Audit 264352

FY End

2022-09-30

Total Expended

$48.40M

Findings

Programs

Organization: Greater Cleveland Food Bank (OH)

Year: 2022 Accepted: 2023-06-27

Auditor: Barnes Wendling CPAS INC

Organization Exclusion Status:

Checking exclusion status...

Findings

ID	Ref	Severity	Repeat	Requirement
279096	2022-001	Material Weakness	-	A
279097	2022-001	Material Weakness	-	A
279098	2022-001	Material Weakness	-	A
279099	2022-001	Material Weakness	-	A
279100	2022-001	Material Weakness	-	A
279101	2022-001	Material Weakness	-	A
279102	2022-002	-	-	L
279103	2022-001	Material Weakness	-	A
855538	2022-001	Material Weakness	-	A
855539	2022-001	Material Weakness	-	A
855540	2022-001	Material Weakness	-	A
855541	2022-001	Material Weakness	-	A
855542	2022-001	Material Weakness	-	A
855543	2022-001	Material Weakness	-	A
855544	2022-002	-	-	L
855545	2022-001	Material Weakness	-	A

Programs

ALN	Program	Spent	Major	Findings
10.569	Emergency Food Assistance Program (food Commodities)	$16.06M	Yes	1
93.558	Temporary Assistance for Needy Families	$13.88M	Yes	2
21.027	Coronavirus State and Local Fiscal Recovery Funds	$5.00M	Yes	0
10.565	Commodity Supplemental Food Program	$1.75M	Yes	1
21.019	Coronavirus Relief Fund	$1.73M	Yes	1
10.558	Child and Adult Care Food Program	$961,720	-	0
10.561	State Administrative Matching Grants for the Supplemental Nutrition Assistance Program	$743,400	-	0
10.559	Summer Food Service Program for Children	$430,715	-	0
93.667	Social Services Block Grant	$294,846	-	0
10.568	Emergency Food Assistance Program (administrative Costs)	$152,136	Yes	1

Contacts

Name	Title	Type
EZB7J2H9LJ99	John Keverkamp	Auditee
2167382052	Robert Zunich	Auditor
No contacts on file

Notes to SEFA

Title: Food Distribution Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. The Organization is using the 10% deminimisindirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. Non-monetary assistance (food items) is reported in the schedule at the per pound average wholesale value at the time federally contributed food items are disbursed. The annual per pound value used in the accompanying Schedule was determined by an independent agreed-upon procedures engagements performed as of December 31, 2021 by a firm engaged by Feeding America and independent from the Organization (Feeding America Product Valuation Survey). Their report, dated June 23, 2022, outlined the procedures used in determining the per pound values. In accordance with the Feeding America Product Valuation Survey, the average wholesale value of food only was $1.53 per pound as of September 30, 2022.

Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. The Organization is using the 10% deminimisindirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Greater Cleveland Food Bank and Subsidiary (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 U.S. Code of Federal Regulations (CFR), Uniform Administrative Requirements, Cost Principles, and Audit Requirements of Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Organization, it is not intended toand does not present the financial position, changes in net assets or cash flows of the Organization.

Finding Details

Finding 2022-001

Reference Number: 2022-001 Internal Control over Compliance with Activities Allowed or Unallowable Federal Agency(ies): CFDA Number(s): Cluster (if applicable) and Program Name(s): Food Distribution Cluster: United States Department of Agriculture 10.569 Emergency Food Assistance Program (Food Commodities) United States Department of Agriculture 10.565 Commodity Supplemental Food Program 477 Cluster: United States Department of Health and Human Services 93.558 Temporary Assistance for Needy Families (TANF) Department of Treasury 21.019 COVID-19 - Coronavirus Relief Fund "Criteria or Specific Requirement:" The Code of Federal Regulations related to the Emergency Food Assistance Program 7 CFR part 251.10: Eligible recipient agencies must sign a receipt for program commodities which they receive under this part for distribution to households or for use in preparing meals, and records of all such receipts must be maintained. In addition, the Ohio Department of Job and Family Services Food Program Manual states: A Local Distributor must sign a receipt for program commodities, which they receive for distribution to households or for use in preparing meals. Context and Condition: We tested 40 sub-recipient agency invoices and noted all invoices tested were lacking a signed receipt for program commodities received. We also noted Greater Cleveland Food Bank's processes and procedures do not require recipient agencies to sign a receipt for program commodities. Questioned Costs: None noted Cause and Effect: Due to the impact of the COVID-19 pandemic, safety protocol was in place relating to in person contact relating to recipient agency signatures for receipt of program commodities. When the safety protocol was lifted, Greater Cleveland Food Bank did not resume the process of requiring recipient agencies sign a receipt for program commodities. Recommendation: We recommended the Greater Cleveland Food Bank review with all supervisors and employees handling food distributions to sub-recipient agencies the importance of compliance guidelines surrounding signature requirements acknowledging the sub-recipient agencies' receipt of program commodities.

Finding 2022-001

Finding 2022-002

Reference Number: 2022-002 Internal Control over Compliance with Reporting Federal Agency(ies): CFDA Number(s): Cluster (if applicable) and Program Name(s): 477 Cluster: United States Department of Health and Human Services 93.558 Temporary Assistance for Needy Families (TANF) "Criteria or Specific Requirement:" The subrecipient grant agreement between the Greater Cleveland Food Bank and the Ohio Association of Foodbanks states : the quarterly statistical summary report form of agencies, product pounds by source of food distributed, households served by type, individual served and service statistics by county must be submitted to the Ohio Association of Foodbanks within 45 days after the end of each quarter. Context and Condition: We tested all 4 quarterly statistical summary report forms submitted to the Ohio Association of Foodbanks for the year ended September 30, 2022 and 2 of the quarterly statistical summary report forms were submitted subsequent to 45 day deadline. Questioned Costs: None noted Cause and Effect: Policies and procedures were not appropriately adhered to in certain instances to ensure quarterly reporting was submitted in accordance with grant requirements. Recommendation: We recommended the Greater Cleveland Food Bank review with all supervisors and employees responsible for timely reporting to the Ohio Association of Foodbanks the importance of reporting compliance guidelines.

Finding 2022-001

Finding 2022-002

Finding 2022-001