Finding Text
SIGNIFICANT DEFICIENCY IN INTERNAL CONTROL OVER COMPLIANCE – PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION - CHILD NUTRITION CLUSTER (FEDERAL ALN 10.553 AND 10.555)
2024-004 Internal Control Over Compliance With Federal Reimbursement Submission Deadline Requirements
Criteria – 7 CFR § 210.8 requires the Academy to establish and maintain effective internal control over compliance with requirements applicable to federal programs, including reimbursement submission requirements applicable to the child nutrition cluster federal program.
Condition – During our audit, we noted the Academy did not have sufficient controls in place within its child nutrition cluster federal program to ensure compliance with federal submission requirements related to claims for reimbursement.
Questioned Costs – Not applicable.
Context – For one month of nine months tested, meal counts were not submitted to the Minnesota Department of Education (MDE) within the required 60 days. This was not a statistically valid sample.
Repeat Finding – This is a current year finding.
Cause – This was an oversight by academy personnel.
Effect – Noncompliance with reimbursement submission deadline requirements may lead to the Academy not receiving reimbursement in a timely manner or at all.
Recommendation – We recommend that the Academy review its internal control procedures relating to reimbursement submission for the child nutrition cluster federal program. Internal controls over compliance for this area should include documentation of submission policies and the Uniform Guidance requirements related to submission deadlines.
View of Responsible Official and Planned Corrective Actions – The Academy agrees with the finding. The Academy will review and update its policies and procedures relating to reimbursement submission for its federal programs to ensure compliance with the Uniform Guidance in the future. The Academy has separately issued a Corrective Action Plan related to this finding.