Corrective Action Plans

Finding 517346 (2024-003)

Material Weakness 2024

MI

HUD Housing Programs Allowable Costs / Cost Principles Eligibility

ALN 14.871 – Housing Voucher Cluster – Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Section 8 Housing Choice Program (Material Weakness, Potential Material Noncompliance) The PHA's management and staff continue to work to clear up prior year's compliance and supp...

ALN 14.871 – Housing Voucher Cluster – Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Section 8 Housing Choice Program (Material Weakness, Potential Material Noncompliance) The PHA's management and staff continue to work to clear up prior year's compliance and supporting balance issues and expects to finalize these issues prior to March 31, 2025's submission of the unaudited financial data schedule. Person Responsible for Correction of Exception: Mr. Arturo Puckerin, Executive Director Projected Completion Date: March 31, 2025

View Audit 335346

Finding 517345 (2024-002)

Material Weakness 2024

Jackson Housing Commission

MI

HUD Housing Programs Procurement, Suspension & Debarment Allowable Costs / Cost Principles

ALN 14.850 – Public & Indian Housing – Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Public Housing Program (Material Weakness, Potential Material Noncompliance) The PHA's management and staff continue to work to clear up prior year's compliance and supporting bal...

ALN 14.850 – Public & Indian Housing – Lack of Data Available to Audit Federal Compliance Requirements Applicable to the Public Housing Program (Material Weakness, Potential Material Noncompliance) The PHA's management and staff continue to work to clear up prior year's compliance and supporting balance issues and expects to finalize these issues prior to March 31, 2025's submission of the unaudited financial data schedule. Person Responsible for Correction of Exception: Mr. Arturo Puckerin, Executive Director Projected Completion Date: March 31, 2025

View Audit 335346

Finding 517305 (2024-003)

Material Weakness 2024

Saguache County Community Council, Inc.

CO

Procurement, Suspension & Debarment Allowable Costs / Cost Principles Material Weakness

Finding 2024-003 Allowable Cost Principals Recommendations: The Organization should develop a system of internal control over compliance including a review process to ensure that expenses are properly documented prior to their payment and the support is retained for a sufficient amount of time. Act...

Finding 2024-003 Allowable Cost Principals Recommendations: The Organization should develop a system of internal control over compliance including a review process to ensure that expenses are properly documented prior to their payment and the support is retained for a sufficient amount of time. Action in response to finding: The Organization will review the financial close process to determine if additional controls can be implemented in the process. New process will be in place for statements to have a detailed report of purchases to accompany the statements.

View Audit 335312

Finding 517303 (2024-001)

Significant Deficiency 2024

Housing Authority of the City of Wynne

AR

HUD Housing Programs Subrecipient Monitoring Allowable Costs / Cost Principles

Federal Program: Housing Choice Vouchers, Federal Assistance Listing No. 14.871 Criteria: The PHA is required to submit information monthly via the Voucher Management System (VMS). The Department reviews VMS data to identify issues of concern to PHAs and / or the Department. VMS is used for budget ...

Federal Program: Housing Choice Vouchers, Federal Assistance Listing No. 14.871 Criteria: The PHA is required to submit information monthly via the Voucher Management System (VMS). The Department reviews VMS data to identify issues of concern to PHAs and / or the Department. VMS is used for budget formulation, utilization analysis, and funding allocations. Condition: The VMS category UML contained a reporting discrepancy of 38 UML for the year, a variance of 3.26%. A HUD Validation Review for March 2022 through February 2023 showed a similar discrepancy. Questioned costs: $0.00 Effect: Timely reporting prior to funding calculation can make a significant difference to housing the number of families in the communities that PHA serve. Cause: The PHA provided detail software reports that did not always match what was reposted in VMS. Recommendation: The PHA should enter adjustments and revisions as they are discovered to ensure accurate data is available for utilization and budget projection purposes. Views of responsible officials and planned corrective actions: We will comply with the auditor’s recommendation and the HUD recommendations from their recent review and take the following steps: 1. PHA will move families out of the system and submit the corresponding 50058’s immediately upon termination. 2. PHA will ensure that 5008’s are accepted into the VMS system to accurately reflect program activity, including move-in/outs and port-ins/outs in a timely manner. 3. PHA will enter adjustments and revisions as they are discovered to ensure accurate data. As the VMS data changes in our system, the corrected reports will be forwarded to the fee accountant to ensure accurate data reporting. 4. PHA will ensure that EOP actions for tenants correspond to the dates that the tenants have been terminated from the program. 5. For Quality Control, the PHA will review the VMS reports at the beginning of the month and the end of the month, monitoring changes that may need to be reported, including move-ins, move-outs, port-in/outs, and correcting of corresponding dates, and removal of expired vouchers. This data will be reviewed by the Housing Manager and the Executive Director.

