FAC Explorer

Audit 323155

FY End
2023-12-31
Total Expended
$1.44M
Findings
6
Programs
4
Organization: The New Mexico Farmers Marketing Association (NM)
Year: 2023 Accepted: 2024-09-30
Auditor: Hinkle+landers PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
500387 2023-002 Significant Deficiency - L
500388 2023-002 Significant Deficiency - L
500389 2023-002 Significant Deficiency - L
1076829 2023-002 Significant Deficiency - L
1076830 2023-002 Significant Deficiency - L
1076831 2023-002 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
10.331 Gus Schumacher Nutrition Incentive Program $416,802 Yes 1
10.182 Pandemic Relief Activities: Local Food Purchase Agreements with States, Tribes, and Local Governments $263,855 - 0
10.177 Regional Food System Partnerships $248,706 - 0
10.170 Specialty Crop Block Grant Program - Farm Bill $86,275 - 0

Contacts

Name Title Type
SPMAAAJPWV84 Denise Miller Auditee
5056704012 Farley Vener Auditor
No contacts on file

Notes to SEFA

Title: Basis of presentation Accounting Policies: Basis of presentation' The accompanying schedule of expenditures of federal awards includes the federal grant activity of NMFMA 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). De Minimis Rate Used: Y Rate Explanation: The organization used the 10 percent de minimis indirect cost rate. The accompanying schedule of expenditures of federal awards includes the federal grant activity of NMFMA 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).
Title: Non-cash assistance - none Accounting Policies: Basis of presentation' The accompanying schedule of expenditures of federal awards includes the federal grant activity of NMFMA 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). De Minimis Rate Used: Y Rate Explanation: The organization used the 10 percent de minimis indirect cost rate. Non-cash assistance - none
Title: Federal loans or loan guarantees - none Accounting Policies: Basis of presentation' The accompanying schedule of expenditures of federal awards includes the federal grant activity of NMFMA 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). De Minimis Rate Used: Y Rate Explanation: The organization used the 10 percent de minimis indirect cost rate. Federal loans or loan guarantees - none
Title: Subrecipients Accounting Policies: Basis of presentation' The accompanying schedule of expenditures of federal awards includes the federal grant activity of NMFMA 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). De Minimis Rate Used: Y Rate Explanation: The organization used the 10 percent de minimis indirect cost rate. The New Mexico Farmers' Market Association did not pass through federal funds to subrecipients for the year ended December 31, 2023.
Title: Assistance Listing Numbers/ Pass-Through Grantor Numbers Accounting Policies: Basis of presentation' The accompanying schedule of expenditures of federal awards includes the federal grant activity of NMFMA 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). De Minimis Rate Used: Y Rate Explanation: The organization used the 10 percent de minimis indirect cost rate. Federal granting agencies or their pass-through agencies are responsible for providing New Mexico Farmers' Market Association with the Assistance Listing Numbers for each grant or contract. In cases where a federal granting agency did not provide the Assistance Listing Numbers, other identifying numbers are presented on the schedule of expenditures of federal awards, if available.
Title: De-minimis indirect cost rate Accounting Policies: Basis of presentation' The accompanying schedule of expenditures of federal awards includes the federal grant activity of NMFMA 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). De Minimis Rate Used: Y Rate Explanation: The organization used the 10 percent de minimis indirect cost rate. The organization used the 10 percent de minimis indirect cost rate.

