FAC Explorer

Finding 948801 (2023-002)

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Requirement
P
Questioned Costs
-
Year
2023
Accepted
2024-03-05
Audit: 293633
Organization: Carteret Board of Education (NJ)
Auditor: Pkf O'Connor Davies

AI Summary

  • Core Issue: The District's net cash resources in the Food Service Fund exceeded the limit set by the New Jersey Department of Agriculture, by over $1.1 million.
  • Impacted Requirements: The requirement to maintain a nonprofit School Food Service was not met due to excessive cash reserves.
  • Recommended Follow-Up: The District should reduce cash reserves through capital expenditures or improvements to the Food Service Program, which management is already addressing.

Finding Text

Finding 2023-002 (Other Matter): The District’s net cash resources in the Food Service Fund exceeded three months average expenditures. Prior Year Finding: Not applicable. Federal Program Information: Child Nutrition Cluster Criteria or specific requirement: The New Jersey Department of Agriculture requires a School Food Authority to maintain a nonprofit School Food Service. The nonprofit status of the School Food Service is determined by evaluating net cash resources, which may not exceed three months average expenditures. Questioned Costs: None. Condition: Net cash resources in the Food Service Fund exceeded three months average expenditures. Context: Utilizing the USA net cash resource calculation form, it was determined that the District’s net cash resources exceeded the three months average expenditures by $1,190,169, as of June 30, 2023. Effect: The New Jersey Department of Agriculture requirement regarding Net Cash Resources was not met. Cause: The School District had remote learning for students in place during the recent pandemic years. This caused a drop in operating expenditures and also a sharp increase in revenues due to all student meals being classified as free meals for federal reimbursement. Recommendation: The District should reduce net cash resources on hand in the Food Service Fund through capital expenditures or other improvements to the Food Service Program. Views of Responsible Officials: Management agrees with above finding and has taken necessary corrective action, including the purchase of a food service vehicle, upgrade of equipment and the purchase or new equipment.

Categories

School Nutrition Programs Procurement, Suspension & Debarment Cash Management Equipment & Real Property Management

