Audit 358982

III. Major Federal Award Programs—Internal Controls Over Compliance Previously Reported Items Not Resolved: 2024-003 Internal Accounting Controls Criteria: Internal control should include an adequate segregation of duties in the accounting functions. Condition: Due to a limited number of office personnel, proper segregation of duties in the accounting functions is not always possible. Cause: This condition is not unusual where staffing size can result in an improper segregation of duties. Management has determined that given the size and resource limitations the desirable level of segregation of duties necessary may not be feasible. Effect: Without an adequate segregation of duties there are opportunities for errors or fraudulent activities to occur and remain undetected. Recommendation: We recommend that the organization’s management be aware of the lack of segregation of the accounting functions and implement oversight procedures to ensure that the internal control policies and procedures are being implemented by staff and encourage additional controls as they become available due to changes in staff, etc. Views of Responsible Officials: Management agrees with this finding. IV. Corrective Action Plan 2024-003 Name and Contact Person Responsible For Corrective Action Sherri Looft, Executive Director Corrective Action Plan (CAP) Because it is economically infeasible to hire additional staff to adequately provide for the proper segregation of duties, the organization will utilize staff and board members to segregate duties to the extent possible. In addition, some transactions entered into by the organization are reviewed and observed by staff members of Brian Hildebrant, CPA., an independent consulting company. The company does not perform audit services but their observation does create an additional element of oversight. Planned completion date for CAP: N/A – requires ongoing monitoring Plan to monitor completion of CAP: The Executive Director and Board Members will monitor the internal control system to ensure oversight procedures are functioning as intended.

III. Major Federal Award Programs—Internal Controls Over Compliance Previously Reported Items Not Resolved: 2024-003 Internal Accounting Controls Criteria: Internal control should include an adequate segregation of duties in the accounting functions. Condition: Due to a limited number of office personnel, proper segregation of duties in the accounting functions is not always possible. Cause: This condition is not unusual where staffing size can result in an improper segregation of duties. Management has determined that given the size and resource limitations the desirable level of segregation of duties necessary may not be feasible. Effect: Without an adequate segregation of duties there are opportunities for errors or fraudulent activities to occur and remain undetected. Recommendation: We recommend that the organization’s management be aware of the lack of segregation of the accounting functions and implement oversight procedures to ensure that the internal control policies and procedures are being implemented by staff and encourage additional controls as they become available due to changes in staff, etc. Views of Responsible Officials: Management agrees with this finding. IV. Corrective Action Plan 2024-003 Name and Contact Person Responsible For Corrective Action Sherri Looft, Executive Director Corrective Action Plan (CAP) Because it is economically infeasible to hire additional staff to adequately provide for the proper segregation of duties, the organization will utilize staff and board members to segregate duties to the extent possible. In addition, some transactions entered into by the organization are reviewed and observed by staff members of Brian Hildebrant, CPA., an independent consulting company. The company does not perform audit services but their observation does create an additional element of oversight. Planned completion date for CAP: N/A – requires ongoing monitoring Plan to monitor completion of CAP: The Executive Director and Board Members will monitor the internal control system to ensure oversight procedures are functioning as intended.