FAC Explorer

Finding 946817 (2022-003)

Significant Deficiency
Requirement
ABEILN
Questioned Costs
-
Year
2022
Accepted
2024-02-23
Audit: 291961
Organization: Underwood Community School District (IA)
Auditor: Nolte Cornman & Johnson PC

AI Summary

  • Answer: The District's procurement process for food products is not effectively monitoring invoiced prices against awarded bids.
  • Trend: There are multiple instances of the District being charged prices higher than the approved bid amount from Sysco Lincoln.
  • List: Review invoicing procedures, ensure compliance with bid amounts, and implement regular price comparisons to prevent overcharging.

Finding Text

An effective internal control system provides controls related to the procurement process for food products served to students as required by federal regulations for the District’s food service operations. We noted the District solicited bread bids in compliance with procurement requirements of the Child Nutrition Cluster federal programs. The bid for fiscal year 2022 was properly awarded to Sysco Lincoln bakery. However, it appears the District was not comparing the invoiced price for bread received from Sysco Lincoln to the amounts bid and awarded. We noted multiple instances where the District was charged prices above the approved bid amount.

Categories

Procurement, Suspension & Debarment School Nutrition Programs

Other Findings in this Audit

  • 370372 2022-002
    Material Weakness Repeat
  • 370373 2022-002
    Material Weakness Repeat
  • 370374 2022-003
    Significant Deficiency
  • 370375 2022-003
    Significant Deficiency
  • 946814 2022-002
    Material Weakness Repeat
  • 946815 2022-002
    Material Weakness Repeat
  • 946816 2022-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.555 National School Lunch Program $545,501
84.425 Education Stabilization Fund $145,324
10.553 School Breakfast Program $70,003
84.010 Title I Grants to Local Educational Agencies $38,183
84.424 Student Support and Academic Enrichment Program $10,000
84.367 Improving Teacher Quality State Grants $9,485
84.027 Special Education_grants to States $4,990