Corrective Action Plans

Finding 1216365 (2025-001)

Material Weakness 2025

American Samoa Medical Center Authority Lbj Medical Center

AS

Internal Control / Segregation of Duties Subrecipient Monitoring Allowable Costs / Cost Principles § 200.514

Corrective actions were delayed due to the anticipated implementation of a new system that ws expected to address access and segregation of duties concerns. Since the new system will not be imiplemented immediately, management is proceeding with corrective action under the current system. Management...

Corrective actions were delayed due to the anticipated implementation of a new system that ws expected to address access and segregation of duties concerns. Since the new system will not be imiplemented immediately, management is proceeding with corrective action under the current system. Management is working to define and separate HR and Payroll rolls and access responsibilities so that employee information, pay rates, and payroll related functions are restricted to authorized personnel based on job duties. In the interim, periodic reviews of employee information, user access, and payroll related transactions will be performed. Any unauthorized changes will be documented and retained.

View Audit 402905

Finding 1216310 (2025-001)

Material Weakness 2025

The Carter Center, Inc.

GA

Subrecipient Monitoring Allowable Costs / Cost Principles

The Center will perform a thorough review of its subaward management process in response to this finding to ensure that this remains an isolated instance caused by the extenuating circumstances of the federal funding shutdown.

View Audit 402804

Finding 1216258 (2025-003)

Material Weakness 2025

Pembroke Housing for the Elderly, Inc.

NH

Allowable Costs / Cost Principles Reporting Significant Deficiency

Plan: The Director of Affordable Housing will ensure that her staff submit allocation sheets each pay period. The Director will review the allocation sheets for accuracy, and the Director will approve the allocation sheets before submitting to Payroll for processing. The Chief Operating Officer will...

Plan: The Director of Affordable Housing will ensure that her staff submit allocation sheets each pay period. The Director will review the allocation sheets for accuracy, and the Director will approve the allocation sheets before submitting to Payroll for processing. The Chief Operating Officer will ensure that the Director of Affordable Housing submits an allocation sheet each pay period. The COO will check the allocation sheet for accuracy before approving the allocation sheet and submitting to Payroll for processing. The allocation sheet submitted will include detailed information on the job duties performed during that pay period by the staff member submitting the allocation sheet. Additionally, the Director of Affordable Housing will document job duties for each position in the department. Anticipated Completion Date: 7/1/2026 Contact: Jill Lesmerises, CFO

View Audit 402757

Finding 1216252 (2025-003)

Material Weakness 2025

Newbury Elderly Housing, Inc.

NH

Allowable Costs / Cost Principles Reporting Significant Deficiency

Finding 2025-003 Plan: The Director of Affordable Housing will ensure that her staff submit allocation sheets each pay period. The Director will review the allocation sheets for accuracy, and the Director will approve the allocation sheets before submitting to Payroll for processing. The Chief Opera...

Finding 2025-003 Plan: The Director of Affordable Housing will ensure that her staff submit allocation sheets each pay period. The Director will review the allocation sheets for accuracy, and the Director will approve the allocation sheets before submitting to Payroll for processing. The Chief Operating Officer will ensure that the Director of Affordable Housing submits an allocation sheet each pay period. The COO will check the allocation sheet for accuracy before approving the allocation sheet and submitting to Payroll for processing. The allocation sheet submitted will include detailed information on the job duties performed during that pay period by the staff member submitting the allocation sheet. Additionally, the Director of Affordable Housing will document job duties for each position in the department. Anticipated Completion Date: 7/1/2026 Contact: Jill Lesmerises, CFO

View Audit 402751

Finding 1216209 (2025-001)

Material Weakness 2025

Pittsfield Charter Township

MI

Allowable Costs / Cost Principles Internal Control / Segregation of Duties

2025-001 - Lack of Independent Review and Approval of Reporting Auditor Description of Condition and Effect: During our audit procedures over the Township's reporting process, we noted that the annual financial report selected for testing did not include documentation that it was subject to an indep...

