Finding 1093525 (2023-006)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-12-29
Audit: 334970
Organization: Guam Department of Education (GU)

AI Summary

  • Core Issue: GDOE submitted monthly claims for meal reimbursements late and failed to report required subawards.
  • Impacted Requirements: Noncompliance with federal reporting deadlines and FSRS subaward reporting obligations.
  • Recommended Follow-Up: Implement controls to ensure timely claims submission and accurate subaward reporting; monitor compliance regularly.

Finding Text

Finding No.: 2023-006 Federal Agency: U.S. Department of Agriculture AL Program: 10.555 Child Nutrition Cluster Federal Award No.: 7GU300GUB Area: Reporting Questioned Costs: $0 Criteria: In accordance with applicable reporting requirements, SFAs and sponsors must submit monthly claims for reimbursement for meals and snacks served to eligible students within 60 days following the last day of the month covered by the claim (7 CFR sections 210.8, 220.11, 215.10, and 225.15(c)). The state agency has an additional 30 days to submit a consolidated report to FNS (7 CFR 210.5(d), 220.13(b)(2), 215.11(c)(2), and 225.8). Also, recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Condition: 1. For all five claims tested, GDOE submitted the monthly claim beyond the required 60 days, as follows: 2. Subawards are not reported in FSRS, as follows: Cause: GDOE lacks controls over compliance with applicable reporting requirements. Finding No.: 2023-006, continued Federal Agency: U.S. Department of Agriculture AL Program: 10.555 Child Nutrition Cluster Federal Award No.: 7GU300GUB Area: Reporting Questioned Costs: $0 Effect: GDOE is in noncompliance with applicable reporting requirements, which resulted in understated totals in the Schedule of Expenditures of Federal Awards (SEFA) dated April 9, 2024. GDOE subsequently corrected expenditures in its SEFA dated September 20, 2024, but thereby created an unreconciled overstatement of $278,805. No questioned cost is presented as the SEFA misstatement does not represent overstated claims. Recommendation: Responsible personnel should establish and implement controls over compliance with applicable reporting requirements relative to timely submitting monthly claims for reimbursement and to reporting subawards in FSRS. Views of Responsible Officials: GDOE agrees with the finding. GDOE submitted monthly reimbursement claims for meals and snacks served to eligible students beyond the required 60-day reporting period and did not report sub awards of $30,000 or more to the Federal Funding Accountability and Transparency Act Sub Award Reporting System (FSRS) in FY 2023. Plan of action and completion date: At the start of FY 2024, the CNP Office added personnel to the processing of claims activity. The additional personnel to the process is to ensure the requests are reviewed and processed in a timely manner before transmitting to the GDOE Business Office for reimbursement draw and payment processing. After the transmission, the CNP Office will follow-up and confirm, via email, with the assigned personnel conducting the draws, that the requested draw/payment for claims reimbursement are completed in a timely manner. In addition, the Child Nutrition Programs Office will request for confirmation from the responsible personnel within the Business Office that the required Subaward report is submitted and posted to the respective SEFA to the FSRS. Finding No.: 2023-006, continued Federal Agency: U.S. Department of Agriculture AL Program: 10.555 Child Nutrition Cluster Federal Award No.: 7GU300GUB Area: Reporting Questioned Costs: $0 Views of Responsible Officials, continued: Plan to monitor and responsible officials: The CNP State Administrator, Franklin Cruz, and the Comptroller will ensure that claims are submitted and processed timely.

Categories

Reporting School Nutrition Programs

Other Findings in this Audit

  • 517081 2023-004
    Material Weakness
  • 517082 2023-005
    Significant Deficiency
  • 517083 2023-006
    Significant Deficiency
  • 517084 2023-007
    Significant Deficiency
  • 517085 2023-008
    Significant Deficiency
  • 517086 2023-007
    Significant Deficiency
  • 517087 2023-008
    Significant Deficiency
  • 517088 2023-007
    Significant Deficiency
  • 517089 2023-008
    Significant Deficiency
  • 517090 2023-009
    Material Weakness Repeat
  • 517091 2023-010
    Significant Deficiency Repeat
  • 517092 2023-009
    Material Weakness Repeat
  • 517093 2023-010
    Significant Deficiency Repeat
  • 517094 2023-011
    Significant Deficiency
  • 517095 2023-012
    Material Weakness Repeat
  • 517096 2023-013
    Material Weakness
  • 517097 2023-014
    Significant Deficiency
  • 517098 2023-015
    Material Weakness Repeat
  • 517099 2023-016
    Material Weakness
  • 517100 2023-014
    Significant Deficiency
  • 517101 2023-015
    Material Weakness Repeat
  • 517102 2023-016
    Material Weakness
  • 1093523 2023-004
    Material Weakness
  • 1093524 2023-005
    Significant Deficiency
  • 1093526 2023-007
    Significant Deficiency
  • 1093527 2023-008
    Significant Deficiency
  • 1093528 2023-007
    Significant Deficiency
  • 1093529 2023-008
    Significant Deficiency
  • 1093530 2023-007
    Significant Deficiency
  • 1093531 2023-008
    Significant Deficiency
  • 1093532 2023-009
    Material Weakness Repeat
  • 1093533 2023-010
    Significant Deficiency Repeat
  • 1093534 2023-009
    Material Weakness Repeat
  • 1093535 2023-010
    Significant Deficiency Repeat
  • 1093536 2023-011
    Significant Deficiency
  • 1093537 2023-012
    Material Weakness Repeat
  • 1093538 2023-013
    Material Weakness
  • 1093539 2023-014
    Significant Deficiency
  • 1093540 2023-015
    Material Weakness Repeat
  • 1093541 2023-016
    Material Weakness
  • 1093542 2023-014
    Significant Deficiency
  • 1093543 2023-015
    Material Weakness Repeat
  • 1093544 2023-016
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.403 Consolidated Grant to the Outlying Areas $26.20M
10.555 National School Lunch Program $16.81M
15.875 Economic, Social, and Political Development of the Territories $5.74M
84.425 Education Stabilization Fund $4.01M
84.027 Special Education Grants to States $2.80M
84.181 Special Education-Grants for Infants and Families $1.67M
84.371 Comprehensive Literacy Development $326,597
12.U01 Army Jrotc $303,008
84.372 Statewide Longitudinal Data Systems $267,608
10.560 State Administrative Expenses for Child Nutrition $257,847
12.U02 Air Force Jrotc $218,197
93.600 Head Start $210,378
93.092 Affordable Care Act (aca) Personal Responsibility Education Program $162,290
84.323 Special Education - State Personnel Development $160,284
12.U03 Marine Jrotc $74,691
10.558 Child and Adult Care Food Program $34,833
84.424 Student Support and Academic Enrichment Program $14,274
10.574 Team Nutrition Grants $12,444
10.568 Emergency Food Assistance Program (administrative Costs) $5,918
10.579 Child Nutrition Discretionary Grants Limited Availability $2,584