Finding 1211022 (2025-002)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-04-30

AI Summary

  • Core Issue: SNP failed to provide required documentation for student eligibility for six out of 40 samples.
  • Impacted Requirements: Federal regulations mandate retention of eligibility documentation for three years and sufficient record-keeping for compliance audits.
  • Recommended Follow-Up: SNP should enhance internal controls to ensure all students have necessary applications or documentation on file.

Finding Text

Criteria: Federal regulations require that documentation to support student eligibility determinations are maintained by the entity. -7 CFR §245.6(b)(6) requires documentation to be retained for three years after the end of the fiscal year to which they pertain; and -2 CFR §200.302 and §200.333 (record‑keeping requirements) require entities to maintain sufficient records that support federal program compliance and allow for audit review. Condition: During our eligibility testing, SNP was unable to provide supporting eligibility documentation for six of our 40 eligibility samples. Missing items included applications or direct certification documentation. Questioned Costs: $2,085. Context: SNP was unable to provide documentation to support eligibility determinations for six students. Cause: Oversight by the SNP. Effect: We could not verify eligibility determinations for six students. Repeat Finding: No. Recommendation: We recommend the SNP reviews its internal controls and policies to ensure all students receiving benefits have an application, or other supporting documentation, on file to support their eligibility. Views of Responsible Officials: Management concurs with the finding.

Corrective Action Plan

Recommendation: We recommend the SNP reviews its internal controls and policies to ensure all students receiving benefits have an application, or other supporting documentation, on file to support their eligibility. Action taken in response to finding: Management acknowledges the finding and will revise and formalize internal controls as follows: • Eligibility Documentation Procedures: Develop a standardized checklist to confirm required documentation is obtained, reviewed and retained prior to approval. • Centralize Review and Approval Process: A designated reviewer will be responsible for verifying completeness and accuracy of all eligibility determinations. Approval will be formally documented. • Record Retention Controls: Management will establish controls to ensure that all eligibility documentation is: Properly maintained, readily accessible for audit or review and retained in accordance with federal, state and organization-wide policy. • Personnel Training: Training will be conducted annually and upon onboarding new personnel. Name of the contact person responsible for corrective action: Sean Jernigan, Chief of Operational Vitality, Department of Catholic Schools, Archdiocese of Los Angeles Planned completion date for corrective action plan: • Procedure and checklist implementation: Within 30 days of financial statement issuance • Staff training: Within 60 days of financial statement issuance • Full implementation and evidence of operation: 90 days of financial statement issuance

Categories

Internal Control / Segregation of Duties Eligibility

Other Findings in this Audit

  • 1211019 2025-002
    Material Weakness Repeat
  • 1211020 2025-002
    Material Weakness Repeat
  • 1211021 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $3.29M
10.553 School Breakfast Program Severe Need $1.92M
10.555 Food Donation (Commodities) $400,782
10.553 School Breakfast Program $54,308