No. 2023-002 – Material weakness in internal controls and noncompliance related to Eligibility. Criteria – Unless a school is operating under the Community Eligibility Program (CEP), the USDA requires applications providing household income and size be submitted, processed and reviewed to determine eligibility for free, reduced or paid meals. Applicants are to be notified of their eligibility within 10 days of receiving the application. Condition – Bandon High School was not under the Community Eligibility Program in 2022-23 however, the school did not actively solicit applications. Instead, any applications that were received were filed away without review. Of the applications available, auditor tested nine (non-statistical sampling), noting one was incorrectly determined to be eligible for free meals when it should have been reduced. None in the sample contained evidence of review by a second person. Of the sample tested, all applicants were either notified of their eligible status over six months late or no evidence could be provided of when the notice was sent. Effect – The District had appropriate application forms available in the annual school registration packet and received several from households but due to not actively soliciting applications, the number was much less than a typical year. The District needed to establish a base year for the high school to enter the Community Eligibility Program and failing to accurately track the number of students eligible for free or reduced meals delayed entry into that program by a year. Cause – The District had Federal, State and local programs in place during 2022-23 which resulted in free meals to all students at all schools. This caused District management to believe that they did not have to process free/reduce meal applications. As a result, the meal claim forms submitted to the Oregon Department of Education did not accurately reflect the number of households eligible for free or reduced meals. Perspective - Oregon Department of Education worked with the District in March 2023, provided training and determined the District over claimed approximately $600 in meals from the Department of Education. Recommendation – The District should maintain open communication with the Oregon Department of Education anytime there is a change in the eligibility process or the fee structure the District establishes. Management’s response: Management agrees with the finding. See the Corrective Action Plan.
No. 2023-002 – Material weakness in internal controls and noncompliance related to Eligibility. Criteria – Unless a school is operating under the Community Eligibility Program (CEP), the USDA requires applications providing household income and size be submitted, processed and reviewed to determine eligibility for free, reduced or paid meals. Applicants are to be notified of their eligibility within 10 days of receiving the application. Condition – Bandon High School was not under the Community Eligibility Program in 2022-23 however, the school did not actively solicit applications. Instead, any applications that were received were filed away without review. Of the applications available, auditor tested nine (non-statistical sampling), noting one was incorrectly determined to be eligible for free meals when it should have been reduced. None in the sample contained evidence of review by a second person. Of the sample tested, all applicants were either notified of their eligible status over six months late or no evidence could be provided of when the notice was sent. Effect – The District had appropriate application forms available in the annual school registration packet and received several from households but due to not actively soliciting applications, the number was much less than a typical year. The District needed to establish a base year for the high school to enter the Community Eligibility Program and failing to accurately track the number of students eligible for free or reduced meals delayed entry into that program by a year. Cause – The District had Federal, State and local programs in place during 2022-23 which resulted in free meals to all students at all schools. This caused District management to believe that they did not have to process free/reduce meal applications. As a result, the meal claim forms submitted to the Oregon Department of Education did not accurately reflect the number of households eligible for free or reduced meals. Perspective - Oregon Department of Education worked with the District in March 2023, provided training and determined the District over claimed approximately $600 in meals from the Department of Education. Recommendation – The District should maintain open communication with the Oregon Department of Education anytime there is a change in the eligibility process or the fee structure the District establishes. Management’s response: Management agrees with the finding. See the Corrective Action Plan.