2025-001 - Lack of Independent Review and Approval of Reporting Auditor Description of Condition and Effect: During our audit procedures over the Township's reporting process, we noted that the annual financial report selected for testing did not include documentation that it was subject to an independent review and approval prior to submission in order to detect and correct potential errors or omissions. As a result of this condition, the Township was exposed to an increased risk that the report filed could contain errors and not be detected and corrected on a timely basis. Auditor Recommendation: We recommend that the Township establish procedures to ensure that all reports are subject to review and approval by an independent employee prior to submission, and that the review and approval is adequately documented. Corrective Action: We acknowledge the finding of significant deficiency in internal controls over compliance. While the matter is not considered to be material to the overall compliance requirements, we recognize the importance of maintaining robust internal controls to ensure full adherence to applicable regulations and policies. The Township has completed training sessions with relevant personnel on the updated compliance process. The Township has also designated an employee as grants manager to provide additional oversight over grant awards to ensure sustained compliance and timely identification of potential issues. Responsible Person: Corey Schmidt, Finance Director Anticipated Completion Date: December 31, 2026

View Audit 402689

Finding 1216178 (2025-001)

Material Weakness 2025

Los Angeles Jewish Home for the Aging

CA

Period of Performance Allowable Costs / Cost Principles Cash Management § 200.403 § 200.430

As required by the OMB Uniform Guidance, we have provided our response and corrective action plan addressing the finding in the Schedule of Findings and Questioned Costs for the year ended August 31, 2025. Finding 2025-001: Allowable Costs – Significant Deficiency in Internal Control Over Compliance...

As required by the OMB Uniform Guidance, we have provided our response and corrective action plan addressing the finding in the Schedule of Findings and Questioned Costs for the year ended August 31, 2025. Finding 2025-001: Allowable Costs – Significant Deficiency in Internal Control Over Compliance and Instance of Noncompliance Management’s Views – Management agrees with the finding. LAJH acknowledges that payroll reimbursement calculations submitted under the federal program were prepared using subsequent employee pay rates rather than the contemporaneous pay rates applicable during the grant performance period and that certain duplicative expenditures were included in error. Management recognizes that these errors resulted in overstated costs totaling $79,825. Corrective Action Plan – LAJH will implement enhanced internal control procedures over the preparation and review of payroll costs charged to federal awards. Specifically, management will require all payroll reimbursement calculations to be supported by contemporaneous payroll registers and employee pay rate documentation applicable to the period during which services were performed. Person Responsible for Corrective Action: Robin Ray, Corporate Controller Anticipated Completion Date: May 31, 2026

View Audit 402659

Finding 1216119 (2025-001)

Material Weakness 2025

Michigan Works! Southeast Consortium

MI

Allowable Costs / Cost Principles § 200.405

April 30, 2026 Finding Number: 2025-001: Significant Deficiency in Internal Control / Immaterial Noncompliance – Activities Allowed/Allowable Costs Finding Condition: Allowable costs charged to the grant were coded to an incorrect functional expense within the grant. Planned Corrective Action: Altho...

April 30, 2026 Finding Number: 2025-001: Significant Deficiency in Internal Control / Immaterial Noncompliance – Activities Allowed/Allowable Costs Finding Condition: Allowable costs charged to the grant were coded to an incorrect functional expense within the grant. Planned Corrective Action: Although the allowable cost sampled was charged to the correct federal cost category, it was inadvertently charged to the incorrect internal functional account code. We have instituted more rigorous reviews of all elements of account coding during the invoice review process prior to posting invoices to the Accounts Payable ledger. We also note that the cost was reported to the correct cost category on quarterly reports. Responsible Contact Person: Shamar Herron (Executive Director) Sherron@mwse.org Anticipated Completion Date: Effective Immediately Respectfully, Shamar Herron

View Audit 402596

Finding 1216066 (2025-002)

Material Weakness 2025

Baptist Health Deaconess Madisonville, Inc.

KY

Allowable Costs / Cost Principles Period of Performance Significant Deficiency § 200.303

Finding 2025-002 Federal Agency Name: Department of the Health and Human Services Program Name: Rural Healthcare Services Program Federal Financial Assistance Listing #93.912 Compliance Requirement: Activities Allowed or Unallowed and Allowable Costs/Cost Principles and Period of Performance Finding...