View Audit 335307

Finding 517243 (2024-011)

Material Weakness 2024

Union County School District #23

OR

Internal Control / Segregation of Duties Allowable Costs / Cost Principles Material Weakness

The District will improve internal controls by incorporating the involvement of a grant manager who is knowledgeable of grant requirements to approve expenditures.

View Audit 335260

Finding 517242 (2024-010)

Material Weakness 2024

Union County School District #23

OR

Internal Control / Segregation of Duties Procurement, Suspension & Debarment Allowable Costs / Cost Principles

The District will improve internal controls by incorporating the involvement of a grant manager who is knowledgeable of grant requirements to approve expenditures.

View Audit 335260

Finding 517179 (2024-003)

Significant Deficiency 2024

Catawba Valley Medical Center

NC

Questioned Costs Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Allowable Costs Recommendation: We recommend management ensure that all expenses are properly reviewed and approved before payment to ensure only allowable expenditures are approved. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned i...

Allowable Costs Recommendation: We recommend management ensure that all expenses are properly reviewed and approved before payment to ensure only allowable expenditures are approved. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: There is no disagreement with the audit finding. Management will ensure all expenses are properly reviewed. Name(s) of the contact person(s) responsible for corrective action: Pam Gallagher, CFO Planned completion date for corrective action plan: December 31, 2024.

View Audit 335131 Questioned Costs: $1

Finding 517147 (2024-001)

None 2024

Wayside Youth & Family Support Network, Inc.

MA

Allowable Costs / Cost Principles § 200.405

Finding - Activities Allowed or Unallowed & Allowable Costs/Cost Principles: Payroll, Assistance Listing Number 93.243; June 30, 2024, award year; U.S. Department of Health and Human Services Criteria or Specific Requirement In accordance with 2 CFR 200.405, A cost is allocable to a Federal award i...

Finding - Activities Allowed or Unallowed & Allowable Costs/Cost Principles: Payroll, Assistance Listing Number 93.243; June 30, 2024, award year; U.S. Department of Health and Human Services Criteria or Specific Requirement In accordance with 2 CFR 200.405, A cost is allocable to a Federal award if the cost is assignable to that Federal award with the relative benefits received. These costs must be incurred specifically for the Federal award. Condition Found Of the Seventeen payroll charges selected for testing, the allocation of payroll charged to the Federal grant did not align with the percentage of time incurred specifically for the Federal grant in four instances. Views of Responsible Officials and Planned Corrective Actions It was determined that the allocation percentage assigned in our payroll system did not match the calculated payroll expensed to the grant. Corrective measures: 1) contacted our payroll administrator and determined the cause to be that an allocation percentage was applied to the employee and the employee was also assigning their time via their time sheet effectively calculating twice, first on the total payroll and again on the allocated amount. The employee was instructed not to enter the allocation since it is already done in the payroll system. 2) A monthly review and calculation will be performed by program management and accounting to verify cost allocations are correct. Responsible Official: Korin Ihloff, CFO Expected Completion Date: The issue was addressed immediately.

