Finding Text
Finding No. 2023-004
Federal Agency: United States Department of Agriculture
Compliance Requirement: Special Tests and Provisions
Type of Finding: Material Weakness in Internal Control (MW). Instance of Noncompliance (NC)
Criteria
Refer to finding 2023-002
Statement of Condition
Physical Inventory for TEFAP (The Emergency Food Administration Program)
As discussed in Finding 2023-002, the Organization has several deficiencies regarding internal control about
inventory of foods, lack of perform physical inventory as required by federal program and alternate procedures
were not applied to validate the inventory at year end. Also, records are not in place to document or support the
distribution of foods, as required by the federal program. We were unable to determine question costs due the fact
that we were unable to test the transactions for distribution of foods for its compliance.
Cause of Condition
Refer to finding 2023-02
Effect of Condition
Refer to finding 2023-02
Recommendation
Refer to finding 2023-002
Questioned Costs
Undetermined questioned costs.
Management Response
Management concurs with the findings. The closing process will be improved; physical inventory will be taking
and improvements for documentation will be made.
Responsible official
Mr. Marcos Rivera CEO