2022-004 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a documented process to ensure that expenses with the potential to be charged to a federal program are allowable within the Uniform Guidance and grant requirements. Condition ? During review of invoices, it was identified that there were three expense transactions that were charged to accounts that were later allocated to federal programs that did not meet the requirements to be allowable within the grant requirements or under Uniform Guidance or were missing proper documentation of approval. Cause ? Due to oversight by management and lack of documented control processes, costs that are considered unallowable within the grant requirements were included in accounts determined to be allocated to the program for expenditure. Effect ? The Organization?s internal controls failed to ensure proper documentation of review and approval and identify costs that are not allowed within under the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 expenses out of a population of over 250 were selected for testing of allocated expenses. 3 out of the 60 transactions tested had an error. An additional nonstatistical sample of 8 expenses directly charged to CSFP out of a population of 26 were selected for testing. 1 out of the 8 transactions tested had an error. Repeat Finding from Prior Year(s) ? Yes. Recommendation ? Management should implement internal controls to ensure all expenses are properly documented and approved to accounts that will be allocated at year-end are considered allowable. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-006 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Food Distribution Cluster Special Tests and Provisions Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all inventory reports filed with various agencies are completed accurately and reviewed. Condition ? As part of our audit, it was identified that there was no formal documentation of the review process for inventory reports filed with various agencies. Cause ? Due to oversight of management involved with the process, no formal review has been documented or retained for the processes of the inventory reports being submitted to various agencies. Effect ? The failure to adequately review and document the review of the inventory reports could result in inaccurate reporting to various agencies. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 4 reports within CSFP out of a population of 12 were selected for testing. 1 out of the 4 tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that all inventory reports are reviewed prior to submission and that review be properly documented. Views of Responsible Officials ? Management agrees with the finding.
2022-007 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Material Weakness in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all costs are appropriately allocated to the programs. Condition ? As part of our audit, it was identified that there were multiple payroll allocation errors that were not identified by management. It was determined that some errors resulted in overallocation of costs while others in under allocation of costs. Cause ? No formal review was completed of the allocations before or after each payroll. This resulted in incorrect amounts being allocated to the programs. Effect ? The failure to adequately review payroll allocations resulted in incorrect charges to the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 8 pay periods out of a population of 26 pay periods were selected for testing. All 8 pay periods had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that payroll allocations are reviewed and approved with each payroll processed. Views of Responsible Officials ? Management agrees with the finding.
2022-004 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a documented process to ensure that expenses with the potential to be charged to a federal program are allowable within the Uniform Guidance and grant requirements. Condition ? During review of invoices, it was identified that there were three expense transactions that were charged to accounts that were later allocated to federal programs that did not meet the requirements to be allowable within the grant requirements or under Uniform Guidance or were missing proper documentation of approval. Cause ? Due to oversight by management and lack of documented control processes, costs that are considered unallowable within the grant requirements were included in accounts determined to be allocated to the program for expenditure. Effect ? The Organization?s internal controls failed to ensure proper documentation of review and approval and identify costs that are not allowed within under the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 expenses out of a population of over 250 were selected for testing of allocated expenses. 3 out of the 60 transactions tested had an error. An additional nonstatistical sample of 8 expenses directly charged to CSFP out of a population of 26 were selected for testing. 1 out of the 8 transactions tested had an error. Repeat Finding from Prior Year(s) ? Yes. Recommendation ? Management should implement internal controls to ensure all expenses are properly documented and approved to accounts that will be allocated at year-end are considered allowable. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-006 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Food Distribution Cluster Special Tests and Provisions Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all inventory reports filed with various agencies are completed accurately and reviewed. Condition ? As part of our audit, it was identified that there was no formal documentation of the review process for inventory reports filed with various agencies. Cause ? Due to oversight of management involved with the process, no formal review has been documented or retained for the processes of the inventory reports being submitted to various agencies. Effect ? The failure to adequately review and document the review of the inventory reports could result in inaccurate reporting to various agencies. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 4 reports within CSFP out of a population of 12 were selected for testing. 1 out of the 4 tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that all inventory reports are reviewed prior to submission and that review be properly documented. Views of Responsible Officials ? Management agrees with the finding.
