Key Findings and Conclusions:
- The department did not incorporate critical controls to
ensure all receipts were deposited and accurately accounted for when
implementing a new electronic licensing system.
- The Grain and Produce Division did not collect sufficient
fees since 1998 to cover over $969,000 in costs as required by statute.
In addition, the division did not take timely corrective action
to ensure inspection and weighing fees were accurately billed, and
cannot determine outstanding accounts receivable. Also, the department
is at risk of losing the U.S. Department of Agriculture’s
authorization to provide inspection and weighing services in Minnesota,
starting in April 2005.
- The department properly accounted for ethanol grants and
Rural Finance Authority loans.
| The report contained four findings relating to internal control
and legal compliance. Two findings repeat portions of findings contained
in our last audit report on the department. |
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Audit Scope:
Audit Period:
July 1, 2000 to June 30, 2003
Programs Audited:
- Licensing and Inspection Receipts
- Ethanol Grants
- Rural Finance Authority Loans
Agency Background: The Department of Agriculture administers
programs that promote agricultural markets and programs, family farming,
and conservation practices. The department enforces laws related to
food safety and production. In fiscal year 2003, the department collected
approximately $27 million and spent $61 million. |
