FAC Explorer

Finding 484946 (2022-010)

Material Weakness
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2024-08-23
Audit: 317789
Organization: Garner-Hayfield-Ventura Community School District (IA)
Auditor: Roof Gerdes Erlbacher Plc

AI Summary

  • Core Issue: The District lacks proper procedures to verify payments to the food service management company, leading to discrepancies.
  • Impacted Requirements: Payments are not supported by accurate invoices or reconciled with meal records, violating contract terms.
  • Recommended Follow-Up: Implement new procedures to ensure compliance with contract and payment terms for the food service management company.

Finding Text

Food Service Contract - Criteria: Payments to vendors are required to be supported by the contract and in accordance with allowable cost principles. Condition: The District has a contract with a food service management company to operate its food service program. Our review of the procedures noted the following: * - There does not appear to be procedures in place to ensure the propriety of the labor amount reimbursed to the food service management company by the District. * - The District paid the food service management company from invoices which did not methematically compute by several thousand dollars. * - The District does not reconcile the dollar equivalent of the number of meals paid to the food service management company with the number of meals served based on the District's records. Cause: The District has not implemented procedures to ensure the contract and payment terms with the food service management company are complied with. Effect: The lack of established polcies and procedures resulted in the issues as noted above. Recommendation: The District should implement procedures to ensure the contract and payment terms with the food service management company are complied with. Response and corrective action planned: We have revamped our polices and procedures in relation to the above issues. Conclusion: Response acknowledged.

Corrective Action Plan

Comment Title: Food Service Contract. Corrective Action Plan: We are working with the food service management company to resolve these issues. Contact person, Title, Ohone Number: Holly Fischer, Business Manager, (641) 932-2718. Anticipated Date of Completion: Immediately

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 484945 2022-009
    Material Weakness Repeat
  • 484947 2022-011
    Material Weakness
  • 484948 2022-009
    Material Weakness Repeat
  • 484949 2022-010
    Material Weakness
  • 484950 2022-011
    Material Weakness
  • 1061387 2022-009
    Material Weakness Repeat
  • 1061388 2022-010
    Material Weakness
  • 1061389 2022-011
    Material Weakness
  • 1061390 2022-009
    Material Weakness Repeat
  • 1061391 2022-010
    Material Weakness
  • 1061392 2022-011
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $627,846
84.425 Education Stabilization Fund $360,654
10.553 School Breakfast Program $90,647
84.010 Title I Grants to Local Educational Agencies $72,526
84.367 Improving Teacher Quality State Grants $20,824
84.027 Special Education_grants to States $6,033
84.424 Student Support and Academic Enrichment Program $2,473
84.048 Career and Technical Education -- Basic Grants to States $1,144