Finding 60094 (2022-001)

Significant Deficiency Repeat Finding
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2022-10-23
Audit: 55902
Organization: Williamston Community Schools (MI)
Auditor: Maner Costerisan

AI Summary

  • Core Issue: The District has a food service fund balance exceeding the allowable limit of three months' expenditures.
  • Impacted Requirements: A spending plan must be developed and submitted to the Michigan Department of Education to address the excess fund balance.
  • Recommended Follow-Up: Implement a budget and corrective action plan for the 2022-2023 school year to reduce the fund balance to acceptable levels.

Finding Text

Finding 2022-001: Considered a significant deficiency District's Response: The District concurs with the facts of this finding and is implementing procedures to prevent this in the future. Criteria: The District's fund balance in the food service fund is required to be less than three months of food service expenditures Condition: Williamston Community Schools currently has more than the allowable fund balance in the non-profit good service fund. As a result, the District will be required to develop a spending plan to reduce the balance to an acceptable level during the 2022-2023 school year. The plan must be submitted to the Michigan Department of Education prior to implementation. Excess fund balance cannot be transferred to the general fund. Cause: The District participated in the seamless summer option meal reimbursement program causing a larger than normal increase in the food service fund balance. Effect: At June 30, 2022, the District's food service fund balance was greater than three months of expenditures. Recommendation: The District should implement a budget, as well as the required corrective action plan, for the 2022-2023 school year that will adequately reduce the food service fund balance.

Corrective Action Plan

Williamston Community Schools respectfully submits the following corrective action plan for the year ended June 30, 2022. Auditor: Maner Costerisan 2425 E. Grand River Ave., Suite 1 Lansing, Michigan 48912 Audit Period: Year ended June 30, 2022 District contact person: Sarah Tynan, CPA, Director of Finance The findings from the June 30, 2022 schedule of findings and responses are discussed below. The findings are numbered consistently with the number assigned in the schedule. Finding ? Federal Award Findings and Question Costs Finding 2022-001 Considered a significant deficiency Recommendation: The District should implement a budget, as well as the required corrective action plan, for the 2022-2023 school year that will adequately reduce the food service fund balance. Action to be taken: Management agrees with the finding and we are in the process of developing a spend down plan. We are looking at expanding food choices, expanding healthy food options, as well as needed upgrades to equipment.

Categories

Cash Management School Nutrition Programs Significant Deficiency

Other Findings in this Audit

  • 60095 2022-001
    Significant Deficiency Repeat
  • 60770 2022-001
    Significant Deficiency Repeat
  • 60771 2022-001
    Significant Deficiency Repeat
  • 60772 2022-001
    Significant Deficiency Repeat
  • 60773 2022-001
    Significant Deficiency Repeat
  • 60774 2022-001
    Significant Deficiency Repeat
  • 636536 2022-001
    Significant Deficiency Repeat
  • 636537 2022-001
    Significant Deficiency Repeat
  • 637212 2022-001
    Significant Deficiency Repeat
  • 637213 2022-001
    Significant Deficiency Repeat
  • 637214 2022-001
    Significant Deficiency Repeat
  • 637215 2022-001
    Significant Deficiency Repeat
  • 637216 2022-001
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $641,892
10.553 School Breakfast Program $126,414
32.009 Emergency Connectivity Fund Program $124,287
84.010 Title I Grants to Local Educational Agencies $117,985
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $92,188
10.559 Summer Food Service Program for Children $62,837
84.367 Improving Teacher Quality State Grants $31,796
84.027 Special Education_grants to States $14,195
93.778 Medical Assistance Program $13,687
84.173 Special Education_preschool Grants $11,302
84.424 Student Support and Academic Enrichment Program $10,000
84.425 Education Stabilization Fund $5,505
10.649 Pandemic Ebt Administrative Costs $614