Audit committee: federal single-audit threshold rises; Mountain Lake Academy flagged for Title I eligibility

During reports, the chair summarized the local audit committee meeting with district representative Karen Meister and auditors from Telling & Telling. The auditors reported that the federal threshold for a single audit will increase to $1,000,000 (from $750,000). That change could mean the district will not be subject to the full single-audit process next year if federal funding subject to audit falls below the new threshold, though auditors would still complete a financial statement audit and a compliance supplement.

The chair also reported an auditor comment that Mountain Lake Academy may not qualify for Title I funding going forward; no auditor was recorded on the transcript and the board did not record a formal determination at the meeting.

Why it matters: a higher single-audit threshold changes the district’s external-audit exposure and could reduce administrative burden for years when federal pass-through funds fall under the new threshold. Questions remain about Mountain Lake Academy’s Title I eligibility; the board recorded the auditor’s note and said auditors will present to the board via Zoom before Oct. 15.

Next steps: auditors will return via Zoom to review the audit findings and allow the board to ask questions prior to Oct. 15.