Finding 1181605 (2025-002)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-03-19
Audit: 392819
Auditor: BONADIO & CO LLP

AI Summary

  • Core Issue: Two months of reimbursement claims showed discrepancies between reported free and paid meals and supporting documentation.
  • Impacted Requirements: SFAs must submit claims within 60 days, and the State agency has an additional 30 days for consolidated reporting.
  • Recommended Follow-Up: Implement additional procedures for accurate reporting and review claims before submission to ensure compliance.

Finding Text

Compliance Requirement: Reporting Criteria School Food Authorities (SFAs) and sponsors must submit monthly claims for reimbursement for meals and snacks served to eligible students within 60 days following the last day of the month covered by the claim (7 CFR sections 210.8, 220.11, 215.10, and 225.15(c)). The State agency has an additional 30 days to submit a consolidated report to FNS via the FNS10 for NSLP/SBP and the FNS-418 for SFSP (7 CFR 210.5(d), 220.13(b)(2), 215.11(c)(2), and 225.8). Condition We sampled 4 months of reimbursement claims under the Child Nutrition Cluster of programs. We noted that two months had variances between the free and paid meals reported and the supporting documentation related to meals served. Known and likely questioned costs were determined not to be material or exceed $25,000. The sampling methodology used was statistically valid. Cause Adequate oversight of the reporting process was not in place in order to identify mistakes in reporting. Effect Without demonstrable, documented controls supporting compliance with Child Nutrition compliance standards, compliance with the requirements may not be assured. Recommendation We recommend that the School District institute additional procedures to ensure that reporting is completed correctly and claims for reimbursement are accurate. We also recommend that claims are reviewed prior to submission. View of Responsible Officials The School District will institute additional procedures to ensure that claim reimbursements are reviewed and accurate.

Corrective Action Plan

To prevent future errors in reporting, the School District will establish a simple monthly reconciliation procedure in which reported meal counts are compared to daily meal service records to identify and correct discrepancies before submission.

Categories

School Nutrition Programs Cash Management Reporting

Other Findings in this Audit

  • 1181598 2025-001
    Material Weakness Repeat
  • 1181599 2025-002
    Material Weakness Repeat
  • 1181600 2025-001
    Material Weakness Repeat
  • 1181601 2025-002
    Material Weakness Repeat
  • 1181602 2025-001
    Material Weakness Repeat
  • 1181603 2025-002
    Material Weakness Repeat
  • 1181604 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425U COVID-19 - EDUCATION STABILIZATION FUND $144,026
10.553 SCHOOL BREAKFAST PROGRAM $70,722
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $32,472
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $20,799
84.027 SPECIAL EDUCATION GRANTS TO STATES $7,808
10.185 LOCAL FOOD FOR SCHOOLS COOPERATIVE AGREEMENT PROGRAM $6,497
10.555 NATIONAL SCHOOL LUNCH PROGRAM $4,872
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $2,515
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $988