Corrective Action Plans

Finding 2919 (2022-005)

Material Weakness 2022

Community Research, Resource, Information, and Service for Seniors

IL

Allowable Costs / Cost Principles

As part of the transition to Carle, Accounts Payable has been centralized at the Carle corporate office. Expenses are documented and approved by department leadership, CRIS Director, and at the approval amounts per Carie's policy #AD 303 (Operating Expense Approval Policy) before being submitted for...

As part of the transition to Carle, Accounts Payable has been centralized at the Carle corporate office. Expenses are documented and approved by department leadership, CRIS Director, and at the approval amounts per Carie's policy #AD 303 (Operating Expense Approval Policy) before being submitted for payment. Once processed and paid, every expenditure is not only recorded within the general ledger, but the invoice or other supporting documentation is scanned and indexed into OnBase, a cloudbased document management system providing documentation and audit integrity.

View Audit 4780

Finding 2750 (2022-004)

Material Weakness 2022

Launch Alaska

AK

Questioned Costs Allowable Costs / Cost Principles § 200.403

Finding 2022-004 Lack of Internal Control over Activities Allowed or Unallowed and Allowable Costs/Cost Principles Name of Contact Person: Tracy Bye, CFO Response: Launch Alaska takes exception to the auditors’ findings. Launch Alaska codes expenses in accordance with the Launch Alaska Policy and ...

Finding 2022-004 Lack of Internal Control over Activities Allowed or Unallowed and Allowable Costs/Cost Principles Name of Contact Person: Tracy Bye, CFO Response: Launch Alaska takes exception to the auditors’ findings. Launch Alaska codes expenses in accordance with the Launch Alaska Policy and Procedures for Uniform Guidance, GAGAS and FAR Part 31. Only those supported expenses that are allowable and allocable to Federal grants are charged to grant GL accounts. FY22 has examples of costs being segregated and posted to appropriate accounts based upon these cost principles. The CFO has over 30 years of GAGAS and FAR Part 31 experience and has final authority over which costs are coded for Federal reimbursement. Records for the transactions reside within QBO and the former CPAs JE files. All transactions for the covered period were reviewed by the CEO and CPA prior to entry into QBO. The CFO reviewed the postings monthly and requested changes to the GL coding when required. These changes were recorded by the CPA via AJE. We agree that the CPA did not post corrections in a timely manner in most cases. The Business Manager and new CPA review the expense entries weekly and at the close of each monthly period. The CEO/CFO have final authority on GL coding and are required to approve each expense entry prior to payment to ensure that the Policy and Procedures for Uniform Guidance is adhered to. This process takes place in both Ramp and QBO. Proposed Completion Date: Launch Alaska updated its Policy and Procedures for Uniform Guidance in early FY22 and is completing a second review at this time to incorporate the system and internal process changes discussed above. A final draft of the changes is expected to be reviewed for adoption by the Launch Alaska Finance Committee Board members in November 2023.

View Audit 4754 Questioned Costs: $1

Finding 2723 (2022-005)

Material Weakness 2022

City of Weed

CA

Questioned Costs Allowable Costs / Cost Principles Reporting § 200.302

2022-005 Material Weakness and Material Noncompliance: Grant and Reporting Compliance View of Responsible Officials: The City agrees with the finding. Corrective Action Plan: The Finance Director will prepare and/or review all reimbursement requests before they are submitted to verify their accura...

2022-005 Material Weakness and Material Noncompliance: Grant and Reporting Compliance View of Responsible Officials: The City agrees with the finding. Corrective Action Plan: The Finance Director will prepare and/or review all reimbursement requests before they are submitted to verify their accuracy. At the time of the reimbursement request, the grant activity will be reconciled to the general ledger to eliminate either missed expenses or duplicate requests. Anticipated Completion Date: This is currently being implemented as of October 2023.

View Audit 4666 Questioned Costs: $1

Finding 2694 (2022-002)

Significant Deficiency 2022

Connecticut Zoological Society, Inc.

CT

Procurement, Suspension & Debarment Allowable Costs / Cost Principles

The Society will develop and document a procument policy that complies with federal procurement standards.

