Finding 585234 (2023-002)

2023-002 Child Nutrition Reporting Federal Agency: US Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, 10.559 Federal Award Identification Number and Year: Unknown Pass-Through Agency: Wisconsin Department of Public Instruction Pass-Through Number(s): 2023-495607-DPI-SB-546, 2023-495607-DPI-SB-SEVERE-546, 2023-495607-DPI-NSL-547, 2023-495607-DPI-SFSP-586, Unknown Award Period: July 1, 2022 – June 30, 2023 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matter Criteria or Specific Requirement: Each request for reimbursement should be based on accurate and precise data. Review of the reimbursement request and supporting documentation by someone other than the preparer prior to submitting the request for reimbursement is an internal control intended to prevent or decrease the occurrence of errors. Condition: Two of the eight claims in our sample did not reconcile to the underlying meal count records of the district. Food service director reviews the meal counts prepared by food service employees and enters that data into the DPI system for reimbursement. There was no subsequent view of the data entered into DPI’s food service claim system prior to submission. Accordingly, this does not allow for a proper segregation of duties for internal control purposes over reporting compliance requirements. Questioned Costs: None Context: In the 3 School Breakfast claims tested, the District reported a total of 98,286 meals served, but had records to support 101,834. For the 5 National School Lunch Program claims tested, the District reported 342,381 meals served, but had records to support 342,399. Cause: The District did not have a procedure in place to ensure the amounts entered into the Grant Reporting portal were accurate as there is no one reviewing the reimbursement requests before submission to verify accuracy of meal counts reported against supporting documentation. Effect: The District filed incorrect meal reporting during the year and received the incorrect funding amount. Repeat Finding: No. Recommendation: We recommend the District implement a review procedure over reimbursement requests where someone other than the preparer reviews the claim to ensure counts agree back to supporting documentation prior to the reimbursement request being filed with the granting agency. In addition, due to the size and complexity of the reporting, we recommend the District review the compiling procedures for the schools to ensure the compilation procedure is complete and accurate. View of Responsible Officials: There is no disagreement with the audit finding.