 2 - instances of no explanation on F-SA-103 - instances of no sponsor signature on F-SA-10 All F-SA-10 transfer forms should be completed in full prior to the transfer being made.

The bookkeeper will use the appropriate forms and complete them in full prior to transferring funds.

Transfers Redbook

Western High School: Per the 2013 Redbook, "Amounts may be transferred between activity accounts only by proper completion of a Transfer Form." On ten instances there was not a Transfer Form present. We recommend that no transfers be made between accounts without the proper documentation and approval.

Transfers will be made only when proper documentation had been completed and said transfer has been approved.


Western High School: The 2013 Redbook states that “the purchase order shall be prepared and approved by the sponsor and principal before the payment is obligated”. There were five instances in which the date of approval was not documented and/or the date of disbursement superseded the date of approval. We recommend that all purchase orders be completed and approved prior to placing orders with vendors in order to be in compliance with the Redbook.

All purchase orders will be completed and approved prior to placing orders with vendors.


Western High School: Ensure completeness of documentation on purchase requests. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 2 - Section B of Form FSA 7 was not completed 2 - The model procurement section was not completed on the F-SA-7 10 - The Bookkeeper's signature was not present 2 - The payment information section was not documented on the F-SA-7 We recommend that documentation of transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

The bookkeeper will review documentations of transactions for completeness and accuracy.

Fundraisers Redbook

Western High School: Per the 2013 Redbook, “Fundraisers where items are sold, whether they are purchased or donated or both, require the use of the Fundraiser Worksheet (Form F-SA-2B), which is used to recap the profitability of a fundraiser sales cycle.” On ten instances there was not a Fundraiser Worksheet present. We recommend the sponsor complete the form F-SA-2B for each approved fundraiser performed, and report to the principal for review and filing within one week of the completion of the fundraising period or event.

The sponsor will complete the form F-SA-2B for each approved fundraiser performed. The completed form will be reviewed by the principal and filed within one week of the completion of the fundraising event.

Inventory General

Western High School: The required year end inventory report was not completed for the year end inventory. We recommend that the required year end inventory report be completed at the end of each year for all accounts with inventories.

The bookkeeper will complete the year end inventory report at the end of each year for all accounts with inventories.

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Audit CommentRepeat

Comment (R)

District Response



Western High School: Per Jefferson County Board of Education policy, general-use funds, such as registration fees, gates and concessions from athletic events, donations, locker rental, inventory sales, bookfair proceeds, lost book fees, and parking fees, should be deposited into the school's District Activity Fund. It was noted that this was not being done monthly. We recommend that in the future general-use funds get transfers to the District Activity Fund to be in compliance with Jefferson County Board of Education policy.

The bookkeeper will transfer general-use funds to the District Activity Fund and will be in compliance with Jefferson County Board of Education policy.

Credit Cards General

Western High School: Ensure completeness of documentation on purchase requests for credit card transactions. We discovered instances in which the purchase order (F-SA-7) and standard invoice (F-SA-8) forms were not properly completed in its entirety and the specific issues were as follows: 4 - The bookkeeper's signature was not present on the F-SA-7 for credit card transactionsWe recommend that documentation of credit card transactions be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.

The documentation of credit card transactions will be reviewed for completeness and accuracy to adequately support the transactions in the School Activity Funds.


Western High School: Per the 2013 Redbook, "Change or rotate ticket colors with each event." There was one instance where different colored tickets were not used for consecutive events. We recommend that rotating ticket colors are used for consecutive events.

The bookkeeper will work with the athletic director to ensure ticket colors are being rotated during consecutive events.


Western High School: Per the 2013 Redbook, "Two people (ticket seller, ticket taker) are required to work the gate." On four instances the initials of the ticket taker and the ticket seller were the same person. We recommend that these two roles be completed by two separate people to be in compliance with the Redbook.

Western HS will have one ticket seller and one ticket taker for events.

Inventory General

Western High School: The required monthly inventory reporting (F-SA-5) were not completed for the inventory. We recommend that the required monthly inventory reporting be completed on a monthly basis for all accounts with inventories.

The bookkeeper will complete monthly inventory reporting for all accounts with inventories.

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