FAC Explorer

Finding 611532 (2022-004)

Material Weakness
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-02-02
Audit: 24809
Organization: School District of Sevastopol (WI)
Auditor: Cliftonlarsonallen LLP

AI Summary

  • Core Issue: The District failed to keep necessary documentation for verifying free and reduced price meal applications, leading to a material weakness in compliance controls.
  • Impacted Requirements: The District must verify and document the eligibility of households for free and reduced price meals by specific deadlines.
  • Recommended Follow-Up: Implement procedures to ensure proper retention of verification documentation and strengthen internal controls over the grant management process.

Finding Text

2022-004 Federal Agency: United State Department of Agriculture Federal Program Name: Child Nutrition Cluster Assistance Listing Number: 10.553 and 10.555 Pass-Through Agency: Wisconsin Department of Public Instruction Pass-Through Numbers: 2022-155130-SB-546; 2022-155130-NSL-547 Award Period: 07/01/2021 ? 06/30/2022 Compliance Requirement Affected: Special Tests and Provisions ? Verification of Applications Type of Finding Material weakness in internal control over compliance, Qualification Condition The District did not retain workpapers to support that the special tests and provision requirement to perform verification of free and reduced price applications was completed. Criteria The District is required to verify and support with documentation the current free and reduced price eligibility of households selected from a sample of applications that it has approved for free and reduced price meals as of October 1 and completed by November 15. Context The District has limited employees and does not have adequate segregation of duties over the grant management process to ensure that the documentation to support the verification process was retained. Cause The District did not retain documentation and other information to support their procedures over the compliance requirements of the program. Effect The District may have households that were not eligible for the status based on the documentation and other information obtained through the verification process. Repeat Finding Yes - 2021-006 Recommendation We recommend the District establish procedures and controls over the retention of verification documentation and other information obtained through the verification process. Views of Responsible Officials There is no disagreement with the audit finding.

Categories

School Nutrition Programs Internal Control / Segregation of Duties Special Tests & Provisions Eligibility Material Weakness

Other Findings in this Audit

  • 35089 2022-003
    Material Weakness Repeat
  • 35090 2022-004
    Material Weakness
  • 35091 2022-005
    Significant Deficiency
  • 35092 2022-003
    Material Weakness Repeat
  • 35093 2022-004
    Material Weakness
  • 35094 2022-005
    Significant Deficiency
  • 35095 2022-003
    Material Weakness Repeat
  • 35096 2022-004
    Material Weakness
  • 35097 2022-005
    Significant Deficiency
  • 611531 2022-003
    Material Weakness Repeat
  • 611533 2022-005
    Significant Deficiency
  • 611534 2022-003
    Material Weakness Repeat
  • 611535 2022-004
    Material Weakness
  • 611536 2022-005
    Significant Deficiency
  • 611537 2022-003
    Material Weakness Repeat
  • 611538 2022-004
    Material Weakness
  • 611539 2022-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $102,273
93.778 Medical Assistance Program $58,841
84.010 Title I Grants to Local Educational Agencies $56,106
10.553 School Breakfast Program $43,501
84.358 Rural Education $40,368
84.027 Special Education_grants to States $26,626
84.367 Improving Teacher Quality State Grants $21,676
10.555 National School Lunch Program $20,866
84.424 Student Support and Academic Enrichment Program $14,036
84.048 Career and Technical Education -- Basic Grants to States $3,059
84.173 Special Education_preschool Grants $3,018
84.060 Indian Education_grants to Local Educational Agencies $670