Corrective Action Plans

Finding 403177 (2023-101)

None 2023

MA

Allowable Costs / Cost Principles Cash Management

Unallowable Costs Criteria: The Organization must submit only allowable costs for reimbursement under the accounting principles contained in Uniform Guidance. Condition: During compliance testing, it was noted that one out of twenty five selections improperly included alcohol in the balances submit...

Unallowable Costs Criteria: The Organization must submit only allowable costs for reimbursement under the accounting principles contained in Uniform Guidance. Condition: During compliance testing, it was noted that one out of twenty five selections improperly included alcohol in the balances submitted for expense reimbursements. Context: One expense reimbursement was found to have reimbursed alcohol. Cause: There was a lack of consistent review of the receipt before submission for expense reimbursement. Effect: As a result of the condition, one reimbursement was overpaid. Recommendation: In the future, the Organization should review reimbursements closely to ensure unallowable costs are not submitted for reimbursement. Contact: Erin Spaulding, Senior Director of Finance. Corrective Actions Taken or Planned: Management acknowledges the finding and will take action to ensure that no unallowable costs are being reimbursed.

View Audit 310342

Finding 403169 (2023-002)

Significant Deficiency 2023

Freeborn County

MN

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Cash Management

Timestudy Testing Medical Assistance Program – Assistance Listing No. 93.778 Recommendation: We recommend that the County enact controls to assure employees included in grant are included in reporting submitted. Explanation of disagreement with audit finding: There is no disagreement with the audi...

Timestudy Testing Medical Assistance Program – Assistance Listing No. 93.778 Recommendation: We recommend that the County enact controls to assure employees included in grant are included in reporting submitted. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County will implement procedures to ensure that all reports are reviewed prior to submission. Names of the contact person responsible for corrective action: Pat Paquin, Finance Manager Planned completion date for corrective action plan: December 31, 2024

View Audit 310310

Finding 403144 (2023-002)

Significant Deficiency 2023

United Tribes Technical College

ND

Allowable Costs / Cost Principles

The FY23 and FY24 Indirect Costs Proposals were submitted and approved in January 2024. The College adjusted the IDC collections for FY23 and is currently using the FY24 IDC approved rate. The College continues to use an outside entity to work with UTTC Finance staff to complete future IDC Proposals...

The FY23 and FY24 Indirect Costs Proposals were submitted and approved in January 2024. The College adjusted the IDC collections for FY23 and is currently using the FY24 IDC approved rate. The College continues to use an outside entity to work with UTTC Finance staff to complete future IDC Proposals in a timely manner. We expect the FY 25 and FY26 IDC Proposal to be submitted by December 31, 2024. The CFO is responsible to ensure this is completed.

View Audit 310273

Finding 403100 (2023-002)

Material Weakness 2023

Casa Grande Union High School District No. 82

AZ

Questioned Costs Allowable Costs / Cost Principles § 200.303

Finding Number: 2023‐002 Assistance Listing Numbers: 84.010; 84.027; 84.027X; 84.425U Program Names/Assistance Listing Titles: Title I Grants to Local Educational Agencies; Special Education Cluster; COVID‐19 Education Stabilization Fund Contact Person: Glenda Cole, Human Resources Director An...

Finding Number: 2023‐002 Assistance Listing Numbers: 84.010; 84.027; 84.027X; 84.425U Program Names/Assistance Listing Titles: Title I Grants to Local Educational Agencies; Special Education Cluster; COVID‐19 Education Stabilization Fund Contact Person: Glenda Cole, Human Resources Director Anticipated Completion Date: May 30, 2025 Planned Corrective Action: It has been noted that several of the concerns associated with lack of appropriate payroll procedures occurred due to lack of clear communication with HR regarding rates of pay for new and continuing employees. Therefore, procedures have been put in place to address these issues to ensure an effective, transparent process. The following procedures are in place (or are being implemented) to improve performance in the HR/Payroll Department: I. Position Changes for Employees During the School Year: Position Changes for an employee during the school year will be addressed in the following manner: a. The governing board will continue to receive a personnel recommendation form that includes: i. Employee name ii. Position details (such as rate of pay, position title, control code‐if the position is a replacement.) iii. Site relocation (if applicable) iv. Reason for the position change v. Effective date of the change b. Agreements/Contracts will be issued to staff members for their signature. c. Payroll receives the personnel document after board approval. If the position change for the employee is a replacement, payroll uses the control assigned by HR. If the position change is a new position, Finance assigns the control code and sends to HR. II. Agreements/Contracts for Staff Members: a. Agreements/contracts will be created for each staff member to obtain staff member signature after board approval. b. Agreements will be placed in the staff members’ files. c. Agreements will include: i. Employee name ii. New position/title iii. Site relocation (if applicable), iv. Rate of pay v. Effective date. vi. Employee signature and date d. Tracking of these agreements will occur using onboarding and transfer agreement spreadsheets. III. Communications a. Payroll and HR staff will meet weekly to clarify hiring/payroll issues as they arise. b. A documented flow of information; forms initiated by HR will be shared with payroll to ensure clarity of intent. IV. Flexibility and Amendments: a. As the process continues, certain points will be amended or adjusted to improve the efficiency of tracking employee status changes. V. Training a. HR and Payroll Staff received training last year regarding the use of HR and payroll software and will receive updated training in the 2024‐2025 school year. The District will reimplement (it had been used prior to 2022, but was discontinued) a more thorough use of payroll software in spring of 2025 to increase efficiency and accuracy. b. We will hire a consultant to work with staff for the 2024‐25 school year to ensure more transparent and efficient practice of tracking employee status changes in the District.

View Audit 310236 Questioned Costs: $1

Finding 403098 (2023-001)

Significant Deficiency 2023

Casa Grande Union High School District No. 82

AZ

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting

Program Name/Assistance Listing Title: COVID‐19 Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Contact Person: Christina Ogle, Federal & State Programs Director Anticipated Completion Date: May 30, 2025 Planned Corrective Action: A Use of Funds by Category reporting documen...

Program Name/Assistance Listing Title: COVID‐19 Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Contact Person: Christina Ogle, Federal & State Programs Director Anticipated Completion Date: May 30, 2025 Planned Corrective Action: A Use of Funds by Category reporting document has been developed to support Part 1 of the LEA Uses of ESSER funds reporting requirements. Additionally, maintaining an ESSER Reporting documentation spreadsheet. The ESSER reporting spreadsheet includes PO#’s and JE’s with expenditures that are in alignment with the ESSER Use of Funds reporting. These documents and spreadsheets are compiled by utilizing: - Transaction Detail Reports – Visions - Purchase Order Pay History Report – Visions - Payroll Distribution Reports – Visions - ESSER Budget – Grants Management Enterprise These documents/spreadsheets are also shared with the Federal & State Programs Coordinator and will be uploaded into GME related documents for continuity regardless of staffing changes.

View Audit 310236

Finding 403064 (2023-006)

Significant Deficiency 2023

Resilience: Advocates for Ending Violence

MI

Allowable Costs / Cost Principles Cash Management Internal Control / Segregation of Duties

Finding 2023-006: Crime Victim Assistance Documented Review and Approval Procedures U.S. Department of Justice Pass-through Entity: Michigan Department of Health and Human Services Assistance Listing Number: 16.575 Award Numbers: E20232575-00, E20233017-00, E20233431-00 Award Year End: Septemb...

Finding 2023-006: Crime Victim Assistance Documented Review and Approval Procedures U.S. Department of Justice Pass-through Entity: Michigan Department of Health and Human Services Assistance Listing Number: 16.575 Award Numbers: E20232575-00, E20233017-00, E20233431-00 Award Year End: September 30, 2023 Recommendation: The Organization should establish procedures to require the documented review and approval of all indirect cost calculations, cash management requests for funds, and reports by an individual with adequate skills, knowledge, and experience prior to submission. Action Taken: The Organization will establish the necessary policies and procedures to require the documented review and approval of all indirect calculations, cash management requests for funds and performance reports on a monthly basis prior to submission with documented approval. Responsible Person and Anticipated Completion Date: The Executive Director will oversee the implementation of this plan by September 30, 2024.

View Audit 310209

Finding 403063 (2023-005)

Material Weakness 2023

Resilience: Advocates for Ending Violence

MI

Subrecipient Monitoring Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking

Finding 2023-005: MATERIAL WEAKNESS—Uniform Guidance Written Internal Control Procedures U.S. Department of Justice Pass-through Entity: Michigan Department of Health and Human Services Assistance Listing Number: 16.575 Award Numbers: E20232575-00, E20233017-00, E20233431-00 Award Year End: Sep...

