Corrective Action Plans

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Recommendation: We recommend that the City review and update internal controls to ensure that supporting documentation for allowable time charges to grant programs is properly maintained. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in...
Recommendation: We recommend that the City review and update internal controls to ensure that supporting documentation for allowable time charges to grant programs is properly maintained. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Staff has updated timekeeping for individuals charging partial time to the Housing Section 8 program to track actual hours spent rather than through budget allocation. Staff has in addition identified a method by which the City can produce supervisor approval documentation through the financial system’s electronic workflow. Names of the contact persons responsible for corrective action: Stephanie Meyer (Finance Director), Elizabeth Hause (Community Services Director) Planned completion date for corrective action plan: December 30, 2025
COVID 19 ARPA Local Fiscal Recovery EXP – Assistance Listing No. 21.027 Recommendation: We recommend the Town design controls to ensure all documentation is retained in accordance with the Uniform Guidance record retention requirements under 2 CFR 200.334. Explanation of disagreement with audit find...
COVID 19 ARPA Local Fiscal Recovery EXP – Assistance Listing No. 21.027 Recommendation: We recommend the Town design controls to ensure all documentation is retained in accordance with the Uniform Guidance record retention requirements under 2 CFR 200.334. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: We will implement a policy to ensure all documentation is retained in according with Uniform Guidance. Name(s) of the contact person(s) responsible for corrective action: Julie Chapman, Director of Finance Planned completion date for corrective action plan: December 2025
Finding 2024-010 Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds passed-through the State Water Resources Control Board Federal Financial Assistance Listing Number: 21.027 Federal Grantor: U.S. Department of Treasury Award No. and Year: A00059, 2024 Finding Summary: Allowable Cos...
Finding 2024-010 Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds passed-through the State Water Resources Control Board Federal Financial Assistance Listing Number: 21.027 Federal Grantor: U.S. Department of Treasury Award No. and Year: A00059, 2024 Finding Summary: Allowable Costs/Cost Principles Type of Finding: Significant Deficiency in Internal Control Corrective Action Plan: Prior to the 2024 audit process being completed, the city experienced significant staff turnover particularly in the Finance Department. The city is in the process of recruiting various key positions including Finance Director, Deputy Finance Director and Accounting Supervisor. This will ensure all proper processes are followed. Responsible Individual(s): Finance Director (short-term part-time staff); Deputy Finance Director (Vacant); Purchasing Manager (Vacant) Anticipated Completion Date: January 2026
Finding 2024-009 Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Federal Financial Assistance Listing Number: 21.027 Federal Grantor: U.S. Department of Treasury Award No. and Year: 2021 Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds passed-through the State ...
Finding 2024-009 Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Federal Financial Assistance Listing Number: 21.027 Federal Grantor: U.S. Department of Treasury Award No. and Year: 2021 Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds passed-through the State Water Resources Control Board Federal Financial Assistance Listing Number: 21.027 Federal Grantor: U.S. Department of Treasury Award No. and Year: A00059, 2024Finding Summary: Allowable Costs/Cost Principles Type of Finding: Significant Deficiency in Internal Control and Instance of Non-Compliance Corrective Action Plan: The city is in the process of updating its Purchasing Policy and will include language on allowable costs and cost principles that are compliant with Title 2 C.F.R. Section 200. The process may be delayed with the absence of a Purchasing Manager. Responsible Individual(s): Finance Director (short-term part-time staff); Deputy Finance Director (Vacant); Purchasing Manager (Vacant) Anticipated Completion Date: December 2026
2024-004 ACTIVITIES ALLOWED OR UNALLOWED AND ALLOWABLE COSTS / COST PRINCIPALS Program: Education Stabilization Fund – ESSER II and ESSER III Federal Assistance Listing Number: 84.425 Federal Agency: U.S. Department of Education Pass-Through Agency: Arizona Department of Education Grantor Number: 21...
