Finding 374407 (2023-003)

10.558 – Child and Adult Care Food Program – Activities Allowed or Unallowed and Allowable Costs/Cost Principles and Eligibility Criteria or specific requirement Internal controls should be in place to ensure that complete and accurate meal counts for eligible providers and children be submitted to the State for reimbursement. Condition Four providers received an improper amount for their meal reimbursement for the month tested. Context We determined, through testing of provider meal reimbursements, that an inaccurate number of meals was submitted to the State for reimbursement for four providers in our sample. Effect Two providers were incorrectly reimbursed for a meal that did not meet the food guidelines of the program. One provider was reimbursed for a child that was not properly enrolled within the program for all of the days being reimbursed. The final provider had their meal counts incorrectly recounted and recapped, resulting in the wrong number of meals being reimbursed. These items totaled to a net overreimbursement of the providers of $73. Total estimated errors come to an over-reimbursement of $2,742. Cause Inaccurate meal counts were submitted to the State as a result of incorrectly recapped meal counts, meals being reimbursed for a child that was not properly enrolled, and for meals being reimbursed that did not meet the food guidelines of the program. All were the result of human error. Recommendation Controls should be reviewed and updated to ensure that complete and accurate meal counts are submitted to the State for reimbursement. Views of responsible officials and planned corrective actions See corrective action plan.