Finding 2023-005: MATERIAL WEAKNESS—Uniform Guidance Written Internal Control Procedures U.S. Department of Justice Pass-through Entity: Michigan Department of Health and Human Services Assistance Listing Number: 16.575 Award Numbers: E20232575-00, E20233017-00, E20233431-00 Award Year End: September 30, 2023 Recommendation: The Organization should establish procedures to require the documented review and approval of all indirect cost calculations, cash management requests for funds, and reports by an individual with adequate skills, knowledge, and experience prior to submission. Action Taken: The Organization will establish the necessary policies and procedures for managing its federal awards in compliance with federal requirements. Responsible Person and Anticipated Completion Date: The Executive Director will oversee the implementation of this plan by September 30, 2024.

View Audit 310209

Finding 403061 (2023-001)

Significant Deficiency 2023

American Diabetes Association

VA

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking § 200.303 § 200.308 § 200.403 § 200.430

American Diabetes Association (ADA) is committed to ensuring the appropriate documentation is in place to adhere to federal regulations regarding activities allowed or unallowed and allowable costs. In response to the audit finding, ADA is taking the following corrective actions to address the audit...

American Diabetes Association (ADA) is committed to ensuring the appropriate documentation is in place to adhere to federal regulations regarding activities allowed or unallowed and allowable costs. In response to the audit finding, ADA is taking the following corrective actions to address the audit recommendations: 1) Financial Services will communicate annual reminders of the existing policy relating toweekly completion and manager review of time records to all ADA team members. 2) Federal grant program management will perform weekly monitoring of all time recordsapplicable to federal awards to ensure that time is reviewed and approved by a manager with knowledge of staff activities so that ADA conforms to federal regulations regardingactivities allowed or unallowed and allowable costs. 3) Financial Services will execute a reimbursement request only once all time is reviewed and approved by a manager with knowledge of staff activities.

View Audit 310207

Finding 403020 (2023-001)

Significant Deficiency 2023

Mayo Clinic

MN

Matching / Level of Effort / Earmarking Student Financial Aid Allowable Costs / Cost Principles

Federal Program Information Federal Agency: United States Department of Education Federal Cluster: Student Financial Assistance Assistance Listing No.: 84.268, Federal Direct Student Loans (Direct Loans) Award Periods: July 1, 2022 through June 30, 2023; July 1, 2023 through June 30, 2024 Correctiv...

Federal Program Information Federal Agency: United States Department of Education Federal Cluster: Student Financial Assistance Assistance Listing No.: 84.268, Federal Direct Student Loans (Direct Loans) Award Periods: July 1, 2022 through June 30, 2023; July 1, 2023 through June 30, 2024 Corrective Action Planned Annually, tests of access to Business Objects and properly authorized changes made to the logic within Business Objects specific to the disbursement report used by management will be conducted. Testing will be performed initially by Mayo Clinic’s internal audit team and in subsequent years by the Financial Aid Director and Director of Data Analytics. Persons Responsible for Corrective Action Anne Dahlen, Director of Student Financial Aid Aaron Pendl, Director of Data Analytics Target Completion Date November 30, 2024

View Audit 310163

Finding 402906 (2023-004)

Material Weakness 2023

Mayo Clinic

MN

Allowable Costs / Cost Principles

Federal Program Information Federal Agencies: U.S. Department of Health and Human Services and U.S. Department of Defense Pass-Through Entities: Boston University, Georgia Institute of Technology, Massachusetts General Hospital, NYU Grossman School of Medicine, Stanford University, The University of...

Federal Program Information Federal Agencies: U.S. Department of Health and Human Services and U.S. Department of Defense Pass-Through Entities: Boston University, Georgia Institute of Technology, Massachusetts General Hospital, NYU Grossman School of Medicine, Stanford University, The University of Texas, University of Buffalo, University of Chicago, and Washington University Federal Cluster: Research and Development (R&D) Assistance Listing Nos.: 12.300, 12.420, 93.233, 93.273, 93.279, 93.310, 93.350, 93.393, 93.395, 93.396, 93.397, 93.837, 93.838, 93.846, 93.847, 93.853, 93.855, 93.859, 93.865, and 93.866 Award Numbers: Various Award Periods: Various Corrective Action Planned Management has made improvements to the salary cap application to ensure salaries are being correctly charged. The salary cap application is working effectively as of January 1, 2024. Persons Responsible for Corrective Action Susan Norby, Division Chair - Financial and Accounting Services, Research Finance Sarah Ward, Vice Chair - Financial and Accounting Services, Research Finance Target Completion Date January 31, 2024

