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124037 1 (1983-09-07)

handle is hein.gao/gaobacxwc0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE (Oki) WASHINGTON, D.C. 20548 A.1 ECONUoC DE VELOPMENT 01VIIONSEP 7 13 Mr. Robert E. Leard, Administrator Food and Nutrition Service Department of Agriculture 124037 Dear Mr. Leard: Subject: Observations on the National School Lunch Program's Assessment, Improvement, and Monitoring System We recently completed a survey to obtain information on the operation of the Food and Nutrition Service's Assessment, Im- provement, and Monitoring System (AIMS). AIMS was implemented in January 1981 under interim regulations (final regulations were issued on June 17, 1983) which established four standards to improve the overall management of the National School Lunch Program and assure correct claims for Federal program reimburse- ment. States are responsible for determining whether the pro- gram operates in compliance with these standards by conducting periodic audits or reviews of a sample of schools under the jur- isdiction of local school food authorities (SFAs). In fiscal year 1983, Department of Agriculture (USDA) ex- penditures for the National School Lunch Program totaled an estimated $3.4 billion. Monitoring of this large program is difficult because it operates every school day--about 180 days each year--in about 90,000 schools across the Nation. Concern over the integrity of the program was heightened when the USDA Office of the Inspector General's (OIG's) report on the results of its May 1980 audit of National School Lunch Program integrity disclosed serious problems involving the eli- gibility of students receiving free or reduced-price meals, the application process, and the counting of meals eligible for Federal reimbursement. The Congress has allocated funds speci- fically for improving program integrity and has included in the Omnibus Budget Reconciliation Act of 1981 (42 U.S.C. 1758) several provisions addressing the issue of abuse of free and reduced-price school lunch benefits. We did our survey work at Service headquarters in Alexan- dria, Virginia; its regional office in Chicago, Illinois; State offices in Maryland, Michigan, Ohio and Wisconsin; and selected SFAs and schools in those States. We interviewed Service head- quarters and regional office officials responsible for monitor- ing State implementation of AIMS, State officials responsible (023229)

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