Audit 373519

Federal Agency: U.S. Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.559 Award Period: Year Ended June 30, 2025 Type of Finding: Significant Deficiency in Internal Control over Compliance Condition: The District did not retain documentation to support that the vendors used were not suspended or debarred. Criteria or specific requirement: Federal guidelines require grant recipients to perform verification procedures that a vendor is not federally suspended or debarred prior to entering into a covered transaction. Questioned Costs: None. The vendor was not federally suspended or debarred. Context: During suspension and debarment testing, three of the three covered transactions tested did not have support retained that the vendor was not federally suspended or debarred. Effect: Lack of proper documentation of controls over compliance with suspension and debarment requirements could result in paying suspended or debarred vendors. This could ultimately result in questioned costs. After review of vendors, it was noted that no vendors used were on the suspension or debarment list. Cause: Oversight. Repeat Finding: No. Recommendation: We recommend the District implement additional procedures to ensure suspension and debarment documentation is retained. Views of responsible officials: There is no disagreement with the audit finding.