SAN ANTONIO EARLY CHILDHOOD EDUCATION MUNICIPAL DEVELOPMENT CORPORATION

Criteria: The program participants are required to complete application. The application must be completed and signed by an adult household member and must contain certain required information including: signature of a parent/guardian, certain required digits of a social security number or an indication that the child does not have a social security number. Based on information provided on the participant application, theCorporation must determine if the participants qualify for free or reduced-price meals based on the household income level. Condition: We selected a sample of forty (40) participant files from the four (4) PreK 4 SA centers. Our testing noted the following: • Two applications were incorrectly classified as “free” when they should have been classified as “reduced”. • One application was classified as “free via foster”; instead, of “free via snap”. No supporting documentation was provided to support the ‘foster’ classification • One application documentation was considered incomplete. The eligibility type was not marked or identified on the application. • One household application was incorrectly marked as “free”; however, the file support documentation indicated they were “denied eligibility.” Cause: The Corporation did not have adequate controls in place to properly determine and document eligibility of program participants. Effect: Program compliance requirements over eligibility were not properly documented for the files reviewed.

The finding is a result of not correctly reviewing provided eligibility documents and ensuring the application corresponds to the documentation during the review process after the initial application was completed. To prevent this and other potential issues from happening in the future, the Corporation will conduct a review of all 2023-2024 student CACFP eligibility forms and applications to ensure the required eligibility documents match the selections made on the application. Staff will also verify that all applications are appropriately signed. This process will be included for future year eligibility calculations. Responsible Official: Paul Chapman, Chief Operating Officer Anticipated Implementation Date: July 2024

2022-003

Finding 2022-001-Eligibility Federal Program: Child and Adult Food Care Program (CACFP) Assistance Listing Number: 10.558 Pass Through Federal Award Number: 630741727 (Program Year 2021) United States Department of Agriculture Passed Through Texas Department of Agriculture Type of Finding: Significant Deficiency Views of responsible officials and corrective action: The finding is a result of not obtaining all the required eligibility documents from program participants during the initial application process. To prevent this and other potential issues from happening in the future, the Corporation will conduct a review of all 2022-2023 student CACFP eligibility forms and applications to ensure the required eligibility documents are obtained and properly completed. Staff will also verify that all applications are appropriately signed, properly completed, and determination as free, reduced, or not qualifying as free or reduced is mad accurately. This process will be included for future year eligibility calculations.

GSA_MIGRATION

Criteria: The CACFP reimburses for each meal served. The reimbursement rate varies based on the eligibility determination of the children in the program. To receive reimbursement payments for meals served, the Corporation is required to submit claims for reimbursement to the Texas Department of Agriculture that include the number of meals served by eligibility category (free, reduced or paid), as well as the total enrollment by category. Condition: Our testing of 40 students disclosed one instance (3 percent error rate) in which the classification of students was incorrectly classified as paid, when they should have been classified as free. Cause: The Corporation manually enters data and incorrectly entered the students? classification into the system. Effect: The manual error resulted in an underpayment of $685 from August 2019 through June 2020. Questioned costs: None. Prevalence: It is projected the Corporation was underpaid by $685 in revenue as a result of the incorrect classification data entry. The amount was computed by multiplying the number of days enrolled by the correct reimbursement rate for each category, resulting in an error of $685. The Corporation does not collect monies from program participants. Repeat finding: No. Recommendation: We recommend the Corporation perform more frequent internal reviews of the electronic file that is submitted to the grantor. Views of responsible officials: Management concurs with the finding. See corrective action plan.

Condition: Our testing of 40 students disclosed one instance (3 percent error rate) in which the classification of students was incorrectly classified as paid, when they should have been classified as free. Recommendation: We recommend the Corporation perform more frequent internal reviews of the electronic file that is submitted to the grantor. Corrective action plan: For the 2021-2022 school year, prior to the initial claim for the new program year, our registration team will manually conduct a programmatic review of all CACFP eligibility documentation once all children have been entered into our meal tracking software. This will be completed by August 31st to confirm there are no discrepancies. Performing this internal validation will allow us to confirm accuracy beginning the first month?s submission and future months to follow. For each following month, prior to submission of claims, the enrollment and eligibility data will be cross-checked using our internal registration systems (TxEIS and Minute Menu). In addition, on a monthly basis, our registration team and/or fiscal analyst will conduct a random sampling of new enrollments to continue data validation. Enrollment Process/Data Entry ? Step-by step-training with live (current student) records will be conducted before the start of the new program year by the Fiscal Analyst to ensure record entry is correct and any questions or technical issues are immediately addressed. This training will be held annually during registration time (Spring) to refresh current registration supervisors (Data Clerks) and train any new staff on data entry procedures. ? With the exception of the Fiscal Analyst (CACFP Administrator), only Data Clerks have access to add or change student files in Minute Menu. ? All CACFP IEF (Income Eligibility Form) records and data entry for registration are to be collected and maintained by data clerks to ensure complete and accurate records are kept throughout the year as students enroll or withdraw from Pre- K 4 SA Program. ? All information entered in Minute Menu is kept in electronic form, as well as paper form to ensure availability for review. ? Income documentation is recorded in our Aries Database (enrollment database), as well as student eligibility classification. All income documents are kept in student permanent record created upon registering at our program. Enrollment Verification ? All registrations and withdraws will be monitored on a monthly basis by the Fiscal Analyst by comparing Minute Menu Enrollment list to separately maintained TxEIS Enrollment/Attendance list provided by PreK 4 SA?s Registrar prior to submission of each Reimbursement Request. ? Minute Menu list will be reviewed for duplicate/missing student entries, complete eligibility classification for each student, accurate enrollment/withdraw dates and correctly documenting student transfers from one center to another. ? Reviewed Enrollment lists and reconciliation of meal counts will be submitted to Department Fiscal Administrator for review and approval prior to official submission of reimbursement request for each month. Person responsible: Fiscal Analyst, Registration Data Clerks and Department Fiscal Administrator Anticipated completion date: August 31, 2021

See finding 2020-002 above.

See finding 2020-002 above.

GSA_MIGRATION

GSA_MIGRATION

GSA_MIGRATION

GSA_MIGRATION