The Public School System is working to finalize an “unmodified” fiscal year 2014 audit.
PSS comptroller George Palican gave a report on the audit in last week’s CNMI State Board of Education meeting. He noted that this audit was turned in two weeks before deadline, and that the auditor’s opinion was unmodified, or in other words, its financial statements were presented in accordance with all requirements.
In his report, Palican said there was “no material weakness in internal control in financial reporting and federal awards.”
Additionally, he said there were “zero questioned costs.”
The PSS’ auditor is Burger, Comer and Magliari.
Palican said once the audit is finalized it will then be sent to a clearinghouse.
Board member Marylou Ada told media that in previous years, audit “numbers could not be verified.” They were “always qualified,” she said.
For one, the fiscal year 2011 single audit reported deficiencies in bank reconciliation concerning federal funds; procurement; allowable use of department funds; property management (including inventory); travel policies; and payroll procedures, among others.
But this audit was a “clean slate” financial statement, Ada noted.
The board described it as a “three-year journey” toward this clean audit. “Strict budgetary controls” and “strengthened documentation” were reasons given for the strong audit.