View Audit 4568

Finding 2658 (2022-002)

Significant Deficiency 2022

Ruby's Place

CA

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

The Organization will implement a corrective action plan to make sure there are proper internal controls with regards to expenditures. The policy will be updated with guidelines for the approval process. Program managers will be responsible for managing and approving expenditure for programs. Automa...

The Organization will implement a corrective action plan to make sure there are proper internal controls with regards to expenditures. The policy will be updated with guidelines for the approval process. Program managers will be responsible for managing and approving expenditure for programs. Automated bill pay systems like Bill.com have been implemented for documenting the approvals of expenditures. Expected completion and implementation of the purchasing policy: December 2023.

View Audit 4480

Finding 2653 (2022-002)

Significant Deficiency 2022

Community Health Councils, Inc. Dba Rising Communities

CA

Allowable Costs / Cost Principles § 200.430

Finding 2022-002 - Significant Deficiency in Internal Control over Compliance: While allocations and allocation methodologies were reviewed by executive and senior management of Rising Communities, these reviews were not adequately documented. Rising Communities has / will take steps to address this...

Finding 2022-002 - Significant Deficiency in Internal Control over Compliance: While allocations and allocation methodologies were reviewed by executive and senior management of Rising Communities, these reviews were not adequately documented. Rising Communities has / will take steps to address this f inding. First, Rising Communities’ new f inancial system requires that all journal entries, including journal entries for the recording and allocation of payroll, be approved by a manager. This control has been in place since the beginning of the third quarter of 2022. Second, Rising Communities will implement a process where the appropriate member of the executive management team reviews allocation methodologies and specif ic allocation percentages for staf f . When a change to either the methodology or percentages needs to be made, the appropriate executive management team member will approve before implementation. Third, Rising Communities will utilize systems to back test allocation methodologies and allocation percentages. Rising Communities has implemented a time tracking as of January 2023, and will contract with a new payroll provider, Paylocity, in January 2024 to further ref ine their allocation practices. Rising Communities also utilizes a project management system which executive management reviews on a continual basis, providing them with qualitative information on where Rising Communities resources are being allocated. Finally, Rising Communities with its new financial system, is continually implementing new and more efficient ways of supporting program managers allowing them to have signif icantly greater insight into the spending on their respective programs. Contact Person Responsible for Corrective Action: Michelle Burton, CEO Anticipated Completion Date: November 2023

View Audit 4479

Finding 2578 (2022-005)

Significant Deficiency 2022

The Salvation Army Golden State Division

CA

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles § 200.308 § 200.309 § 200.403

REFERENCE # 2022-005 PERIOD OF PERFORMANCE – SIGNIFICANT DEFICIENCY- NONCOMPLIANCE Program Name/ALN Emergency Food and Shelter National Board Program (ALN # 97.024) Criteria: Compliance Supplement Requirement: A non-federal entity may charge only allowable costs incurred du...

REFERENCE # 2022-005 PERIOD OF PERFORMANCE – SIGNIFICANT DEFICIENCY- NONCOMPLIANCE Program Name/ALN Emergency Food and Shelter National Board Program (ALN # 97.024) Criteria: Compliance Supplement Requirement: A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award’s period of performance and any costs incurred before the federal awarding agency or pass-through entity made the federal award that were authorized by the federal awarding agency or pass-through entity (2 CFR sections 200.308 200.309 and 200.403(h)). A period of performance may contain one or more budget periods. Condition/Context: Division receive Emergency Food and Shelter National Board Program funds from the U.S. Department Homeland security/FEMA and various pass-through entities. The Division’s pass-through Contract requires period of performance and also requires funds must be expended by certain date. Of the Sixty (60) files selected for testing We noted that the Division: • For 4 samples, we noted that Division program expenses were recorded prior to Contract starting date. Questioned Costs: Cannot be determined Recommendation: We recommend Division charge only allowable costs incurred during the approved budget period of a pass-through award’s period of performance and any costs incurred before the pass-through entity made the federal award that were authorized by the pass-through entity. Corrective Action Plan: The Division will charge only allowable costs incurred during the approved budget period of a pass-through award’s period of performance and any costs incurred before the pass-through entity made the federal award that were authorized by the pass-through entity. Step 1 Action Date: Ongoing Final Implementation Date: 12/31/2023 Name and Phone # Of Person Responsible for Implementation: Jeanne Stromberg, Major, Divisional Finance Secretary (916) 563-3710

View Audit 4368 Questioned Costs: $1

Finding 2559 (2022-002)

Significant Deficiency 2022

Boys & Girls Clubs of Tucson, Inc.

