Corrective Action Plans

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Finding 2025-004 – Activities Allowed/Allowable Costs/Cost Principles Management agrees with the finding regarding activities allowed, allowable costs, and compliance with federal cost principles. The Housing Authority has reviewed its procedures related to processing and approving program expenditu...
Finding 2025-004 – Activities Allowed/Allowable Costs/Cost Principles Management agrees with the finding regarding activities allowed, allowable costs, and compliance with federal cost principles. The Housing Authority has reviewed its procedures related to processing and approving program expenditures and recognizes the need to strengthen internal controls and documentation standards. Management will implement additional review procedures to ensure expenses charged to HUD programs are properly supported, allowable under program requirements, and accurately allocated to the appropriate funding source. Corrective actions will include enhanced supervisory review of invoices and disbursements, improved supporting documentation practices, and periodic monitoring of program expenditures. Management will also continue coordination with the fee accountant and auditor to ensure compliance with Uniform Guidance and HUD requirements. The Housing Authority will provide additional staff training regarding allowable costs and documentation requirements to reduce the risk of future noncompliance. Responsible Party: Executive Director and Operations Accountant Expected Completion Date: September 30, 2026
Finding Number: 2025-002 Finding Name: Allowable Costs Finding Condition(s): During testing of allowable costs, we identified shared payroll and other costs charged to federal programs for which adequate support for the cost allocation methodology was not maintained. Specifically, allocation schedul...
Finding Number: 2025-002 Finding Name: Allowable Costs Finding Condition(s): During testing of allowable costs, we identified shared payroll and other costs charged to federal programs for which adequate support for the cost allocation methodology was not maintained. Specifically, allocation schedules and underlying documentation supporting how payroll allocation percentages were determined were incomplete or unavailable. As a result, we were unable to conclude that all sampled costs were allocated to the federal programs in proportion to the relative benefit received. Name of Contact Person(s): Mark Yates, Interim CFO, 312-479-5395 Corrective Action(s): Management will retain detailed allocation support and maintain its allocation methodology in accordance with applicable requirements. This documentation will be preserved to support the development and implementation of the management corrective action plan and to demonstrate consistency and compliance going forward. Anticipated Completion Date: May 31, 2026. Management agrees with the finding. The issue resulted from a system conversion and transition between payroll providers. Moving forward, management will ensure that appropriate documentation is consistently maintained and retained to support all payroll-related transactions.
Finding 2025-003-Allowable Costs/Cost Principles and Activities Allowed and Unallowed - Significant Deficiency in Internal Controls over Compliance and Non-Compliance Federal Program: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Year(s): 2025 Federal Agency: De...
Finding 2025-003-Allowable Costs/Cost Principles and Activities Allowed and Unallowed - Significant Deficiency in Internal Controls over Compliance and Non-Compliance Federal Program: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Year(s): 2025 Federal Agency: Department of Treasury Pass-Through Agencies: State of Oregon and Multnomah County Responsible Party: Jeanne Stromberg, Major- Divisional Finance Secretary- Cascade Division 916-501-6374 RESPONSE: Management will implement a review and approval of the billing submissions to prevent duplicate submission of expenses and perform a review of billing submissions by the senior accountant monthly to prevent duplicate submission of costs. Effective Date: November 2026
Finding 2025-001 -Allowable Costs/Cost Principles and Activities Allowed and Unallowed and Special Test - Drawdowns of Home/Home ARP Funds - Material Weakness in Internal Controls over Compliance Federal Program: Home Investment Partnerships Program (HOME) Assistance Listing Number: 14.239 Year(s): ...
Finding 2025-001 -Allowable Costs/Cost Principles and Activities Allowed and Unallowed and Special Test - Drawdowns of Home/Home ARP Funds - Material Weakness in Internal Controls over Compliance Federal Program: Home Investment Partnerships Program (HOME) Assistance Listing Number: 14.239 Year(s): 2025 Federal Agency: Department of Housing and Urban Development (HUD) Pass-Through Agencies: Idaho Housing and Finance Association Responsible Party: Jeanne Stromberg, Major- Divisional Finance Secretary- Cascade Division 916-501-6374 RESPONSE: Management will implement review and approval of drawdown requests to ensure approval of drawdown expenses for payroll and non-payroll related expenses. Effective Date: November 2026
The Organization acknowledges and concurs with the auditor’s finding as discussed within the Schedule of Findings and Questioned Costs for the year-ended September 30, 2025. During the audit for PTV’s fiscal year 2025, it was determined that we should add an additional layer of confirmation to our a...