View Audit 335062

Finding 517146 (2024-002)

Significant Deficiency 2024

Pamlico County

NC

Allowable Costs / Cost Principles Eligibility Internal Control / Segregation of Duties

2024-002 Inadequate Documentation Maintained. Name of Contact Person - Anita Mayo, Income Program Manager. The DSS department will offer additional training to all case workers to ensure proper documentation requirements and proper review procedures are being followed to ensure files are properly ...

2024-002 Inadequate Documentation Maintained. Name of Contact Person - Anita Mayo, Income Program Manager. The DSS department will offer additional training to all case workers to ensure proper documentation requirements and proper review procedures are being followed to ensure files are properly maintained going forward. Employees will be retrained on what files should contain and the importance of complete and accurate record keeping. In addition, additional training will be provdied on online verifications, documented resources of income and those amounts agree to information in NC FAST. Proposed Completion Date: December 31, 2024

View Audit 335056

Finding 517066 (2024-002)

Significant Deficiency 2024

University of Providence

MT

Student Financial Aid Allowable Costs / Cost Principles Eligibility

Contact Person Responsible: Kelli Engelhardt – Lead Mackenzie Stick - Support Corrective Actions Planned: 1. Enhanced Monitoring of Subsidized Loan Eligibility o Accelerated Nursing Students’ loan eligibility will be closely monitored, particularly during the first two semesters, to identify and pre...

Contact Person Responsible: Kelli Engelhardt – Lead Mackenzie Stick - Support Corrective Actions Planned: 1. Enhanced Monitoring of Subsidized Loan Eligibility o Accelerated Nursing Students’ loan eligibility will be closely monitored, particularly during the first two semesters, to identify and prevent over-awards. o Financial Aid staff will utilize Jenzabar Student Information System reporting tools to track Subsidized Loan usage and eligibility. o Anticipated Completion Date: Ongoing; Semester-based Review, effective Spring 2025 2. Preventive Measures for Timing Issues o Financial Aid staff will actively monitor updates to ISIR records and NSLDS reporting to mitigate timing-related errors. o Steps will be taken to identify students at risk for loan overpayment earlier in the process. o Anticipated Completion Date: February 1, 2025, and then ongoing with emphasis on the first two weeks of every semester. Commitment to Compliance: The University will leverage all available tools to prevent timing-related errors and ensure accurate Subsidized Loan awarding in future years.

View Audit 334955

Finding 516983 (2024-002)

Significant Deficiency 2024

Baden Street Settlement of Rochester, Inc.

NY

Procurement, Suspension & Debarment Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Views of Responsible Officials and Planned Corrective Actions: We know that current procedures capture all required documentation necessary for substantiation of every CACFP expense. We changed Accounts Payable Clerks during this fiscal year and this issue arose because of a filing error. All docume...

Views of Responsible Officials and Planned Corrective Actions: We know that current procedures capture all required documentation necessary for substantiation of every CACFP expense. We changed Accounts Payable Clerks during this fiscal year and this issue arose because of a filing error. All documentation existed, and was found after audit request, but was filled incorrectly. Accounts Payable Clerk will continue to work closely with CACFP Program Director to ensure proper documentation is presented and is an allowable cost.

View Audit 334901

Finding 516980 (2024-011)

Material Weakness 2024

State of New York

NY

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting

New Yok State acknowledges the finding and recommendation regarding Federal Funding Accountability and Transparency Act (FFATA) noted during the Uniform Grant Guidance audit. Associated policies will be updated accordingly and all first-tier subrecipients will receive the required notification of FF...

New Yok State acknowledges the finding and recommendation regarding Federal Funding Accountability and Transparency Act (FFATA) noted during the Uniform Grant Guidance audit. Associated policies will be updated accordingly and all first-tier subrecipients will receive the required notification of FFATA applicability per CFR 200.311 and FFATA Subaward Reporting System (FSRS) will be updated for grant obligations. With regard to the Possible Asserted Effect that failure to submit FFATA reporting may result in reporting inaccurate and incomplete amounts to the federal government – New York State is committed to producing accurate and complete grant spending amounts annually to the federal government outside of the FFATA system via the Federal Financial Report (FFR), due in December. OASAS will review and enhance its policies, procedures, and internal controls to ensure that all amounts passed through to subrecipients and subcontractors under subawards as defined in 45 CFR 75.2 are reported in accordance with the FFATA federal regulations. All OASAS first-tier subrecipients will receive the required notification of FFATA applicability per CFR 200.311. FSRS will be updated for obligations under the FFY20 award and forward.

