Audit 296753

FY End
2023-06-30
Total Expended
$2.20M
Findings
12
Programs
11
Year: 2023 Accepted: 2024-03-22
Auditor: Nigro & Nigro PC

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
383736 2023-003 Material Weakness - IL
383737 2023-004 Material Weakness - IL
383738 2023-003 Material Weakness - IL
383739 2023-004 Material Weakness - IL
383740 2023-003 Material Weakness - IL
383741 2023-004 Material Weakness - IL
960178 2023-003 Material Weakness - IL
960179 2023-004 Material Weakness - IL
960180 2023-003 Material Weakness - IL
960181 2023-004 Material Weakness - IL
960182 2023-003 Material Weakness - IL
960183 2023-004 Material Weakness - IL

Programs

ALN Program Spent Major Findings
84.010 Title I Grants to Local Educational Agencies $213,438 - 0
10.553 School Breakfast Program $107,802 Yes 2
10.555 National School Lunch Program $52,345 Yes 2
84.011 Migrant Education_state Grant Program $50,421 - 0
84.425 Education Stabilization Fund $47,837 Yes 0
84.027 Special Education_grants to States $38,597 - 0
84.367 Improving Teacher Quality State Grants $34,350 - 0
84.424 Student Support and Academic Enrichment Program $17,681 - 0
84.365 English Language Acquisition State Grants $11,843 - 0
93.575 Child Care and Development Block Grant $10,524 - 0
84.358 Rural Education $5,665 - 0

Contacts

Name Title Type
HPU2BNNLUW69 Daniel Ornelas Auditee
8316234500 Jessica Berry Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The schedule of expenditures of Federal awards includes the Federal grant activity of the District and is presented on the modified accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: District did not elect to use the ten percent de minimis indirect cost rate.

Finding Details

Finding 2023-003: Reporting (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: SFAs and sponsors must submit monthly claims for reimbursement for meals and snacks served to eligible students within 60 days following the last day of the month covered by the claim (7 CFR sections 210.8, 220.11, 215.10, and 225.15(c)). Each month’s claim for reimbursement and all data used in the claims review process must be maintained on file. Accurate records must be maintained justifying all meals claimed. Failure to maintain such records may be grounds for denial of reimbursement for meals served and/or administrative costs claimed during the period covered by the records in question. Records are required to be retained for a period of three years after submission of the final Claim for Reimbursement for the fiscal year. Condition: From August 2022 through January 2023, all meals served were being hand tallied. Only total meals served were counted and there were no records maintained to document the free/reduced/paid status of the students receiving meals. At the end of the month, the District was applying an estimated percentage breakout of free/reduced/paid to the total meal counts, and using this estimate on their monthly CNIPS claim forms. In addition, the total meals documented on the District tally sheets could not be consistently reconciled to the total meals claimed for the two months sampled for testing (September 2022 and January 2023). In February 2023, the District implemented a point of sale system and began tracking meals by Free/reduced/paid status and reconciling system records to claim forms. Cause: Due to turnover at the District and changing procedures after COVID, the District experienced a delayed implementation of their point of sale system and continued tracking total meals by hand like they had done under the previous COVID flexibility waivers. Context: Discrepancies were noted for the months of August 2022 through January 2023. Effect: Meals reported could not be reconciled to total meals served or eligibility status of participating students. This could cause inaccurately claimed meal counts and inappropriate reimbursement rates based on free/reduced/paid eligibility. Questioned Cost: There was insufficient documentation to determine the total meals served or the breakout between free, reduced, and paid meals, therefore, a questioned cost cannot be calculated. The total child nutrition funding claimed for the six months in question was $254,604 Federal and $236,725 State. Recommendation: We recommend that the District continue to utilize a point of sale system and track all meals served by student eligibility. We further recommend that these records be reconciled against claim forms on a monthly basis. Views of Responsible Officials: The District started the 2022-23 school year without a point of sale system in place. The rollout of a new point of sale system took until January to get up at all sites and therefore created challenges for the cafeteria staff to keep up with keeping accurate records for meal claims. The point of sale has been in place at all sites since January 2023 and has not had issues related to tracking meal participation. The District is prioritizing systems that synchronize with the student information system to ensure accurate data is shared across all aspects of school operations that get reported through CALPADS.
