FAC Explorer

Audit 16722

FY End
2022-06-30
Total Expended
$2.11M
Findings
22
Programs
11
Organization: Whittemore-Prescott Area Schools (MI)
Year: 2022 Accepted: 2022-10-25
Auditor: Weinlander Fitzhugh

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
12329 2022-003 - Yes N
12330 2022-003 - Yes N
12331 2022-003 - Yes N
12332 2022-003 - Yes N
12333 2022-003 - Yes N
12334 2022-003 - Yes N
12335 2022-003 - Yes N
12336 2022-003 - Yes N
12337 2022-003 - Yes N
12338 2022-003 - Yes N
12339 2022-003 - Yes N
588771 2022-003 - Yes N
588772 2022-003 - Yes N
588773 2022-003 - Yes N
588774 2022-003 - Yes N
588775 2022-003 - Yes N
588776 2022-003 - Yes N
588777 2022-003 - Yes N
588778 2022-003 - Yes N
588779 2022-003 - Yes N
588780 2022-003 - Yes N
588781 2022-003 - Yes N

Programs

ALN Program Spent Major Findings
84.425 Education Stabilization Fund $485,943 Yes 0
84.010 Title I Grants to Local Educational Agencies $387,355 - 0
21.019 Coronavirus Relief Fund $264,520 - 0
10.553 School Breakfast Program $126,440 Yes 1
32.009 Emergency Connectivity Fund Program $69,024 - 0
10.555 National School Lunch Program $43,588 Yes 1
84.367 Improving Teacher Quality State Grants $37,209 - 0
84.424 Student Support and Academic Enrichment Program $10,414 - 0
10.559 Summer Food Service Program for Children $3,398 Yes 1
10.649 Pandemic Ebt Administrative Costs $614 - 0
93.778 Medical Assistance Program $138 - 0

Contacts

Name Title Type
E12MA9L8YA19 Kim Clemens Auditee
9897562500 David Quimby Auditor
No contacts on file

Notes to SEFA

Title: Other Disclosures Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) includes the federal grant activity of Whittemore-Prescott Area Schools under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of Whittemore-Prescott Area Schools, it is not intended to and does not present the financial position or changes in net position of Whittemore-Prescott Area Schools. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts (if any) shown on the Schedule represent adjustments or credit made in the normal course of business to amounts reported as expenditures. The School District has elected not to use the 10 percent de minimus indirect cost rate to recover costs as allowed under the Uniform Guidance. The School District does not have any subrecipients. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Management has utilized the NexSys, Cash Management System and the Grant Auditor Report in preparing the Schedule of Expenditures of Federal Awards.
Title: Reconciliation of Revenue Reported in the Financial Statements Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) includes the federal grant activity of Whittemore-Prescott Area Schools under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of Whittemore-Prescott Area Schools, it is not intended to and does not present the financial position or changes in net position of Whittemore-Prescott Area Schools. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts (if any) shown on the Schedule represent adjustments or credit made in the normal course of business to amounts reported as expenditures. The School District has elected not to use the 10 percent de minimus indirect cost rate to recover costs as allowed under the Uniform Guidance. The School District does not have any subrecipients. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Total Federal Expenditures per Schedule of Expenditures of Federal Awards - $2,109,318. Add: Prior year's ESSER Formula received after 60 days - $353,358. Add: Prior year's ESSER Equity received after 60 days - $4,420. Less: ESSER II formula received after 60 days - ($177,072). Revenues per financial statements - federal sources - $2,290,024.
Title: (Unaudited) Donated Personal Protective Equipment Accounting Policies: The accompanying schedule of expenditures of federal awards (Schedule) includes the federal grant activity of Whittemore-Prescott Area Schools under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of Whittemore-Prescott Area Schools, it is not intended to and does not present the financial position or changes in net position of Whittemore-Prescott Area Schools. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts (if any) shown on the Schedule represent adjustments or credit made in the normal course of business to amounts reported as expenditures. The School District has elected not to use the 10 percent de minimus indirect cost rate to recover costs as allowed under the Uniform Guidance. The School District does not have any subrecipients. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. For the year ended June 30, 2022, the School District did not receive any personal protective equipment.

Finding Details

Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.
Finding 2022-003
Nutrition Cluster - National School Breakfast and National School Lunch, U.S. Department of Agriculture, passed through Michigan Department of Education. ALN # 10.553, 10.555 and 10.559. Federal register section 7 CFR part 210.14b requires School Districts to limit its School Breakfast and Lunch Fund net cash resources to an amount that does not exceed three months of average expenditures. The School District's net cash resources exceeded three months of average expenditures at June 30, 2022. Management is required to monitor net cash resources and their spend down plan to ensure that they do not exceed three months of average expenditures. The School District's net cash resources were in excess of three months over expenditures by $87,445. Management did not monitor net cash resources and their spend down plan to ensure that they did not exceed three months of average expenditures. We recommend that the School District review their Food Service Fund's net cash resources periodically throughout the school year to ensure that the fund will not have an excess of three months of average expenditures at the fiscal year end and that the School District works on a spend down plan with the Michigan Department of Education. The School District should also take this requirement into consideration when preparing the annual budget and any subsequent adjustments to the budget.