View Audit 334898

Finding 516977 (2024-008)

Material Weakness 2024

State of New York

NY

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting

Office of Mental Health (OMH) agrees with this recommendation and acknowledges that there was an oversight in reporting amounts passed through to subrecipients as required by Federal Funding Accountability and Transparency Act (FFATA). OMH is in the process of updating policies, procedures, and/or i...

Office of Mental Health (OMH) agrees with this recommendation and acknowledges that there was an oversight in reporting amounts passed through to subrecipients as required by Federal Funding Accountability and Transparency Act (FFATA). OMH is in the process of updating policies, procedures, and/or internal controls to ensure the agency’s awareness of this requirements and will report on the amounts passed through to subrecipients and subcontractors in SFY 2024-25.

View Audit 334898

Finding 516976 (2024-007)

Material Weakness 2024

State of New York

NY

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

The Office of Mental Health (OMH) agrees with this recommendation. While OMH ensures that the source data is maintained and has updated internal procedures accordingly, a formalized policy and procedure will be implemented in SFY 2024-25.

View Audit 334898

Finding 516974 (2024-005)

Material Weakness 2024

State of New York

NY

Questioned Costs Matching / Level of Effort / Earmarking Subrecipient Monitoring

The Office of Temporary and Disability Assistance (OTDA) and the State will review, develop, and enhance the subrecipient monitoring policies and procedure, which include monitoring procedures over local districts. These policies and procedures would include verification of the source of the local d...

The Office of Temporary and Disability Assistance (OTDA) and the State will review, develop, and enhance the subrecipient monitoring policies and procedure, which include monitoring procedures over local districts. These policies and procedures would include verification of the source of the local district’s cost sharing or match to determine that the source is appropriate and in accordance with 45 CFR 75.306(b).

View Audit 334898 Questioned Costs: $1

Finding 516913 (2024-002)

Significant Deficiency 2024

West Palm Beach Housing Authority

FL

Questioned Costs HUD Housing Programs Allowable Costs / Cost Principles

Moving to Work Demonstration Program -Assistance Listing No. 14.881 Recommendation: We recommend the authority should evaluate their procedures over payroll processes and perform training with the managers who are approving the hours. Explanation of disagreement with audit finding: There is no dis...

Moving to Work Demonstration Program -Assistance Listing No. 14.881 Recommendation: We recommend the authority should evaluate their procedures over payroll processes and perform training with the managers who are approving the hours. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The WPBHA has made a change to the payroll software settings that will prevent managers from inadvertently coding hours as overtime. If hours for some reason need to be coded overtime, the HR manager will be the only one able to apply this code. In addition, refresher training will be provided to all Directors and Managers on the proper processing of payroll. Name(s) of the contact person(s) responsible for corrective action: Henrietta Copeland, HR Manager Planned completion date for corrective action plan: December 31, 2024.

View Audit 334817 Questioned Costs: $1

Finding 516896 (2024-003)

Significant Deficiency 2024

Wheeler County

OR

Questioned Costs Allowable Costs / Cost Principles

Views of Responsible Officials and Planned Corrective Actions: The county understands and concurs with this

View Audit 334786 Questioned Costs: $1

Finding 516896 (2024-003)

Significant Deficiency 2024

Wheeler County

OR

Questioned Costs Allowable Costs / Cost Principles

finding. It is the intention of the county to implement a review process to be completed prior to making formal

View Audit 334786 Questioned Costs: $1

Finding 516896 (2024-003)

Significant Deficiency 2024

Wheeler County

OR

Questioned Costs Allowable Costs / Cost Principles

allocation for the Forest Service Schools and Roads Cluster.

