Finding Text
Perform assessment of internal control policies and procedures in the food service program Criteria: Internal control policies and procedures should be reviewed and updated routinely to ensure all aspects of compliance and documentation related thereto overall administration and compliance surrounding food service program. Condition: The District participates in a procurement cooperative (bidding and awarding) performed by a third-party entity on behalf of the participants. Pursuant to the established guidelines, it is recommended that each participating entity enters into an individual contractual arrangement with each awarded vendor. The District utilizes a standard form which references the third-party entity throughout. The District should utilize standardized District contracts with all vendors to ensure all appropriate terms for the District and those applicable to federal award programs and the Uniform Guidance (Appendix E) (inclusive, but not limited to suspension, debarment, buy American, etc.) have been included. Moreover, all procurement documentation should be maintained on file by appropriate District personnel, and all invoices from vendors should be clearly documented as items/costs have been verified to the underlying procurement and contract. The following are additional considerations which have been communicated to management recommended to management in previous years, which we continue to evaluate: We recommend the enhancement of the documentation surrounding daily work, inclusive of formal sign-off/attestation by appropriate supervisory personnel, (meal counts, daily cashout). District management should continually evaluate the documentation within allowable guidance and management’s expectations. Sign-off by appropriate supervisory personnel of the monthly claims sheet, which is required to be completed daily and maintained. We recommend documentation be enhanced surrounding ordering, ensuring procurement from Ensure reporting from the point-of-sale system is utilized and signed-off/attested to for the monthly payment of meals tax. Effect: Compliance with and documentation thereof may be lacking without routine review and assessment. Questioned Costs: None Auditor’s Recommendation: We recommend the District perform an assessment of internal control policies and procedures, evaluating and enhancing accordingly to ensure all compliance and other documentary requirements are met on an annual basis. This assessment should be incorporated with a routinely implemented risk assessment program.