Finding 1138153 (2024-001)

Identification of the Federal Programs: AL 10.553 – School Breakfast Program (SBP) AL 10.555 – National School Lunch Program (NSLP) AL 10.559 – Summer Food Service Program for Children (SFSP) Pass-through grantor number: 310500861012 Criteria: Requirements per 7 CFR Section 210.8 of the Uniform Guidance state prior to the submission of a monthly Claim for Reimbursement, each school food authority shall review the count data for each school under its jurisdiction to ensure the accuracy of the monthly Claim for Reimbursement. Condition: During our audit, we noted three out of nine instances tested of monthly meal counts submitted to the New York State Child Nutrition Management System for monthly meal claims did not agree to the counts as documented on the invoice from the food service management company. We noted that the three instances for meal claims all related to the same month and all were submitted for less than actual meals served and resulted in under billings. Additionally, we noted there was no documentation maintained of review and approval of the Charter School’s meal count spreadsheet prior to submission for the three monthly submissions tested. We consider this to be a material weakness in internal control over compliance. Cause: Management did not have adequate internal controls in place to identify and comply with Reporting Requirements established under 7 CFR Section 210.8. Effect or Potential Effect: Inaccurate meal counts reported would result in incorrect amounts being disbursed to the Charter School for the related claim. Questioned Costs: N/A Repeat Finding?: No Recommendation: Management of the Charter School should develop a thorough review process of meal count documentation prior to submitting claims to the New York State Child Nutrition Management System. Views of Responsible Officials: We are in agreement with the finding and have implemented additional internal controls over the daily meal count process as further detailed in the attached corrective action plan. Auditor’s Evaluation of the Views of Responsible Officials: Management’s response is appropriate to address the finding. If properly implemented, management’s response would include procedures to prevent reoccurrence.