Finding Text
2022-005 U.S. Department of Agriculture Federal Financial Assistance Listing # 10.565 All Awards Federal Financial Assistance Listing # 10.568 All Awards Federal Financial Assistance Listing # 10.569 All Awards Food Distribution Cluster Eligibility Significant Deficiency in Internal Control over Compliance Criteria ? A good system of internal controls includes a process to ensure that eligibility determinations for the program are appropriate. This includes a process to ensure proper completion of all tracking forms and documentation, including documented reviews. Condition ? During our review of the eligibility determinations, it was identified that there were two forms that were incomplete within the files, as they were missing signatures of participants or a documented review process. Cause ? Due to oversight by management, all forms were not completed and documented within participant files. Effect ? The Organization?s internal control process was not followed, resulting in lack of documentation of eligibility determination and no documented review process. However, it is noted that the individual participants and agencies were determined to be eligible for the program. Questioned Costs ? None Reported. Context/Sampling ? A nonstatistical sample of 60 participants within CSFP out of a population of over 250 were selected for eligibility testing. 1 out of the 60 eligibility determinations tested had an error. An additional nonstatistical sample of 29 participants within TEFAP out of a population of 146 were selected for eligibility testing. 1 out of the 29 eligibility determinations tested had an error. Repeat Finding from Prior Year(s) ? No. Recommendation ? Management should implement internal controls to ensure all eligibility determination reviews are documented and retained in the file. Views of Responsible Officials ? Management agrees with the finding.