The Organization acknowledges and concurs with the auditor’s finding as discussed within the Schedule of Findings and Questioned Costs for the year-ended September 30, 2025. During the audit for PTV’s fiscal year 2025, it was determined that we should add an additional layer of confirmation to our approval process. Currently, the President reviews invoices prior to signing the checks, thereby signaling approval. Moving forward, in addition to this review, the President will also confirm approval by initialing the invoice itself. Beyond this initial next step, PTV will also review its current Fiscal Policy to consider implementation of an approval process that allows other authorized approvers the authority to review expenses up to certain thresholds. Policy development at this level requires Finance Committee involvement and full Board approval, so it may take several months to fully implement a new process. We appreciate the opportunity to continue to strengthen PTV’s internal controls and financial operations.
The Organization acknowledges and concurs with the auditor’s finding as discussed within the Schedule of Findings and Questioned Costs for the year-ended September 30, 2025. During the audit for PTV’s fiscal year 2025, it was determined that we should add an additional layer of confirmation to our a...
The Organization acknowledges and concurs with the auditor’s finding as discussed within the Schedule of Findings and Questioned Costs for the year-ended September 30, 2025. During the audit for PTV’s fiscal year 2025, it was determined that we should add an additional layer of confirmation to our approval process. Currently, the President reviews invoices prior to signing the checks, thereby signaling approval. Moving forward, in addition to this review, the President will also confirm approval by initialing the invoice itself. Beyond this initial next step, PTV will also review its current Fiscal Policy to consider implementation of an approval process that allows other authorized approvers the authority to review expenses up to certain thresholds. Policy development at this level requires Finance Committee involvement and full Board approval, so it may take several months to fully implement a new process. We appreciate the opportunity to continue to strengthen PTV’s internal controls and financial operations.
Management agrees with the finding and acknowledges that internal controls over inventory issuance were not consistently followed by an individual. While procedures existed requiring documentation of pick tickets, compliance with these procedures was not adequately enforced on a small number of tran...
Management agrees with the finding and acknowledges that internal controls over inventory issuance were not consistently followed by an individual. While procedures existed requiring documentation of pick tickets, compliance with these procedures was not adequately enforced on a small number of transactions. The Cooperative has begun strengthening its internal control processes to ensure that all inventory withdrawals are properly authorized and documented prior to release. In addition, management will implement monitoring procedures, including periodic reviews of inventory documentation, to ensure compliance with established controls. Training will also be provided to all relevant personnel to reinforce proper procedures and the importance of adherence to internal control requirements. Management expects these corrective actions to be fully implemented by May 15, 2026.
The Board of County Commissioners will work with all County Officials to go over all grants and federal monies that Comanche County receives to ensure that proper internal controls are implemented.
The Board of County Commissioners will work with all County Officials to go over all grants and federal monies that Comanche County receives to ensure that proper internal controls are implemented.
The Board of County Commissioners will work toward assessing and identifying risks to design written county-wide controls.
The Board of County Commissioners will work toward assessing and identifying risks to design written county-wide controls.
Management will implement reconciliation procedures to ensure that payroll allocations recorded to federal award programs are supported by and agree to actual time records prior to recording journal entries to the general ledger. A supervisory review process will be established to periodically compa...
Management will implement reconciliation procedures to ensure that payroll allocations recorded to federal award programs are supported by and agree to actual time records prior to recording journal entries to the general ledger. A supervisory review process will be established to periodically compare time card data against payroll journal entries to identify and resolve discrepancies on a timely basis.
Management will continue to strengthen year-end and subsequent review procedures over invoices and employee reimbursements to ensure expenditures are recorded in the appropriate reporting period and within the applicable grant period. Additional controls will be implemented to monitor submission dea...
Management will continue to strengthen year-end and subsequent review procedures over invoices and employee reimbursements to ensure expenditures are recorded in the appropriate reporting period and within the applicable grant period. Additional controls will be implemented to monitor submission deadlines for employee reimbursement requests to prevent recording expenditures in periods other than those in which the related costs were incurred.
