FAC Explorer

Audit 55294

FY End
2022-06-30
Total Expended
$25.76M
Findings
4
Programs
4
Organization: Mississippi Food Network, Inc. (MS)
Year: 2022 Accepted: 2023-02-09
Auditor: Matthews Curtrer & Lindsay P A

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
58473 2022-001 Significant Deficiency - E
58474 2022-001 Significant Deficiency - E
634915 2022-001 Significant Deficiency - E
634916 2022-001 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
10.569 Emergency Food Assistance Program (food Commodities) $2.23M Yes 0
10.565 Commodity Supplemental Food Program $285,515 Yes 0
10.568 Emergency Food Assistance Program (administrative Costs) $198,323 Yes 0
10.558 Child and Adult Care Food Program $27,505 - 0

Contacts

Name Title Type
TMX7AA7YJE23 Charles Beady Auditee
6013533210 Charles Lindsya Auditor
No contacts on file

Notes to SEFA

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 and/or OMB Circular A-122, Cost Principles for Non-profit Organizations,wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includesthe federal award activity of the Network under programs of the federal government for the year ended June 30, 2022. The schedule 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). Because the Schedule presents only a selected portion of the operations of the Network, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Network.
Title: Awards to Subrecipients 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 and/or OMB Circular A-122, Cost Principles for Non-profit Organizations,wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Of the federal expenditures presented in the Schedule, The Network did not provide anycash federal awards to subrecipients.

Finding Details

Finding 2022-001
2022-001 {ALN 10.568 Emergency Food Assistance Program (Administrative Cost) ALN 10.569 Emergency Food Assistance Program (Food Commodities) ALN 10.565 Commodity Supplemental Program} Condition: Instances of agency files were deemed incomplete due to missing one or more of the required application documents. Documentation of required items in the agency files could not be located. Items missing consisted of the following: Initial inspection and Hold & Recall reports. Criteria: Eligibility for the program requires the Network to maintain agency files based on State requirements. The state provides a list of documents that should be received before an Agency is deemed eligible to disburse federal commodities. Cause: The Network has procedures in place to ensure that the files are complete. The Network developed a checklist to ensure that all documents are received during the application process before agency approval. However, there has been high turnover this past year that may have caused this documentation to be missing. Effect: Agency files cannot be considered complete if certain documents are excluded from the records. Recommendation: We recommend that quarterly audits are performed to ensure that agency files are maintained in a manner that is consistent with state requirements. Views of Responsible Officials and Planned Corrective Actions: The Network plans to enhance their review of agency files to ensure that each agency file has the proper documents included. Subsequent to June 30, 2022, the Network hired new staff and a Director of Accounting who will be responsible for this internal control.
Finding 2022-001
2022-001 {ALN 10.568 Emergency Food Assistance Program (Administrative Cost) ALN 10.569 Emergency Food Assistance Program (Food Commodities) ALN 10.565 Commodity Supplemental Program} Condition: Instances of agency files were deemed incomplete due to missing one or more of the required application documents. Documentation of required items in the agency files could not be located. Items missing consisted of the following: Initial inspection and Hold & Recall reports. Criteria: Eligibility for the program requires the Network to maintain agency files based on State requirements. The state provides a list of documents that should be received before an Agency is deemed eligible to disburse federal commodities. Cause: The Network has procedures in place to ensure that the files are complete. The Network developed a checklist to ensure that all documents are received during the application process before agency approval. However, there has been high turnover this past year that may have caused this documentation to be missing. Effect: Agency files cannot be considered complete if certain documents are excluded from the records. Recommendation: We recommend that quarterly audits are performed to ensure that agency files are maintained in a manner that is consistent with state requirements. Views of Responsible Officials and Planned Corrective Actions: The Network plans to enhance their review of agency files to ensure that each agency file has the proper documents included. Subsequent to June 30, 2022, the Network hired new staff and a Director of Accounting who will be responsible for this internal control.
Finding 2022-001
2022-001 {ALN 10.568 Emergency Food Assistance Program (Administrative Cost) ALN 10.569 Emergency Food Assistance Program (Food Commodities) ALN 10.565 Commodity Supplemental Program} Condition: Instances of agency files were deemed incomplete due to missing one or more of the required application documents. Documentation of required items in the agency files could not be located. Items missing consisted of the following: Initial inspection and Hold & Recall reports. Criteria: Eligibility for the program requires the Network to maintain agency files based on State requirements. The state provides a list of documents that should be received before an Agency is deemed eligible to disburse federal commodities. Cause: The Network has procedures in place to ensure that the files are complete. The Network developed a checklist to ensure that all documents are received during the application process before agency approval. However, there has been high turnover this past year that may have caused this documentation to be missing. Effect: Agency files cannot be considered complete if certain documents are excluded from the records. Recommendation: We recommend that quarterly audits are performed to ensure that agency files are maintained in a manner that is consistent with state requirements. Views of Responsible Officials and Planned Corrective Actions: The Network plans to enhance their review of agency files to ensure that each agency file has the proper documents included. Subsequent to June 30, 2022, the Network hired new staff and a Director of Accounting who will be responsible for this internal control.
Finding 2022-001
2022-001 {ALN 10.568 Emergency Food Assistance Program (Administrative Cost) ALN 10.569 Emergency Food Assistance Program (Food Commodities) ALN 10.565 Commodity Supplemental Program} Condition: Instances of agency files were deemed incomplete due to missing one or more of the required application documents. Documentation of required items in the agency files could not be located. Items missing consisted of the following: Initial inspection and Hold & Recall reports. Criteria: Eligibility for the program requires the Network to maintain agency files based on State requirements. The state provides a list of documents that should be received before an Agency is deemed eligible to disburse federal commodities. Cause: The Network has procedures in place to ensure that the files are complete. The Network developed a checklist to ensure that all documents are received during the application process before agency approval. However, there has been high turnover this past year that may have caused this documentation to be missing. Effect: Agency files cannot be considered complete if certain documents are excluded from the records. Recommendation: We recommend that quarterly audits are performed to ensure that agency files are maintained in a manner that is consistent with state requirements. Views of Responsible Officials and Planned Corrective Actions: The Network plans to enhance their review of agency files to ensure that each agency file has the proper documents included. Subsequent to June 30, 2022, the Network hired new staff and a Director of Accounting who will be responsible for this internal control.