Finding 2025-002 Federal Agency Name: Department of the Health and Human Services Program Name: Rural Healthcare Services Program Federal Financial Assistance Listing #93.912 Compliance Requirement: Activities Allowed or Unallowed and Allowable Costs/Cost Principles and Period of Performance Finding Summary: BHD, LLC did not retain documentation of the review and approval of all direct expenditures allocated to the program. Responsible Individuals: Valarie Howard, CFO Corrective Action Plan: We have begun generating a report each pay period identifying any timecards that remain unapproved at the processing deadline. Payroll will proactively follow up with the responsible managers to obtain approval for any outstanding timecards identified in the report. Payroll will disburse a document to the responsible managers who must document why the approval was not made by the payroll deadline and that they approve the time that was presented on the timecard and paid out. Anticipated Completion Date: Action plan has been implemented immediately after finding was communicated to management (May 2026).

View Audit 402591

Finding 1216064 (2025-001)

Material Weakness 2025

Baptist Health Deaconess Madisonville, Inc.

KY

Allowable Costs / Cost Principles Cash Management Significant Deficiency § 200.303

Finding 2025-001 Federal Agency Name: Department of the Health and Human Services Program Name: Rural Healthcare Services Program Federal Financial Assistance Listing #93.912 Compliance Requirement: Activities Allowed or Unallowed and Allowable Costs/Cost Principles Finding Summary: For a portion of...

Finding 2025-001 Federal Agency Name: Department of the Health and Human Services Program Name: Rural Healthcare Services Program Federal Financial Assistance Listing #93.912 Compliance Requirement: Activities Allowed or Unallowed and Allowable Costs/Cost Principles Finding Summary: For a portion of the year, BHD, LLC calculated their indirect cost rate based on the total grant budget and took an equal amount of that per month instead of calculating the indirect cost rate per direct expenditures for each month. When they started to calculate the indirect cost rate per direct expenditures for each month, they used the wrong cost pool per the budget and award. Responsible Individuals: Valarie Howard, CFO Corrective Action Plan: Historically, the indirect cost received by this grant has not been dependent of the direct expenditures. Based on verbal conversations with the HRSA grant project manager, requesting reimbursement for the indirect costs evenly over the year based on the budget submitted was acceptable. Therefore, the accounting treatment has been reflective of that. However, management agrees that recording the indirect cost based on the direct cost expenditures monthly is reasonable and appropriate and will make the change accordingly. The action plan was implemented immediately upon communication of the finding. Due to the timing of the prior year audit and communication of findings, the implementation of the action plan was mid- year during the current fiscal year resulting in a repetitive finding. Anticipated Completion Date: Action plan was implemented directly after issuance of prior year audit and communication of finding to management (March 2025).

View Audit 402591

Finding 1216062 (2025-002)

Material Weakness 2025

Town of Westerly, Rhode Island

RI

Subrecipient Monitoring Procurement, Suspension & Debarment Allowable Costs / Cost Principles

Audit Finding Reference: 2025-002 Document Policies and Procedures Over Federal Awards Planned Corrective Action: - Perform a comprehensive review of existing federal award policies and procedures - Develop and formally document policies covering federal award administration, allowable costs, procur...

Audit Finding Reference: 2025-002 Document Policies and Procedures Over Federal Awards Planned Corrective Action: - Perform a comprehensive review of existing federal award policies and procedures - Develop and formally document policies covering federal award administration, allowable costs, procurement, cash management, subrecipient monitoring, reporting, and record retention Planned Implementation Date of Corrective Action: 1/1/2026 Person Resposible for Corrective Action: Finance Director/Senior Accountant Grant Administrator

View Audit 402590

Finding 1216048 (2025-001)

Material Weakness 2025

Wenatchee School District No. 246

WA

Allowable Costs / Cost Principles Subrecipient Monitoring

Finding ref number: 2025-001 Finding caption: The District did not have adequate internal controls and did not comply with time-and-effort and eligibility requirements. Name, address, and telephone of District contact person: Karen Walters 235 Sunset Ave Wenatchee, WA 98801 (509) 663-8161 Corrective...