Management will formally document the CEO and CFO approval of all pay rate changes. Anticipated Completion Date: May 11, 2026
Management will formally document the CEO and CFO approval of all pay rate changes. Anticipated Completion Date: May 11, 2026
LSC-Basic Field Grant Significant Deficiency Internal Control over Compliance and Other Matters - Reporting Recommendation: We recommend that the Organization implement adequate controls to ensure the timely submission of the required grantor reports. If delays, with the submission of a report, occu...
LSC-Basic Field Grant Significant Deficiency Internal Control over Compliance and Other Matters - Reporting Recommendation: We recommend that the Organization implement adequate controls to ensure the timely submission of the required grantor reports. If delays, with the submission of a report, occur, we recommend that the Organization notifies its grantor and obtains an extension of the report due date. There is no disagreement with the audit finding. Action planned in response to finding: Essex-Newark Legal Services Project, Inc agrees that it will timely advise grantors when a delay in the timely submission of a report is anticipated. Name of the contact person responsible for corrective action: Felipe Chavana, Executive Director Planned completion date for corrective action plan: Effectively Immediately.
Condition: During our review of the Wisconsin Medicaid School-Based Services Program, the School District was unable to provide adequate supporting documentation for quarterly payroll costs reported to Medicaid. Additionally, the District could not provide a complete and reliable population of payro...
Condition: During our review of the Wisconsin Medicaid School-Based Services Program, the School District was unable to provide adequate supporting documentation for quarterly payroll costs reported to Medicaid. Additionally, the District could not provide a complete and reliable population of payroll transactions attributable to the Medicaid program to support payroll sampling procedures. Plan: The District will strengthen its internal controls over payroll reporting for the Medicaid School- Based Services Program by: establishing and maintaining detailed supporting documentation for all payroll costs claimed; developing procedures to ensure a complete and auditable payroll population can be generated for each reporting period; and providing training to staff responsible for Medicaid payroll reporting and documentation. Management should implement corrective actions to ensure future Medicaid payroll claims are fully supported and compliant with program requirements. Anticipated Date of Completion: The District will correct this for the 2025-2026 school year. Name of Contact Person: Nicki Ells, Business Manager Management Response: The Adams-Friendship School District accepts the plan for the Corrective Action listed above and does not dispute anything.
The Board of County Commissioners will work with all County Officials to inform them of all grants and federal monies that Pottawatomie County receives to ensure that proper internal controls are implemented.
The Board of County Commissioners will work with all County Officials to inform them of all grants and federal monies that Pottawatomie County receives to ensure that proper internal controls are implemented.
The Board of County Commissioners will work to assess and identify risks to design a written county-wide controls policy over federal grant programs to ensure compliance with grant requirements.
The Board of County Commissioners will work to assess and identify risks to design a written county-wide controls policy over federal grant programs to ensure compliance with grant requirements.
All credit card purchases charged to grants from January 1, 2025 to December 31, 2025 will be reviewed for allowability and accuracy and any unallowable or inaccurate charges charged to grants will be reversed. All program staff with federal grant responsibilities or with credit card expense approva...
All credit card purchases charged to grants from January 1, 2025 to December 31, 2025 will be reviewed for allowability and accuracy and any unallowable or inaccurate charges charged to grants will be reversed. All program staff with federal grant responsibilities or with credit card expense approval responsibilities will be required to attend an internal training session which will include training regarding what expenses are permissible under government grant guidelines. The Financial Controller will perform internal reviews of all credit card charges to identify and reclassify unallowable or inaccurate expenses before they are charged to a grant.
Wild Salmon Center management will require all program staff with federal grant responsibilities or with credit card expense and timesheet approval responsibilities to attend an internal training session which will include training regarding what documentation and approvals are required under govern...
Wild Salmon Center management will require all program staff with federal grant responsibilities or with credit card expense and timesheet approval responsibilities to attend an internal training session which will include training regarding what documentation and approvals are required under government grant guidelines. The Financial Controller will conduct a review of credit card expenses before charging expenses to a government grant and will review that all timesheets have been approved before submission.
