Finding Text
2025-004: Significant Deficiency – Special Tests and Provisions and Reporting – Relating to the Food Distribution Cluster – (10.568/10.569). Criteria: Per the Organization’s agreement with the TDA, the Food Bank must maintain accurate and complete records of all USDA-donated food receipts, including bills of lading, receiving reports, and acknowledgment by staff verifying quantities received. Supporting documentation should reconcile to CERES and the monthly TEFAP report submitted to TDA. Condition and Context: We tested 40 USDA food receipts under the Tennessee TEFAP program to verify that amounts and dates recorded on the Food Bank’s receiving worksheets agreed to both the bills of lading and the monthly TEFAP reports. • In one instance, no receiving worksheet or equivalent documentation could be located to support the recorded receipt. • In another instance, the receiving worksheet was available but the quantity listed did not agree to the amount recorded in CERES, which feeds into the monthly TEFAP report. Cause: These discrepancies appear to result from a lack of follow-up and reconciliation procedures when variances occur between receiving documentation and system entries. In the noted cases, differences or missing documentation were not identified or resolved through supervisory review prior to submission of the monthly TEFAP report. Effect: Incomplete or inaccurate receiving records reduce assurance that all USDA commodities received are properly supported and accurately reported to TDA. This weakens controls over recordkeeping. Questioned Costs: None noted. Repeat Finding: No. Recommendation: We recommend that management reinforce the requirement for maintaining a completed receiving worksheet for all TDA USDA commodity receipts, signed or initialed by the receiving employee. Additionally, all receiving documentation should be reconciled to CERES entries prior to submission of monthly TEFAP reports. A periodic supervisory review should verify that all receipts are supported and accurately recorded. View of Responsible Official: See Management’s Corrective Action Plan.