Finding ref number: 2025-001 Finding caption: The District did not have adequate internal controls and did not comply with time-and-effort and eligibility requirements. Name, address, and telephone of District contact person: Karen Walters 235 Sunset Ave Wenatchee, WA 98801 (509) 663-8161 Corrective action the auditee plans to take in response to the finding: Time-and-Effort The district will update time-and-effort forms to reflect actual work time. During this audit, the district implemented a regular time-and-effort review schedule to ensure the district is complying with requirements. Eligibility The district will allocate school funding based on the grant application’s school eligibility ranking. Additionally, the district will allocate carryover funding based on the ranking allocation. During the school year, the district will periodically review budget aligns with the eligibility ranking. Anticipated date to complete the corrective action: Summer 2026

View Audit 402585

Finding 1216047 (2025-004)

Material Weakness 2025

Communities in Schools of the Dallas Region, Inc.

TX

Allowable Costs / Cost Principles Cash Management Material Weakness

Finding 2025-004: Allowable Costs – Material Weakness in Internal Controls Over Compliance and Compliance Finding Summary of Finding: Duplicate charges were identified within grant reimbursement submissions across reimbursement periods. Management Response During FY2025, grant reimbursement review p...

Finding 2025-004: Allowable Costs – Material Weakness in Internal Controls Over Compliance and Compliance Finding Summary of Finding: Duplicate charges were identified within grant reimbursement submissions across reimbursement periods. Management Response During FY2025, grant reimbursement review procedures were not sufficiently standardized to consistently identify duplicate charges submitted across reimbursement periods. Management is currently evaluating and formalizing enhanced grant reimbursement review workflows designed to improve consistency of review and reduce the risk of duplicate charges within reimbursement submissions. Planned procedures include reconciliation of reimbursement schedules to the general ledger, review of previously submitted reimbursement activity prior to submission of subsequent requests, and clarification of review responsibilities between management and the outsourced accounting team. Management is in the process of documenting these procedures and plans to implement the enhanced review workflow as soon as practicable. Separately, as part of ongoing remediation and compliance monitoring efforts, management has implemented a recurring quarterly Grant Utilization Review process intended to improve oversight of reimbursement activity, grant utilization, and reconciliation procedures across reimbursement periods. The first review meeting is scheduled for June 2026.

View Audit 402576

Finding 1216046 (2025-002)

Material Weakness 2025

Communities in Schools of the Dallas Region, Inc.

TX

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

Summary of Finding: Supporting documentation for certain grant-related expenditures could not be located during compliance testing. Management Response The Organization maintained procedures requiring supporting documentation for grant-related expenditures during FY2025; however, supporting document...

Summary of Finding: Supporting documentation for certain grant-related expenditures could not be located during compliance testing. Management Response The Organization maintained procedures requiring supporting documentation for grant-related expenditures during FY2025; however, supporting documentation was not consistently centralized or retained in a manner that allowed for efficient retrieval during audit testing. Management has since implemented centralized electronic document retention procedures for invoices, grant support, reimbursement documentation, and related approvals. Responsibilities for maintaining and reviewing grant documentation have been clarified between management and the outsourced accounting team to improve accountability and consistency of execution. In addition, grant reimbursement support is now reviewed prior to submission and retained electronically to strengthen ongoing compliance monitoring and audit support procedures. Management has also developed and implemented a recurring Grant Utilization Review meeting process designed to support periodic review of grant activity, supporting documentation, reimbursement status, and compliance-related matters. The first quarterly review meeting is scheduled for June 2026.

View Audit 402576

Finding 1216045 (2025-001)

Material Weakness 2025

Communities in Schools of the Dallas Region, Inc.

TX

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

Summary of Finding: Documentation evidencing management approval was not available for certain expenditures selected during compliance testing. Management Response The Organization maintained procedures requiring management approval of invoices and expenditures during FY2025; however, documentation ...

Summary of Finding: Documentation evidencing management approval was not available for certain expenditures selected during compliance testing. Management Response The Organization maintained procedures requiring management approval of invoices and expenditures during FY2025; however, documentation evidencing approval was not consistently retained during periods of staffing transition and operational change. Management has since enhanced and centralized invoice approval workflows within Accounting Seed to improve consistency of approval documentation retention. Approval responsibilities have been clarified by department and management level, and supporting approval documentation is now maintained electronically within the accounting workflow system. Management has also reinforced approval and documentation retention expectations with department leadership and accounting personnel and implemented periodic review procedures to improve ongoing compliance with internal policies and grant requirements.