The City has taken steps to strengthen internal controls over the CDBG program. The City will additionally implement formalized procedures requiring, centralized project files containing procurement documentation, cost support, and project eligibility records, document procurement procedures consist...
The City has taken steps to strengthen internal controls over the CDBG program. The City will additionally implement formalized procedures requiring, centralized project files containing procurement documentation, cost support, and project eligibility records, document procurement procedures consistent with Uniform Guidance requirements, including cost/price analysis and justification for contractor selection, collection and review of Davis-Bacon documentation, including wage determinations and certified payrolls, when applicable, verification that required permits are obtained prior to construction and retention of inspection and completion documentation, and secondary review by City staff to ensure all required documentation is complete prior to project closeout. Additionally, the City will provide training to staff involved in CDBG program administration. Responsible Persons: Community Development Director Date of Implementation: Initiate FY 2025-26 with ongoing monitoring into FY 2026-27
2025-003: Allocating Funds to Eligible School Attendance Areas and Schools Condition: The district’s approved Title I application established school-level building allocations under Title I Targeting Step 5 using a per-pupil allocation methodology based on low-income counts. The district should docu...
2025-003: Allocating Funds to Eligible School Attendance Areas and Schools Condition: The district’s approved Title I application established school-level building allocations under Title I Targeting Step 5 using a per-pupil allocation methodology based on low-income counts. The district should document school-level expenditures to verify that the per-pupil allocation is followed. The district does not have effective controls to monitor school-level expenditures for compliance with approved Title I building allocations. Six of the 20 schools overspent their allocation by approximately $554,000. The other schools were under their allocations as a result. Corrective Action Planned: The district is working with ISBE to ensure that our site-based resource allocations align with the district’s budget. Name of the Contact Person Responsible for Corrective Action: Mr. Daniel Ulrich, Executive Direct of Finance/ District Accountants/Auditor, Judy Freeman, District Accounts Grant Auditor, Chanbopha Loera Anticipated Completion Date: July 1st 2026.
Consolidated Health Centers Grant – Assistance Listing No. 93.224 & 93.527 Recommendation: Our auditor’s recommended the Organization update their termination procedures to verify that final payrolls are being calculated correctly and update their grant allocation process to ensure accurate wage rat...
Consolidated Health Centers Grant – Assistance Listing No. 93.224 & 93.527 Recommendation: Our auditor’s recommended the Organization update their termination procedures to verify that final payrolls are being calculated correctly and update their grant allocation process to ensure accurate wage rates are used to calculate the allocations. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management has updated the payroll termination process to include a documented review before payroll is finalized. The finance team will review final payroll calculations for terminated employees after HR provides the termination details and payout calculation. Payroll changes and review steps are documented as part of the bi-weekly payroll update emails.
Finding 2025-003 Material Weakness in Internal Control Over Allowable Costs/Cost Principles Criteria HSI is responsible for keeping adequate supporting documentation of salaries and wage expense charged to federally funded grants. Required documentation includes personnel activity reports, electroni...
Finding 2025-003 Material Weakness in Internal Control Over Allowable Costs/Cost Principles Criteria HSI is responsible for keeping adequate supporting documentation of salaries and wage expense charged to federally funded grants. Required documentation includes personnel activity reports, electronic or manual time sheets, pay records integrated with grant codes, certification statements, budget-to-actual reconciliations, and activity descriptions and reports. Views of Responsible Officials and Planned Corrective Actions Management agrees with the auditor’s finding and will implement the auditor’s recommendation. Person responsible: Jason House Anticipated date of implementation: June 2026
2025-009: ALLOWABLE COSTS/COST PRINCIPLES Program: Education Stabilization Fund Federal Assistance Listing Number: 84.425U Federal Agency: U.S. Department of Education Pass-Through Agency: Arizona Department of Education Grantor Number: 21FESIII-111427-01A Questioned Costs: $909.10 Type of Finding: ...