2022-007 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Material Weakness in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all costs are appropriately allocated to the programs. Condition ? As part of our audit, it was identified that there were multiple payroll allocation errors that were not identified by management. It was determined that some errors resulted in overallocation of costs while others in under allocation of costs. Cause ? No formal review was completed of the allocations before or after each payroll. This resulted in incorrect amounts being allocated to the programs. Effect ? The failure to adequately review payroll allocations resulted in incorrect charges to the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 8 pay periods out of a population of 26 pay periods were selected for testing. All 8 pay periods had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that payroll allocations are reviewed and approved with each payroll processed. Views of Responsible Officials ? Management agrees with the finding.
2022-004 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a documented process to ensure that expenses with the potential to be charged to a federal program are allowable within the Uniform Guidance and grant requirements. Condition ? During review of invoices, it was identified that there were three expense transactions that were charged to accounts that were later allocated to federal programs that did not meet the requirements to be allowable within the grant requirements or under Uniform Guidance or were missing proper documentation of approval. Cause ? Due to oversight by management and lack of documented control processes, costs that are considered unallowable within the grant requirements were included in accounts determined to be allocated to the program for expenditure. Effect ? The Organization?s internal controls failed to ensure proper documentation of review and approval and identify costs that are not allowed within under the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 expenses out of a population of over 250 were selected for testing of allocated expenses. 3 out of the 60 transactions tested had an error. An additional nonstatistical sample of 8 expenses directly charged to CSFP out of a population of 26 were selected for testing. 1 out of the 8 transactions tested had an error. Repeat Finding from Prior Year(s) ? Yes. Recommendation ? Management should implement internal controls to ensure all expenses are properly documented and approved to accounts that will be allocated at year-end are considered allowable. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-007 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Material Weakness in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all costs are appropriately allocated to the programs. Condition ? As part of our audit, it was identified that there were multiple payroll allocation errors that were not identified by management. It was determined that some errors resulted in overallocation of costs while others in under allocation of costs. Cause ? No formal review was completed of the allocations before or after each payroll. This resulted in incorrect amounts being allocated to the programs. Effect ? The failure to adequately review payroll allocations resulted in incorrect charges to the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 8 pay periods out of a population of 26 pay periods were selected for testing. All 8 pay periods had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that payroll allocations are reviewed and approved with each payroll processed. Views of Responsible Officials ? Management agrees with the finding.
2022-004 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a documented process to ensure that expenses with the potential to be charged to a federal program are allowable within the Uniform Guidance and grant requirements. Condition ? During review of invoices, it was identified that there were three expense transactions that were charged to accounts that were later allocated to federal programs that did not meet the requirements to be allowable within the grant requirements or under Uniform Guidance or were missing proper documentation of approval. Cause ? Due to oversight by management and lack of documented control processes, costs that are considered unallowable within the grant requirements were included in accounts determined to be allocated to the program for expenditure. Effect ? The Organization?s internal controls failed to ensure proper documentation of review and approval and identify costs that are not allowed within under the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 expenses out of a population of over 250 were selected for testing of allocated expenses. 3 out of the 60 transactions tested had an error. An additional nonstatistical sample of 8 expenses directly charged to CSFP out of a population of 26 were selected for testing. 1 out of the 8 transactions tested had an error. Repeat Finding from Prior Year(s) ? Yes. Recommendation ? Management should implement internal controls to ensure all expenses are properly documented and approved to accounts that will be allocated at year-end are considered allowable. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-007 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Material Weakness in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all costs are appropriately allocated to the programs. Condition ? As part of our audit, it was identified that there were multiple payroll allocation errors that were not identified by management. It was determined that some errors resulted in overallocation of costs while others in under allocation of costs. Cause ? No formal review was completed of the allocations before or after each payroll. This resulted in incorrect amounts being allocated to the programs. Effect ? The failure to adequately review payroll allocations resulted in incorrect charges to the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 8 pay periods out of a population of 26 pay periods were selected for testing. All 8 pay periods had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that payroll allocations are reviewed and approved with each payroll processed. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-004 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a documented process to ensure that expenses with the potential to be charged to a federal program are allowable within the Uniform Guidance and grant requirements. Condition ? During review of invoices, it was identified that there were three expense transactions that were charged to accounts that were later allocated to federal programs that did not meet the requirements to be allowable within the grant requirements or under Uniform Guidance or were missing proper documentation of approval. Cause ? Due to oversight by management and lack of documented control processes, costs that are considered unallowable within the grant requirements were included in accounts determined to be allocated to the program for expenditure. Effect ? The Organization?s internal controls failed to ensure proper documentation of review and approval and identify costs that are not allowed within under the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 expenses out of a population of over 250 were selected for testing of allocated expenses. 3 out of the 60 transactions tested had an error. An additional nonstatistical sample of 8 expenses directly charged to CSFP out of a population of 26 were selected for testing. 1 out of the 8 transactions tested had an error. Repeat Finding from Prior Year(s) ? Yes. Recommendation ? Management should implement internal controls to ensure all expenses are properly documented and approved to accounts that will be allocated at year-end are considered allowable. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-006 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Food Distribution Cluster Special Tests and Provisions Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all inventory reports filed with various agencies are completed accurately and reviewed. Condition ? As part of our audit, it was identified that there was no formal documentation of the review process for inventory reports filed with various agencies. Cause ? Due to oversight of management involved with the process, no formal review has been documented or retained for the processes of the inventory reports being submitted to various agencies. Effect ? The failure to adequately review and document the review of the inventory reports could result in inaccurate reporting to various agencies. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 4 reports within CSFP out of a population of 12 were selected for testing. 1 out of the 4 tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that all inventory reports are reviewed prior to submission and that review be properly documented. Views of Responsible Officials ? Management agrees with the finding.
2022-007 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Material Weakness in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all costs are appropriately allocated to the programs. Condition ? As part of our audit, it was identified that there were multiple payroll allocation errors that were not identified by management. It was determined that some errors resulted in overallocation of costs while others in under allocation of costs. Cause ? No formal review was completed of the allocations before or after each payroll. This resulted in incorrect amounts being allocated to the programs. Effect ? The failure to adequately review payroll allocations resulted in incorrect charges to the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 8 pay periods out of a population of 26 pay periods were selected for testing. All 8 pay periods had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that payroll allocations are reviewed and approved with each payroll processed. Views of Responsible Officials ? Management agrees with the finding.
2022-004 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a documented process to ensure that expenses with the potential to be charged to a federal program are allowable within the Uniform Guidance and grant requirements. Condition ? During review of invoices, it was identified that there were three expense transactions that were charged to accounts that were later allocated to federal programs that did not meet the requirements to be allowable within the grant requirements or under Uniform Guidance or were missing proper documentation of approval. Cause ? Due to oversight by management and lack of documented control processes, costs that are considered unallowable within the grant requirements were included in accounts determined to be allocated to the program for expenditure. Effect ? The Organization?s internal controls failed to ensure proper documentation of review and approval and identify costs that are not allowed within under the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 expenses out of a population of over 250 were selected for testing of allocated expenses. 3 out of the 60 transactions tested had an error. An additional nonstatistical sample of 8 expenses directly charged to CSFP out of a population of 26 were selected for testing. 1 out of the 8 transactions tested had an error. Repeat Finding from Prior Year(s) ? Yes. Recommendation ? Management should implement internal controls to ensure all expenses are properly documented and approved to accounts that will be allocated at year-end are considered allowable. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-006 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Food Distribution Cluster Special Tests and Provisions Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all inventory reports filed with various agencies are completed accurately and reviewed. Condition ? As part of our audit, it was identified that there was no formal documentation of the review process for inventory reports filed with various agencies. Cause ? Due to oversight of management involved with the process, no formal review has been documented or retained for the processes of the inventory reports being submitted to various agencies. Effect ? The failure to adequately review and document the review of the inventory reports could result in inaccurate reporting to various agencies. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 4 reports within CSFP out of a population of 12 were selected for testing. 1 out of the 4 tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that all inventory reports are reviewed prior to submission and that review be properly documented. Views of Responsible Officials ? Management agrees with the finding.