View Audit 310163

Finding 402904 (2023-002)

Material Weakness 2023

Mayo Clinic

MN

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking

Federal Program Information Federal Agencies: U.S. Department of Health and Human Services and U.S. Department of Defense Pass-Through Entities: Georgia Institute of Technology, Massachusetts General Hospital, NYU Grossman School of Medicine, University of Chicago, University of Michigan, and Washin...

Federal Program Information Federal Agencies: U.S. Department of Health and Human Services and U.S. Department of Defense Pass-Through Entities: Georgia Institute of Technology, Massachusetts General Hospital, NYU Grossman School of Medicine, University of Chicago, University of Michigan, and Washington University Federal Cluster: Research and Development (R&D) Assistance Listing Nos.: 12.300, 12.420, 93.233, 93.273, 93.279, 93.310, 93.350, 93.393, 93.395, 93.396, 93.397, 93.837, 93.838, 93.846, 93.847, 93.853, 93.855, 93.865, and 93.866 Award Numbers: Various Award Periods: Various Corrective Action Planned Management implemented revisions to the monthly/quarterly review packet in January 2024 to ensure review of internal service charges and retention of review documentation. Management's expectations have been communicated to those responsible for the control process regarding timely reviews and retention of documentation. Persons Responsible for Corrective Action Susan Norby, Division Chair - Financial and Accounting Services, Research Finance Sarah Ward, Vice Chair - Financial and Accounting Services, Research Finance Target Completion Date January 31, 2024

View Audit 310163

Finding 402898 (2023-001)

Significant Deficiency 2023

Harrisburg Area YMCA

PA

Questioned Costs Allowable Costs / Cost Principles § 200.430

Recommendation: We recommend that controls be reviewed and revised to ensure that time and effort distribution records are prepared for staff who are charged to federal programs. These records should also be reviewed, approved, and maintained by administrative personnel. Action Taken: The Harrisbu...

Recommendation: We recommend that controls be reviewed and revised to ensure that time and effort distribution records are prepared for staff who are charged to federal programs. These records should also be reviewed, approved, and maintained by administrative personnel. Action Taken: The Harrisburg Area YMCA's Compliance Officer has created a tracking sheet that will allow employees to keep track of their tasks and hours as related to grant programs. The employee will sign off on each sheet.

View Audit 310145 Questioned Costs: $1

Finding 402890 (2023-001)

Significant Deficiency 2023

Young Men's Christian Association of Middle Tennessee

TN

Allowable Costs / Cost Principles Significant Deficiency Internal Control / Segregation of Duties

Finding 2023-001 – Significant Deficiency in Internal Controls over Allowable Costs (Payroll) – COVID-19 ARPA Child Care and Development Block Grant – 93.575 Recommendation: YMCA management should strengthen its controls related to the review and approval of information on employee time sheets and p...

Finding 2023-001 – Significant Deficiency in Internal Controls over Allowable Costs (Payroll) – COVID-19 ARPA Child Care and Development Block Grant – 93.575 Recommendation: YMCA management should strengthen its controls related to the review and approval of information on employee time sheets and pay rates including proper evidence is maintained of the control over compliance with allowable cost requirements, related to payroll. Corrective Action: The referenced significant deficiency was due to several factors including, but not limited to system migration from one third party payroll provider to another. For any future system migrations, the evidence of the review and approval of employee time sheets and pay rates will be retained. Person Responsible for Corrective Action: Chief Financial Officer Anticipated Completion Date for Corrective Action: The third party payroll provider has transitioned to one more well suited to the needs of the YMCA and management has begun efforts to ensure that the approval of payroll, as captured within the system at the time of processing payroll, will also be retained for future reference, should it be needed. The remaining aspects of the Corrective Action will be immediately implemented in response to the auditor's recommendation.

