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Revised: Audit Requirements - CACFP


Nutrition Services Division Management Bulletin

Purpose: Policy, Action Required, Beneficial Information

To: Child and Adult Care Food Program Operators

Attention: Program Operators

Number: CACFP-05-2019

Date: May 2019

Reference: Title 2, Code of Federal Regulations, Part 200, Subpart F; Management Bulletin CNP-04-2017

Subject: Revised: Audit Requirements—Child and Adult Care Food Program

Supersedes: Management Bulletin NSD-CACFP-03-2007: Audit Requirements—Child and Adult Care Food Program


This management bulletin (MB) clarifies the annual audit requirement for all agencies (including for-profit entities) that participate in the Child and Adult Care Food Program (CACFP). This MB supersedes MB NSD-CACFP-03-2007.

In order to comply with Title 2, Code of Federal Regulations, Part 200, Subpart F. Audit Requirements, all agencies participating in the CACFP are required to adhere to the following audit policy:

  1. Each agency participating in the CACFP must annually complete and submit to the California Department of Education (CDE), Audits and Investigations (A&I) Division, an Annual Audit Status Certification (AASC) form in which they advise the CDE whether they expended $750,000 or more in federal assistance and if an organizational-wide audit must be submitted to the CDE. Please refer to MB CNP-04-2017 on the CDE CACFP Management Bulletins web page at https://www.cde.ca.gov/ls/nu/cc/mb.asp.

  2. Agencies that expend $750,000 or more in federal financial assistance during their fiscal year must submit an organizational-wide audit to A&I within nine months, or less, of the close of that fiscal year.

  3. Multistate agencies (agencies that operate the CACFP in one or more states besides California) must submit an organizational-wide audit to the state agency administering the CACFP in the state in which the for-profit agency’s headquarters office is located. Such agencies are to indicate to the CDE on their AASC form which state will be receiving their annual organizational-wide audit.

This audit policy does not negate the authority of the CDE or the U.S. Department of Agriculture to perform, or cause to be performed, audits, reviews, or other monitoring activities on any agency that participates in the CACFP.

The prorated share of audit costs are allowable administrative costs in the CACFP; however, participating center sponsors continue to be limited to using no more than 15 percent of the CACFP meal reimbursement for administration of the program.

Questions

If you have any questions regarding this subject, please contact Laura Langston, Audit Manager, A&I, by phone at 916-323-5752 or by email at llangston@cde.ca.gov. You can also contact Joseph Cormack, CACFP Unit Manager, by phone at 916-324-7133 or by email at jcormack@cde.ca.gov; or Cathy Hardin, Program Integrity Unit Manager, by phone at 916-445-7368 or by email at chardin@cde.ca.gov.

Questions:   Nutrition Services Division | 800-952-5609
Last Reviewed: Friday, May 17, 2019
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