No. 2023-003 – Significant deficiency in internal controls and noncompliance related to Reporting. Criteria – The USDA requires the District submit monthly claims for reimbursement for meals served to eligible students. Accurate records must be maintained justifying all meals claimed. The District should have controls in place to ensure monthly claims are accurate. Condition – Meal counts for Bandon High School were not accurate because controls over meal counts were not in place. Effect – The District submitted numerous meal claims to the Department of Education that were wrong as a result of miscounting meals and due to errors in determining if meals were to be recorded as free, reduced or paid. Cause – The District did not have an adequate process for counting meals at the high school. Staff performing meal counts did not have appropriate training. There was no evidence of secondary review of the meal counts. Perspective – Auditor tested meal claims using a nonstatistical sample of three of the twelve months claimed. Oregon Department of Education worked with the District in March 2023, audited all prior meal counts for the year, provided training and determined the District over claimed approximately $600 in meals from the Department of Education. Recommendation – The District should use software at the high school to track meal claims and train all staff on the process. Daily meal counts should be reviewed by a second person for accuracy. The process for tracking and monitoring should be documented and followed. Management’s response: Management agrees with the finding. The Food Service Director worked with the Oregon Department of Education to correct the errors in meal counts. Corrective action was taken in April 2023.
No. 2023-003 – Significant deficiency in internal controls and noncompliance related to Reporting. Criteria – The USDA requires the District submit monthly claims for reimbursement for meals served to eligible students. Accurate records must be maintained justifying all meals claimed. The District should have controls in place to ensure monthly claims are accurate. Condition – Meal counts for Bandon High School were not accurate because controls over meal counts were not in place. Effect – The District submitted numerous meal claims to the Department of Education that were wrong as a result of miscounting meals and due to errors in determining if meals were to be recorded as free, reduced or paid. Cause – The District did not have an adequate process for counting meals at the high school. Staff performing meal counts did not have appropriate training. There was no evidence of secondary review of the meal counts. Perspective – Auditor tested meal claims using a nonstatistical sample of three of the twelve months claimed. Oregon Department of Education worked with the District in March 2023, audited all prior meal counts for the year, provided training and determined the District over claimed approximately $600 in meals from the Department of Education. Recommendation – The District should use software at the high school to track meal claims and train all staff on the process. Daily meal counts should be reviewed by a second person for accuracy. The process for tracking and monitoring should be documented and followed. Management’s response: Management agrees with the finding. The Food Service Director worked with the Oregon Department of Education to correct the errors in meal counts. Corrective action was taken in April 2023.
No. 2023-004 – Material weakness in internal controls and noncompliance related to Special Tests and Provisions-Verifications. Criteria – The USDA requires the District complete a verification process each school year, to ensure applicants are eligible and are properly classified as free or reduced. This should be done by November 15 of each year. Condition – The District did not perform the verification process until March 2023. Effect – Eligibility determinations may not be accurately made in accordance with the federal income eligibility guidelines. Cause – District management did not believe verifications were required. Perspective - The District had Federal, State and local programs in place during 2022-23 which resulted in free meals to all students at all schools. This caused District management to believe that they did not have to perform the validation process on free/reduce meal applications. The validation process was completed in April 2023, with the assistance of the Oregon Department of Education. There were no errors noted during the verification process.
Recommendation – The District should maintain open communication with the Oregon Department of Education anytime there is a change in the eligibility process or the fee structure the District establishes.
Management’s response: Management agrees with the finding. See the Corrective Action Plan
No. 2023-004 – Material weakness in internal controls and noncompliance related to Special Tests and Provisions-Verifications. Criteria – The USDA requires the District complete a verification process each school year, to ensure applicants are eligible and are properly classified as free or reduced. This should be done by November 15 of each year. Condition – The District did not perform the verification process until March 2023. Effect – Eligibility determinations may not be accurately made in accordance with the federal income eligibility guidelines. Cause – District management did not believe verifications were required. Perspective - The District had Federal, State and local programs in place during 2022-23 which resulted in free meals to all students at all schools. This caused District management to believe that they did not have to perform the validation process on free/reduce meal applications. The validation process was completed in April 2023, with the assistance of the Oregon Department of Education. There were no errors noted during the verification process.
Recommendation – The District should maintain open communication with the Oregon Department of Education anytime there is a change in the eligibility process or the fee structure the District establishes.
