Finding 38454 (2022-001)

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Requirement
P
Questioned Costs
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Year
2022
Accepted
2023-01-23

AI Summary

  • Core Issue: Cash balances for the Child Nutrition Program exceeded the allowed limit by $439,083.
  • Impacted Requirements: Federal regulations state that cash balances should not surpass the average of 3 months' operating expenditures.
  • Recommended Follow-Up: The District should assess equipment needs and meal charges to create a plan for reducing excess cash balances.

Finding Text

A. Condition: Identified cash balances for the Child Nutrition Program as defined under federal regulations were in excess of the allowed 3 months average expenditures by $439,083. B. Criteria: Federal funding requires that the Child Nutrition cash balances should not exceed the average 3 months operating expenditures. C. Cause: The actual cash balances as of August 31, 2022, exceeded the allowed 3 month average spending amount by $439,083. D. Effect: Cash balances in the food service accounts exceeded allowed amounts per the provisions of the Child Nutrition Program. E. Recommendation: The District should review current needs for equipment, charges for student meals, etc. and develop a plan for the reduction of cash balances in the child nutrition fund. F. Auditee Response: The District will review their current needs for food service equipment and other direct costs for the Child Nutrition Program. A plan will be developed to reduce the cash balances in the lunchroom fund during the fiscal year ended August 31, 2023.

Categories

School Nutrition Programs Equipment & Real Property Management Special Tests & Provisions

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $1.52M
93.600 Head Start $1.42M
10.555 National School Lunch Program $1.09M
84.010 Title I Grants to Local Educational Agencies $761,833
10.553 School Breakfast Program $518,340
84.027 Special Education_grants to States $495,555
84.367 Improving Teacher Quality State Grants $58,315
84.358 Rural Education $40,425
84.424 Student Support and Academic Enrichment Program $38,361
84.173 Special Education_preschool Grants $21,503
84.048 Career and Technical Education -- Basic Grants to States $6,276