Finding 2023-004: Procurement (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: Code of Federal Regulations, CFR 200.320, require the non-Federal entity to have and use documented procurement procedures, consistent with the standards of this section and §§ 200.317, 200.318, and 200.319 for the acquisition of property or services required under a Federal award or sub-award. For “small purchases,” those where the aggregate dollar amount is higher than the micro-purchase threshold but does not exceed the simplified acquisition threshold, price or rate quotations must be obtained from an adequate number of qualified sources as determined appropriate by the non-Federal entity. Condition: During our testing of procurement, we sampled three contracts that would qualify as “small purchases.” The District could not provide evidence that multiple quotes had been obtained prior to selecting any of the three vendors. Cause: Due to high turnover at the District, there has been a lack of oversight to ensure all appropriate documentation is maintained to demonstrate that the District is in compliance with Public Contract Code and that purchases are awarded after a reasonable number of quotes have been obtained. Context: Deficiency was noted in all three contracts tested. Effect: Contracts were awarded without following proper procurement procedures. Questioned Cost: This resulted in roughly $86,000 awarded in contracts, without following proper procedures. Recommendation: We recommend that the District train and implement the required federal procurement procedures to ensure that the District is in compliance. Views of Responsible Officials: The District is working to ensure that management staff understand the requirements of federal procurement for our meal program. The cafeteria program also had a Procurement Review process with CDE staff about its procurement procedures in the 2022-23 school year. This training provided valuable information and will help the District with compliance.
Finding 2023-003: Reporting (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: SFAs and sponsors must submit monthly claims for reimbursement for meals and snacks served to eligible students within 60 days following the last day of the month covered by the claim (7 CFR sections 210.8, 220.11, 215.10, and 225.15(c)). Each month’s claim for reimbursement and all data used in the claims review process must be maintained on file. Accurate records must be maintained justifying all meals claimed. Failure to maintain such records may be grounds for denial of reimbursement for meals served and/or administrative costs claimed during the period covered by the records in question. Records are required to be retained for a period of three years after submission of the final Claim for Reimbursement for the fiscal year. Condition: From August 2022 through January 2023, all meals served were being hand tallied. Only total meals served were counted and there were no records maintained to document the free/reduced/paid status of the students receiving meals. At the end of the month, the District was applying an estimated percentage breakout of free/reduced/paid to the total meal counts, and using this estimate on their monthly CNIPS claim forms. In addition, the total meals documented on the District tally sheets could not be consistently reconciled to the total meals claimed for the two months sampled for testing (September 2022 and January 2023). In February 2023, the District implemented a point of sale system and began tracking meals by Free/reduced/paid status and reconciling system records to claim forms. Cause: Due to turnover at the District and changing procedures after COVID, the District experienced a delayed implementation of their point of sale system and continued tracking total meals by hand like they had done under the previous COVID flexibility waivers. Context: Discrepancies were noted for the months of August 2022 through January 2023. Effect: Meals reported could not be reconciled to total meals served or eligibility status of participating students. This could cause inaccurately claimed meal counts and inappropriate reimbursement rates based on free/reduced/paid eligibility. Questioned Cost: There was insufficient documentation to determine the total meals served or the breakout between free, reduced, and paid meals, therefore, a questioned cost cannot be calculated. The total child nutrition funding claimed for the six months in question was $254,604 Federal and $236,725 State. Recommendation: We recommend that the District continue to utilize a point of sale system and track all meals served by student eligibility. We further recommend that these records be reconciled against claim forms on a monthly basis. Views of Responsible Officials: The District started the 2022-23 school year without a point of sale system in place. The rollout of a new point of sale system took until January to get up at all sites and therefore created challenges for the cafeteria staff to keep up with keeping accurate records for meal claims. The point of sale has been in place at all sites since January 2023 and has not had issues related to tracking meal participation. The District is prioritizing systems that synchronize with the student information system to ensure accurate data is shared across all aspects of school operations that get reported through CALPADS.
