Finding 1105392 (2024-004)

Finding 2024-004 Reporting – Noncompliance and Significant Deficiency in Internal Control Over Compliance Identification of the Federal Program ALN 10.553 and 10.555 – School Breakfast Program and National School Lunch Program Child Nutrition Cluster – U.S. Department of Agriculture passed through the State of Alaska Department of Education and Early Development, pass through entity identification numbers 01701 and FD 24.GCSD.01. Year 2024 Criteria or Specific Requirement The Uniform Guidance in 2 CFR Section 200.303, Internal Controls requires that non-federal entities receiving federal awards establish and maintain internal control designed to reasonably ensure compliance with federal statues, regulations, and the terms and conditions of the federal award. Claims for Reimbursement-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)). Condition One report was submitted after the due dates as indicated in the grant and compliance guidelines. Cause The Districts internal controls over reporting are not designed to appropriately ensure timely reporting. Effect or potential effect The District was not in compliance with the grant requirements. Questioned Costs None. Context We selected 4 monthly reimbursement reports for testwork and noted one report was submitted past the due date. Identification as a repeat finding Not a repeat finding. Recommendation We recommend that management review report due dates and ensure that accurate reports are submitted before they are due. Views of responsible officials Management agrees with this finding. Steps will be taken to correct the reporting process and enhance internal controls to prevent similar occurrences in the future.