Finding 7536 (2023-006)

Material Weakness

Requirement

Questioned Costs

Year

2023

Accepted

2024-01-05

Audit: 9837

Organization: Independent School District No. 2342 Wca Public Schools (MN)

Auditor: Cliftonlarsonallen LLP

AI Summary

Core Issue: Paper applications for eligibility lack necessary review and approval documentation.
Impacted Requirements: The District must have documented controls to ensure accuracy in eligibility applications.
Recommended Follow-Up: The District should review all paper applications and properly document the eligibility review process.

Finding Text

Lack of Proper Review – Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, and 10.556 Federal Award Identification Number and Year: 212MN061N1199- 2023 Pass-Through Agency: Minnesota Department of Agriculture Pass-Through Number(s): 1-2342-000 Award Period: June 30, 2023 Type of Finding: Material Weakness in Internal Control Over Compliance Condition: During eligibility testing, it was noted that the paper applications did not contain documentation of review and approval for the applicants final determination into the program. Criteria or Specific Requirement: The District should have controls in place to ensure the accuracy of all eligibility applications. All controls should be formally documented to ensure they have been properly implemented. Context: All paper applications have no review and approval. The samples were statistically valid samples. Effect: Lack of proper documentation of controls over compliance with eligibility requirements could result in errors or intentional misrepresentation of applicants eligibility into the program. This could ultimately result in questioned costs. Cause: Oversight. Repeat Finding: No. Recommendation: We recommend the District review paper applications. The District should ensure that these controls are properly documented. Views of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

Lack of Proper Review Federal agency: U.S. Department of Agriculture Federal program Title: Child Nutrition Cluster Assistance Listing Number: 10.553, 10.555, 10.556 Federal Award Identification Number and Year: 212MN061N1199- 2023 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-2342-000 Award Period: June 30, 2023 Type of Finding: Material Weakness in Internal Control Over Compliance Recommendation: We recommend the District review paper applications. The District should ensure that these controls are properly documented. Views of Responsible Officials: There is no disagreement with the audit finding. Action Taken in Response to Finding: The District will implement procedures to ensure all paper transactions are properly reviewed once completed. Name of the Contact Person Responsible for Corrective Action Plan: Paul Brownlow, Superintendent Planned Completion Date for Corrective Action Plan: June 30, 2024.

Other Findings in this Audit

7537 2023-006

Material Weakness
7538 2023-006

Material Weakness
7539 2023-006

Material Weakness
7540 2023-006

Material Weakness
7541 2023-007

Material Weakness
7542 2023-007

Material Weakness
583978 2023-006

Material Weakness
583979 2023-006

Material Weakness
583980 2023-006

Material Weakness
583981 2023-006

Material Weakness
583982 2023-006

Material Weakness
583983 2023-007

Material Weakness
583984 2023-007

Material Weakness

Programs in Audit

ALN	Program Name	Expenditures
84.010	Title I Grants to Local Educational Agencies	$150,868
21.027	Coronavirus State and Local Fiscal Recovery Funds	$56,072
10.553	School Breakfast Program	$38,567
10.555	National School Lunch Program	$30,263
84.367	Improving Teacher Quality State Grants	$24,333
84.424	Student Support and Academic Enrichment Program	$10,447
84.425	Education Stabilization Fund	$10,375
21.019	Coronavirus Relief Fund	$628
10.556	Special Milk Program for Children	$424