Paw Paw Public Schools

Finding type: Significant deficiency in internal control over major programs and noncompliance. Program(s) Impacted: CFDA 10.553/10.555/10.559, Child Nutrition Cluster. Criteria: Per 7 CFR 210.8, a school food authority shall establish internal controls that ensure the accuracy of lunch counts prior to the submission of the monthly Claim for Reimbursement. These internal controls shall include, at a minimum, comparisons of daily free, reduced price and paid meal counts against data that will assist in the identification of meal counts in excess of the number of free, reduced price and paid meals served each day to children eligible for such meals; and a system for following up on those meal counts that suggests the likelihood of meal counting problems. Furthermore, prior to the submission of a monthly Claim for Reimbursement, each school food authority shall review the lunch count data for each school under its jurisdiction to ensure its accuracy. Condition: Meals served, as reported on 1 of 2 monthly Claim for Reimbursement reports reviewed, did not reconcile to daily meal count checklists prepared at the point of service. Cause: Meals reported on the monthly Claim for Reimbursement reports were not reconciled to meal count checklists prepared at the point of service. Effect: The District received reimbursements for meals that were not served. Questioned Costs: $17 Recommendation: The District should establish and implement effective internal controls that would identify and correct meal count errors prior to submission of the monthly Claim for Reimbursement. Views of Responsible Officials: The District agrees with the finding and is in the process of implementing controls to ensure the accuracy of monthly Claims for Reimbursement.