Finding 2023-004: Procurement (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: Code of Federal Regulations, CFR 200.320, require the non-Federal entity to have and use documented procurement procedures, consistent with the standards of this section and §§ 200.317, 200.318, and 200.319 for the acquisition of property or services required under a Federal award or sub-award. For “small purchases,” those where the aggregate dollar amount is higher than the micro-purchase threshold but does not exceed the simplified acquisition threshold, price or rate quotations must be obtained from an adequate number of qualified sources as determined appropriate by the non-Federal entity. Condition: During our testing of procurement, we sampled three contracts that would qualify as “small purchases.” The District could not provide evidence that multiple quotes had been obtained prior to selecting any of the three vendors. Cause: Due to high turnover at the District, there has been a lack of oversight to ensure all appropriate documentation is maintained to demonstrate that the District is in compliance with Public Contract Code and that purchases are awarded after a reasonable number of quotes have been obtained. Context: Deficiency was noted in all three contracts tested. Effect: Contracts were awarded without following proper procurement procedures. Questioned Cost: This resulted in roughly $86,000 awarded in contracts, without following proper procedures. Recommendation: We recommend that the District train and implement the required federal procurement procedures to ensure that the District is in compliance. Views of Responsible Officials: The District is working to ensure that management staff understand the requirements of federal procurement for our meal program. The cafeteria program also had a Procurement Review process with CDE staff about its procurement procedures in the 2022-23 school year. This training provided valuable information and will help the District with compliance.
Finding 2023-003: Reporting (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: SFAs and sponsors must submit monthly claims for reimbursement for meals and snacks served to eligible students within 60 days following the last day of the month covered by the claim (7 CFR sections 210.8, 220.11, 215.10, and 225.15(c)). Each month’s claim for reimbursement and all data used in the claims review process must be maintained on file. Accurate records must be maintained justifying all meals claimed. Failure to maintain such records may be grounds for denial of reimbursement for meals served and/or administrative costs claimed during the period covered by the records in question. Records are required to be retained for a period of three years after submission of the final Claim for Reimbursement for the fiscal year. Condition: From August 2022 through January 2023, all meals served were being hand tallied. Only total meals served were counted and there were no records maintained to document the free/reduced/paid status of the students receiving meals. At the end of the month, the District was applying an estimated percentage breakout of free/reduced/paid to the total meal counts, and using this estimate on their monthly CNIPS claim forms. In addition, the total meals documented on the District tally sheets could not be consistently reconciled to the total meals claimed for the two months sampled for testing (September 2022 and January 2023). In February 2023, the District implemented a point of sale system and began tracking meals by Free/reduced/paid status and reconciling system records to claim forms. Cause: Due to turnover at the District and changing procedures after COVID, the District experienced a delayed implementation of their point of sale system and continued tracking total meals by hand like they had done under the previous COVID flexibility waivers. Context: Discrepancies were noted for the months of August 2022 through January 2023. Effect: Meals reported could not be reconciled to total meals served or eligibility status of participating students. This could cause inaccurately claimed meal counts and inappropriate reimbursement rates based on free/reduced/paid eligibility. Questioned Cost: There was insufficient documentation to determine the total meals served or the breakout between free, reduced, and paid meals, therefore, a questioned cost cannot be calculated. The total child nutrition funding claimed for the six months in question was $254,604 Federal and $236,725 State. Recommendation: We recommend that the District continue to utilize a point of sale system and track all meals served by student eligibility. We further recommend that these records be reconciled against claim forms on a monthly basis. Views of Responsible Officials: The District started the 2022-23 school year without a point of sale system in place. The rollout of a new point of sale system took until January to get up at all sites and therefore created challenges for the cafeteria staff to keep up with keeping accurate records for meal claims. The point of sale has been in place at all sites since January 2023 and has not had issues related to tracking meal participation. The District is prioritizing systems that synchronize with the student information system to ensure accurate data is shared across all aspects of school operations that get reported through CALPADS.