Management’s response: Management agrees with the finding. See the Corrective Action Plan
No. 2023-002 – Material weakness in internal controls and noncompliance related to Eligibility. Criteria – Unless a school is operating under the Community Eligibility Program (CEP), the USDA requires applications providing household income and size be submitted, processed and reviewed to determine eligibility for free, reduced or paid meals. Applicants are to be notified of their eligibility within 10 days of receiving the application. Condition – Bandon High School was not under the Community Eligibility Program in 2022-23 however, the school did not actively solicit applications. Instead, any applications that were received were filed away without review. Of the applications available, auditor tested nine (non-statistical sampling), noting one was incorrectly determined to be eligible for free meals when it should have been reduced. None in the sample contained evidence of review by a second person. Of the sample tested, all applicants were either notified of their eligible status over six months late or no evidence could be provided of when the notice was sent. Effect – The District had appropriate application forms available in the annual school registration packet and received several from households but due to not actively soliciting applications, the number was much less than a typical year. The District needed to establish a base year for the high school to enter the Community Eligibility Program and failing to accurately track the number of students eligible for free or reduced meals delayed entry into that program by a year. Cause – The District had Federal, State and local programs in place during 2022-23 which resulted in free meals to all students at all schools. This caused District management to believe that they did not have to process free/reduce meal applications. As a result, the meal claim forms submitted to the Oregon Department of Education did not accurately reflect the number of households eligible for free or reduced meals. Perspective - Oregon Department of Education worked with the District in March 2023, provided training and determined the District over claimed approximately $600 in meals from the Department of Education. Recommendation – The District should maintain open communication with the Oregon Department of Education anytime there is a change in the eligibility process or the fee structure the District establishes. Management’s response: Management agrees with the finding. See the Corrective Action Plan.
No. 2023-002 – Material weakness in internal controls and noncompliance related to Eligibility. Criteria – Unless a school is operating under the Community Eligibility Program (CEP), the USDA requires applications providing household income and size be submitted, processed and reviewed to determine eligibility for free, reduced or paid meals. Applicants are to be notified of their eligibility within 10 days of receiving the application. Condition – Bandon High School was not under the Community Eligibility Program in 2022-23 however, the school did not actively solicit applications. Instead, any applications that were received were filed away without review. Of the applications available, auditor tested nine (non-statistical sampling), noting one was incorrectly determined to be eligible for free meals when it should have been reduced. None in the sample contained evidence of review by a second person. Of the sample tested, all applicants were either notified of their eligible status over six months late or no evidence could be provided of when the notice was sent. Effect – The District had appropriate application forms available in the annual school registration packet and received several from households but due to not actively soliciting applications, the number was much less than a typical year. The District needed to establish a base year for the high school to enter the Community Eligibility Program and failing to accurately track the number of students eligible for free or reduced meals delayed entry into that program by a year. Cause – The District had Federal, State and local programs in place during 2022-23 which resulted in free meals to all students at all schools. This caused District management to believe that they did not have to process free/reduce meal applications. As a result, the meal claim forms submitted to the Oregon Department of Education did not accurately reflect the number of households eligible for free or reduced meals. Perspective - Oregon Department of Education worked with the District in March 2023, provided training and determined the District over claimed approximately $600 in meals from the Department of Education. Recommendation – The District should maintain open communication with the Oregon Department of Education anytime there is a change in the eligibility process or the fee structure the District establishes. Management’s response: Management agrees with the finding. See the Corrective Action Plan.