AZ

Questioned Costs Allowable Costs / Cost Principles § 200.303

Program Name/Assistance Listing Title: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Contact Person: Denise Watters, CEO Anticipated Completion Date: December 2023 Planned Corrective Action: The Club will take immediate steps to bolster its internal con...

Program Name/Assistance Listing Title: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Contact Person: Denise Watters, CEO Anticipated Completion Date: December 2023 Planned Corrective Action: The Club will take immediate steps to bolster its internal controls over payroll and non-payroll expenditures. Specifically, we will ensure the maintenance of proper documentation by obtaining and maintaining approved wage agreements for all employees paid from Federal awards. In addition, we will focus on retaining necessary purchase approvals and third-party invoices for non-payroll expenditures charged to the grant. This will guarantee the accuracy and allowability of costs charged to the program. Responsible officials will oversee the plan's implementation, and we will diligently uphold records to demonstrate our commitment to compliance with Federal award requirements. This corrective action plan is crucial to rectifying these issues and ensuring that our internal controls are effective and that we are in compliance with Federal statutes, regulations, and award terms and conditions.

View Audit 4363 Questioned Costs: $1

Finding 2556 (2022-005)

Significant Deficiency 2022

Arc Community Services, INC

WI

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.305

We concur with the recommendation, and a formalized and independently monitored process was implemented to reconcile refundable advances routinely and in coordination with the recognition and allocation of allowable costs effective August of 2023.

View Audit 4353

Finding 2552 (2022-003)

Significant Deficiency 2022

Arc Community Services, INC

WI

Allowable Costs / Cost Principles

We concur with the recommendation, and a formalized process was implemented effective January 1st, 2023 ARC will review, document, implement and monitor procedures for the allocation of indirect costs to an equitable basis of allocation with a methodology that is consistent and clearly defined and i...

We concur with the recommendation, and a formalized process was implemented effective January 1st, 2023 ARC will review, document, implement and monitor procedures for the allocation of indirect costs to an equitable basis of allocation with a methodology that is consistent and clearly defined and is independently monitored by the CFO.

View Audit 4353

Finding 2501 (2022-002)

Material Weakness 2022

Chabot Space and Science Center

CA

Allowable Costs / Cost Principles § 200.442

Audit testing identified that the Foundation’s detail of expenditures reimbursed under its Shuttered Venue Operators Grant (SVOG) award included fundraising expenses. After being made aware of these unallowable costs, the Foundation was able to identify additional allowable costs which could be subs...

Audit testing identified that the Foundation’s detail of expenditures reimbursed under its Shuttered Venue Operators Grant (SVOG) award included fundraising expenses. After being made aware of these unallowable costs, the Foundation was able to identify additional allowable costs which could be substituted for the unallowable costs initially claimed for reimbursement. Therefore, there was no adjustment or refund needed for the SVOG awards claimed by the Foundation. Recommendation - It was recommended the Foundation ensure that personnel who are responsible for administering and overseeing new federal award activity be sufficiently knowledgeable about such federal programs, including reading the allowable costs principles referred to in the grant agreements and reviewing for subsequent guidance released by awarding agencies. Foundation’s Corrective Action Plan - To ensure compliance moving forward with federal grant opportunities, the Foundation will require staff responsible for compliance, to review all program requirements and monitor for subsequently released guidance issued by the awarding agencies.

View Audit 4249

Finding 2478 (2022-001)

Significant Deficiency 2022

Community Action Program Committee, Inc.

FL

Allowable Costs / Cost Principles Reporting

Effective June 2022, the Committee contracted with a new outsourced CFO and he has established a reporting and submission calendar which includes our indirect cost plan.

View Audit 4237

Finding 2407 (2022-001)

Material Weakness 2022

Issaquah School District No. 411

WA

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles

Finding caption: The District did not have adequate internal controls for ensuring compliance with allowable activities and costs, and restricted purpose requirements. Name, address, and telephone of District contact person: Moriah Banasick 5150 220th Avenue S.E Issaquah, WA 98029. 425-837-7139 Corr...