2024-004 ACTIVITIES ALLOWED OR UNALLOWED AND ALLOWABLE COSTS / COST PRINCIPALS Program: Education Stabilization Fund – ESSER II and ESSER III Federal Assistance Listing Number: 84.425 Federal Agency: U.S. Department of Education Pass-Through Agency: Arizona Department of Education Grantor Number: 21FESSII-111175-01A and 21FESIII-111175-01A Questioned Costs: None Type of Finding: Material weakness in internal controls Condition/Context: For five of seven journal entries tested for the Education Stabilization Fund program, the District did not have documentation supporting that the entry was reviewed and approved by an individual separate from the preparer. Corrective Action: The District will review its process for preparing and recording journal entries to include a step to have the entries reviewed and approved by someone other than the preparer. In addition, the journal entries will include supporting schedules and documentation to explain why the entry is being prepared. Planned completion date for corrective action plan: For the period ending June 30, 2025. Name of the contact person responsible for corrective action: Dorene Mudrow, Superintendent
Finding Reference Number: 2024-001 -Weakness in Controls over Accounting and Financial Reporting Description of Finding: At 6/30/2024 the Organization's current assets are less than its current liabilities, resulting in a deficit in net assets. Analysis found a material weakness in the Organization'...
Finding Reference Number: 2024-001 -Weakness in Controls over Accounting and Financial Reporting Description of Finding: At 6/30/2024 the Organization's current assets are less than its current liabilities, resulting in a deficit in net assets. Analysis found a material weakness in the Organization's controls over identifying and recording vendor bills that resulted in incorrectly omitting allowable costs from program grant expense reimbursement requests. Additionally, the Executive Director performed staff level program functions that were billed at their higher wage rate resulting in payroll costs in excess of allowed budget costs that were disallowed for reimbursement. Not properly identifying and requesting reimbursement for allowable program costs and incurring payroll costs in excess of allowed budgets has strained on the Organization's operating cash flows resulting in deficits and delays in satisfying the accounts payable obligations to the police agencies for which reimbursed funds have been requested. Statement of Concurrence or Nonconcurrence: The Organization agrees with the finding as presented. Corrective Action: The Organization has implemented a dual-review process for all grant expenses to ensure that eligible costs are identified and submitted as a means to reduce misidentification of expenses for allowed activities. Staff will also receive updated training on allowable expense categories to reduce misinterpretation. In monitoring payroll activities, the Organization has revised its grant payroll allocation process to ensure that duties performed under specific roles are billed at the appropriate rate. Future budgets will more clearly distinguish between roles and corresponding pay rates to prevent overages. All projects will undergo budget-to-expense reconciliation on a monthly basis to safeguard against missed claims and ensure that grant resources are maximized without exceeding allowable limits. Name of Contact Person: Janelle Lawrence, Executive Director Phone: 503-303-4954 E-mail: janelle@oregonimpact.org Projected Completion Date: June 30, 2026
Views of Responsible Officials at Auditee: We recognize that the necessary documentation was unavailable during the audit. To address this issue, we are collaborating with professionals to ensure that all documentation is properly generated and securely stored for future retrieval of processes that ...
Views of Responsible Officials at Auditee: We recognize that the necessary documentation was unavailable during the audit. To address this issue, we are collaborating with professionals to ensure that all documentation is properly generated and securely stored for future retrieval of processes that we already have in place. We have engaged a new bookkeeping firm to assist us in continuing consistent monthly processes and accurate documentation. Additionally, we are implementing a monthly checklist to track our internal controls, highlighting our ongoing review and approval processes. We will ensure that all expenses are reviewed monthly and approved with initials by either the Chief Executive Officer or Chief Financial & Outreach Officer on invoices and receipts. This review will also encompass all bank and credit card statements. Furthermore, we will ensure that all staff compensation documents are updated and reviewed annually to keep them current. This comprehensive process will form an integral part of our financial internal control checklist. While we have established internal controls, recent staff changes during the audit process made it challenging to locate all necessary documentation. This absence of documentation stemmed from these transitions, and we are actively working to improve our documentation procedures moving forward.
Response/Corrective Action Plan: We concur with the finding and will revise the procurement policy as well as the internal control policies and procedures specific to the County to be in alignment with the Uniform Guidance requirements. Upon completion, the new policy will be provided to all departm...
Response/Corrective Action Plan: We concur with the finding and will revise the procurement policy as well as the internal control policies and procedures specific to the County to be in alignment with the Uniform Guidance requirements. Upon completion, the new policy will be provided to all department heads to ensure proper compliance in the utilization and disbursement of federal funds.
Management agrees to maintain separate trial balances for the allocation of cash, property and equipment, interest rate swap asset and loans payable between Palmyra Area Interfaith Housing Council and Palmyra Interfaith Manor HUD Project No. 034-EH015. Management notes that this represents a differe...
Management agrees to maintain separate trial balances for the allocation of cash, property and equipment, interest rate swap asset and loans payable between Palmyra Area Interfaith Housing Council and Palmyra Interfaith Manor HUD Project No. 034-EH015. Management notes that this represents a difference of opinion from the prior auditors, who found the financial records of the two entities to be properly reconciled through the use of schedules to separate the council and project’s allocation of cash, property and equipment, interest rate swap asset and loans payable between the Council and the Project for 19 years with no consequence.
