Finding 1169086 (2025-003)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-01-15

AI Summary

  • Core Issue: There is a significant deficiency in internal controls over compliance, specifically regarding the review process for free and reduced meal program applications.
  • Impacted Requirements: The Uniform Guidance mandates proper internal controls, including segregation of duties to prevent errors or fraud in eligibility determinations.
  • Recommended Follow-Up: The District should enhance its internal controls by ensuring all applications are reviewed by the Business Manager to confirm accurate eligibility determinations.

Finding Text

Federal Agency: U.S. Department of Agriculture Federal Program Name: School Breakfast Program, National School Lunch Program, Summer Food Service Program for Children Assistance Listing Number: 10.553, 10.555, 10.559 Federal Award Identification Number and Year: N/A Pass-Through Agency: Wisconsin Department of Public Instruction Pass-Through Number(s): 2025-631526-DPI-SB-546, 2025-631526-DPI-SB-SEVERE-546, 2025-631526-DPI-NSL-547, 2025-631526-DPI-SFSP-586 Award Period: 7/1/2024 – 6/30/2025 Type of Finding: Significant Deficiency in Internal Control Over Compliance Criteria or specific requirement: Uniform Guidance requires the implementation of internal controls over compliance for federal grant awards. Segregation of duties is an internal control intended to prevent or decrease the occurrence of errors or intentional fraud. Segregation of duties ensures that no single employee has control over all phases of a transaction. Condition: During our audit we noted there were instances in which applications for the free and reduced meal program did not have documentation that a review of the accuracy of the eligibility determination was performed. Questioned costs: None Context: While performing audit procedures, it was noted that three of the fourteen testing selections were not printed and provided to the Business Manager for approval after processing in Infinite Campus. Cause: The completed applications were not provided to the District’s Business Manager for review subsequent to the eligibility determination being completed. Effect: An error could be made in the determination of eligibility for benefits within the grant program and a student could be incorrectly provided or denied benefits. Repeat finding: No Recommendation: We recommend that the District review its internal controls and implement a procedure to ensure all applications for the Child Nutrition Cluster are provided to the Business Manager for review to ensure the eligibility determination is correct. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Recommendation: We recommend that the District review its internal controls and implement a procedure to ensure all applications for the Child Nutrition Cluster are provided to the Business Manger for review to ensure the eligibility determination is correct. Explanation of Disagreement with Audit Finding: There is no disagreement with the audit finding. Action Taken in Response to Finding: The Food Service Director and her assistant will ensure ALL application are reviewed by each of them, and then passed onto the Business Manager for a third review and approval. The Food Service Director will keep all applications on file. Name of Responsible Official: Tera Fritz, Business Manager Expected Completion Date: September 1, 2025

Categories

School Nutrition Programs Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1169077 2025-002
    Material Weakness Repeat
  • 1169078 2025-002
    Material Weakness Repeat
  • 1169079 2025-002
    Material Weakness Repeat
  • 1169080 2025-002
    Material Weakness Repeat
  • 1169081 2025-002
    Material Weakness Repeat
  • 1169082 2025-003
    Material Weakness Repeat
  • 1169083 2025-003
    Material Weakness Repeat
  • 1169084 2025-003
    Material Weakness Repeat
  • 1169085 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.027 SPECIAL EDUCATION GRANTS TO STATES $292,474
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $291,155
93.778 MEDICAL ASSISTANCE PROGRAM $224,040
10.553 SCHOOL BREAKFAST PROGRAM $99,241
10.555 NATIONAL SCHOOL LUNCH PROGRAM $51,824
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $46,636
10.559 SUMMER FOOD SERVICE PROGRAM FOR CHILDREN $12,389
84.425 EDUCATION STABILIZATION FUND $11,303
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $9,428
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $7,194