Finding Text
MATERIAL WEAKNESS
2023-003 INTERNAL CONTROL OVER COMPLIANCE REQUIREMENTS
Federal Agency: Department of Agriculture
Federal Program or
Cluster: Child Nutrition Cluster
Assistance Listing
Number: 10.553, 10.555
Federal Award
Numbers and Years: Award Period 7/1/2022-6/30/23: K397
Questioned Costs: $0
Condition: The School uses a third party food service management company to oversee all
aspects of the food program at the School. The School did not not provide detailed
oversight and review of the food service management company to verify that
policies and procedures followed all applicable compliance areas under the Uniform
Guidance.
Criteria: The School must establish and maintain effective internal controls over Federal
awards, including oversight over third party contractors that provide reasonable
assurance that the non-Federal entity is managing Federal awards in compliance
with Federal statutes, regulations, and the terms and conditions of the Federal award
and 7 CFR Section 210.16.
Cause: The School was inattentive to all of the requirements in the Uniform Guidance.
Effect: The absence of detailed oversight and review could result in noncompliance with
the terms of federal awards.
Recommendation: The School should document and adhere to written policies and procedures that
include oversight and detail review of third party food service management
companies and other third parties to verify the School is following all current OMB
requirements under the Uniform Guidance. This oversight should be documented
and revised as necessary.