2022-007 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Material Weakness in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all costs are appropriately allocated to the programs. Condition ? As part of our audit, it was identified that there were multiple payroll allocation errors that were not identified by management. It was determined that some errors resulted in overallocation of costs while others in under allocation of costs. Cause ? No formal review was completed of the allocations before or after each payroll. This resulted in incorrect amounts being allocated to the programs. Effect ? The failure to adequately review payroll allocations resulted in incorrect charges to the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 8 pay periods out of a population of 26 pay periods were selected for testing. All 8 pay periods had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that payroll allocations are reviewed and approved with each payroll processed. Views of Responsible Officials ? Management agrees with the finding.
2022-004 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a documented process to ensure that expenses with the potential to be charged to a federal program are allowable within the Uniform Guidance and grant requirements. Condition ? During review of invoices, it was identified that there were three expense transactions that were charged to accounts that were later allocated to federal programs that did not meet the requirements to be allowable within the grant requirements or under Uniform Guidance or were missing proper documentation of approval. Cause ? Due to oversight by management and lack of documented control processes, costs that are considered unallowable within the grant requirements were included in accounts determined to be allocated to the program for expenditure. Effect ? The Organization?s internal controls failed to ensure proper documentation of review and approval and identify costs that are not allowed within under the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 expenses out of a population of over 250 were selected for testing of allocated expenses. 3 out of the 60 transactions tested had an error. An additional nonstatistical sample of 8 expenses directly charged to CSFP out of a population of 26 were selected for testing. 1 out of the 8 transactions tested had an error. Repeat Finding from Prior Year(s) ? Yes. Recommendation ? Management should implement internal controls to ensure all expenses are properly documented and approved to accounts that will be allocated at year-end are considered allowable. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-007 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Material Weakness in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all costs are appropriately allocated to the programs. Condition ? As part of our audit, it was identified that there were multiple payroll allocation errors that were not identified by management. It was determined that some errors resulted in overallocation of costs while others in under allocation of costs. Cause ? No formal review was completed of the allocations before or after each payroll. This resulted in incorrect amounts being allocated to the programs. Effect ? The failure to adequately review payroll allocations resulted in incorrect charges to the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 8 pay periods out of a population of 26 pay periods were selected for testing. All 8 pay periods had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that payroll allocations are reviewed and approved with each payroll processed. Views of Responsible Officials ? Management agrees with the finding.
2022-004 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a documented process to ensure that expenses with the potential to be charged to a federal program are allowable within the Uniform Guidance and grant requirements. Condition ? During review of invoices, it was identified that there were three expense transactions that were charged to accounts that were later allocated to federal programs that did not meet the requirements to be allowable within the grant requirements or under Uniform Guidance or were missing proper documentation of approval. Cause ? Due to oversight by management and lack of documented control processes, costs that are considered unallowable within the grant requirements were included in accounts determined to be allocated to the program for expenditure. Effect ? The Organization?s internal controls failed to ensure proper documentation of review and approval and identify costs that are not allowed within under the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 expenses out of a population of over 250 were selected for testing of allocated expenses. 3 out of the 60 transactions tested had an error. An additional nonstatistical sample of 8 expenses directly charged to CSFP out of a population of 26 were selected for testing. 1 out of the 8 transactions tested had an error. Repeat Finding from Prior Year(s) ? Yes. Recommendation ? Management should implement internal controls to ensure all expenses are properly documented and approved to accounts that will be allocated at year-end are considered allowable. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-007 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Food Distribution Cluster Activities Allowed/Unallowed and Allowable Costs/Cost Principles Material Weakness in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that all costs are appropriately allocated to the programs. Condition ? As part of our audit, it was identified that there were multiple payroll allocation errors that were not identified by management. It was determined that some errors resulted in overallocation of costs while others in under allocation of costs. Cause ? No formal review was completed of the allocations before or after each payroll. This resulted in incorrect amounts being allocated to the programs. Effect ? The failure to adequately review payroll allocations resulted in incorrect charges to the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 8 pay periods out of a population of 26 pay periods were selected for testing. All 8 pay periods had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? It is recommended that the Organization implement processes and controls to ensure that payroll allocations are reviewed and approved with each payroll processed. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.