Finding caption: The District did not have adequate internal controls for ensuring compliance with allowable activities and costs, and restricted purpose requirements. Name, address, and telephone of District contact person: Moriah Banasick 5150 220th Avenue S.E Issaquah, WA 98029. 425-837-7139 Corrective action the auditee plans to take in response to the finding: The Issaquah School District does not concur with the audit finding and the $420,000 in question costs. The District only requested reimbursement for eligible equipment that was provided to students and staff who had an unmet need; and adequately designed processes and internal control structures for determining unmet need and distributing equipment accordingly. Staff maintained detailed documentation of actual costs of assigned equipment and submitted for reimbursement in accordance with Title 47 CFR Part 54, Universal Service, Subpart Q, Emergency Connectivity Fund. The District looks forward to working with the FCC to resolve this finding. Anticipated date to complete the corrective action: Immediate

View Audit 4136 Questioned Costs: $1

Finding 2314 (2022-001)

None 2022

City of Chelsea

MA

Questioned Costs Allowable Costs / Cost Principles Cash Management

Condition: The City charged the same invoice to two separate federal awards. Corrective Action Planned: This issue has been remedied. The City has corrected this and reversed the charge to the federal grant, reimbursed the grant funder, and filed a revised final grant report. This was an oversigh...

Condition: The City charged the same invoice to two separate federal awards. Corrective Action Planned: This issue has been remedied. The City has corrected this and reversed the charge to the federal grant, reimbursed the grant funder, and filed a revised final grant report. This was an oversight in the management of high volume COVID related grants totaling $10.3M with over 1,000 transactions, and reclassifications had occurred between the two as expenditures became ineligible. Moving forward, the City will take steps to ensure direct expenditures and limit the need for reclassifications. Anticipated Completion Date: October 31, 2023 Contact: Edward M. Dunn, City Auditor

View Audit 3965 Questioned Costs: $1

Finding 2300 (2022-002)

Material Weakness 2022

Bellevue School District No. 405

WA

Subrecipient Monitoring Allowable Costs / Cost Principles Material Weakness

Finding caption: The District did not have adequate controls to ensure compliance with federal requirements for test assessment system security. Name, address, and telephone of District contact person: Tom Duenwald, Director of Educational Technology 12111 NE 1st Street Bellevue, WA 98005 (425) 456 ...

Finding caption: The District did not have adequate controls to ensure compliance with federal requirements for test assessment system security. Name, address, and telephone of District contact person: Tom Duenwald, Director of Educational Technology 12111 NE 1st Street Bellevue, WA 98005 (425) 456 - 4250 Corrective action the auditee plans to take in response to the finding: The Bellevue School District concurs with this finding. The District did not have a written Test Security and Building Plan (OSPI TSBP) for each school. For our corrective action, the District will create a SharePoint site to retain each school’s annual OSPI TSBP for all standardized state tests starting with the 2023-24 school year. The District Manager of Data, Testing & Research will provide instructions, professional development, and guidance for each school. Each school’s OSPI TBSP will be retained on the SharePoint site. The District Manager of Data, Testing & Research will verify that each school complies. Anticipated date to complete the corrective action: January 1, 2024

View Audit 3931

Finding 2293 (2022-001)

None 2022

Bellevue School District No. 405

WA

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring

Finding caption: The District did not have adequate internal controls to ensure compliance with federal requirements for allowable activities and costs. Name, address, and telephone of District contact person: Jenny Hall, Director of Budget 12111 NE 1st Street Bellevue, WA 98005 (425) 456 - 4069 Cor...

Finding caption: The District did not have adequate internal controls to ensure compliance with federal requirements for allowable activities and costs. Name, address, and telephone of District contact person: Jenny Hall, Director of Budget 12111 NE 1st Street Bellevue, WA 98005 (425) 456 - 4069 Corrective action the auditee plans to take in response to the finding: The Bellevue School District concurs with this finding. The Budget Department’s internal procedures will be updated to include instructions for budget analysts to verify the correct indirect rate is used when preparing and reviewing grant claims. A shared document showing the historical indirect rates will continue to be updated annually and used as a reference to verify the correct rate is used in any given fiscal year. When preparing claims for reimbursement, a budget analyst will compare the indirect rate that is hard-coded in OSPI’s iGrants claim system to the calculated maximum indirect rate allowable for the fiscal year in which expenditures are incurred to ensure the correct indirect rate is used. When reviewing the claims for reimbursement, the reviewer will check the grant claim for accuracy, including verifying the indirect rate on the grant claims agrees to the calculated maximum indirect rate allowable. Anticipated date to complete the corrective action: September 30, 2023

View Audit 3931 Questioned Costs: $1

Finding 2284 (2022-002)

Material Weakness 2022

Stand Down Housing Westerly, Inc.

