Finding 1206425 (2025-003)

Material Weakness Repeat Finding
Requirement
C
Questioned Costs
-
Year
2025
Accepted
2026-04-10
Audit: 398412
Organization: Streator Esd No. 44 (IL)

AI Summary

  • Core Issue: School food authorities must manage cash resources to avoid exceeding three months' average expenditures.
  • Impacted Requirements: If cash resources exceed this limit, actions like reducing lunch prices or improving food quality are required.
  • Recommended Follow-Up: Monitor cash resources regularly and implement necessary changes to comply with regulations and avoid reimbursement adjustments.

Finding Text

7 Code of Federal Regulations (CFR) 210.19(a)(2) states “In the event that net cash resources exceed 3 months’ average expenditures for the school food authority’s nonprofit school food service or such other amount as may be approved in accordance with this paragraph, the State agency may require the school food authority to reduce the price children are charged for lunches, improve food quality or take other action designed to improve the nonprofit school food service. In the absence of any such action, the State agency shall make adjustments in the rate of reimbursement under the Program.

Corrective Action Plan

The District will monitor the cash position of the food service program on a three month rolling average to ensure funds are not accumulated.

Categories

Cash Management

Other Findings in this Audit

  • 1206423 2025-001
    Material Weakness Repeat
  • 1206424 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.555 NATIONAL SCHOOL LUNCH PROGRAM $806,647
84.027 SPECIAL EDUCATION GRANTS TO STATES $734,918
84.425 EDUCATION STABILIZATION FUND $546,994
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $333,002
10.553 SCHOOL BREAKFAST PROGRAM $210,773
93.778 GRANTS TO STATES FOR MEDICAID $110,669
84.358 RURAL EDUCATION $84,006
10.582 FRESH FRUIT AND VEGETABLE PROGRAM $42,440
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $40,747
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $38,896
84.365 ENGLISH LANGUAGE ACQUISITION STATE GRANTS $5,024
10.559 SUMMER FOOD SERVICE PROGRAM FOR CHILDREN $4,995