Independent School District #2180

Finding 2021-001 Internal Controls Over Cash Management Federal Program: Child Nutrition (ALN?s 10.555 and 10.559) Condition: Independent School District No. 2180 (the District) failed to obtain a signature on the Minnesota Department of Education daily meal count forms required under the Seamless Summer Option of the Child Nutrition program. Criteria: The District is required to maintain a clear audit trail evidencing the specific expenditures applied to the Federal Program and controls in place to verify the accuracy of such expenditures. Cause: Because the Seamless Summer Option and the daily meal count forms were new for the current fiscal year, the District was not fully aware of the program?s requirements. Effect: The failure to obtain noted signatures caused the District to not be in compliance with the program?s requirements. Context: This is a control requirement required by the Minnesota Department of Education to assure that expenditures submitted under the program are complete and accurate. Questioned Costs: None identified. Recommendation: We recommend the District assess internal controls related to the Child Nutrition program and implement signatures on all required forms to assure submitted information is complete and accurate. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the recommendation. See corresponding Corrective Action Plan.

Finding 2021-001 Internal Controls Over Cash Management 1. Explanation of Disagreement with Audit Finding There is no disagreement with the audit finding. 2. Actions Planned in Response to Finding The District will assess internal controls over its Federal programs and make changes in order to be in compliance with the requirements. To date, the District has already started utilizing its point of sale system to track all meals. This will avoid the need for the daily meal count forms. 3. Official Responsible Sherri Broderius, Superintendent, is the official responsible for ensuring corrective action. 4. Planned Completion Date June 30, 2022. 5. Plan to Monitor Completion The Board of Education will be monitoring this Corrective Action Plan.