RI

Questioned Costs HUD Housing Programs Allowable Costs / Cost Principles

The Organization will make the necessary required deposits to bring the balance of the reserve for replacement in alignment with requirements of Section 811 Capital Advance Program Regulatory Agreement and going forward we will make the required monthly deposits.

View Audit 3922 Questioned Costs: $1

Finding 2246 (2022-002)

Material Weakness 2022

Stand Down Housing Westerly, Inc.

RI

Questioned Costs HUD Housing Programs Allowable Costs / Cost Principles

The Organization will make the necessary required deposits to bring the balance of the reserve for replacement in alignment with requirements of Section 811 Capital Advance Program Regulatory Agreement and going forward we will make the required monthly deposits.

View Audit 3870 Questioned Costs: $1

Finding 2240 (2022-001)

Material Weakness 2022

Renton School District No. 403

WA

Questioned Costs Equipment & Real Property Management Subrecipient Monitoring

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Renton School District No. 403 September 1, 2021 through August 31, 2022 This schedule presents the corrective action planned by the District for findings reported in this report in accordance with Title 2 U.S. Code of Federal Regul...

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Renton School District No. 403 September 1, 2021 through August 31, 2022 This schedule presents the corrective action planned by the District for findings reported 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: 2022-001 Finding caption: The District did not have adequate internal controls for ensuring compliance with allowable activities and costs, equipment, and restricted purpose requirements. Name, address, and telephone of District contact person: Jason Franklin, Executive Director 300 S.W. 7th Street Renton, WA 98057 (425) 204-2394 Corrective action the auditee plans to take in response to the finding: The District will correct its internal process of identifying departments participating in federal grants at the inception of the work. This will ensure that proper internal control procedures will be applied to grant applications, claims filing, asset tracking, and program requirements. More specifically, the District will ensure the Technology Department processes grant applications and transactions through the Budget and Grants team to ensure the application of current functioning internal controls. Reviews will be conducted of Technology finance activity with strategic collaboration of task management. Anticipated date to complete the corrective action: 10/27/2023

View Audit 3819 Questioned Costs: $1

Finding 2236 (2022-008)

Significant Deficiency 2022

Enlace Chicago

IL

Questioned Costs Allowable Costs / Cost Principles Significant Deficiency

2022-008 Credit Cards Recommendation: We recommend that management follow established policies and procedures for submitting credit card receipts and obtaining supervisor's approval prior to credit card expenses being paid. All support and back up should be maintained. Views of Responsible Offici...

2022-008 Credit Cards Recommendation: We recommend that management follow established policies and procedures for submitting credit card receipts and obtaining supervisor's approval prior to credit card expenses being paid. All support and back up should be maintained. Views of Responsible Officials: There is no disagreement with this finding. Action taken in response to finding: Action taken in response to finding Enlace Chicago has and follows established policies and procedures for submitting credit card receipts and obtaining supervisor's approval prior to credit card expenses being paid. We were not able to find certain cc holder documentation due to misfiling, but no credit card payment is processed without documentation. A process of signing out filed documentation has been created to establish a system of documenting when a filed document needs to be pulled. We will also improve on the consistency of documenting review and approved by process. Name of the contact person responsible for corrective action: Laura Velazques, Director of Budget and Planning and Myriam Quezada, Assistant Controller Planned completion date for corrective action plan: June 30, 2023For questions regarding this plan, please call Marcella Rodriguez, Co-Executive Director, at 708-577-3373.

