Finding 540928 (2024-002)

- Repeat Finding
Requirement
C
Questioned Costs
-
Year
2024
Accepted
2025-03-31

AI Summary

  • Core Issue: The District's fund balance exceeds the allowed limit of three months' average expenditures for the National School Lunch Program.
  • Impacted Requirements: This situation violates 7 CFR 210.14, which mandates limits on cash reserves for nonprofit school food services.
  • Recommended Follow-Up: The District should develop a plan to reduce the fund balance to comply with the three-month limit.

Finding Text

2024-002 Child Nutrition Cluster 2023 and 2024 Criteria: Per 7 CFR 210.14, a National School Lunch Program sponsor shall limit its net cash reserves to an amount that does not exceed three months' average expenditures for its nonprofit school food service. Condition: At June 30, 2024, the District maintained fund balance in excess of three months' average expenditures. Questioned Costs: None Context: The District has been operating the National School Lunch Program with revenues in excess of expenditures for several years. At June 30, 2024 the District maintained fund balance in excess of three months' average expenditures. Effect: The District has a fund balance in excess of three months' average expenditures for the Food Service Program. Cause: The District has a fund balance in excess of three months' average expenditures for the Food Service Program. Recommendation: We recommend the District work on decreasing the fund balance to below the three months' average expenditures. Management's Reponse: See corrective action plan

Categories

School Nutrition Programs

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.425 Covid-19 Elementary and Secondary School Emergency Relief Fund $2.16M
10.555 National School Lunch Program $859,070
84.010 Title I - Low Income $331,760
10.553 School Breakfast Program $327,134
84.126 Rehabilitation Services_vocational Rehabilitation Grants to States $139,250
93.778 Medicaid - Administrative Outreach Program $131,933
84.367 Title II - Teacher Quality $87,972
84.484 Title Iva- Student Support and Academic Enrichment $83,242
10.555 Commodity Food Program (non-Cash Commodity) $52,769
84.027 Special Education - Grants to States $41,043
84.048 V.e. Perkins - Title Iic $25,000
10.555 Dod - Fresh Fruits and Vegetables $19,309
84.424 Title Iva- Student Support and Academic Enrichment $13,105
84.365 Title III - Immigrant Education Program $8,282
84.173 Special Education - Preschool Grants $5,226
84.365 Title III - Lang Inst Prog- Limited Eng Liplep $3,323
10.649 National School Lunch Program $3,256
84.010 Title I - School Improvement and Accountability $904