View Audit 310136

Finding 402868 (2023-005)

Material Weakness 2023

Tullahoma Housing Authority

TN

Questioned Costs Allowable Costs / Cost Principles

2023-005 – ALN 14.872 – Public Housing Capital Fund Program – Allowable Costs Planned Corrective Action: The Interim Executive Director acknowledges the finding and is following the auditor’s recommendation as presented in the Audit Report. Person Responsible for Correction of Finding: Christy Amach...

2023-005 – ALN 14.872 – Public Housing Capital Fund Program – Allowable Costs Planned Corrective Action: The Interim Executive Director acknowledges the finding and is following the auditor’s recommendation as presented in the Audit Report. Person Responsible for Correction of Finding: Christy Amacher, Interim Executive Director Anticipated Completion Date: September 30, 2024

View Audit 310090 Questioned Costs: $1

Finding 402860 (2023-005)

Significant Deficiency 2023

National Fair Housing Alliance

DC

Allowable Costs / Cost Principles Reporting § 200.301

Views of Responsible Officials: NFHA has a process for review of programmatic reports that can be discerned by review of emails and documents. However, NFHA will ensure that all Federal award grant reports, both financial and programmatic, have documented evidence of review and approval prior to sub...

Views of Responsible Officials: NFHA has a process for review of programmatic reports that can be discerned by review of emails and documents. However, NFHA will ensure that all Federal award grant reports, both financial and programmatic, have documented evidence of review and approval prior to submission to the relevant agencies.

View Audit 310063

Finding 402853 (2023-001)

Significant Deficiency 2023

New Jersey Turnpike Authority

NJ

Allowable Costs / Cost Principles Cash Management Eligibility § 200.303 § 200.403 § 200.406 § 200.430

Findings Related to the Financial Statements Reported in Accordance with Government Auditing Standards None Findings Related to Federal Awards 2023-001 Activities Allowed or Unallowed and Allowable Costs/Cost Principles Federal Agency: U.S. Department of Homeland Security: Passed through the Sta...

Findings Related to the Financial Statements Reported in Accordance with Government Auditing Standards None Findings Related to Federal Awards 2023-001 Activities Allowed or Unallowed and Allowable Costs/Cost Principles Federal Agency: U.S. Department of Homeland Security: Passed through the State of New Jersey, Department of Law and Public Safety Program Titles and Assistance Listing Numbers (ALN): Disaster Grants – Public Assistance (Presidentially Declared Disasters) – ALN 97.036 Federal Grant Numbers: State of New Jersey pass-through number: UH1WX, Project Worksheet #1822 – Award Year 2023 (Application 553330) Contact Person: Donna Wilser, Deputy Executive Director, 732-750-5300 Corrective Action: Management agrees with the finding. We are committed to strengthening our processes to ensure that all physical timesheets related to FEMA-declared disaster events are properly maintained and readily accessible. To achieve this, we will implement enhanced procedures and controls to ensure full compliance with the Uniform Guidance requirements. Anticipated Completion Date: December 1st, 2024

View Audit 310037

Finding 402829 (2023-008)

Significant Deficiency 2023

Monroe County Board of Education

AL

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

The payroll department will be trained on the proper calculation of salary and compensation rates.

View Audit 310032

Finding 402824 (2023-007)

Significant Deficiency 2023

Monroe County Board of Education

AL

Allowable Costs / Cost Principles School Nutrition Programs Matching / Level of Effort / Earmarking § 200.430

The payroll department will be trained on the proper calculation of salary and compensation rates.

View Audit 310032

Finding 402815 (2023-004)

Significant Deficiency 2023

City of Jackson

MN

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

Explanation of Disagreement with Audit Findings: There is no disagreement with the audit finding. Actions Planned in Response to Finding: The finance department will establish policies and procedures to ensure reports are reviewed appropritely. Offical Responsible for Ensuring CAP: Matt Skaret, City...

Explanation of Disagreement with Audit Findings: There is no disagreement with the audit finding. Actions Planned in Response to Finding: The finance department will establish policies and procedures to ensure reports are reviewed appropritely. Offical Responsible for Ensuring CAP: Matt Skaret, City Administrator, is the official responsible for ensuring corrective action of the deficiency. Planned Completion Date for CAP: December 31, 2024. Plan to Monitor Completion of CAP: The City Council will be monitoring this corrective action plan.