Other Findings in this Audit

  • 372322 2023-001
    Significant Deficiency Repeat
  • 372323 2023-001
    Significant Deficiency Repeat
  • 372324 2023-001
    Significant Deficiency Repeat
  • 372325 2023-001
    Significant Deficiency Repeat
  • 372326 2023-003
    Significant Deficiency
  • 372327 2023-001
    Significant Deficiency Repeat
  • 372328 2023-003
    Significant Deficiency
  • 372329 2023-001
    Significant Deficiency Repeat
  • 372330 2023-003
    Significant Deficiency
  • 372331 2023-001
    Significant Deficiency Repeat
  • 372332 2023-003
    Significant Deficiency
  • 372333 2023-001
    Significant Deficiency Repeat
  • 372334 2023-003
    Significant Deficiency
  • 372335 2023-001
    Significant Deficiency Repeat
  • 372336 2023-003
    Significant Deficiency
  • 372337 2023-001
    Significant Deficiency Repeat
  • 372338 2023-003
    Significant Deficiency
  • 372339 2023-001
    Significant Deficiency Repeat
  • 372340 2023-003
    Significant Deficiency
  • 372341 2023-001
    Significant Deficiency Repeat
  • 372342 2023-001
    Significant Deficiency Repeat
  • 372343 2023-001
    Significant Deficiency Repeat
  • 372344 2023-001
    Significant Deficiency Repeat
  • 372345 2023-001
    Significant Deficiency Repeat
  • 372346 2023-001
    Significant Deficiency Repeat
  • 372347 2023-001
    Significant Deficiency Repeat
  • 372348 2023-001
    Significant Deficiency Repeat
  • 372349 2023-001
    Significant Deficiency Repeat
  • 372350 2023-001
    Significant Deficiency Repeat
  • 372351 2023-001
    Significant Deficiency Repeat
  • 372352 2023-001
    Significant Deficiency Repeat
  • 372353 2023-002
    -
  • 372354 2023-001
    Significant Deficiency Repeat
  • 372355 2023-002
    -
  • 372356 2023-001
    Significant Deficiency Repeat
  • 372357 2023-002
    -
  • 372358 2023-001
    Significant Deficiency Repeat
  • 372359 2023-002
    -
  • 372360 2023-001
    Significant Deficiency Repeat
  • 372361 2023-002
    -
  • 372362 2023-001
    Significant Deficiency Repeat
  • 372363 2023-002
    -
  • 372364 2023-001
    Significant Deficiency Repeat
  • 372365 2023-002
    -
  • 372366 2023-001
    Significant Deficiency Repeat
  • 372367 2023-002
    -
  • 372368 2023-001
    Significant Deficiency Repeat
  • 372369 2023-002
    -
  • 948764 2023-001
    Significant Deficiency Repeat
  • 948765 2023-001
    Significant Deficiency Repeat
  • 948766 2023-001
    Significant Deficiency Repeat
  • 948767 2023-001
    Significant Deficiency Repeat
  • 948768 2023-003
    Significant Deficiency
  • 948769 2023-001
    Significant Deficiency Repeat
  • 948770 2023-003
    Significant Deficiency
  • 948771 2023-001
    Significant Deficiency Repeat
  • 948772 2023-003
    Significant Deficiency
  • 948773 2023-001
    Significant Deficiency Repeat
  • 948774 2023-003
    Significant Deficiency
  • 948775 2023-001
    Significant Deficiency Repeat
  • 948776 2023-003
    Significant Deficiency
  • 948777 2023-001
    Significant Deficiency Repeat
  • 948778 2023-003
    Significant Deficiency
  • 948779 2023-001
    Significant Deficiency Repeat
  • 948780 2023-003
    Significant Deficiency
  • 948781 2023-001
    Significant Deficiency Repeat
  • 948782 2023-003
    Significant Deficiency
  • 948783 2023-001
    Significant Deficiency Repeat
  • 948784 2023-001
    Significant Deficiency Repeat
  • 948785 2023-001
    Significant Deficiency Repeat
  • 948786 2023-001
    Significant Deficiency Repeat
  • 948787 2023-001
    Significant Deficiency Repeat
  • 948788 2023-001
    Significant Deficiency Repeat
  • 948789 2023-001
    Significant Deficiency Repeat
  • 948790 2023-001
    Significant Deficiency Repeat
  • 948791 2023-001
    Significant Deficiency Repeat
  • 948792 2023-001
    Significant Deficiency Repeat
  • 948793 2023-001
    Significant Deficiency Repeat
  • 948794 2023-001
    Significant Deficiency Repeat
  • 948795 2023-002
    -
  • 948796 2023-001
    Significant Deficiency Repeat
  • 948797 2023-002
    -
  • 948798 2023-001
    Significant Deficiency Repeat
  • 948799 2023-002
    -
  • 948800 2023-001
    Significant Deficiency Repeat
  • 948802 2023-001
    Significant Deficiency Repeat
  • 948803 2023-002
    -
  • 948804 2023-001
    Significant Deficiency Repeat
  • 948805 2023-002
    -
  • 948806 2023-001
    Significant Deficiency Repeat
  • 948807 2023-002
    -
  • 948808 2023-001
    Significant Deficiency Repeat
  • 948809 2023-002
    -
  • 948810 2023-001
    Significant Deficiency Repeat
  • 948811 2023-002
    -

Programs in Audit

ALN Program Name Expenditures
10.553 School Breakfast Program $388,739
21.027 Coronavirus State and Local Fiscal Recovery Funds $229,278
84.367 Improving Teacher Quality State Grants $207,175
84.027 Special Education_grants to States $169,947
84.365 English Language Acquisition State Grants $164,348
84.424 Student Support and Academic Enrichment Program $138,340
93.558 Temporary Assistance for Needy Families $127,380
17.225 Unemployment Insurance $113,944
84.010 Title I Grants to Local Educational Agencies $93,883
84.173 Special Education_preschool Grants $35,613
10.555 National School Lunch Program $35,409
84.425 Education Stabilization Fund $29,504
93.778 Medical Assistance Program $15,994
10.582 Fresh Fruit and Vegetable Program $13,854