West Sioux Community School DistrictLocal Government

Assistance Listing Number 10.555: National School Lunch Program Assistance Listing Number 10.559: Summer Food Service Program Assistance Listing Number 10.559: COVID-l9 - Summer Food Service Program Federal Award Year: 2021 U.S. Department of Agriculture through lowa Department of Education Prior Year Audit Finding Reference Number: N/A 2021-003 Improper Reimbursement Request Condition and Criteria - lt was found that the District had two instances of improper submission report for drawdown request. The first instance was an over submission that caused a $8,528 excess drawdown. The second instance was an under submission that caused a $4,116 insufficient drawdown. The net effect on the District was a $4,412 excess drawdown. Effect - As a result, the District overstated their reimbursement request. Cause - With a limited number of personnel and time constraints, review of all financial accounting activities is not feasible. Recommendations - Adequate review procedures should be implemented where feasible and cost-effective and continued monitoring should be done where implementation is not feasible. Views of Responsible Officials - The District's management will complete the second review of the program's submission report and drawdown request to ensure all are accurately awarded.

Assistance Listing Number 10.555: National School Lunch Program Assistance Listing Number 10.559: Summer Food Service Program Assistance Listing Number 10.559: COVID-19 - Summer Food Service Program Federal Award Year: 2021 U.S. Department of Agriculture through Iowa Department of Education Prior Year Audit Finding Reference Number: N/A 2021-004 Internal Control ? Proper Submission Review Condition and Criteria - The District failed to provide a second review of the lunch program's submission report and drawdown request as a part of their internal controls Effect - Because of insufficient review procedures, the program's submission report and drawdown requests are susceptible to an increased risk of incorrect amount of money received. Cause - With a limited number of personnel and time constraints, review of all financial accounting activities is not feasible. Recommendation - Adequate review procedures should be implemented where feasible and cost-effective and continued monitoring should be done where implementation is not feasible. Views of Responsible Officials - The District's management will complete the second review of the program's submission report and drawdown request to ensure all are accurately awarded.

CFDA Number 10.553: School Breakfast Program CFDA Number 10.555: National School Lunch Program CFDA Number 10.559: Summer Food Service Program CFDA Number 10.559: COVID-19 - Summer Food Service Program Federal Award Year: 2020 U.S. Department of Agriculture through Iowa Department of Education Prior Year Audit Finding Reference Number: N/A 2020-003 Grant Administration ? School Nutrition Cluster Program Condition and Criteria ? During our audit of the School Nutrition Cluster, we noted two instances in which income was incorrectly calculated on applications due to child support not being included in the calculation of household income. Effect ? The inclusion of child support as income would not have changed the students? eligibility as it was awarded based on the District?s initial calculation of income. Cause ? With a limited number of personnel and current staff workload, these time constraints do not allow for District personnel to have a review process to combat these types of errors. Recommendation ? The District should review all requirements as set forth by the U.S. Department of Agriculture for income eligibility requirements under the School Nutrition Cluster Program. Views of Responsible Officials ? The District will review all federal requirements for the grant to ensure free or reduced meals are awarded properly based on income eligibility requirements.

CFDA Number 10.553: School Breakfast Program CFDA Number 10.555: National School Lunch Program CFDA Number 10.559: Summer Food Service Program CFDA Number 10.559: COVID-19 - Summer Food Service Program Federal Award Year: 2020 U.S. Department of Agriculture through Iowa Department of Education Prior Year Audit Finding Reference Number: 2019-004 2020-004 Internal Control - Proper Application Approval Condition and Criteria ? The District failed to provide a second review of the free and reduced lunch applications as a part of their internal controls. One instance was found without proper approval from a second review during the application process that did not include a second signature. Effect ? Because of insufficient second review procedures, the program?s application process is susceptible to an increased risk of ineligible students receiving free and/or reduced lunches. Cause ? During the applications second review, the process lacked the appropriate level of attention to detail and was completed quickly. Recommendation ? Adequate second review procedures should be given higher priority and importance during the application process. Views of Responsible Officials ? The District?s management will complete the second review of free or reduced lunch applications to ensure all are accurately awarded

2019-004

Condition and Criteria - During our audit of the School Nutrition Cluster, we noted an instance of noncompliance in which an applicant was incorrectly awarded reduced meals. During the verification process, the applicant provided a copy of her W-2 and tax return. The applicant's gross income subject to federal income tax met the income limits for reduced meals, but her gross wages were reduced by her contributions to her 401(k) plan. Her gross income before contributions to her 401(k) plan exceeded the income limit for reduced meals. According to the USDA, gross earned income means all money earned before such deductions as income taxes, employee's social security taxes, insurance premiums and 401(k) contributions. Effect - The applicant was awarded reduced meals throughout the school year instead of paying for meals at full prices as they did not meet eligibility requirements for free/reduced meals. Cause - With a limited number of personnel and current staff workload, these time constraints and staff expertise with the program does not allow for District personnel to have a review process to combat these types of errors. Recommendation - The District should review all requirements as set forth by the U.S. Department of Agriculture for income eligibility requirements under the School Nutrition Cluster Program. Views of Responsible Officials - The District will review all federal requirements for the grant to ensure free or reduced meals are awarded properly based on income eligibility requirements.

Condition and Criteria - The District failed to provide a second review of the free and reduced lunch applications as a part of their internal controls. Two instances were found without proper approval from a second review during the application process that did not include a second signature. Effect -- Because of insufficient second review procedures, the program's application process is susceptible to an increased risk of ineligible students receiving free and/or reduced lunches. Cause - During the applications second review, the process lacked the appropriate level of attention to detail and was completed quickly. Recommendation - Adequate second review procedures should be given higher priority and importance during the application process. Views of Responsible Officials - The District's management will complete the second review of free or reduced lunch applications to ensure all are accurately awarded.