Audit 376704

Federal Agency: U.S. Department of Agriculture Federal Program Title: Child Nutrition Cluster Assistance Listing Number: 10.553 & 10.555 Federal Award Identification Number and Year: 1-0361-000, 2025 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0361-000 Award Period: June 30, 2025 Type of Finding: Significant Deficiency in Internal Control Over Compliance Condition: During testing of controls over reporting of the Clics reports, it was noted that there was no documented reviews that were completed in fiscal year 2025. Criteria or Specific Requirement: The District needs to have adequate controls over reporting of the Clics reports in order to ensure that the applicable requirements are being followed. Questioned Costs: None. Context: During testing, it was noted that there were no review of the Clics report that were submitted. Effect: Lack of proper documentation of controls over review of the Clics report could lead to unallowable reimbursement of federal funds. Cause: District turnover. Repeat Finding: No. Recommendation: We recommend the District have someone reviewing all Clics reports before they are submitted. Views of Responsible Officials: There is no disagreement with the audit finding.

Federal Agency: U.S. Department of Agriculture Federal Program Title: Child Nutrition Cluster Assistance Listing Number: 10.553 & 10.555 Federal Award Identification Number and Year: 1-0361-000, 2025 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0361-000. Award Period: June 30, 2025 Type of Finding: Significant Deficiency in Internal Control Over Compliance Condition: During testing of vendor verification, it was noted that proper documentation was not kept to support that the vendors were checked via the federal website to not be on the suspended or debarred listing before payment was made. Criteria or Specific Requirement: Proper records were not retained as required by suspension and debarment requirements. Questioned Costs: None. Context: The vendors tested did not have documentation retained to ensure that they were not on the suspended and debarred listing. Effect: Lack of controls to ensure that vendors are not suspended or debarred could result in the District paying suspended or debarred vendors. Cause: District turnover. Repeat Finding: No. Recommendation: We recommend the District maintain records that all vendors are not on the suspended or debarred listing. Views of Responsible Officials: There is no disagreement with the audit finding.