Finding Text
Funding agency: U.S. Department of Agriculture Rural Development. Title: Intermediary Relending Program. CFDA number: 10.767. Award year and number: 2024 - 62G950040-19-00. Criteria: In accordance with the USDA, accurate information must be reported semiannually. Condition: For one (1) out of four (4) reports sampled, there was an incorrect balance reported. Questioned Costs: None. Cause: Policies and procedures were not in place to ensure the balances uploaded to USDA were reviewed for accuracy and completeness before upload. Effect: Balances were uploaded for committed cash and loan loss reserve on the USDA report. These balances should not have reported as there is no balance. Auditor’s Recommendations: We recommend the Government develop sufficient policies and procedures to review and approve the amounts before they are reported. Management’s Response: The agency has been working diligently with the USDA on a continual basis for the last year attempting to correct the portal access that the USDA closed to report accurately. We have been in constant communication with federal program managers with little to no response. In March 2025 a meeting was held with all players from state, federal, OCWCOG, and our loan servicer, CCD Business Development Corp. We established a plan to move forward and have identified steps to validate and verify information being reported prior to submission. USDA, CCD and Lending staff are working cooperatively on this effort.