FAC Explorer

Audit 26275

FY End
2022-06-30
Total Expended
$9.68M
Findings
4
Programs
7
Organization: Community Food Bank of Eastern Oklahoma, INC (OK)
Year: 2022 Accepted: 2023-05-25
Auditor: Hogantaylor LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
26351 2022-003 Significant Deficiency - E
26352 2022-004 - - L
602793 2022-003 Significant Deficiency - E
602794 2022-004 - - L

Programs

ALN Program Spent Major Findings
10.569 Emergency Food Assistance Program (food Commodities) $7.81M Yes 1
10.559 Summer Food Service Program for Children $439,422 - 0
10.558 Child and Adult Care Food Program $321,312 - 0
10.568 Emergency Food Assistance Program (administrative Costs) $277,849 Yes 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $216,367 - 0
93.558 Temporary Assistance for Needy Families $172,500 - 0
10.565 Commodity Supplemental Food Program $90,943 Yes 0

Contacts

Name Title Type
SFDLFW6J2NL1 Ann Nelson Auditee
9189364519 Andy Gorham Auditor
No contacts on file

Notes to SEFA

Title: Note 3 Nonmonetary Assistance Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Community Food Bank of Eastern Oklahoma, Inc. (the Organization) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in or used in the preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: The Organization has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. Nonmonetary assistance is reported in the Schedule based on the amount expended and is valued at amounts established by the United States Department of Agriculture (USDA). At June 30, 2022, the Organization had USDA commodities inventory of $586,830 based on USDA assessed values as follows: See Notes to Schedule of Expenditures of Federal Awards for table.

Finding Details

Finding 2022-003
Item 2022-003 - Software Access Restrictions Significant Deficiency Federal Program - Food Distribution Cluster CFDA Number - 10.569, 10.568, 10.565 Federal Award Numbers - 72208 Federal Award Year - June 30, 2022 Federal Agency - U.S. Department of Agriculture Pass-Through Entity - Oklahoma Department of Human Services Criteria: Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards section 200.303 requires that organizations receiving federal awards must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations and the terms and conditions of the Federal award. Condition/context: The Organization monitors subrecipient eligibility status for USDA commodity distributions through software. The monitoring software allows for restrictions to enable only certain users the ability to edit subrecipient's eligibility status. In one of five selections an employee was improperly granted authority to edit subrecipient eligibility status. Cause: Ineffective access management controls and turnover of personnel. Effect: An unauthorized employee could manipulate the software to allow ineligible agencies to receive USDA commodities. Questioned cost: Not applicable. Repeat finding: This is not a repeat finding. Recommendation: New employees should be evaluated for proper software access and authority. The ability to edit subrecipient eligibility status should be limited to key partner agency personnel, and the Organization should routinely review the list of authorized users for accuracy. View of responsible officials: Management's response is reported in "Corrective Action Plan" at the end of this report.
Finding 2022-004
Item 2022-004 ? Delinquent Claim Filings Federal Program ? Food Distribution Cluster CFDA Number ? 10.569, 10.568, 10.565 Federal Award Numbers ? 72208 Federal Award Year ? June 30, 2022 Federal Agency ? U.S. Department of Agriculture Pass-Through Entity ? Oklahoma Department of Human Services Criteria: The grant award requires claims for reimbursement to be submitted within 30 days following the close of the month covered by the claim. Condition/context: Four of the four claims reports tested were filed after the 30-day due date. Cause: Turnover in personnel and not timely reconciling inventory records. Effect: Delinquent claims submissions could result in the loss of grant funds. Questioned cost: Not applicable. Repeat finding: This is not a repeat finding. Recommendation: Filing claims reports should be incorporated as part of the month-end close process. View of responsible officials: Management's response is reported in "Corrective Action Plan" at the end of this report.
Finding 2022-003
Item 2022-003 - Software Access Restrictions Significant Deficiency Federal Program - Food Distribution Cluster CFDA Number - 10.569, 10.568, 10.565 Federal Award Numbers - 72208 Federal Award Year - June 30, 2022 Federal Agency - U.S. Department of Agriculture Pass-Through Entity - Oklahoma Department of Human Services Criteria: Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards section 200.303 requires that organizations receiving federal awards must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations and the terms and conditions of the Federal award. Condition/context: The Organization monitors subrecipient eligibility status for USDA commodity distributions through software. The monitoring software allows for restrictions to enable only certain users the ability to edit subrecipient's eligibility status. In one of five selections an employee was improperly granted authority to edit subrecipient eligibility status. Cause: Ineffective access management controls and turnover of personnel. Effect: An unauthorized employee could manipulate the software to allow ineligible agencies to receive USDA commodities. Questioned cost: Not applicable. Repeat finding: This is not a repeat finding. Recommendation: New employees should be evaluated for proper software access and authority. The ability to edit subrecipient eligibility status should be limited to key partner agency personnel, and the Organization should routinely review the list of authorized users for accuracy. View of responsible officials: Management's response is reported in "Corrective Action Plan" at the end of this report.
Finding 2022-004
Item 2022-004 ? Delinquent Claim Filings Federal Program ? Food Distribution Cluster CFDA Number ? 10.569, 10.568, 10.565 Federal Award Numbers ? 72208 Federal Award Year ? June 30, 2022 Federal Agency ? U.S. Department of Agriculture Pass-Through Entity ? Oklahoma Department of Human Services Criteria: The grant award requires claims for reimbursement to be submitted within 30 days following the close of the month covered by the claim. Condition/context: Four of the four claims reports tested were filed after the 30-day due date. Cause: Turnover in personnel and not timely reconciling inventory records. Effect: Delinquent claims submissions could result in the loss of grant funds. Questioned cost: Not applicable. Repeat finding: This is not a repeat finding. Recommendation: Filing claims reports should be incorporated as part of the month-end close process. View of responsible officials: Management's response is reported in "Corrective Action Plan" at the end of this report.