Finding Text
Condition: Food Service Management Company contract was not properly executed and monitored during FY23.
Criteria: 7 CFR Chapter 2 Section 210.16a Food Service Management Companies—Any school food authority (including a State agency in the capacity of a school food authority) may contract with a food service management company its food service operation in one or more of its schools.
Cause: Lack of monitoring
Context: No written contract was found for the fiscal year 2023 with the food service management company.
Effect: Noncompliance with Uniform Guidance and possible question costs.
Recommendation: Written contracts need to be obtained on an annual basis for contract services provided by outside companies on a recurring basis. Controls need to be implemented to insure those amounts paid under these contracts agrees with detail supporting invoices.
Repeat Finding from Prior Year: 2022-008
Views of Responsible Officials and Planned Corrective Action: May 2023 was when FY22 audit was completed and the food service provider had already been selected and utilized by the District. FY24 the District has received food service management company contract. The contract has been board approved.