View Audit 309998

Finding 402751 (2023-052)

Material Weakness 2023

State of Michigan

MI

Questioned Costs Allowable Costs / Cost Principles Eligibility

Finding 2023-052 Refugee and Entrant Assistance State/Replacement Designee Administered Programs, ALN 93.566 - Assistance to Ineligible Refugees Management Views LEO and MDHHS agree with the finding. Planned Corrective Action For part a., MDHHS will issue a memo to BSCs and local offices and provi...

Finding 2023-052 Refugee and Entrant Assistance State/Replacement Designee Administered Programs, ALN 93.566 - Assistance to Ineligible Refugees Management Views LEO and MDHHS agree with the finding. Planned Corrective Action For part a., MDHHS will issue a memo to BSCs and local offices and provide training to local office staff regarding the requirements to maintain sufficient documentation to support Refugee and Entrant Assistance State/Replacement Designee Administered Programs eligibility. For part b., MDHHS corrected the reporting defect and properly adjusted the accounting records. MDHHS already had a process in place to identify the reporting defect and make necessary accounting adjustments. MDHHS will ensure that accounting adjustments are prioritized for any future reporting defects. Anticipated Completion Date a. September 30, 2024 b. Completed Responsible Individual(s) a. Mariah Schaefer, MDHHS b. Trish Bouck, MDHHS

View Audit 309982 Questioned Costs: $1

Finding 402750 (2023-051)

Significant Deficiency 2023

State of Michigan

MI

Subrecipient Monitoring Allowable Costs / Cost Principles Period of Performance

Finding 2023-051 Refugee and Entrant Assistance State/Replacement Designee Administered Programs, ALN 93.566 - Salesforce Security Management and Access Controls Management Views LEO agrees with the finding. Planned Corrective Action The LEO Office of Global Michigan will update established proced...

Finding 2023-051 Refugee and Entrant Assistance State/Replacement Designee Administered Programs, ALN 93.566 - Salesforce Security Management and Access Controls Management Views LEO agrees with the finding. Planned Corrective Action The LEO Office of Global Michigan will update established procedures and tracking logs to ensure compliance with SOM Technical Standard 1340.00.020.01. The LEO Internal Controls unit is in the process of establishing a grants compliance team that will perform validation of the ongoing reviews. Anticipated Completion Date December 31, 2024 Responsible Individual(s) Ben Cabinaw, LEO Allen Williams, LEO

View Audit 309982

Finding 402739 (2023-048)

Significant Deficiency 2023

State of Michigan

MI

Allowable Costs / Cost Principles Eligibility

Finding 2023-048 Temporary Assistance for Needy Families, ALN 93.558 - Inappropriate TANF-Funded Adoption Subsidy Rate Management Views MDHHS disagrees with the finding. Although the appropriate negotiated rate was not used to calculate the initial payment, MDHHS disagrees that a deficiency exists....

Finding 2023-048 Temporary Assistance for Needy Families, ALN 93.558 - Inappropriate TANF-Funded Adoption Subsidy Rate Management Views MDHHS disagrees with the finding. Although the appropriate negotiated rate was not used to calculate the initial payment, MDHHS disagrees that a deficiency exists. MDHHS ensures that the appropriate negotiated rate is used during an annual review process that occurs each year and is based on the child’s birth month. The annual report process includes a thorough payment history review for each adoption assistance case to ensure payments are issued accurately. This involves verifying cases are paid at the correct rate and identifying any overpayments that occurred for adoption assistance agreements that were entered into between January 21, 2014 through June 18, 2015, prior to the MiSACWIS system update to automate the clothing allowance offset. The overpayment noted in the finding was identified by the auditor during the month prior to MDHHS’s annual review process, which was scheduled for April 2024, and the negotiated rate for the month the child turned 13 was manually corrected and recouped by MDHHS in March 2024. MDHHS believes this is a timing issue and disagrees that a deficiency exists. Planned Corrective Action MDHHS disagrees with the finding and does not intend to take further action. Anticipated Completion Date Not applicable Responsible Individual(s) Kathonya Rice, MDHHS

View Audit 309982

Finding 402738 (2023-047)

Significant Deficiency 2023

State of Michigan

MI

Questioned Costs Allowable Costs / Cost Principles Eligibility § 200.516

Finding 2023-047 Temporary Assistance for Needy Families, ALN 93.558 - Non-Financial Eligibility Documentation Management Views MDHHS agrees with the finding. Planned Corrective Action MDHHS’s ESA will continue to emphasize the importance of maintaining eligibility documentation through ongoing st...

