AVONDALE SCHOOL DISTRICT

EIN: 366003043

UEI: GSA_MIGRATION

Data as of August 25, 2026

AVONDALE SCHOOL DISTRICT4 audit years2 findings1 repeat
4
Audit Years
2
Total Findings
1
Repeat Findings

FY 2019-06-30

Management decision deadline — for entities that funded this organization

The FAC accepted this audit on March 11, 2020. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by September 11, 2020 (2174 days ago).

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2019-001
Program Income
MATERIAL WEAKNESSREPEAT

The ending funding balance for the District?s food service program exceeded the average three months of expenditures by approximately $89,230. Questioned Costs: None Cause and Effect: The School District added approximately $64,000 to its fund balance in its nutrition services program during fiscal year 2019. This mostly resulted from an increase in federal food service revenue and a decrease in food costs. Recommendation: We recommend that the School District reviews its net cash resources throughout the year to verify they are not in excess of three months of expenditures. The School District should develop a plan to ensure they spend the excess balance during the 2019-20 school year. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.

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Program Information: Child Nutrition Cluster, U.S. Department of Agriculture, passed through Michigan Department of Education, CFDA #10.553, 10.555, and 10.559. Criteria: The School District must limit its net cash resources to an amount that does not exceed three months? average expenditures for its non-profit school food service per requirements in 7 CFR 210.14 (b). Condition: The ending funding balance for the District?s food service program exceeded the average three months of expenditures by approximately $89,230. Questioned Costs: None Cause and Effect: The School District added approximately $64,000 to its fund balance in its nutrition services program during fiscal year 2019. This mostly resulted from an increase in federal food service revenue and a decrease in food costs. Recommendation: We recommend that the School District reviews its net cash resources throughout the year to verify they are not in excess of three months of expenditures. The School District should develop a plan to ensure they spend the excess balance during the 2019-20 school year. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.

Corrective Action Plan

As stated in the response to 2018-001 Material Weakness from the June 30, 2018 audit finding, the District indicated that plans were in development to renovate its high school serving line with initial costs estimates in excess of $200,000. Actual construction costs approved by the Michigan Department of Education for this project were $205,983 NOT including necessary equipment. This work substantially began in late June 2019 upon completion of the school year. As such, the majority of the costs will be charged against the program in fiscal 2019-20. An additional $191,961 in new equipment purchases relating to this renovation awaits MDE approval. The District wishes to express its disappointment with USDA regulations which do not permit reductions of program meal pricing charged to students which could have been applied. Rather the USDA encourages additional spending even in cases where the spending is not warranted nor operationally necessary. This finding, even though technically accurate, could have been better addressed through price reductions which would have been equitably spread across all program users.

Prior Finding References

2018-001

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FY 2018-06-30

FAC accepted this audit on October 30, 2018 — management decision was due April 30, 2019.

2018-001
Program Income
MATERIAL WEAKNESS

GSA_MIGRATION

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Full finding narrative

GSA_MIGRATION

Corrective Action Plan

GSA_MIGRATION

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Data source: This information comes from the Federal Audit Clearinghouse, the official repository of Single Audit data. All data is public domain. Verify this organization's audit history at fac.gov.

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