Finding 2023-004: Procurement (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: Code of Federal Regulations, CFR 200.320, require the non-Federal entity to have and use documented procurement procedures, consistent with the standards of this section and §§ 200.317, 200.318, and 200.319 for the acquisition of property or services required under a Federal award or sub-award. For “small purchases,” those where the aggregate dollar amount is higher than the micro-purchase threshold but does not exceed the simplified acquisition threshold, price or rate quotations must be obtained from an adequate number of qualified sources as determined appropriate by the non-Federal entity. Condition: During our testing of procurement, we sampled three contracts that would qualify as “small purchases.” The District could not provide evidence that multiple quotes had been obtained prior to selecting any of the three vendors. Cause: Due to high turnover at the District, there has been a lack of oversight to ensure all appropriate documentation is maintained to demonstrate that the District is in compliance with Public Contract Code and that purchases are awarded after a reasonable number of quotes have been obtained. Context: Deficiency was noted in all three contracts tested. Effect: Contracts were awarded without following proper procurement procedures. Questioned Cost: This resulted in roughly $86,000 awarded in contracts, without following proper procedures. Recommendation: We recommend that the District train and implement the required federal procurement procedures to ensure that the District is in compliance. Views of Responsible Officials: The District is working to ensure that management staff understand the requirements of federal procurement for our meal program. The cafeteria program also had a Procurement Review process with CDE staff about its procurement procedures in the 2022-23 school year. This training provided valuable information and will help the District with compliance.
Finding 2023-003: Reporting (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: SFAs and sponsors must submit monthly claims for reimbursement for meals and snacks served to eligible students within 60 days following the last day of the month covered by the claim (7 CFR sections 210.8, 220.11, 215.10, and 225.15(c)). Each month’s claim for reimbursement and all data used in the claims review process must be maintained on file. Accurate records must be maintained justifying all meals claimed. Failure to maintain such records may be grounds for denial of reimbursement for meals served and/or administrative costs claimed during the period covered by the records in question. Records are required to be retained for a period of three years after submission of the final Claim for Reimbursement for the fiscal year. Condition: From August 2022 through January 2023, all meals served were being hand tallied. Only total meals served were counted and there were no records maintained to document the free/reduced/paid status of the students receiving meals. At the end of the month, the District was applying an estimated percentage breakout of free/reduced/paid to the total meal counts, and using this estimate on their monthly CNIPS claim forms. In addition, the total meals documented on the District tally sheets could not be consistently reconciled to the total meals claimed for the two months sampled for testing (September 2022 and January 2023). In February 2023, the District implemented a point of sale system and began tracking meals by Free/reduced/paid status and reconciling system records to claim forms. Cause: Due to turnover at the District and changing procedures after COVID, the District experienced a delayed implementation of their point of sale system and continued tracking total meals by hand like they had done under the previous COVID flexibility waivers. Context: Discrepancies were noted for the months of August 2022 through January 2023. Effect: Meals reported could not be reconciled to total meals served or eligibility status of participating students. This could cause inaccurately claimed meal counts and inappropriate reimbursement rates based on free/reduced/paid eligibility. Questioned Cost: There was insufficient documentation to determine the total meals served or the breakout between free, reduced, and paid meals, therefore, a questioned cost cannot be calculated. The total child nutrition funding claimed for the six months in question was $254,604 Federal and $236,725 State. Recommendation: We recommend that the District continue to utilize a point of sale system and track all meals served by student eligibility. We further recommend that these records be reconciled against claim forms on a monthly basis. Views of Responsible Officials: The District started the 2022-23 school year without a point of sale system in place. The rollout of a new point of sale system took until January to get up at all sites and therefore created challenges for the cafeteria staff to keep up with keeping accurate records for meal claims. The point of sale has been in place at all sites since January 2023 and has not had issues related to tracking meal participation. The District is prioritizing systems that synchronize with the student information system to ensure accurate data is shared across all aspects of school operations that get reported through CALPADS.
Finding 2023-004: Procurement (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: Code of Federal Regulations, CFR 200.320, require the non-Federal entity to have and use documented procurement procedures, consistent with the standards of this section and §§ 200.317, 200.318, and 200.319 for the acquisition of property or services required under a Federal award or sub-award. For “small purchases,” those where the aggregate dollar amount is higher than the micro-purchase threshold but does not exceed the simplified acquisition threshold, price or rate quotations must be obtained from an adequate number of qualified sources as determined appropriate by the non-Federal entity. Condition: During our testing of procurement, we sampled three contracts that would qualify as “small purchases.” The District could not provide evidence that multiple quotes had been obtained prior to selecting any of the three vendors. Cause: Due to high turnover at the District, there has been a lack of oversight to ensure all appropriate documentation is maintained to demonstrate that the District is in compliance with Public Contract Code and that purchases are awarded after a reasonable number of quotes have been obtained. Context: Deficiency was noted in all three contracts tested. Effect: Contracts were awarded without following proper procurement procedures. Questioned Cost: This resulted in roughly $86,000 awarded in contracts, without following proper procedures. Recommendation: We recommend that the District train and implement the required federal procurement procedures to ensure that the District is in compliance. Views of Responsible Officials: The District is working to ensure that management staff understand the requirements of federal procurement for our meal program. The cafeteria program also had a Procurement Review process with CDE staff about its procurement procedures in the 2022-23 school year. This training provided valuable information and will help the District with compliance.