View Audit 402576

Finding 1216037 (2025-006)

Material Weakness 2025

Kilgore Junior College District

TX

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

Student Financial Aid Cluster – Assistance Listing No.: Various Recommendation: We recommend that management strengthen and formalize internal control procedures over federal awards, including documented reviews, approvals, and reconciliations. We also recommend management provide training to staff ...

Student Financial Aid Cluster – Assistance Listing No.: Various Recommendation: We recommend that management strengthen and formalize internal control procedures over federal awards, including documented reviews, approvals, and reconciliations. We also recommend management provide training to staff responsible for federal program administration to ensure understanding of Uniform Guidance requirements. Lastly, management should establish periodic internal reviews to verify that control activities are consistently performed and documented. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to the finding: Due to staff turnover, the loan reconciliation process was performed by the Director of Financial Aid. While the design of the internal controls over the Title IV loan reconciliation process remain accurate, timely, and compliant with federal requirements, Management will formalize procedures to ensure appropriate independent review when the Director completes the reconciliation in the event of staff absences or turnover. Specifically, internal control procedures will require that all reconciliations be reviewed and approved by a qualified supervisor, with documentation retained to evidence both the performance and review of the control. Additionally, the policy will designate appropriate backup personnel to perform the review function in situations where the primary supervisor is unavailable due to absence or staffing changes. Name of the contact person responsible for corrective action: Jackie Kelley, Director of Financial Aid & Scholarship Planned completion date for corrective action plan: June 2026

View Audit 402570

Finding 1215950 (2025-004)

Material Weakness 2025

Neighborhood Defender Service, Inc.

NY

Allowable Costs / Cost Principles § 200.403

Contact Persons Responsible: Primary – Anthonia Ibe, CFO In Absence (Alternative): – Jesus Infante, CAO Management acknowledges this finding and has developed a corrective action plan to strengthen the underlying control, assign clear ownership, and ensure timely implementation. The Agency is develo...

Contact Persons Responsible: Primary – Anthonia Ibe, CFO In Absence (Alternative): – Jesus Infante, CAO Management acknowledges this finding and has developed a corrective action plan to strengthen the underlying control, assign clear ownership, and ensure timely implementation. The Agency is developing a time-tracking and documentation system to capture the actual time spent by allocable staff on federal programs, ensuring that charges to federal awards reflect the actual work performed in compliance with 2 CFR Part 200.403. Concurrently, HR is implementing a standardized pay rate approval and documentation process to ensure all approved salaries are formally recorded and retained by the human resources department. As an interim measure, manual time attestation will be in place by August 31, 2026, while the longer-term system is finalized. The CFO and CAO will work jointly to implement and monitor corrective actions in cross-functional areas, including timekeeping, payroll documentation, record retention, lease tracking, IT access controls, vendor onboarding, procurement documentation, and personnel training. This shared structure is intended to ensure that policy revisions are supported by clear workflows, staff training, documentation standards, and periodic compliance review. By October 31, 2026, the Agency will complete communication and training related to payroll approval controls.

View Audit 402512

Finding 1215939 (2025-001)

Material Weakness 2025

South Kitsap School District No. 402

WA

Subrecipient Monitoring Eligibility Allowable Costs / Cost Principles

Finding ref number: 2025-001 Finding caption: The District did not have adequate internal controls and did not comply with federal eligibility requirements. Name, address, and telephone of District contact person: Heather Korten, Director of Business Services 2689 Hoover Ave SE Port Orchard, WA 9836...

