DPI procurement and administrative reviews prompt program changes; district pauses School Day Milk program

At the July 20 meeting, administration presented results of two Department of Public Instruction (DPI) reviews of the district's food service program: a procurement review and an administrative review. The district had changed to a cost‑reimbursable contract with its food-service management company (Avianz/Elior) in June 2024, which shifted more oversight and documentation responsibilities to the district.

Administration said the procurement review found no improperly spent funds to recover but did identify documentation gaps for some vendor invoices. The administrative review produced 27 findings — a typical number for this type of audit, officials said — and resulted in a one-time adjustment moving approximately $71,000 from the general fund to the food-service fund for prior-year disallowed indirect costs. Administrators said they have addressed known corrective-action items and are continuing to supply evidence and reconcile invoices with Avianz.

The district detailed operational changes implemented this year: building a monthly revenue-and-expense tracking tool, instituting regular invoice reconciliation and short-paying disputed invoice line items until documentation is provided, creating inventory procedures and on-dock counts, improving point-of-sale scanning routines, posting required communications and policies on the website, strengthening training and monitoring, and developing a procurement manual. Administration said it has hired or reassigned staff (including an administrative assistant for food service) to support this oversight.

Because DPI required more detailed meal counting procedures for the Wisconsin School Day Milk program — and the allowable substitute rules made implementation burdensome — the district decided to pause that program for one year. The district will still allow families to send drinks and will provide water options at lunch. Administration said it expects to return to the board with updated monthly food-service P&Ls and a recommendation in December on whether to continue the current contract or seek alternatives; trustees asked for ongoing updates.

Board members raised concerns about month-to-month losses in the food-service fund, the need to analyze Avianz billing detail, and plans to improve gross profit margins and reduce waste. Administration agreed and said more work is underway to reconcile invoices, improve reporting and bring forward clear recommendations by winter.