Finding Text
1. Finding Number: 2022-005 2. This Finding is: New 3. Federal Program Name and Year: Child Nutrition Cluster- 2022 & 2021 4. Project No.: 4210, 4215, 4220, Commodity Credit & Fresh Fruits and Vegetables 5. CFDA No.: 10.553, 10.555 & 10.556 6. Passed Through: Illinois State Board of Education & U.S. Department of Defense 7. Federal Agency: United States Department of Agriculture 8. Criteria or specific requirement (including statutory, regulatory, or other citation) 7 CFR 210.14 requires each school food authority to limit its net cash resources to an amount that does not exceed 3 months average expenditures for its nonprofit school food service. 9. Condition The District's lunch program net cash resources exceeded 3 months average expenditures for its nonprofit school food service. 10. Questioned Costs None 11. Context At June 30, 2022, the District's net cash resources materially exceeded 3 months average expenditures for its nonprofit school food service during the fiscal year ended June 30, 2022. 12. Effect The District is not in compliance with 7 CFR 210.14. 13. Cause The District is not using their calculation of net cash resources of the nonprofit school food service in determining their necessary food service expenditures or their food service prices. 14. Recommendation Formal calculation of the net cash resources of the nonprofit school food service should be periodically prepared to ensure compliance with 7 CFR 210.14. In the event of noncompliance, the District should incur allowable expenditures or reduce their food service prices as necessary. 15. Management's response Management will implement the auditor's recommendation for the fiscal year ending June 30, 2023.