Finding ref number: 2025-001 Finding caption: The District did not have adequate internal controls and did not comply with federal eligibility requirements. Name, address, and telephone of District contact person: Heather Korten, Director of Business Services 2689 Hoover Ave SE Port Orchard, WA 98366 (360) 874-7015 Corrective action the auditee plans to take in response to the finding: 1. Documented Eligibility Review The District will require a documented eligibility review for each student included on any future CWSD application. This review will verify that each student is both: A dependent of active-duty military personnel; and A student with a qualifying severe disability under CWSD program requirements. 2. Comparison to Impact Aid Source Data Prior to submission, the Business Department will compare the students included on the CWSD application to the District’s source documentation for military-connected students, including data maintained through the U.S. Department of Education Impact Aid process. 3. Secondary Review by Business Services The Business Department will perform an independent secondary review of the CWSD application before submission. The application will not be submitted until Business Services has reviewed and documented agreement between the application data and the District’s supporting eligibility records. 4. Special Services Review of Disability Eligibility and Costs The Special Services Department will remain responsible for identifying students with disabilities who may meet the CWSD criteria and for supporting the special education cost information included in the application. 5. Written Procedures and Sign-Off Requirements The District will establish written procedures identifying the staff responsible for preparing, reviewing, approving, and retaining documentation for the CWSD application. The procedures will require documented review and approval by both Special Services and Business Services prior to submission. 6. Documentation Retention The District will retain supporting documentation for each student included on the application, including military-connected status, disability eligibility support, cost documentation, review checklists, and final application approval. 7. Training and Annual Review Staff involved in preparing or reviewing the CWSD application will review applicable program requirements annually before the application is prepared. Anticipated date to complete the corrective action: June 30, 2026

View Audit 402505

Finding 1215938 (2025-001)

Material Weakness 2025

Northwest Educational Service District No. 189

WA

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Subrecipient Monitoring

This schedule presents the corrective action the District 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 Guid...

This schedule presents the corrective action the District 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: 2025-001 Finding caption: The District did not have adequate internal controls for ensuring compliance with time-and-effort requirements. Name, address, and telephone of District contact person: Lisa Matthews 1601 R Avenue Anacortes WA 98221 360-299-4026 Corrective action the auditee plans to take in response to the finding: The District concurs with the finding. The District will implement additional internal controls to ensure all salaries and benefits are charged to the program with appropriate time-and-effort documentation. 1. Monthly time-and-effort tracking and verification: The District will implement a monthly checklist identifying employees that require time-and-effort documentation. The fiscal team will be responsible for collecting and reviewing time-and-effort documentation and updating the monthly checklist. The District’s Controller will sign the checklist monthly to verify completeness of the documentation. 2. Employee classification review: As part of our monthly checklist process, the District will review all federally funded employees to confirm proper classification (semiannual vs. monthly). 3. Procedures for missing documentation: Payroll costs for the affected period will be evaluated and removed or reclassified from the federal program until adequate support is obtained. The issue will be escalated to the Controller for review and resolution. 4. Training and communication: The District will provide annual training to affected employees and supervisors on time-and-effort requirements including semiannual vs monthly classification, timeliness of submission, and the approval responsibilities. Anticipated date to complete the corrective action: 9/30/2026

View Audit 402503

Finding 1215915 (2025-002)

Material Weakness 2025

Tacoma School District No. 10

WA

Procurement, Suspension & Debarment Allowable Costs / Cost Principles § 200.320

Time and Effort - Corrective actions were implemented immediately upon identification of the control weakness and prior to the conclusion of the audit. Time-and-effort certifications were subsequently obtained for the affected employees. In addition, the district has enhanced its payroll adjustment ...

Time and Effort - Corrective actions were implemented immediately upon identification of the control weakness and prior to the conclusion of the audit. Time-and-effort certifications were subsequently obtained for the affected employees. In addition, the district has enhanced its payroll adjustment procedures involving federal funds by incorporating an additional checklist item within the approval routing process to ensure required time-and-effort certifications are obtained and documented before payroll adjustments are finalized. Procurement Requirements - The following corrective actions will be taken: • Provide targeted staff training related to Federal procurement requirements, including noncompetitive procurement standards under 2 CFR 200.320. Provide additional training focused on internal controls, procurement documentation requirements, and drafting clear procurement justifications. • Update the district’s sole source/noncompetitive procurement documentation form to specifically incorporate and address the five allowable rationale methods identified under 2 CFR 200.320. • Implement additional internal review procedures to ensure procurement files contain sufficient written justification and support documentation prior to approval and execution.

View Audit 402489

Finding 1215896 (2025-001)

Material Weakness 2025

Blaine School District No. 503

WA

Subrecipient Monitoring Allowable Costs / Cost Principles Material Weakness

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). District Response Plan for Finding 2025-001 Objective: To strengthen internal controls and ensure that all payroll costs char...