View Audit 334786 Questioned Costs: $1

Finding 516870 (2024-001)

Significant Deficiency 2024

American Councils for International Education: Actr/accels, Inc.

DC

Subrecipient Monitoring Internal Control / Segregation of Duties Special Tests & Provisions

National Security Language & Student Exchange - Assistance Listing No. 19.415 & 19.009 Recommendation: We recommend the Organization to design controls to ensure that there is an internal control designed to validate the timeline where the final FFATA reports were submitted/updated in the FSRS syst...

National Security Language & Student Exchange - Assistance Listing No. 19.415 & 19.009 Recommendation: We recommend the Organization to design controls to ensure that there is an internal control designed to validate the timeline where the final FFATA reports were submitted/updated in the FSRS system. If this timeline cannot be readily available, we also recommend contacting the FSRS portal to for further clarification on the FSRS system. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Finance Staff will take "screen shots" to validate the submission of FFATA reports when they are updated in the FSRS system. Name(s) of the contact person(s) responsible for corrective action: John Henderson, CFO Planned completion date for corrective action plan: 11-21-24 If the Department of State has questions regarding this plan, please call John Henderson, CFO, at 202-833-7522.

View Audit 334780

Finding 516682 (2024-007)

Material Weakness 2024

Progressive Community Health Centers, Inc.

WI

Questioned Costs Reporting Allowable Costs / Cost Principles

The Organization is unable to amend its erroneously submitted FFR. As funds that had already been spent on expenditures within the initial period of performance were erroneously reported as needing to be carried over, no reallocation of grant expenditures was needed. The Organization has also review...

The Organization is unable to amend its erroneously submitted FFR. As funds that had already been spent on expenditures within the initial period of performance were erroneously reported as needing to be carried over, no reallocation of grant expenditures was needed. The Organization has also reviewed our internal process for FFR submission. In general, we do not have carryover on our FFR, and this error occurred due to the additional Covid-19 funding the organization had received. Relevant staff participated in a training focused on CHC grants management matters, including preparation of the FFR, in December 2024 and will continue to look for learning opportunities to support and challenge compliance matters. Official Responsible for Ensuring the Corrective Action Plan: Danielle Hahn, Progressive Community Health Center Chief Financial Officer. Planned Completion Date for the Corrective Action Plan: The Organization has implemented the corrective action plan as of December 2024 and will continue to monitor throughout the year.

View Audit 334670 Questioned Costs: $1

Finding 516673 (2024-004)

Significant Deficiency 2024

Progressive Community Health Centers, Inc.

WI

Questioned Costs Allowable Costs / Cost Principles § 200.430

Upon identification of costs incurred prior to the beginning of the period of performance, the Organization identified allowable costs incurred within the period of performance and previously charged to program income in order to reallocate grant expenditures without creating other instances of nonc...

Upon identification of costs incurred prior to the beginning of the period of performance, the Organization identified allowable costs incurred within the period of performance and previously charged to program income in order to reallocate grant expenditures without creating other instances of noncompliance (such as cash management). Although the initial support provided to auditors contained instances of expenditures incurred prior to the beginning of the period of performance, expenditure justification has been updated to reflect corrections and all subsequent grant expenditure detail has been reviewed to ensure no recurrence in the subsequent period. The Organization has also reviewed our internal processes for cut-off procedures related to grant expenditures. We will implement additional internal controls at the end of the grant and the beginning of the grant to ensure accuracy of the salaries being posted are in the correct period of performance. We are also working with our accounting software vendor and payroll vendor to automate the allocation of grant salaries based on time and effort of each individual rather than after-the-fact allocations to grants. This will reduce the need to maintain manual spreadsheets to track staff by lining up grant expenditures with pay periods instead of monthly allocations. Further, relevant staff participated in a training focused on CHC grants management matters in December 2024 and will continue to look for learning opportunities to support and challenge compliance matters. Official Responsible for Ensuring the Corrective Action Plan: Danielle Hahn, Progressive Community Health Center Chief Financial Officer. Planned Completion Date for the Corrective Action Plan: The Organization has implemented the corrective action plan as of December 2024 and will continue to monitor throughout the year.