Finding Details

Finding 2023-002
2023-002—SF 425 Reporting Timeline Type of Finding: Significant Deficiency in Internal Control Over Compliance of Federal Awards (F) Instances of Noncompliance related to Federal Awards (G) Federal Agency: United States Department of Agriculture Federal Program Name: Food Insecurity Nutrition Incentive Grants Program Assistance Listing Number: 10.331 Federal Award Identification Number and Year: 2022-70423-38069, 2020-70030-33124, 2021-70030-35719 Award Period: Project period: multiple; Budget period: multiple Questioned Costs: None Criteria In accordance with 24 CFR Part 85.41, the Federal Financial Report (SF-425) is required to be submitted for the Food Insecurity Nutrition Incentive Grants program. Recipients use the SF-425 as a standardized format to report expenditures under Federal awards, as well as, when applicable, cash status. The due dates are 30 days after the end of the reporting period for quarterly reports, and 90 days after the end of the reporting period for the annual reports. Condition The NMFMA did not have adequate controls over the SF-425 reporting timeline. For three out of the three SF-425 Federal Financial Reports tested, the annual reports were submitted after the due date (90 days for annual reports). Cause Deadlines were missed because of the ripple effect of having so many staff changes in the administrative bookkeeping department during 2023. This meant that the processes on invoicing and general bookkeeping that the ED participates in were thrown off schedule, and the ED fell behind on grant reporting. While reporting fell behind, all records were kept in compliance with the grants. Effect Weaknesses in internal controls and the identified noncompliance with reporting requirements could result in sanctions by the United States Department of Agriculture. Questioned costs are not applicable to this finding. Recommendation The NMFMA staff should improve internal controls by implementing reminders with the due dates of the reports. View of Responsible Official The Executive Director will take action to make sure USDA reports are filed on time. The ED will work with the Finance Director to ensure deadlines are met. Timeline This will be implemented as of 9/27/2024 Staff Responsible Executive Director
Finding 2023-002
2023-002—SF 425 Reporting Timeline Type of Finding: Significant Deficiency in Internal Control Over Compliance of Federal Awards (F) Instances of Noncompliance related to Federal Awards (G) Federal Agency: United States Department of Agriculture Federal Program Name: Food Insecurity Nutrition Incentive Grants Program Assistance Listing Number: 10.331 Federal Award Identification Number and Year: 2022-70423-38069, 2020-70030-33124, 2021-70030-35719 Award Period: Project period: multiple; Budget period: multiple Questioned Costs: None Criteria In accordance with 24 CFR Part 85.41, the Federal Financial Report (SF-425) is required to be submitted for the Food Insecurity Nutrition Incentive Grants program. Recipients use the SF-425 as a standardized format to report expenditures under Federal awards, as well as, when applicable, cash status. The due dates are 30 days after the end of the reporting period for quarterly reports, and 90 days after the end of the reporting period for the annual reports. Condition The NMFMA did not have adequate controls over the SF-425 reporting timeline. For three out of the three SF-425 Federal Financial Reports tested, the annual reports were submitted after the due date (90 days for annual reports). Cause Deadlines were missed because of the ripple effect of having so many staff changes in the administrative bookkeeping department during 2023. This meant that the processes on invoicing and general bookkeeping that the ED participates in were thrown off schedule, and the ED fell behind on grant reporting. While reporting fell behind, all records were kept in compliance with the grants. Effect Weaknesses in internal controls and the identified noncompliance with reporting requirements could result in sanctions by the United States Department of Agriculture. Questioned costs are not applicable to this finding. Recommendation The NMFMA staff should improve internal controls by implementing reminders with the due dates of the reports. View of Responsible Official The Executive Director will take action to make sure USDA reports are filed on time. The ED will work with the Finance Director to ensure deadlines are met. Timeline This will be implemented as of 9/27/2024 Staff Responsible Executive Director
Finding 2023-002
2023-002—SF 425 Reporting Timeline Type of Finding: Significant Deficiency in Internal Control Over Compliance of Federal Awards (F) Instances of Noncompliance related to Federal Awards (G) Federal Agency: United States Department of Agriculture Federal Program Name: Food Insecurity Nutrition Incentive Grants Program Assistance Listing Number: 10.331 Federal Award Identification Number and Year: 2022-70423-38069, 2020-70030-33124, 2021-70030-35719 Award Period: Project period: multiple; Budget period: multiple Questioned Costs: None Criteria In accordance with 24 CFR Part 85.41, the Federal Financial Report (SF-425) is required to be submitted for the Food Insecurity Nutrition Incentive Grants program. Recipients use the SF-425 as a standardized format to report expenditures under Federal awards, as well as, when applicable, cash status. The due dates are 30 days after the end of the reporting period for quarterly reports, and 90 days after the end of the reporting period for the annual reports. Condition The NMFMA did not have adequate controls over the SF-425 reporting timeline. For three out of the three SF-425 Federal Financial Reports tested, the annual reports were submitted after the due date (90 days for annual reports). Cause Deadlines were missed because of the ripple effect of having so many staff changes in the administrative bookkeeping department during 2023. This meant that the processes on invoicing and general bookkeeping that the ED participates in were thrown off schedule, and the ED fell behind on grant reporting. While reporting fell behind, all records were kept in compliance with the grants. Effect Weaknesses in internal controls and the identified noncompliance with reporting requirements could result in sanctions by the United States Department of Agriculture. Questioned costs are not applicable to this finding. Recommendation The NMFMA staff should improve internal controls by implementing reminders with the due dates of the reports. View of Responsible Official The Executive Director will take action to make sure USDA reports are filed on time. The ED will work with the Finance Director to ensure deadlines are met. Timeline This will be implemented as of 9/27/2024 Staff Responsible Executive Director