Finding 2023-003: Reporting (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: SFAs and sponsors must submit monthly claims for reimbursement for meals and snacks served to eligible students within 60 days following the last day of the month covered by the claim (7 CFR sections 210.8, 220.11, 215.10, and 225.15(c)). Each month’s claim for reimbursement and all data used in the claims review process must be maintained on file. Accurate records must be maintained justifying all meals claimed. Failure to maintain such records may be grounds for denial of reimbursement for meals served and/or administrative costs claimed during the period covered by the records in question. Records are required to be retained for a period of three years after submission of the final Claim for Reimbursement for the fiscal year. Condition: From August 2022 through January 2023, all meals served were being hand tallied. Only total meals served were counted and there were no records maintained to document the free/reduced/paid status of the students receiving meals. At the end of the month, the District was applying an estimated percentage breakout of free/reduced/paid to the total meal counts, and using this estimate on their monthly CNIPS claim forms. In addition, the total meals documented on the District tally sheets could not be consistently reconciled to the total meals claimed for the two months sampled for testing (September 2022 and January 2023). In February 2023, the District implemented a point of sale system and began tracking meals by Free/reduced/paid status and reconciling system records to claim forms. Cause: Due to turnover at the District and changing procedures after COVID, the District experienced a delayed implementation of their point of sale system and continued tracking total meals by hand like they had done under the previous COVID flexibility waivers. Context: Discrepancies were noted for the months of August 2022 through January 2023. Effect: Meals reported could not be reconciled to total meals served or eligibility status of participating students. This could cause inaccurately claimed meal counts and inappropriate reimbursement rates based on free/reduced/paid eligibility. Questioned Cost: There was insufficient documentation to determine the total meals served or the breakout between free, reduced, and paid meals, therefore, a questioned cost cannot be calculated. The total child nutrition funding claimed for the six months in question was $254,604 Federal and $236,725 State. Recommendation: We recommend that the District continue to utilize a point of sale system and track all meals served by student eligibility. We further recommend that these records be reconciled against claim forms on a monthly basis. Views of Responsible Officials: The District started the 2022-23 school year without a point of sale system in place. The rollout of a new point of sale system took until January to get up at all sites and therefore created challenges for the cafeteria staff to keep up with keeping accurate records for meal claims. The point of sale has been in place at all sites since January 2023 and has not had issues related to tracking meal participation. The District is prioritizing systems that synchronize with the student information system to ensure accurate data is shared across all aspects of school operations that get reported through CALPADS.
Finding 2023-004: Procurement (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: Code of Federal Regulations, CFR 200.320, require the non-Federal entity to have and use documented procurement procedures, consistent with the standards of this section and §§ 200.317, 200.318, and 200.319 for the acquisition of property or services required under a Federal award or sub-award. For “small purchases,” those where the aggregate dollar amount is higher than the micro-purchase threshold but does not exceed the simplified acquisition threshold, price or rate quotations must be obtained from an adequate number of qualified sources as determined appropriate by the non-Federal entity. Condition: During our testing of procurement, we sampled three contracts that would qualify as “small purchases.” The District could not provide evidence that multiple quotes had been obtained prior to selecting any of the three vendors. Cause: Due to high turnover at the District, there has been a lack of oversight to ensure all appropriate documentation is maintained to demonstrate that the District is in compliance with Public Contract Code and that purchases are awarded after a reasonable number of quotes have been obtained. Context: Deficiency was noted in all three contracts tested. Effect: Contracts were awarded without following proper procurement procedures. Questioned Cost: This resulted in roughly $86,000 awarded in contracts, without following proper procedures. Recommendation: We recommend that the District train and implement the required federal procurement procedures to ensure that the District is in compliance. Views of Responsible Officials: The District is working to ensure that management staff understand the requirements of federal procurement for our meal program. The cafeteria program also had a Procurement Review process with CDE staff about its procurement procedures in the 2022-23 school year. This training provided valuable information and will help the District with compliance.