View Audit 334670 Questioned Costs: $1

Finding 516671 (2024-003)

Significant Deficiency 2024

Progressive Community Health Centers, Inc.

WI

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.403

Upon identification of costs allocated to more than one grant, the Organization identified allowable costs previously charged to program income and reallocated the duplicated expenditures without creating other instances of noncompliance (such as cash management or period of performance). Although t...

Upon identification of costs allocated to more than one grant, the Organization identified allowable costs previously charged to program income and reallocated the duplicated expenditures without creating other instances of noncompliance (such as cash management or period of performance). Although the initial support provided to auditors contained instances of expenditures charged to more than one grant, expenditure justification has been updated to reflect corrections and all subsequent grant expenditure detail has been reviewed to ensure no recurrence in the subsequent period. The Organization has also reviewed our internal processes to capture all salaries supported by grants accurately and timely. Additional internal controls such as limiting the number of grants an employee can be on at one time and the reduction of more catch-up drawdowns to account for staffing changes within the organization were implemented. We are also working with our accounting software vendor and payroll vendor to automate the allocation of grant salaries based on time and effort of each individual rather than after-the-fact allocations to grants. This will reduce the need to maintain manual spreadsheets to track staff and essentially eliminate the risk of charging expenditures to more than one grant. Further, relevant staff participated in a training focused on CHC grants management matters in December 2024 and will continue to look for learning opportunities to support and challenge compliance matters. Official Responsible for Ensuring the Corrective Action Plan: Danielle Hahn, Progressive Community Health Center Chief Financial Officer. Planned Completion Date for the Corrective Action Plan: The Organization has implemented the corrective action plan as of December 2024 and will continue to monitor throughout the year.

View Audit 334670 Questioned Costs: $1

Finding 516561 (2024-003)

Significant Deficiency 2024

Unity Point School District #140

IL

Internal Control / Segregation of Duties Allowable Costs / Cost Principles School Nutrition Programs

ACTION STEPS: Every effort will be made to ensure payments are made in a timely manner while getting board approval. In the event that an invoice is received after the monthly board meeting, the bill will be included on the next month's Bills Payable Report even if the payment has already been made...

ACTION STEPS: Every effort will be made to ensure payments are made in a timely manner while getting board approval. In the event that an invoice is received after the monthly board meeting, the bill will be included on the next month's Bills Payable Report even if the payment has already been made. CONTACT PERSON: Dr. Lori James-Gross, Superintendent ANTICIPATED COMPLETION DATE: September 1, 2024

View Audit 334491

Finding 516555 (2024-006)

Significant Deficiency 2024

United Way of the Battle Creek and Kalamazoo Region

MI

Internal Control / Segregation of Duties Allowable Costs / Cost Principles Reporting § 200.303

Auditor Description of Condition and Effect. During our testing we noted that there was not an independent review performed on journal entries related to their federal grant program. Without a review process, there is an increased risk of inaccurate financial reporting and potential noncompliance. A...

Auditor Description of Condition and Effect. During our testing we noted that there was not an independent review performed on journal entries related to their federal grant program. Without a review process, there is an increased risk of inaccurate financial reporting and potential noncompliance. Auditor Recommendation. We recommend that the Organization implement a formal review and approval process for all journal entries related to federal grant programs. Corrective Action. Management will implement an independent monthly review of all journal entries, including those related to the federal grant programs. The designated reviewer will be a senior accounting team member or equivalent who does not have the ability to create or approve journal entries in the general ledger system. The designated reviewer will compare the entries to ensure proper documentation, accurate amounts, correct coding, and compliance with the applicable federal grant regulations. Any discrepancies or issues identified during the review will be documented, and corrective actions will be taken immediately. The reviewer will sign off on the entries, confirming that all journal entries meet required standards. Responsible Person. Chris Sargent, President & Executive Officer Anticipated Completion Date. March 31, 2025

View Audit 334487

Corrective Action Plans

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