Audit 377582

Program Name – Child Nutrition Cluster CFDA Number – 10.553, 10.555, 10.559, 10.582 Pass-through Entity – Michigan Department of Education Finding Type – Significant Deficiency Criteria – Each monthly claim reimbursement report should be supported by accurate meal counts and records indicating the number of meals served by category and type. Condition – During testing of the meal claims we noted some variances in the meal counts on the claims submitted for reimbursements and the meal counts on the underlying daily count reports. Questioned Costs – None Cause/Effect – Each individual school reports the meals on a shared spreadsheet to the administrative office. The office does not verify the reported amounts to the underlying supporting documents. As a result, the number of breakfast meals each month that was tested was understated by approximately 500 breakfast meals. In addition, there were some other minor variances in the meals reported to Michigan Department of Education for reimbursement and the meals served on the daily count reports. Identification of a Repeat Finding – This is not a repeat finding from the immediate previous audit. Recommendation – We recommend that internal reports used to submit the meal counts for reimbursement are regularly tested on a sample basis to the underlying documents, to ensure that the report outcomes are accurate.