Views of Responsible Officials: CIF grew substantially in FY 24 following execution of the Federal award. This finding reflects the learning phase as CIF came into compliance with the Uniform Guidance. This FY 24 Program Audit immediately preceded the FY 25 Single Audit in fall 2025. Given this timi...
Views of Responsible Officials: CIF grew substantially in FY 24 following execution of the Federal award. This finding reflects the learning phase as CIF came into compliance with the Uniform Guidance. This FY 24 Program Audit immediately preceded the FY 25 Single Audit in fall 2025. Given this timing, the earliest possible implementation of corrective action is in FY 26. Beginning in FY 26, CIF implemented a system for documenting time and effort in a manner that complies with Federal requirements which involves timesheets that record actual time spent on a funding source and are accompanied by supervisorial approvals. This system has been formally documented in the FY 26 update to the CIF Financial Policy and includes annual training for staff responsible for managing payroll allocations and Federal reporting. Charges to Federal awards for salaries and wages are now based on records that accurately reflect the work performed. The records are supported by a system of internal control that provides reasonable assurance that the charges are accurate, allowable, and properly allocated. The records support the distribution of the employee's salary or wages among specific activities or cost objectives if the employee works on more than one Federal award; a Federal award and non-Federal award; an indirect cost activity and a direct cost activity; two or more indirect activities allocated using different allocation bases; or an unallowable activity and a direct or indirect cost activity.
Finding 1168472 (2024-003)
Material Weakness 2024
Mana Maoli has implemented a practical review and reconciliation step as part of payroll processing. This step compares approved timesheets to payroll register hours to help ensure that payroll allocations to federal programs are based on accurate records. This reconciliation is integrated into the ...
Mana Maoli has implemented a practical review and reconciliation step as part of payroll processing. This step compares approved timesheets to payroll register hours to help ensure that payroll allocations to federal programs are based on accurate records. This reconciliation is integrated into the existing payroll workflow to avoid added administrative burden. Management will conduct periodic reviews of payroll records and refine the process as needed to maintain reasonable assurance of accuracy, recognizing that the goal is continuous improvement. Anticipated completion date: December 31, 2026
Finding 1168471 (2024-002)
Material Weakness 2024
During the FY2024 audit, Mana Maoli began implementing improvements to strengthen documentation practices for federal expenditures. These improvements include: Incorporating a centralized electronic system for retaining invoices, receipts, and other supporting documentation. Reinforcing existing app...
During the FY2024 audit, Mana Maoli began implementing improvements to strengthen documentation practices for federal expenditures. These improvements include: Incorporating a centralized electronic system for retaining invoices, receipts, and other supporting documentation. Reinforcing existing approval procedures as part of the disbursement workflow. Providing targeted staff reminders and guidance on documentation expectations related to federal awards. Conducting periodic spot-checks of documentation to confirm consistency and identify any areas needing clarification. These steps are designed to strengthen controls using the organization’s existing capacity and tools. Mana Maoli will continue monitoring the process and making incremental refinements as needed. Anticipated completion date: June 30, 2026
CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE City of Stevenson January 1, 2024 through December 31, 2024 This schedule presents the corrective action the City is planning to take for findings included in this report in accordance with Title 2 U.S. Code of Federal Regulations (...
CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE City of Stevenson January 1, 2024 through December 31, 2024 This schedule presents the corrective action the City is planning to take for findings included in this report in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Finding ref number: 2024-001 Finding caption: The City did not have adequate internal controls and did not comply with federal wage rate requirements. Name, address, and telephone of City contact person: Wesley Wootten, City Administrator PO Box 371 Stevenson, WA 98648 509-427-5970 Corrective action the auditee plans to take in response to the finding: (If the auditee does not concur with the finding, the auditee must list the reasons for disagreement). The City will strengthen oversight of federally funded projects by enhancing internal review and documentation processes. 1. A project compliance tracking form will be created and used for each project to document required wage rate verifications, funding sources, reporting deadlines, and accounting setup. This form will be reviewed and updated annually to ensure compliance with current federal requirements. 2. The City will also create a reimbursement tracking system to monitor project reimbursements and ensure consistency with the SEFA. 3. Staff responsible for project and grant administration will attend training opportunities related to federal compliance and wage rate requirements to ensure continued understanding and adherence. Anticipated date to complete the corrective action: December 31, 2025
Finding reference: 2024-004 - Inappropriate Allocation of Expenses The following steps were taken to bring the Borough into compliance. 1. Both the accounting specialist and the Borough Manger have implemented a tracking system to cross reference and monitor compliance of both payments and receipts ...