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). District Response Plan for Finding 2025-001 Objective: To strengthen internal controls and ensure that all payroll costs charged to federal programs, specifically the Special Education Cluster, are supported by adequate, timely, and compliant time-and-effort documentation. 1. Resource Allocation and Personnel Oversight Dedicated Management: In response to the finding that the District did not dedicate necessary time and resources to this area, the District will assign specific staff members to oversee the collection and verification of time-and-effort records. Contact Point: Lynn VanBuskirk will serve as the primary contact for ensuring these corrective actions are implemented and monitored. 2. Documentation Standardization and Protocol To meet federal and OSPI requirements, the District will implement the following documentation standards: Activity-Based Reporting: Implement a dual-track system where employees submit either semiannual certifications (for single-activity work) or monthly personnel activity reports/time sheets (for multi-activity work) as required by the awarding agency. Mandatory Timing: Establish a strict policy that all documentation must be signed and dated after the work has been completed. This ensures the records accurately reflect actual time worked rather than projected schedules. 3. Internal Control Enhancements Compliance Tracking: Develop a tracking system to ensure that the salaries and benefits for all employees charged to federal programs (such as the $398,208 identified in the audit) are backed by signed documentation before costs are finalized. Regulatory Alignment: Align District procedures with the OSPI Addendum to Bulletin 039-24, particularly regarding fixed schedule systems and charging employee compensation to federal grants. Quarterly Reviews: Conduct internal quarterly audits of documentation for the Special Education program cluster (84.027/84.173) to identify and correct potential deficiencies before the annual audit process. 4. Training and Communication Staff Training: Provide mandatory training as needed for all staff funded by federal grants on Title 2 CFR Part 200 (Uniform Guidance) requirements for internal controls and allowable cost principles. Alternative Documentation Policy: While the District successfully used alternative documentation to avoid questioned costs during the 2025 audit, the new policy will emphasize that “alternative” records should not be a substitute for the primary time-and-effort documentation required by law.

View Audit 402481

Finding 1215893 (2025-001)

Material Weakness 2025

Hockinson School District No. 98

WA

Allowable Costs / Cost Principles Subrecipient Monitoring Period of Performance

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Hockinson School District No.98 September 1, 2024 through August 31, 2025 This schedule presents the corrective action the District is planning to take for findings included in this report in accordance with Title 2 U.S. Code of Fed...

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Hockinson School District No.98 September 1, 2024 through August 31, 2025 This schedule presents the corrective action the District 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: 2025-001 Finding caption: The District did not have adequate internal controls and did not comply with time-and-effort and period of performance requirements. Name, address, and telephone of District contact person: Aaron Villanueva, Director of Business Services 17912 NE 159th Street Brush Prairie, WA 98606 (360) 448-6413 Corrective action the auditee plans to take in response to the finding: Time and Effort - To enhance compliance with Federal IDEA grant requirements, the district is refining its procedures for Annual and Semi-Annual Certifications. At the commencement of the school year, the district will proactively assign eligible Special Education personnel to this grant to ensure all necessary attestations are executed and submitted in a timely manner. In the event of projected expenditures exceeding the federal allocation, personnel costs associated with the overage will be reallocated to the State Special Education Program (2100). Furthermore, the District remains committed to utilizing the tools and best practices provided by the State Auditor’s Office following the 2024–2025 audit to ensure ongoing regulatory alignment. Period of Performance - Historically, the district’s award date for this specific grant has not been restricted in the period of performance to the narrow window suggested. For example: 2023–2024 fiscal year, Grant Award Date March 6, Period of Performance July 1, 2023, through August 31, 2024, allowing the district to claim expenditures for the full cycle. 2025–2026 fiscal year, Grant Award Date November 13th, Period of Performance July 3, 2025, through August 31, 2026, allowing the district to claim expenditures for the full cycle. To prevent future discrepancies, the district has implemented a secondary verification process to cross-reference all Grant Award Notifications (GAN). We will strictly document the specific period of performance dates identified in each award to ensure total alignment with state and federal expectations. Anticipated date to complete the corrective action: Effective Immediately

View Audit 402475

Finding 1215882 (2025-004)

Material Weakness 2025

Boys & Girls Clubs of Northeast Ohio

OH

Allowable Costs / Cost Principles Period of Performance § 200.403

The BGCNEO accounting staff will closely review expenditures to ensure costs were incurred within the applicable grant period, regardless of when the expenditure was paid.

