Finding 10030 (2023-002)

Material Weakness
Requirement
EN
Questioned Costs
-
Year
2023
Accepted
2024-01-25

AI Summary

  • Core Issue: The school did not perform required verification testing for free and reduced lunch eligibility, leading to potential misclassification of applicants.
  • Impacted Requirements: Failure to verify selected applicants and mark error-prone applications means some children may receive incorrect benefits.
  • Recommended Follow-Up: Ensure compliance with USDA verification guidelines and improve controls for eligibility determinations moving forward.

Finding Text

Criteria: Prior to December 15 of each year, the school must verify the current free and reduced price eligibility of households selected from a sample of applicants that have already been approved. Applications considered error prone must be slected first for verification. Condition: No verification testing was performed. Applicants were selected, but no income documentation was submitted by the household. Those selected applicants were not designated as being selected for verification, and subsequently were not changed to receiving paid lunches from free or reduced lunches. No error prone applications were marked. One applicant's initial application noted the student qualified for reduced meals, but according to the USDA income guidelines, they actually qualified for free meals. Questioned Costs: None. Context: Expenditures from the Child Nutrition Cluster totaled $153,044 at June 30, 2023. In addition, eligibility for several other grants is based on the number of students eligible for free and reduced breakfasts and lunches. Effect: The District could provide benefits to ineligible children or provide insufficient benefits to eligible children. Cause: The District had ineffective controls in place for the eligibility determination of free and reduced applications. Recommendation: We recommend the District follow USDA guidelines for verification testing and income eligibility guidelines when making eligibility determinations of free and reduced breakfasts and lunches. Management's Response: The District will ensure the Food Service Director is completing the processes accurately and timely going forward.

Categories

Eligibility School Nutrition Programs

Other Findings in this Audit

  • 10023 2023-001
    Material Weakness
  • 10024 2023-002
    Material Weakness
  • 10025 2023-001
    Material Weakness
  • 10026 2023-002
    Material Weakness
  • 10027 2023-001
    Material Weakness
  • 10028 2023-002
    Material Weakness
  • 10029 2023-001
    Material Weakness
  • 10031 2023-001
    Material Weakness
  • 10032 2023-002
    Material Weakness
  • 10033 2023-001
    Material Weakness
  • 10034 2023-002
    Material Weakness
  • 586465 2023-001
    Material Weakness
  • 586466 2023-002
    Material Weakness
  • 586467 2023-001
    Material Weakness
  • 586468 2023-002
    Material Weakness
  • 586469 2023-001
    Material Weakness
  • 586470 2023-002
    Material Weakness
  • 586471 2023-001
    Material Weakness
  • 586472 2023-002
    Material Weakness
  • 586473 2023-001
    Material Weakness
  • 586474 2023-002
    Material Weakness
  • 586475 2023-001
    Material Weakness
  • 586476 2023-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $429,335
84.010 Title I Grants to Local Educational Agencies $175,562
84.126 Rehabilitation Services_vocational Rehabilitation Grants to States $71,950
84.048 Career and Technical Education -- Basic Grants to States $65,682
93.778 Medical Assistance Program $19,298
84.367 Improving Teacher Quality State Grants $14,492
10.555 National School Lunch Program $14,314
84.027 Special Education_grants to States $9,761
10.553 School Breakfast Program $8,720
10.649 Pandemic Ebt Administrative Costs $628