Finding reference: 2024-004 - Inappropriate Allocation of Expenses The following steps were taken to bring the Borough into compliance. 1. Both the accounting specialist and the Borough Manger have implemented a tracking system to cross reference and monitor compliance of both payments and receipts of all grant funds. 2. Implemented June 2025.
The District Director of Student Services will monitor and make sure that all personnel who serve under federal programs have their time properly documented using semi-annual certification forms or other appropriate time and effort methods.
The District Director of Student Services will monitor and make sure that all personnel who serve under federal programs have their time properly documented using semi-annual certification forms or other appropriate time and effort methods.
Planned corrective actions: Heritage implemented a new system, however Heritage continues to encounter mistakes on correctly completing the time & efforts due to the differences in length of faculty contracts. Heritage continues to work on the process to improve with further training. Name of Respon...
Planned corrective actions: Heritage implemented a new system, however Heritage continues to encounter mistakes on correctly completing the time & efforts due to the differences in length of faculty contracts. Heritage continues to work on the process to improve with further training. Name of Responsible Party: 1. Rachel Castijella, Grant Accountant 2. Terri Slack, Fiscal Agent 3. Ivan Banks, Interim Provost 4. Joanne Fernandez, Controller 5. Sagrario Armenta Jimenez, CFO 6. Dr. Christopher Gilmer, President Anticipated completion date: 6/30/2026
Planned corrective actions: Heritage implemented a new system, however Heritage continues to encounter mistakes on correctly completing the time & efforts due to the differences in length of faculty contracts. Heritage continues to work on the process to improve with further training. Name of Respon...
Planned corrective actions: Heritage implemented a new system, however Heritage continues to encounter mistakes on correctly completing the time & efforts due to the differences in length of faculty contracts. Heritage continues to work on the process to improve with further training. Name of Responsible Party: 1. Rachel Castijella, Grant Accountant 2. Terri Slack, Fiscal Agent 3. Ivan Banks, Interim Provost 4. Joanne Fernandez, Controller 5. Sagrario Armenta Jimenez, CFO 6. Dr. Christopher Gilmer, President Anticipated completion date: 6/30/2026
Planned Corrective Action: Heritage implemented a new system, however Heritage continues to encounter mistakes on correctly completing the time & efforts due to the differences in length of faculty contracts. Even though DOE noted that “this finding resolved and closed.”, Heritage continues to work ...
Planned Corrective Action: Heritage implemented a new system, however Heritage continues to encounter mistakes on correctly completing the time & efforts due to the differences in length of faculty contracts. Even though DOE noted that “this finding resolved and closed.”, Heritage continues to work on the process to improve with further training. Name of Responsible Party: 1. Rachel Castijella, Grant Accountant 2. Terri Slack, Fiscal Agent 3. Ivan Banks, Interim Provost 4. Joanne Fernandez, Controller 5. Sagrario Armenta Jimenez, CFO 6. Dr. Christopher Gilmer, President Anticipated Completion Date: 6/30/2026
AHC has fully implemented enhanced reconciliation procedures to ensure that all grant drawdowns are reconciled to the general ledger prior to submission, with supporting documentation retained electronically. Quarterly internal audits of drawdown packets are conducted to ensure compliance with feder...
AHC has fully implemented enhanced reconciliation procedures to ensure that all grant drawdowns are reconciled to the general ledger prior to submission, with supporting documentation retained electronically. Quarterly internal audits of drawdown packets are conducted to ensure compliance with federal requirements. These improvements eliminate timing discrepancies and strengthen federal cash management controls. All federal expenditures year-to-date have been verified. It is important to note that AHC did not maintain a single consolidated record of drawdown support but instead retained multiple supporting documents. Despite this documentation issue, all drawdowns were found to be in compliance with HRSA guidelines and were determined to represent allowable costs.
CONDITION: During the calendar year 2024, the City did not utilize a formal general ledger system of accounting to track the financial activity (financial position and results of operations) for several ‘Funds’ held at the City. The activity of these funds is either 1) maintained in spreadsheet fash...
