Finding Text
2022-009 Child Nutrition Cluster (ALN 10.553, 10.555), Federal Department of Agriculture Passed through the California Department of Equation Noncompliance and material weakness in internal control over Federal compliance Code 40000, 50000 Compliance Requirements Affected: Reporting Criteria The District must submit monthly claims for reimbursement for meals and snacks served to eligible students. Each month?s claim for reimbursement and all data used in the claims review process must be maintained on file. Accurate records must be maintained justifying all meals claimed and documenting that all Program funds were spent only on allowable Child Nutrition Program costs. Failure to maintain such records may be grounds for denial of reimbursement for meals served and/or administrative costs claimed during the period covered by the records in question. Records are required to be retained for a period of three years after submission of the final Claim for Reimbursement for the fiscal year. Condition The District did not provide supporting documentation for all the samples requested to support the audit. Cause We believe the cause is the turnover of District personnel, leaving no single responsible person with sufficient accountability to ensure full compliance. Effect The District was unable to support that it complied with the terms and conditions of Federal grant agreements. Questioned Costs Known questioned costs are $6,913,076 and likely questioned cost are $17,773,848. Context The condition applies to three transactions from our sample of four. Recommendation We recommend that the District assigns a single person responsible for ensuring compliance and providing supporting documentation to the auditors. Views of Responsible Official The District has not prepared a response as of the date of this report. Identification as a Repeat Finding This finding was not reported in the previous year's audit.