Finding 1096727 (2024-004)

2024-004 FINDING Federal Program Child Nutrition Cluster (AL 10.582) Allowable Activities/Costs Criteria Grant requirements state that “Food costs include any fresh fruits, vegetables, or low-fat or fatfree dips”. Condition During transaction testing, we noted 5 transactions that contained unallowable activities/costs, per the “Fresh Fruit and Vegetables” grant requirements. Questioned Costs None Context In a population over 250, we haphazardly selected 40 transactions to test. In these 40 transactions, 18 were charged to the “Fresh Fruits and Vegetables” grant. 5 of these 18 transactions contained unallowable food being charged to this grant. Cause Oversight by the District’s staff. Effect The District is not in compliance with grant requirements. Repeat Finding No Recommendation The District should implement policies and procedures to ensure only allowable activities/costs are being charged against grants. Views of Responsible Officials and Planned Corrective Actions The District agrees with the recommendation and will implement immediately.