FAC Explorer

Audit 386915

FY End
2025-10-01
Total Expended
$2.74M
Findings
4
Programs
6
Organization: North Country Food Bank, Inc. (MN)
Year: 2025 Accepted: 2026-02-12
Auditor: BRADY MARTZ

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1173329 2025-002 Material Weakness Yes AB
1173330 2025-002 Material Weakness Yes AB
1173331 2025-002 Material Weakness Yes AB
1173332 2025-002 Material Weakness Yes AB

Programs

ALN Program Spent Major Findings
10.569 EMERGENCY FOOD ASSISTANCE PROGRAM (FOOD COMMODITIES) $1.72M Yes 1
10.568 EMERGENCY FOOD ASSISTANCE PROGRAM (ADMINISTRATIVE COSTS) $181,000 Yes 1
10.565 COMMODITY SUPPLEMENTAL FOOD PROGRAM $122,302 Yes 1
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $98,209 Yes 0
10.164 WHOLESALE FARMERS AND ALTERNATIVE MARKET DEVELOPMENT $56,968 Yes 0
10.576 SENIOR FARMERS MARKET NUTRITION PROGRAM $1,064 Yes 0

Contacts

Name Title Type
CHHTHS93MFR3 Susie Novak Boelter Auditee
2183997357 Ashley Engel Auditor
No contacts on file

Notes to SEFA

The Schedule includes the federal grant activity of North Country Food Bank, Inc. under programs of the federal government for the year ended September 30, 2025. The information in the 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). Because the Schedule presents only a selected portion of the operations of North Country Food Bank, Inc., it is not intended to and does not present the financial position, changes in net assets or cash flows of North Country Food Bank, Inc. The amounts reported on the Schedule have been reconciled to and are in agreement with amounts recorded in the accounting records from which the financial statements have been reported.
The Organization passes certain federal awards received from the State of Minnesota to other not-for-profit agencies (subrecipients). The Organization reports expenditures of federal awards to subrecipients when incurred using the principles under the accrual basis of accounting. As a subrecipient, the Organization has certain compliance responsibilities, such as monitoring its subrecipients to help assure they use the subawards as authorized by laws, regulations, and the provisions of contracts or grant agreements, and that subrecipients achieve the award’s performance goals.

Finding Details

Finding 2025-002
2025-002 (Significant Deficiency) – Activities Allowed or Unallowed and Allowable Costs/Cost Principles Federal Program: AL 10.565, 10.568, and 10.569 Food Distribution Cluster Criteria: Per Uniform Guidance 2 CFR section 200.442, costs for fundraising that are not specifically related to the federal award are unallowable. Condition: Costs of t-shirts used for fundraising was included in the population of expenses allocated to the grant. Cause: Management oversight Effect: The Organization charged unallowable expenses to the grant. Context: As part of the single audit testing, 40 transactions were selected for testing. One invoice tested was for t-shirt costs for the Organization’s 40th Anniversary. Half the t-shirts were used for fundraising purposes. This is considered unallowable costs as it is costs for fundraising that is not specifically related to the federal award. Questioned Costs: $841 – half of invoice amount for 40th celebration t-shirts. Repeat Finding: Yes. Prior audit finding 2024-002. Recommendation: The Organization should review their policies and procedures for allocating expenses to grants and only charge allowable expenses. View of Responsible Officials: Management agrees with the recommendation and will review their procedures for allocating expenses