Finding 2023-003: Reporting (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: SFAs and sponsors must submit monthly claims for reimbursement for meals and snacks served to eligible students within 60 days following the last day of the month covered by the claim (7 CFR sections 210.8, 220.11, 215.10, and 225.15(c)). Each month’s claim for reimbursement and all data used in the claims review process must be maintained on file. Accurate records must be maintained justifying all meals claimed. Failure to maintain such records may be grounds for denial of reimbursement for meals served and/or administrative costs claimed during the period covered by the records in question. Records are required to be retained for a period of three years after submission of the final Claim for Reimbursement for the fiscal year. Condition: From August 2022 through January 2023, all meals served were being hand tallied. Only total meals served were counted and there were no records maintained to document the free/reduced/paid status of the students receiving meals. At the end of the month, the District was applying an estimated percentage breakout of free/reduced/paid to the total meal counts, and using this estimate on their monthly CNIPS claim forms. In addition, the total meals documented on the District tally sheets could not be consistently reconciled to the total meals claimed for the two months sampled for testing (September 2022 and January 2023). In February 2023, the District implemented a point of sale system and began tracking meals by Free/reduced/paid status and reconciling system records to claim forms. Cause: Due to turnover at the District and changing procedures after COVID, the District experienced a delayed implementation of their point of sale system and continued tracking total meals by hand like they had done under the previous COVID flexibility waivers. Context: Discrepancies were noted for the months of August 2022 through January 2023. Effect: Meals reported could not be reconciled to total meals served or eligibility status of participating students. This could cause inaccurately claimed meal counts and inappropriate reimbursement rates based on free/reduced/paid eligibility. Questioned Cost: There was insufficient documentation to determine the total meals served or the breakout between free, reduced, and paid meals, therefore, a questioned cost cannot be calculated. The total child nutrition funding claimed for the six months in question was $254,604 Federal and $236,725 State. Recommendation: We recommend that the District continue to utilize a point of sale system and track all meals served by student eligibility. We further recommend that these records be reconciled against claim forms on a monthly basis. Views of Responsible Officials: The District started the 2022-23 school year without a point of sale system in place. The rollout of a new point of sale system took until January to get up at all sites and therefore created challenges for the cafeteria staff to keep up with keeping accurate records for meal claims. The point of sale has been in place at all sites since January 2023 and has not had issues related to tracking meal participation. The District is prioritizing systems that synchronize with the student information system to ensure accurate data is shared across all aspects of school operations that get reported through CALPADS.
Finding 2023-004: Procurement (50000) Assistance Listing # 10.553, 10.555 Federal Awarding Agency: U.S. Department of Agriculture Pass-through Agency: California Department of Education Program Title: Child Nutrition Cluster Criteria: Code of Federal Regulations, CFR 200.320, require the non-Federal entity to have and use documented procurement procedures, consistent with the standards of this section and §§ 200.317, 200.318, and 200.319 for the acquisition of property or services required under a Federal award or sub-award. For “small purchases,” those where the aggregate dollar amount is higher than the micro-purchase threshold but does not exceed the simplified acquisition threshold, price or rate quotations must be obtained from an adequate number of qualified sources as determined appropriate by the non-Federal entity. Condition: During our testing of procurement, we sampled three contracts that would qualify as “small purchases.” The District could not provide evidence that multiple quotes had been obtained prior to selecting any of the three vendors. Cause: Due to high turnover at the District, there has been a lack of oversight to ensure all appropriate documentation is maintained to demonstrate that the District is in compliance with Public Contract Code and that purchases are awarded after a reasonable number of quotes have been obtained. Context: Deficiency was noted in all three contracts tested. Effect: Contracts were awarded without following proper procurement procedures. Questioned Cost: This resulted in roughly $86,000 awarded in contracts, without following proper procedures. Recommendation: We recommend that the District train and implement the required federal procurement procedures to ensure that the District is in compliance. Views of Responsible Officials: The District is working to ensure that management staff understand the requirements of federal procurement for our meal program. The cafeteria program also had a Procurement Review process with CDE staff about its procurement procedures in the 2022-23 school year. This training provided valuable information and will help the District with compliance.