Finding 561467 (2023-004)

Material Weakness
Requirement
L
Questioned Costs
$1
Year
2023
Accepted
2025-05-23

AI Summary

  • Core Issue: The District has a material weakness in internal controls over compliance, leading to discrepancies in meal count reporting.
  • Impacted Requirements: The District failed to comply with Uniform Guidance due to inadequate review processes for claims submitted to MDE.
  • Recommended Follow-Up: The District should enhance its reporting procedures to ensure all claims are accurately reviewed and documented by someone other than the preparer before submission.

Finding Text

Federal Agency: U.S. Department of Agriculture Federal Program Title: Child Nutrition Cluster Assistance Listing Numbers: 10.553, 10.555, 10.559 and 10.582 Federal Award Identification Number and Year: 232MN061N1199, 2023 Pass-Through Agency: Minnesota Department of Education Award Period: July 1, 2022 – June 30, 2023 Type of Finding: Material Weakness in Internal Control Over Compliance and Other Matter Criteria: The School should ensure it has proper controls in place to ensure all required reports for the program have documentation of someone other than the preparer reviewing the reports. In Minnesota school districts, reporting is performed monthly to a system known as CLiCS. The data consists of the meal counts for each school site. The data is used by MDE to calculate the state and federal reimbursement funds to be disbursed to the District on a monthly basis. Condition: During testing of a sample of MDE claims during the year, we noted discrepancies in between supporting workpapers and reports including a transposition error for an amount submitted to CLiCS. Questioned Costs: $641 Context: Claims reported to MDE contained a transposition error from supporting meal count workpapers. Cause: Improper review of the claims reported. Effect: The District was not in compliance with the Uniform Guidance requirements around reporting. Repeat Finding: This is not a repeat finding from the prior year. Recommendation: We recommend that the District reviews its procedures and controls over reporting for the Child Nutrition Cluster program to ensure all reports are accurately reporting information and are reviewed by someone other than the preparer and that review is documented prior to submission of the report. View of Responsible Official: There is no disagreement with the audit finding.

Categories

Questioned Costs Cash Management Material Weakness Reporting School Nutrition Programs Internal Control / Segregation of Duties

Other Findings in this Audit

  • 561466 2023-004
    Material Weakness
  • 561468 2023-004
    Material Weakness
  • 561469 2023-004
    Material Weakness
  • 561470 2023-004
    Material Weakness
  • 561471 2023-004
    Material Weakness
  • 561472 2023-004
    Material Weakness
  • 561473 2023-005
    Material Weakness
  • 561474 2023-006
    Material Weakness
  • 1137908 2023-004
    Material Weakness
  • 1137909 2023-004
    Material Weakness
  • 1137910 2023-004
    Material Weakness
  • 1137911 2023-004
    Material Weakness
  • 1137912 2023-004
    Material Weakness
  • 1137913 2023-004
    Material Weakness
  • 1137914 2023-004
    Material Weakness
  • 1137915 2023-005
    Material Weakness
  • 1137916 2023-006
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $785,694
84.027 Special Education Grants to States $377,724
10.553 School Breakfast Program $374,795
21.027 Coronavirus State and Local Fiscal Recovery Funds $258,687
84.002 Adult Education - Basic Grants to States $254,237
93.575 Child Care and Development Block Grant $205,277
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $200,121
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $185,459
32.009 Emergency Connectivity Fund Program $176,977
10.559 Summer Food Service Program for Children $100,486
84.215 Innovative Approaches to Literacy; Promise Neighborhoods; Full-Service Community Schools; and Congressionally Directed Spending for Elementary and Secondary Education Community Projects $78,106
10.555 National School Lunch Program $67,068
84.365 English Language Acquisition State Grants $54,229
84.181 Special Education-Grants for Infants and Families $52,515
84.424 Student Support and Academic Enrichment Program $43,517
10.582 Fresh Fruit and Vegetable Program $42,370
84.048 Career and Technical Education -- Basic Grants to States $39,437
84.173 Special Education Preschool Grants $37,381
93.434 Every Student Succeeds Act/preschool Development Grants $33,430
10.575 Farm to School Grant Program $33,295
10.649 Pandemic Ebt Administrative Costs $6,391
84.060 Indian Education Grants to Local Educational Agencies $5,672
84.425 Education Stabilization Fund $4,104