FAC Explorer

Finding 1240506 (2024-003)

Material Weakness Repeat Finding
Requirement
H
Questioned Costs
-
Year
2024
Accepted
2026-10-15
Audit: 414962
Organization: Toledo Northwest Ohio Food Bank (OH)
Auditor: MANER COSTERISAN

AI Summary

  • Core Issue: The organization lacked formal, documented federal policies and procedures by December 31, 2024, violating Uniform Guidance requirements.
  • Impacted Requirements: Key areas affected include payments, procurement, and cost allowability for federal programs.
  • Recommended Follow-Up: The organization should finalize and implement the required written policies and procedures promptly.

Finding Text

2024-003 Written Financial Policies Pandemic Relief Activities: Local Food Purchase Agreements with States, Tribes, and Local Governments; ALN 10.182; U.S. Department of Agriculture Coronavirus State and Local Fiscal Recovery Funds; ALN 21.027; U.S. Department of Treasury Finding Type: Material Weakness and Material Noncompliance Condition: There were no formal, documented federal policies and procedures in place for December 31, 2024, as required by the Uniform Guidance. Criteria: The Uniform Guidance requires a non-federal entity that has expended federal awards for a grant awarded on or after December 26, 2014 to have written policies pertaining to various areas, including: 1) Payments (draws of federal funds and how to minimize the time elapsing between the receipt of federal funds and the disbursement to contractors/employees/subrecipients) (§200.302 (6)); 2) Procurement (including bidding and conflict of interest policy) (§200.318); and 3) Allowability of costs charged to federal programs (§200.302 (7)). Cause: Documented federal policies and procedures were not created and implemented by the Organization. Effect: As the result of this condition, Toledo Northwestern Ohio Food Bank, Inc. did not fully comply with the Uniform Guidance applicable to the major federal program. Recommendation: We recommend that the Organization prepare the required written policies and procedures as soon as practical. Organization’s Response: The Organization concurs with the facts of this finding and as of May 14, 2025 has implemented documented federal policies and procedures.

Corrective Action Plan

Toledo Northwestern Ohio Food Bank, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2024. Auditor: Maner Costerisan 2425 E. Grand River Avenue, Suite 1 Lansing, MI 48912 Audit Period: Year ended December 31, 2024 Organization Contact Person: James Caldwell, Preside nt/ CEO The findings from the December 31, 2024 schedule offindings and questioned costs are discussed below. The findings are numbered consistently with the number assigned in the schedu le. Financial Statement Findings 2024-001 - Material Journal Entries Responsible Party: Director of Operations and third-party accountant Action to be Taken: Management agrees with the finding, and we have implemented such a policy. Anticipated Completion Date: February 2025 2024-002 - Timeliness of Bank Reconciliations Responsible Party: Director of Operation s an d third-party accountant Action to be Taken: Management agrees with the finding, and we have implemented such a policy. Completion Date: February 2025 Federal Award Findings 2024-003 - Written Policies and Procedures Responsible Party: Director of Operations and third-party accountantAction to be Taken: Management agr ees with the finding, and we have implemented such a policy. Completion Date: May 14, 2025 2024 -004 - Timeliness of Reporting Audited Financial Statements and Federal Awards Responsible Party: Director of Operations and third-party accountant Action to be Taken: Management agrees with the findin g, and are in the process of catching up with the reporting of audited financial data and federa l awards. Anticipated Completion Date: June 30, 2026 2024-005 - Timeliness of Reporting Required under Funding Agreements Responsible Party: Director of Operations and third-party accountant Action to be Take n: Management agrees with the finding, and are in the process of implementing a policy to ensure timely reporting of financia l and programmatic data as stipulated by federal funding agreements. Anticipated Completion Date: June 30, 2026

Categories

Procurement, Suspension & Debarment

Other Findings in this Audit

  • 1240507 2024-004
    Material Weakness Repeat
  • 1240508 2024-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.558 TEMPORARY ASSISTANCE FOR NEEDY FAMILIES $856,912
10.182 PANDEMIC RELIEF ACTIVITIES: LOCAL FOOD PURCHASE AGREEMENTS WITH STATES, TRIBES, AND LOCAL GOVERNMENTS $777,812
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $705,008
10.561 STATE ADMINISTRATIVE MATCHING GRANTS FOR THE SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM $130,467
93.667 SOCIAL SERVICES BLOCK GRANT $100,109
10.569 EMERGENCY FOOD ASSISTANCE PROGRAM (FOOD COMMODITIES) $12,875