Finding 1217198 (2025-002)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-06-09

AI Summary

  • Core Issue: The School District incorrectly verified applications for students who were directly certified for free meals, leading to a 50% failure rate in meeting verification requirements.
  • Impacted Requirements: Verification procedures must only include eligible applications, and directly certified students should not be part of the verification sample.
  • Recommended Follow-Up: Develop and implement clear policies to ensure directly certified students are excluded from verification and that the correct number of applications are verified annually.

Finding Text

42 U.S.C. § 1758 (b)(3)(D)(ii) and (iii) states, in part, each school year, a local educational agency shall verify eligibility of the children in a sample of household applications approved for the school year by the local educational agency, as determined by the Secretary in accordance with this subsection. Except as otherwise provided in this paragraph, the sample for a local educational agency for a school year shall equal the lesser of— (I) 3 percent of all applications approved by the local educational agency for the school year, as of October 1 of the school year, selected from error prone applications; or (II) 3,000 error prone applications approved by the local educational agency for the school year, as of October 1 of the school year. USDA Memo SP 13-2012 states in part, in general, LEAs must annually verify a sample of approved applications which is typically 3 percent of applications approved on the basis of income. For fiscal year 2025, the School District approved the eligibility status of free and reduced meal applications submitted manually or electronically by parents and guardians. Additionally, the School District directly certified students through Supplemental Nutrition Assistance Program (SNAP), Medicaid, and Ohio Works First (OWF). Students directly certified as eligible for free meals were not to be subjected to the verification procedures/sample as no application is required for the applicable student. The School District completed verification procedures over two (3%) free and reduced meal applications. However, students from one of the applications that were verified were directly certified and should not have been subject to verification, resulting in a 50% failure rate for the program's verification requirements. Due to lack of response from the applicable parent/guardian, three students from this household were then incorrectly moved from free lunch status to paid lunch status for the remainder of the school year. This was caused by the School District's lack of understanding of the program's eligibility verification requirements. Failure to subject only applicable applications to the verification process could lead to the School District not verifying the proper number of applications and could also lead to an incorrect student meal status. The School District should develop and implement policies and procedures to ensure all directly certified students are removed from the eligibility verification pool and that the proper number of eligibility verifications are performed each year.

Corrective Action Plan

The staff member responsible for completing the verification process—Accounts Payable—will attend the required training/webinar to ensure full compliance with USDA regulations. Accounts Payable will complete training specifically covering the proper procedures and requirements for the verification process, as outlined by the State Agency and USDA guidelines. Documentation on the completed training will be retained on file and made available upon request. In addition to training, both Accounts Payable and Operations Manager are signed up to receive the Ohio Ed Updates SNP Items of Interest. This corrective action is being taken promptly to address the findings and to prevent future occurrences. The district is committed to ensuring all staff involved in child nutrition programs are appropriately trained and fully understand their responsibilities.

Categories

School Nutrition Programs Eligibility

Other Findings in this Audit

  • 1217197 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.555 NATIONAL SCHOOL LUNCH PROGRAM $380,366
84.027 SPECIAL EDUCATION GRANTS TO STATES $295,638
84.010 TITLE I GRANTS TO LOCAL EDUCATIONAL AGENCIES $221,173
10.553 SCHOOL BREAKFAST PROGRAM $81,282
84.367 SUPPORTING EFFECTIVE INSTRUCTION STATE GRANTS (FORMERLY IMPROVING TEACHER QUALITY STATE GRANTS) $54,156
21.027 COVID-19 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $36,601
84.425 COVID-19 EDUCATION STABILIZATION FUND $34,367
84.424 STUDENT SUPPORT AND ACADEMIC ENRICHMENT PROGRAM $28,766
84.173 SPECIAL EDUCATION PRESCHOOL GRANTS $8,715