No. 2023-003 – Significant deficiency in internal controls and noncompliance related to Reporting. Criteria – The USDA requires the District submit monthly claims for reimbursement for meals served to eligible students. Accurate records must be maintained justifying all meals claimed. The District should have controls in place to ensure monthly claims are accurate. Condition – Meal counts for Bandon High School were not accurate because controls over meal counts were not in place. Effect – The District submitted numerous meal claims to the Department of Education that were wrong as a result of miscounting meals and due to errors in determining if meals were to be recorded as free, reduced or paid. Cause – The District did not have an adequate process for counting meals at the high school. Staff performing meal counts did not have appropriate training. There was no evidence of secondary review of the meal counts. Perspective – Auditor tested meal claims using a nonstatistical sample of three of the twelve months claimed. Oregon Department of Education worked with the District in March 2023, audited all prior meal counts for the year, provided training and determined the District over claimed approximately $600 in meals from the Department of Education. Recommendation – The District should use software at the high school to track meal claims and train all staff on the process. Daily meal counts should be reviewed by a second person for accuracy. The process for tracking and monitoring should be documented and followed. Management’s response: Management agrees with the finding. The Food Service Director worked with the Oregon Department of Education to correct the errors in meal counts. Corrective action was taken in April 2023.
No. 2023-003 – Significant deficiency in internal controls and noncompliance related to Reporting. Criteria – The USDA requires the District submit monthly claims for reimbursement for meals served to eligible students. Accurate records must be maintained justifying all meals claimed. The District should have controls in place to ensure monthly claims are accurate. Condition – Meal counts for Bandon High School were not accurate because controls over meal counts were not in place. Effect – The District submitted numerous meal claims to the Department of Education that were wrong as a result of miscounting meals and due to errors in determining if meals were to be recorded as free, reduced or paid. Cause – The District did not have an adequate process for counting meals at the high school. Staff performing meal counts did not have appropriate training. There was no evidence of secondary review of the meal counts. Perspective – Auditor tested meal claims using a nonstatistical sample of three of the twelve months claimed. Oregon Department of Education worked with the District in March 2023, audited all prior meal counts for the year, provided training and determined the District over claimed approximately $600 in meals from the Department of Education. Recommendation – The District should use software at the high school to track meal claims and train all staff on the process. Daily meal counts should be reviewed by a second person for accuracy. The process for tracking and monitoring should be documented and followed. Management’s response: Management agrees with the finding. The Food Service Director worked with the Oregon Department of Education to correct the errors in meal counts. Corrective action was taken in April 2023.
No. 2023-004 – Material weakness in internal controls and noncompliance related to Special Tests and Provisions-Verifications. Criteria – The USDA requires the District complete a verification process each school year, to ensure applicants are eligible and are properly classified as free or reduced. This should be done by November 15 of each year. Condition – The District did not perform the verification process until March 2023. Effect – Eligibility determinations may not be accurately made in accordance with the federal income eligibility guidelines. Cause – District management did not believe verifications were required. Perspective - The District had Federal, State and local programs in place during 2022-23 which resulted in free meals to all students at all schools. This caused District management to believe that they did not have to perform the validation process on free/reduce meal applications. The validation process was completed in April 2023, with the assistance of the Oregon Department of Education. There were no errors noted during the verification process.
Recommendation – The District should maintain open communication with the Oregon Department of Education anytime there is a change in the eligibility process or the fee structure the District establishes.
Management’s response: Management agrees with the finding. See the Corrective Action Plan
No. 2023-004 – Material weakness in internal controls and noncompliance related to Special Tests and Provisions-Verifications. Criteria – The USDA requires the District complete a verification process each school year, to ensure applicants are eligible and are properly classified as free or reduced. This should be done by November 15 of each year. Condition – The District did not perform the verification process until March 2023. Effect – Eligibility determinations may not be accurately made in accordance with the federal income eligibility guidelines. Cause – District management did not believe verifications were required. Perspective - The District had Federal, State and local programs in place during 2022-23 which resulted in free meals to all students at all schools. This caused District management to believe that they did not have to perform the validation process on free/reduce meal applications. The validation process was completed in April 2023, with the assistance of the Oregon Department of Education. There were no errors noted during the verification process.
Recommendation – The District should maintain open communication with the Oregon Department of Education anytime there is a change in the eligibility process or the fee structure the District establishes.
Management’s response: Management agrees with the finding. See the Corrective Action Plan