Randy Shrum (Lead Auditor with Marshall Jones) presented the Summary Letter and Audit Report drafts to the Governing Board.

Audit Summary Letter (DRAFT)

• Marshall Jones audited the financial statements and business activities of The Main Street Academy for fiscal year ending June 30, 2023.
• Their audit is now complete and the have issued a draft report dated September 29, 2023.

Audit Report (DRAFT)

• Summary of Results presented
  • Internal control over financial reporting:  
    • Material weakness identified? YES 
    • Significant deficiencies identified that are not considered to be material weaknesses? NO  
    • Noncompliance material to financial statements noted? NO
  • Internal control over major federal programs:  
    • Material weakness identified? NO 
    • Significant deficiencies identified that are not considered to be material weaknesses? NO

Material Weakness Identified:

• Noted that previous accounting firm did not consistently record financial information in the proper period. The cause was listed as changes in administration (finance department) and the previous accounting firm.
• Recommendation from Marshall Jones - additional training, establish additional policies and procedures, and timely reviews of financials.
• Administration (Dr. Owes) added that training has already taken place. Two additional training sessions are scheduled. Updated policies and procedures have been implemented. We moved to a new accounting firm mid-year which did create some challenges but was a necessary.