Finding 2023-002
2023-002—SF 425 Reporting Timeline Type of Finding: Significant Deficiency in Internal Control Over Compliance of Federal Awards (F) Instances of Noncompliance related to Federal Awards (G) Federal Agency: United States Department of Agriculture Federal Program Name: Food Insecurity Nutrition Incentive Grants Program Assistance Listing Number: 10.331 Federal Award Identification Number and Year: 2022-70423-38069, 2020-70030-33124, 2021-70030-35719 Award Period: Project period: multiple; Budget period: multiple Questioned Costs: None Criteria In accordance with 24 CFR Part 85.41, the Federal Financial Report (SF-425) is required to be submitted for the Food Insecurity Nutrition Incentive Grants program. Recipients use the SF-425 as a standardized format to report expenditures under Federal awards, as well as, when applicable, cash status. The due dates are 30 days after the end of the reporting period for quarterly reports, and 90 days after the end of the reporting period for the annual reports. Condition The NMFMA did not have adequate controls over the SF-425 reporting timeline. For three out of the three SF-425 Federal Financial Reports tested, the annual reports were submitted after the due date (90 days for annual reports). Cause Deadlines were missed because of the ripple effect of having so many staff changes in the administrative bookkeeping department during 2023. This meant that the processes on invoicing and general bookkeeping that the ED participates in were thrown off schedule, and the ED fell behind on grant reporting. While reporting fell behind, all records were kept in compliance with the grants. Effect Weaknesses in internal controls and the identified noncompliance with reporting requirements could result in sanctions by the United States Department of Agriculture. Questioned costs are not applicable to this finding. Recommendation The NMFMA staff should improve internal controls by implementing reminders with the due dates of the reports. View of Responsible Official The Executive Director will take action to make sure USDA reports are filed on time. The ED will work with the Finance Director to ensure deadlines are met. Timeline This will be implemented as of 9/27/2024 Staff Responsible Executive Director
Finding 2023-002
2023-002—SF 425 Reporting Timeline Type of Finding: Significant Deficiency in Internal Control Over Compliance of Federal Awards (F) Instances of Noncompliance related to Federal Awards (G) Federal Agency: United States Department of Agriculture Federal Program Name: Food Insecurity Nutrition Incentive Grants Program Assistance Listing Number: 10.331 Federal Award Identification Number and Year: 2022-70423-38069, 2020-70030-33124, 2021-70030-35719 Award Period: Project period: multiple; Budget period: multiple Questioned Costs: None Criteria In accordance with 24 CFR Part 85.41, the Federal Financial Report (SF-425) is required to be submitted for the Food Insecurity Nutrition Incentive Grants program. Recipients use the SF-425 as a standardized format to report expenditures under Federal awards, as well as, when applicable, cash status. The due dates are 30 days after the end of the reporting period for quarterly reports, and 90 days after the end of the reporting period for the annual reports. Condition The NMFMA did not have adequate controls over the SF-425 reporting timeline. For three out of the three SF-425 Federal Financial Reports tested, the annual reports were submitted after the due date (90 days for annual reports). Cause Deadlines were missed because of the ripple effect of having so many staff changes in the administrative bookkeeping department during 2023. This meant that the processes on invoicing and general bookkeeping that the ED participates in were thrown off schedule, and the ED fell behind on grant reporting. While reporting fell behind, all records were kept in compliance with the grants. Effect Weaknesses in internal controls and the identified noncompliance with reporting requirements could result in sanctions by the United States Department of Agriculture. Questioned costs are not applicable to this finding. Recommendation The NMFMA staff should improve internal controls by implementing reminders with the due dates of the reports. View of Responsible Official The Executive Director will take action to make sure USDA reports are filed on time. The ED will work with the Finance Director to ensure deadlines are met. Timeline This will be implemented as of 9/27/2024 Staff Responsible Executive Director
Finding 2023-002
2023-002—SF 425 Reporting Timeline Type of Finding: Significant Deficiency in Internal Control Over Compliance of Federal Awards (F) Instances of Noncompliance related to Federal Awards (G) Federal Agency: United States Department of Agriculture Federal Program Name: Food Insecurity Nutrition Incentive Grants Program Assistance Listing Number: 10.331 Federal Award Identification Number and Year: 2022-70423-38069, 2020-70030-33124, 2021-70030-35719 Award Period: Project period: multiple; Budget period: multiple Questioned Costs: None Criteria In accordance with 24 CFR Part 85.41, the Federal Financial Report (SF-425) is required to be submitted for the Food Insecurity Nutrition Incentive Grants program. Recipients use the SF-425 as a standardized format to report expenditures under Federal awards, as well as, when applicable, cash status. The due dates are 30 days after the end of the reporting period for quarterly reports, and 90 days after the end of the reporting period for the annual reports. Condition The NMFMA did not have adequate controls over the SF-425 reporting timeline. For three out of the three SF-425 Federal Financial Reports tested, the annual reports were submitted after the due date (90 days for annual reports). Cause Deadlines were missed because of the ripple effect of having so many staff changes in the administrative bookkeeping department during 2023. This meant that the processes on invoicing and general bookkeeping that the ED participates in were thrown off schedule, and the ED fell behind on grant reporting. While reporting fell behind, all records were kept in compliance with the grants. Effect Weaknesses in internal controls and the identified noncompliance with reporting requirements could result in sanctions by the United States Department of Agriculture. Questioned costs are not applicable to this finding. Recommendation The NMFMA staff should improve internal controls by implementing reminders with the due dates of the reports. View of Responsible Official The Executive Director will take action to make sure USDA reports are filed on time. The ED will work with the Finance Director to ensure deadlines are met. Timeline This will be implemented as of 9/27/2024 Staff Responsible Executive Director