2025-009: ALLOWABLE COSTS/COST PRINCIPLES Program: Education Stabilization Fund Federal Assistance Listing Number: 84.425U Federal Agency: U.S. Department of Education Pass-Through Agency: Arizona Department of Education Grantor Number: 21FESIII-111427-01A Questioned Costs: $909.10 Type of Finding: Noncompliance (Other Matter), significant deficiency in internal control Compliance Requirement: B. Allowable Costs/Cost Principles Condition: During testing of payroll disbursements charged to the Education Stabilization Fund (ESSER III) program, we noted that for two of 9 transactions tested, the District was unable to provide documentation demonstrating that extra duty stipends were properly approved and allowable under the grant. The total amount associated with these transactions was $909.10. Action planned in response to finding: The District will implement procedures to ensure all payroll expenditures charged to federal programs are properly authorized, supported, and allowable prior to processing, including requiring documented approval for all stipends and maintaining adequate supporting documentation. The District will also strengthen oversight over grant management by assigning responsibility for reviewing grant expenditures and monitoring grant budgets on an ongoing basis to ensure costs are appropriate, within approved budgets, and charged to the correct program. Planned completion date for corrective action plan: For the period ending June 30, 2026. Name of the contact person responsible for corrective action: Roman Soltero, Superintendent
Disaster Grants - Public Assistance (Presidentially Declared Disasters) – Assistance Listing No. 97.036 Recommendation: We recommend the County implement a formal review and reconciliation process to ensure that employees' hours reported on Activity Logs are verified against the reimbursement reques...
Disaster Grants - Public Assistance (Presidentially Declared Disasters) – Assistance Listing No. 97.036 Recommendation: We recommend the County implement a formal review and reconciliation process to ensure that employees' hours reported on Activity Logs are verified against the reimbursement request prior to submitting it to the grantor. This review should be performed by personnel knowledgeable of the grant requirements and documented to evidence the review was completed. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County will establish a process to maintain effective internal controls to ensure that the documentation is complete and accurately reflected in the reimbursement requests. An internal review and reconciliation process for employee activity logs will be performed prior to submitting to the grantor. Name of the contact person responsible for corrective action: Tanya Cannady, Business Services Director Planned completion date for corrective action plan: June 2026
VILLAGE OF BELLEVUE 201 N. Main St. Bellevue, MI 49021 269-763-9571 • Fax 269-763-9998 manager@bellevuemi.net • www.bellevuemi.net treasurer@bellevuemi.net 69 CORRECTIVE ACTION PLAN Certain matters were brought to our attention as a result of the audit process. These are described more fully in the ...
VILLAGE OF BELLEVUE 201 N. Main St. Bellevue, MI 49021 269-763-9571 • Fax 269-763-9998 manager@bellevuemi.net • www.bellevuemi.net treasurer@bellevuemi.net 69 CORRECTIVE ACTION PLAN Certain matters were brought to our attention as a result of the audit process. These are described more fully in the Schedule of Findings and Questioned Costs. We evaluated the matters as noted below and have described our planned actions as a result. 2025-001 MATERIAL JOURNAL ENTRIES PROPOSED BY AUDITORS Views of Responsible Officials: Management agrees with the finding and will take appropriate steps to remedy noted finding. Corrective action plan response: The Village will take steps to ensure that material journal entries are not necessary at the time future audit analysis is performed. Responsible Party: Nicole Roberts (Village Manager) and Michelle Pennington (Assistant Village Manager). Date of Planned Corrective Action: December 31, 2026 2025-002 SEGREGATION OF DUTIES OVER KEY FINANCIAL PROCESSES Views of Responsible Officials: Management agrees with the finding and has taken appropriate action to remedy the bank reconciliation portion of the finding during fiscal year 2025. Corrective action plan response: The Village will take steps to actively seek ways to strengthen its internal control structure. This may include requiring as much independent review, reconciliation, and approval of journal entries and bank reconciliations by qualified members of management and documenting such review as part of the Village’s control procedures. Responsible Party: Nicole Roberts (Village Manager) and Michelle Pennington (Assistant Village Manager). Date of Planned Corrective Action: December 31, 2026 2025-003 BANK RECONCILIATIONS Views of Responsible Officials: Management agrees with the finding and will take appropriate steps to remedy noted finding. Corrective action plan response: The Village will take steps to ensure that bank reconciliations are documented as reviewed and reconciliating items are properly documented. Responsible Party: Nicole Roberts (Village Manager) and Michelle Pennington (Assistant Village Manager). Date of Planned Corrective Action: December 31, 2026
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