Finding 1176549 (2025-005)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-03-04

AI Summary

  • Core Issue: The District lacks a process to maintain necessary documentation for compliance with eligibility requirements for federal child nutrition programs.
  • Impacted Requirements: Failure to retain documentation as per the Iowa Department of Education and OMB guidelines can lead to incorrect eligibility determinations for free and reduced-price meals.
  • Recommended Follow-Up: The District should establish a system to review and retain eligibility records for the required duration to ensure compliance.

Finding Text

2025-005 U.S. Department of Agriculture Pass-Through Iowa Department of Education Child Nutrition Cluster Programs: 10.553 School Breakfast Program 10.555 National School Lunch Program 10.555 Commodities- Department of Defense (Noncash) 10.555 Commodities (Noncash) 10.559 Summer Food Service Program for Children 10.582 Fresh Fruit and Vegetable Program Federal Award Year: 2025 Finding: The District does not have a process to properly maintain documentation to support compliance with eligibility requirements within the federal program. Criteria: The 2025 Office of Management and Budget Compliance Supplement states the following for Compliance Requirements-Eligibility – Direct Certification: “Annual eligibility determinations may also be based on the child’s household receiving benefits under the Supplemental Nutrition Assistance Program (SNAP), Food Distribution Program on the Indian Reservations (FDPIR), the Head Start Program, or under most circumstances, the Temporary Assistance for Needy Families (TANF) program. A household may furnish documentation of its participation in one of these programs; or the school… may obtain the information directly from the state or local agency that administers these programs.” The Iowa Department of Education’s Eligibility Manual for School Meals states: “LEAs must keep direct certification documentation on file for a minimum of three years after submission of the final claim for reimbursement for the fiscal year to which the records apply. Documentation must be kept longer if required by an audit. If audit findings have not been resolved, the applications must be retained as long as required for resolution of the issues raised by the audit [7 CFR 245.6(e).” Condition: The District does not have a process to retain monthly data used in determining eligibility for free and reduced priced meals from the State E Look up system for direct certification statuses. The District does not have documentation readily available that was used in determining eligibility for free and reduced priced meals from the State E Look up system for direct certification statuses. Context: The District could not produce documentation of state certification for 3 out of 25 students selected for eligibility testing. They were all subsequently determined to be eligible by utilizing the State E Look up system, however, the District did not retain the original documentation to support eligibility. Cause: The District does not monitor compliance with eligibility recordkeeping rules as established by the Iowa Department of Education and the Office of Management and Budget. Effect: The District does not have adequate documentation to ensure compliance with federal requirements regarding eligibility recordkeeping. The District could incorrectly identify students for free and reduced-price lunches. Identification as a Repeat Finding: This is not a repeat finding. Recommendation: We recommend the District implement a process to review and to retain records used in determining eligibility for the required period of time. Response and Corrective Action Plan: The District will implement a process to review and retain records used in determining eligibility as outlined by the Iowa Department of Education and Office of Management and Budget.

Corrective Action Plan

Response and Corrective Action Plan: The District will implement a process to review and retain records used in determining eligibility as outlined by the Iowa Department of Education and Office of Management and Budget.

Categories

School Nutrition Programs

Other Findings in this Audit

  • 1176543 2025-005
    Material Weakness Repeat
  • 1176544 2025-005
    Material Weakness Repeat
  • 1176545 2025-005
    Material Weakness Repeat
  • 1176546 2025-005
    Material Weakness Repeat
  • 1176547 2025-005
    Material Weakness Repeat
  • 1176548 2025-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $521,842
10.553 SCHOOL BREAKFAST PROGRAM $295,389
84.027 SPECIAL EDUCATION_GRANTS TO STATES $189,576
10.555 NATIONAL SCHOOL LUNCH PROGRAM $91,012
84.126 REHABILITATION SERVICES_VOCATIONAL REHABILITATION GRANTS TO STATES $67,401
10.582 FRESH FRUIT AND VEGETABLE PROGRAM $55,681
84.196 EDUCATION FOR HOMELESS CHILDREN AND YOUTH $45,264
84.048 CAREER AND TECHNICAL EDUCATION -- BASIC GRANTS TO STATES $29,005
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $27,794
84.367 IMPROVING TEACHER QUALITY STATE GRANTS $27,457
10.559 SUMMER FOOD SERVICE PROGRAM FOR CHILDREN $21,887
10.579 CHILD NUTRITION DISCRETIONARY GRANTS LIMITED AVAILABILITY $14,921
84.425 EDUCATION STABILIZATION FUND $12,578
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $5,615
10.185 Local Food for Schools $2,980
84.365 ENGLISH LANGUAGE ACQUISITION STATE GRANTS $104
10.170 SPECIALTY CROP BLOCK GRANT PROGRAM - FARM BILL $3