CONDITION: During the calendar year 2024, the City did not utilize a formal general ledger system of accounting to track the financial activity (financial position and results of operations) for several ‘Funds’ held at the City. The activity of these funds is either 1) maintained in spreadsheet fashion similar to a checkbook used in personal finances, 2) recorded partially (expenses only with no revenue), or 3) not tracked at all. As these funds are not maintained using the City’s accounting software package, management does not have the ability to efficiently generate financial reports necessary to provide management with the proper fiscal oversight. This condition included the American Rescue Plan Act (ARPA) funding known as the Coronavirus State and Local Fiscal Recovery Fund. However, it should be noted that City personnel were able to prepare spreadsheets to document which expenditures were utilized to prepare the necessary quarterly reporting requirements to the Department of Treasury. This is a repeat finding (2023-002) from the prior year. CRITERIA: Prudent internal control procedures in the areas of general ledger management and financial reporting include maintaining a formal general ledger system of accounting to track the activity of all ‘Funds’ maintained by the City. In specific as it relates to federal programs, Section 2 CFR 200.403(g) of the Uniform Guidance requires that federal costs must be adequately documented which would include the maintaining of a formal general ledger system of accounting for all ‘Funds’ of the City. MANAGEMENT’S CORRECTIVE ACTION PLAN: Management of the City is continuing to assess the current workload and expertise of the City’s business office personnel in an effort to determine a feasible timeframe to continue the process of creating a formal general ledger system of accounting for all City ‘Funds’ that are not already entered into the software accounting system. The timeframe for completion of this review will occur during the first nine months of calendar year 2026 with the intention of having the City be in full compliance with Section 2 CFR 200.403(g) of the Uniform Guidance which requires federal costs to be adequately documented which would include the maintaining of a formal general ledger system of accounting for all ‘Funds’ of the City.
CONDITION: During the calendar year 2024, the City did not record the necessary adjustments to the various ‘Fund’ general ledgers of the City to properly reconcile the balance sheet accounts, such as cash, receivables, payables, and payroll-related liabilities to the underlying supporting documentat...
CONDITION: During the calendar year 2024, the City did not record the necessary adjustments to the various ‘Fund’ general ledgers of the City to properly reconcile the balance sheet accounts, such as cash, receivables, payables, and payroll-related liabilities to the underlying supporting documentation available at the City (which includes reconciliations of cash prepared independently by City personnel but do not agree to amounts reported in the various general ledgers). This included ‘Funds” containing significant federal funding such as the City’s Community Development Block Grant (CDBG) Program and American Rescue Plan Act (ARPA) funding known as the Coronavirus State and Local Fiscal Recovery Fund.CONDITION (Continued): As a result, the financial position and results of operations as shown throughout the calendar year were inaccurately stated. However, it should be noted that the Community Development Department of the City and other City personnel maintain separate financial reporting for these federal funds, independent of the aforementioned ‘Fund’ general ledgers sufficient to ascertain the revenues and expenditures of the federal programs. This is a repeat finding (2023-001) for the prior year. CRITERIA: Prudent internal control procedures in the areas of general ledger management and financial reporting include the reconciliation of all general ledger account balances to underlying supporting documentation monthly with independent oversight and approval as part of the process. In specific as it relates to federal programs, Section 2 CFR 200.403(g) of the Uniform Guidance requires that federal costs must be adequately documented which would include the applicable general ledgers of the City. MANAGEMENT’S CORRECTIVE ACTION PLAN: Management of the City is continuing their review of the recommended options as presented by the Audit Firm’s recommendation for feasibility considering current manpower, expertise, and budgetary constraints. In addition, the City plans to ensure that written procedures for all accounting functions are implemented, reviewed and updated as necessary with the objective of ensuring that all balance sheet account balances are supported by the underlying documentation available at the City. The timeframe for completion of this review will occur during the first nine months of calendar year 2026 with the intention of having the City be in full compliance with Section 2 CFR 200.403(g) of the Uniform Guidance which requires federal costs to be adequately documented which would include the applicable general ledgers of the City.
Finding #2024-002: Grant Program: Department of Health and Human Services – National Institutes for Health Research and Development Cluster – Cancer Control – Assistance Listing #93.599 – Lack Inadequate Documentation and Lack of Independent Review of Expenditures Corrective Action: We agree with th...
