County commissioners hear state-contracted audit finding procurement lapses, order follow-up with superintendent

A state-contracted performance audit of Calvert County Public Schools found repeated procurement-control weaknesses and operational shortfalls in the school system’s child nutrition program, prompting the Calvert County Board of County Commissioners to order a follow-up meeting with the superintendent and the Board of Education.

John Norris, the county attorney, told the board the county asked the State Department of Education to contract for the review after prior concerns about procurement and internal controls. Haiyan Chi of Premier Group Services, the contractor that conducted the audit, summarized the work and the major findings. "For the prior year findings status, there were total 9 findings," Chi said during the presentation, and she described two repeat findings related to procurement. Chi also told commissioners that "CCPS didn't always obtain board approval for purchases exceeding 25,000 as required by its policy." The task order issued by the state set a not‑to‑exceed audit amount of $90,801.

Commissioners pressed auditors for more detail about the samples and potential savings. Auditors said they reviewed random samples of 40 procurements across fiscal years 2022 and 2023 and committed to providing further breakdowns and peer comparisons as requested. The auditors recommended structured training, internal checklists, and at least semiannual internal reviews to improve compliance.

The audit also found the Child Nutrition program was operating at a loss for two main reasons, auditors said: some paying customers were not charged enough, and transaction or bank fees had been absorbed by the district. "They didn't charge enough," an auditor said, adding that recent shifts to automated payment processing introduced fees that previously were not itemized and had been paid by CCPS rather than passed on or mitigated.

After the presentation and question-and-answer period, a commissioner moved that the board reconvene in the near future with the superintendent and the Board of Education to go through the auditors' recommendations and put together a timeline for implementing necessary changes. The motion passed on a voice vote. Auditors told the board they would provide follow-up details, including the number and value of procurements exceeding the $25,000 threshold and other requested backup information.

The board did not take any final policy actions at the meeting beyond voting to schedule the follow-up; commissioners said they wanted the superintendent to join the next session to review the auditors' supporting materials.