Finding Text
2023-002 – MATERIAL WEAKNESS - FEDERAL COMPLIANCE – CHILD NUTRITION CLUSTER (50000)
FEDERAL PROGRAM: Child Nutrition Cluster
FEDERAL AGENCY: U.S. Department of Agriculture
AWARD YEAR: 2022-2023
ASSISTANCE LISTING NUMBER: 10.555
NAME OF PASS-THROUGH ENTITY: California Department of Education
Criteria: The Uniform Guidance Department of Agriculture section under the compliance requirements Activities
Allowed or Unallowed, and Allowable Costs state that costs charged be supported by appropriate
documentation, and correctly charged as to account, amount and period.
Condition: As a result of our audit procedures, the District found they had not received their January 2023
reimbursement for the Child Nutrition Cluster. In addition, an accounts receivable was not recorded for the
funds once the monthly reimbursement was submitted to CNIPS.
Cause: The District does not have proper controls in place to track accounts receivable and detect when funds
have not been received for an extended period of time.
Effect: Child Nutrition revenue related to January 2023 was never received and Cafeteria Fund Accounts
Receivable was understated by $13,490.
Fiscal Impact/Questioned Costs: The net questioned costs totaled $13,490.
Recommendation: We recommend the District implement controls to properly record accounts receivable for
all federal programs and monitor funds to ensure the District is receiving federal awards timely.
Views of Responsible Officials and Planned Corrective Actions:
The District agrees and has already implemented processed to ensure receivables are created with each
claim created in CNIPS.