View Audit 402459

Finding 1215842 (2025-016)

Material Weakness 2025

State of Connecticut Drinking Water Fund - State Revolving Fund

CT

Eligibility Special Tests & Provisions Allowable Costs / Cost Principles

Recommendation: The Department of Social Services should provide the necessary resources and institute procedures to ensure that it uses all information from eligibility, income, and death matches to ensure that it correctly issues benefits to or on behalf of eligible clients. DSS should return fede...

Recommendation: The Department of Social Services should provide the necessary resources and institute procedures to ensure that it uses all information from eligibility, income, and death matches to ensure that it correctly issues benefits to or on behalf of eligible clients. DSS should return federal reimbursements for unallowable expenditures claimed under Medicaid and SNAP. Corrective Action Plan as Reported by the Department of Social Services: The Department agrees with this finding. DSS staff is in the development phase of implementing new automated procedures to ensure timely and accurate action is taken to discontinue benefits of deceased clients when date of death information is received and matched to the Connecticut Department of Public Health’s State Vital Records Office. Action has been taken to correct the errors cited, including discontinuing the benefits of the individuals that were verified as deceased, and recouping the overpayments as appropriate. Anticipated Completion Date: December 31, 2026 Department of Social Services Contact Person: Dan Giacomi, Program Division Director (860) 424-5080

View Audit 402418

Finding 1215836 (2025-010)

Material Weakness 2025

State of Connecticut Drinking Water Fund - State Revolving Fund

CT

Allowable Costs / Cost Principles § 200.405

Recommendation: The Department of Social Services should strengthen internal controls to ensure that it allocates costs to the appropriate federal award in accordance with federal regulations. The Department of Social Services should return federal reimbursements for unallowable costs that it claime...

Recommendation: The Department of Social Services should strengthen internal controls to ensure that it allocates costs to the appropriate federal award in accordance with federal regulations. The Department of Social Services should return federal reimbursements for unallowable costs that it claimed to Children’s Health Insurance Program federal awards. Corrective Action Plan as Reported by the Department of Social Services: The Department agrees with this finding. The Department will review internal controls to identify possible corrective actions. Anticipated Completion Date: December 31, 2026 Department of Social Services Contact Person: Nelida Maldonado, Fiscal Administrative Manager 2 (860) 424-5461

View Audit 402418

Finding 1215834 (2025-400)

Material Weakness 2025

State of Connecticut Drinking Water Fund - State Revolving Fund

CT

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Reporting § 200.303 § 200.430

Recommendation: CT State Community College should strengthen internal controls to ensure that part-time and extension credit lecturer payroll and fringe benefits costs are based on actual time worked and are properly approved. Corrective Action Plan as Reported by the CT State Community College: CSC...

Recommendation: CT State Community College should strengthen internal controls to ensure that part-time and extension credit lecturer payroll and fringe benefits costs are based on actual time worked and are properly approved. Corrective Action Plan as Reported by the CT State Community College: CSCU is working to resolve the technical limitations that resulted in the relevant audit finding. Once resolved, reports will be generated and shared with the campuses to verify services provided. This will ensure that part-time and extension credit lecturer payroll is based on actual time worked that is properly approved and verified. Task Due Date Status Provide access to the template for the reporting requirements 1/8/2026 Completed Provide requirements for the report that would meet the needs of the audit requirement 1/12/2026 Review requirements and outline any questions / concerns with producing the requested report 1/20/2026 Regroup as a team to discuss next steps and review workplan for report implementation 1/21/2026 Completed Develop, test, and migrate report (detailed work plan to follow) 4/1/2026 Implement report for approval by each campus (Spring 2026 Semester) 5/1/2026 CT State Community College Anticipated Completion Date: May 1, 2026 CT State Community College Contact Person: Jennifer Person, Assistant Vice Chancellor of Human Resources and Labor Relations jennifer.person@ct.edu (860) 723-0258 Corrective Action Plan as Reported by the Office of Policy and Management: The Office of Policy and Management has no additional response beyond that offered by the CT State Community College. Office of Policy and Management Anticipated Completion Date: May 1, 2026 Office of Policy and Management Contact Person: Yvonne T. Addo, Chief Administrative Officer yvonne.addo@ct.gov (860) 418-6360

View Audit 402418

Corrective Action Plans

Filters