Audit 57182

FY End
2022-06-30
Total Expended
$18.58M
Findings
2
Programs
6
Organization: Mid-South Food Bank (TN)
Year: 2022 Accepted: 2023-03-26

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
61633 2022-002 Significant Deficiency Yes L
638075 2022-002 Significant Deficiency Yes L

Contacts

Name Title Type
K7K6KBJXYDQ6 Cathy Pope Auditee
9015270841 Alexandra Sinkular Auditor
No contacts on file

Notes to SEFA

Title: NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: NOTE 1 - BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards and state financial assistance (the "Schedule") includes the federal grant activity of the Mid-South Food Bank and Subsidiary (the Organization) under programs of the federal government for the year ended June 30, 2022. 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 Organization, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Organization. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following 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.
Title: NOTE 3 - FOOD DISTRIBUTION Accounting Policies: NOTE 1 - BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards and state financial assistance (the "Schedule") includes the federal grant activity of the Mid-South Food Bank and Subsidiary (the Organization) under programs of the federal government for the year ended June 30, 2022. 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 Organization, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Organization. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Non-monetary assistance is reported in the Schedule as determined by the Tennessee Department of Agriculture and the Mississippi Department of Human Services.
Title: NOTE 4 SUB-RECIPIENTS Accounting Policies: NOTE 1 - BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards and state financial assistance (the "Schedule") includes the federal grant activity of the Mid-South Food Bank and Subsidiary (the Organization) under programs of the federal government for the year ended June 30, 2022. 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 Organization, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Organization. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The Organization did not elect to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

2022-002: Significant Deficiency ? Reporting ? Relating to the Emergency Food Assistance Program ? Commodities (10.569) ? this is a repeat finding of prior year finding 2021-002. Criteria: The Organization is required to submit monthly reports to the Tennessee Department of Agriculture 10 business days following the month being reported, showing receipts and disbursements of USDA food. Condition: Management did not submit the monthly USDA reports timely. Context: Management did not submit the USDA reports to the Tennessee Department of Agriculture for 7 of the 12 months tested for the year ended June 30, 2022, within the proper time period. Cause: This condition appears to be due to the lack of oversight for supplying proper support to regulatory authorities. Effect: The Organization is not in compliance with this requirement. Questioned Costs: Unknown Recommendation: We recommend the Organization submit these reports timely to the Tennessee Department of Agriculture.
2022-002: Significant Deficiency ? Reporting ? Relating to the Emergency Food Assistance Program ? Commodities (10.569) ? this is a repeat finding of prior year finding 2021-002. Criteria: The Organization is required to submit monthly reports to the Tennessee Department of Agriculture 10 business days following the month being reported, showing receipts and disbursements of USDA food. Condition: Management did not submit the monthly USDA reports timely. Context: Management did not submit the USDA reports to the Tennessee Department of Agriculture for 7 of the 12 months tested for the year ended June 30, 2022, within the proper time period. Cause: This condition appears to be due to the lack of oversight for supplying proper support to regulatory authorities. Effect: The Organization is not in compliance with this requirement. Questioned Costs: Unknown Recommendation: We recommend the Organization submit these reports timely to the Tennessee Department of Agriculture.