Finding 519636 (2024-005)

Material Weakness
Requirement
M
Questioned Costs
-
Year
2024
Accepted
2025-01-17
Audit: 338734
Organization: Upland Unified School District (CA)
Auditor: Eide Bailly LLP

AI Summary

  • Core Issue: The District failed to conduct the required number of monitoring visits for subrecipient facilities, violating federal regulations.
  • Impacted Requirements: Title 7, CFR Part 226.16(d)(4)(iii) mandates at least three visits per year, with two being unannounced.
  • Recommended Follow-Up: The District should strengthen internal controls to ensure compliance with monitoring requirements and conduct the necessary visits.

Finding Text

50000 – Child and Adult Care Food Program (CACFP) – Subrecipient Monitoring (Material Weakness in Internal Control Over Compliance, Noncompliance) Federal Agency: U.S. Department of Agriculture Pass-Through Entity: California Department of Social Services Program Name: Child and Adult Care Food Program (CACFP) Federal Financial Assistance Listing: 10.558 Compliance Requirement: Subrecipient Monitoring Type of Finding: Material Weakness and Material Noncompliance Criteria or Specific Requirements Title 7, Code of Federal Regulations, Part 226.16(d)(4)(iii) requires sponsoring organizations to review each subrecipient facility a minimum of three times per year. Additionally, at least two of the three reviews must be unannounced. Condition At three of six sites tested, the District has not met the minimum monitoring requirements. Two of six sites tested had only two monitoring visits total during the year. One of six sites tested had three visits; however, two of the three visits were announced visits. Cause The cause appears to be due to lack of internal controls over compliance for subrecipient monitoring. Effect The District is not in compliance with the provisions of Title 7, Code of Federal Regulations, Part 226.16(d)(4)(iii). Questioned Costs None reported. Context/Sampling A nonstatistical sample of three out of thirteen sites was initially tested. This resulted in one instance of noncompliance for a site which had only two of the three required monitoring visits. In response to this noncompliance, three additional sites were tested for a total of six out of thirteen sites. This resulted in two additional instances of noncompliance for one site that had only two of the three required monitoring visits and one site that had three visits but only one of which was unannounced. Repeat Finding No. Recommendation The District should implement internal controls over subrecipient monitoring to ensure that an adequate number of monitoring visits of each type are made during each year.

Corrective Action Plan

A comprehensive schedule for all sites for the entire year has been created. Responsible staff are assigned to visit the site on the dates outlined and then submit monitoring forms to the department secretary within 3 days. The Director of Nutrition Services will review all monitoring forms monthly with a review of corrective action plans within 45 days. In the event of staff absence or turnover, a backup staff member is assigned to conduct the site visit.

Categories

Subrecipient Monitoring Material Weakness

Other Findings in this Audit

  • 519633 2024-003
    Material Weakness
  • 519634 2024-003
    Material Weakness
  • 519635 2024-003
    Material Weakness
  • 519637 2024-005
    Material Weakness
  • 519638 2024-004
    Material Weakness
  • 519639 2024-004
    Material Weakness
  • 519640 2024-004
    Material Weakness
  • 1096075 2024-003
    Material Weakness
  • 1096076 2024-003
    Material Weakness
  • 1096077 2024-003
    Material Weakness
  • 1096078 2024-005
    Material Weakness
  • 1096079 2024-005
    Material Weakness
  • 1096080 2024-004
    Material Weakness
  • 1096081 2024-004
    Material Weakness
  • 1096082 2024-004
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.027 Special Education Grants to States $2.35M
10.553 School Breakfast Program $835,603
10.555 National School Lunch Program $315,013
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $232,768
84.424 Student Support and Academic Enrichment Program $190,081
84.010 Title I Grants to Local Educational Agencies $116,697
84.048 Career and Technical Education -- Basic Grants to States $86,340
10.558 Child and Adult Care Food Program $48,390
84.425 Education Stabilization Fund $42,553
84.365 English Language Acquisition State Grants $17,937
84.002 Adult Education - Basic Grants to States $8,340