Finding #2024-002: Grant Program: Department of Health and Human Services – National Institutes for Health Research and Development Cluster – Cancer Control – Assistance Listing #93.599 – Lack Inadequate Documentation and Lack of Independent Review of Expenditures Corrective Action: We agree with the recommendation. We do currently require complete supporting documentation for all expenditures. MCC has updated the Financial Process Procedure to include language related to receipt management, and allowable and disallowed grant expenses. MCC has created a Travel Reimbursement Procedure that addresses approval of Director expenses. Timeline: This was implemented on December 1, 2025. Responsible Parties: MCC Director, Principal Investigators
Finding 2024-001: Grant Program: Department of Health and Human Services – National Institutes for Health Research and Development Cluster – Cancer Control – Assistance Listing #93.399 – Lack of Required Written Policies Corrective Action: We agree with the recommendation. We do currently require co...
Finding 2024-001: Grant Program: Department of Health and Human Services – National Institutes for Health Research and Development Cluster – Cancer Control – Assistance Listing #93.399 – Lack of Required Written Policies Corrective Action: We agree with the recommendation. We do currently require complete supporting documentation for all expenditures. Montana Cancer Consortium (MCC) has updated the Financial Process Procedure to include language related to receipt management, allowable and disallowed grant expenses, and timing of payment requests. Timeline: This was implemented on December 1, 2025. Responsible Parties: MCC Director, Principal Investigators
CORRECTIVE ACTION PLAN April 10, 2025 M.C. College Preparatory School of Wisconsin, Inc., respectfully submits the following corrective action plan for the year ending June 30, 2024. Walkowicz, Boczkiewicz & Co., S.C. 1800 East Main Street, Suite 100 Waukesha, WI 53186 AUDIT PERIOD: June 30, 2024 Th...
CORRECTIVE ACTION PLAN April 10, 2025 M.C. College Preparatory School of Wisconsin, Inc., respectfully submits the following corrective action plan for the year ending June 30, 2024. Walkowicz, Boczkiewicz & Co., S.C. 1800 East Main Street, Suite 100 Waukesha, WI 53186 AUDIT PERIOD: June 30, 2024 The findings from the June 30, 2024, schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS-FEDERAL AWARD PROGRAMS AUDITS DEPARTMENT OF EDUCATION MATERIAL WEAKNESS 2024-001 Elementary and Secondary School Emergency Relief Fund - COVID-19 – CFDA No. 84.425 Condition: During the audit of submitted claims, it was found that there was a lack of sufficient review procedures to ensure proper verification of costs. Specifically, several instances of duplicated expenditures were identified within the claims. The same costs were submitted more than once for reimbursement, resulting in questioned costs. Criteria: The Organization's internal controls should require that claims be thoroughly reviewed for accuracy and completeness before submission. This includes verifying that costs are not duplicated and ensuring proper documentation supports each expenditure. Additionally, the previously submitted claims included in the period of performance should be monitored to prevent duplication. Cause: The review process did not involve cross-checking with previous claims or documentation to identify and prevent the submission of duplicate costs. Effect: As a result of inadequate claim reviews, the organization has submitted claims containing duplicated costs. These duplicated expenditures have resulted in questioned costs, which may need to be refunded. The failure to detect and prevent such errors could lead to non-compliance with funding requirements. Questioned costs: $505,820 Auditor’s recommendation: It is recommended that the organization implement a more thorough review process for all submitted claims. This should include cross-checking current claims against previous claims to detect and prevent duplicated costs. A system should be implemented to track claims and associated costs more effectively, ensuring that no expenditure is claimed more than once. Action Taken: M.C. College Preparatory School of Wisconsin, Inc.’s Management has completed the transition to a new payroll system with enhanced process controls as of December 2024. This system enables the organization to isolate funding source allocations at the individual employee level, thereby preventing expenses from being attributed to more than one source. Final programming and control reviews are scheduled for completion prior to June 30, 2025. Further, Management has reviewed the questioned costs with the local education authority and has submitted qualified replacement expenses for all amounts initially submitted in error. As a result, no refund is required, and the applicable financial reserve will be released in the upcoming fiscal year. If the Department of Education has questions regarding this plan, please call Alfred Keith IV at 414-264-6000. Sincerely yours, Alfred Keith IV Chief Education Officer
The Village of Whitehouse will work with our outside Engineers to ensure that all compliance items are being addressed in all initial meetings for projects using Federal Funds. This will ensure that all policies and procedures are put into place prior to the start of the project. The Village will se...
The Village of Whitehouse will work with our outside Engineers to ensure that all compliance items are being addressed in all initial meetings for projects using Federal Funds. This will ensure that all policies and procedures are put into place prior to the start of the project. The Village will seek out training on federal procurement compliance requirements.
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