Limited Scope Audit on Selected Awards to Education Commission of the States

We conducted a limited scope audit of Education Commission of the States (ECS) for the period of December 1, 2015 through October 31, 2018. Limited scope audits involve a limited review of financial and non-financial information of NEA award recipients to ensure validity and accuracy of reported information, and compliance with Federal requirements. Based on our limited scope audit, we concluded that ECS generally did not fully comply with financial management system and recordkeeping requirements established by OMB and NEA. We identified areas requiring improvement. A summary of our findings is as follows, ECS: reported unallowable costs on its Federal Financial Reports (FFRs), did not report actual costs on its FFRs, reported costs outside of the award period, did not submit its required FFR and Final Descriptive Report on time, did not comply with Federal requirements related to record retention, did not have the required Section 504 Self-Evaluation on file, did not have debarment and suspension policies and procedures, and did not have policies and procedures for the management of Federal awards.