Finding 2023-047 Temporary Assistance for Needy Families, ALN 93.558 - Non-Financial Eligibility Documentation Management Views MDHHS agrees with the finding. Planned Corrective Action MDHHS’s ESA will continue to emphasize the importance of maintaining eligibility documentation through ongoing staff training and a memorandum sent to local offices and Eligibility Specialists. ESA leadership will reach out to managers of individual Eligibility Specialists regarding issues identified with the Family Automated Screening Tool and Family Self-Sufficiency Plan completion and verification of school enrollment and provide additional guidance as needed. Anticipated Completion Date August 31, 2024 Responsible Individual(s) Brian Sanborn, MDHHS Kenton Schulze, MDHHS

View Audit 309982 Questioned Costs: $1

Finding 402737 (2023-046)

Significant Deficiency 2023

State of Michigan

MI

Matching / Level of Effort / Earmarking Subrecipient Monitoring Allowable Costs / Cost Principles

Finding 2023-046 Temporary Assistance for Needy Families, ALN 93.558 - MARS User Access Management Views The Department of Labor and Economic Opportunity (LEO) agrees with the finding. The Management of Awards to Recipients System (MARS) is an older legacy system that does not automatically deactiv...

Finding 2023-046 Temporary Assistance for Needy Families, ALN 93.558 - MARS User Access Management Views The Department of Labor and Economic Opportunity (LEO) agrees with the finding. The Management of Awards to Recipients System (MARS) is an older legacy system that does not automatically deactivate user accounts after 60 days of inactivity. The LEO Finance unit continues to experience challenges related to staffing shortages and competing priorities. Accordingly, the LEO Internal Controls unit will assist the LEO Finance unit in the interim with implementing corrective action until this legacy application is replaced, and new procedures are implemented. Planned Corrective Action LEO has received a Technical Review Board exception from SOM Technical Standard 1340.00.020.01 (Access Control Standard). The exception allows MARS inactive accounts to remain open for up to 90 days - an interval at which Michigan Works! Agency administrators make quarterly approvals (sometimes their only activity on the system). The exception was granted on April 12, 2024, and is valid through October 9, 2024, but may be extended. LEO staff has begun manually pulling an inactive users report monthly and manually deactivating accounts that were not accessed during the previous 90-day period. LEO is currently working on a request for proposal to replace MARS and anticipates that the new system will be able to automatically deactivate user accounts in accordance with the SOM Technical Standard. The LEO Finance unit has updated its procedures to reflect its interim process and will further revise them once the MARS replacement system goes live. Anticipated Completion Date September 30, 2026 Responsible Individual(s) Lora MacKay, LEO Allen Williams, LEO

View Audit 309982

Finding 402736 (2023-045)

Significant Deficiency 2023

State of Michigan

MI

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

Finding 2023-045 Temporary Assistance for Needy Families, ALN 93.558 - MiSACWIS Security Management and Access Controls Management Views MDHHS agrees with the finding. Planned Corrective Action For parts a. and c., MDHHS will continue to provide training for local office security coordinators (LOS...

Finding 2023-045 Temporary Assistance for Needy Families, ALN 93.558 - MiSACWIS Security Management and Access Controls Management Views MDHHS agrees with the finding. Planned Corrective Action For parts a. and c., MDHHS will continue to provide training for local office security coordinators (LOSCs) via quarterly webinars to emphasize the appropriate procedures for granting access, reviewing, and comparing access. All new information related to security access is presented to the LOSCs during the webinars and one-on-one assistance is available as needed for additional support. For part b., MDHHS currently has a process in place to review the user narrative describing the incompatible role exceptions within the DSA Michigan Statewide Automated Child Welfare Information System (MiSACWIS) request as part of the approval process. MDHHS will continue to work on adding an incompatible role form in the DSA MiSACWIS request with automated routing for appropriate approval. Anticipated Completion Date a. and c. Corrective action is ongoing. b. MDHHS has not yet determined an anticipated completion date because implementation is dependent on funding, approval, and prioritization of other proposed system changes. Responsible Individual(s) Alana Lowe, MDHHS Deon Nelson, MDHHS

View Audit 309982

Corrective Action Plans

Filters