View Audit 3817 Questioned Costs: $1

Finding 2232 (2022-006)

Material Weakness 2022

Enlace Chicago

IL

Allowable Costs / Cost Principles

Significant Deficiency Immigrant And Refugee Housing Assistance Project 21st Century Community Learning Centers 2022-006 Payroll Allocation Recommendation: We recommend that management follow established policies and procedures for the allocation of employee costs across the Organization's grants a...

Significant Deficiency Immigrant And Refugee Housing Assistance Project 21st Century Community Learning Centers 2022-006 Payroll Allocation Recommendation: We recommend that management follow established policies and procedures for the allocation of employee costs across the Organization's grants and programs. All supporting documentation of time sheets and allocation procedures should be maintained. Additionally, preparer and reviewer sign-offs should be documented with sign-offs and dates. Views of Responsible Officials: Enlace Chicago was unable to provide timesheets to our auditors for FY21 as we transitioned payroll providers in December of 2021. Despite assurances from the prior provider, at the time of request, they were unable to produce prior period timesheets. Despite our inability to generate the timesheets requested, Enlace Chicago requires all staff to complete timesheets in order to process payroll. Providing timesheets for future periods will not be an issue moving forward. Name of the contact person responsible for corrective action: Laura Velazquez, Director of Budget and Planning Planned completion date for corrective action plan: June 30, 2023.

View Audit 3817

Finding 2104 (2022-004)

Material Weakness 2022

Lincoln Hall

NY

Allowable Costs / Cost Principles

For the year ended June 30, 2022 audit, the audit team noted that certain costs were not being recorded in the payroll system timely and correctly on a monthly basis. Process changes have been implemented but we are currently still working to “de-bug” certain parts of our allocation and direct-cha...

For the year ended June 30, 2022 audit, the audit team noted that certain costs were not being recorded in the payroll system timely and correctly on a monthly basis. Process changes have been implemented but we are currently still working to “de-bug” certain parts of our allocation and direct-charge processes; these are captured in the corrective action plan. We believe that these actions will make a significant impact in preventing any needed reallocation of costs at year-end and provide us with accurate cost allocations on a monthly basis.

View Audit 3654

Finding 2102 (2022-002)

Material Weakness 2022

Lincoln Hall

NY

Allowable Costs / Cost Principles Cash Management Material Weakness

For the year ended June 30, 2022 audit, the audit team noted that payroll, personnel costs, and other than personnel service expenses were not being allocated by cost center on a monthly basis. This issue resulted in errors in the amount charged to various programs resulting in the need for a materi...

For the year ended June 30, 2022 audit, the audit team noted that payroll, personnel costs, and other than personnel service expenses were not being allocated by cost center on a monthly basis. This issue resulted in errors in the amount charged to various programs resulting in the need for a material allocation adjustment. In accordance with Uniform Guidance 200.405, costs that benefit multiple programs should be allocated to the programs based on the proportional benefit. Lincoln Hall did not have the adequate cost allocation mechanisms in place to properly allocate expenses throughout the year. We have been taking several steps to address the issue with allocating costs. The Federal Award Finding and Questioned Costs Finding Number 2022-002 is a result of the initial way in which the general ledger and payroll systems were set up, requiring the majority of allocation work to be done manually in Excel. These manual allocations were done in detail after fiscal year-end to ensure our financial statements at year-end were not misstated. However, this detailed allocation work was not being done on a monthly basis. We have upgraded the Serenic Navigator accounting system two times to improve its accounting capabilities and have also implemented additional allocation processes including allocation of payroll expenses of federal awards. We currently use line-item allocations in The Serenic Navigator for direct costs that are allocated when invoices are paid. During FY 2022 we are continuing to review and revise our process in order to allocate expenses (particularly payroll costs) in the general ledger on a monthly basis for allocations in the past that were performed at the end of the fiscal year. The goal of our corrective actions is to significantly limit the material reallocation of costs by function at year-end and provide us with accurate cost allocations on a monthly basis. This will allow for more accurate reporting on a month-to-month basis and, therefore, will generate more timely and accurate financial information, thereby improving our compliance with cash management during the grant period.

View Audit 3654

Finding 2101 (2022-001)

Material Weakness 2022

Lincoln Hall

NY

Allowable Costs / Cost Principles Material Weakness

For the year ended June 30, 2022 audit, the audit team noted that payroll and personnel costs were not being recorded in the payroll system correctly on a monthly basis. This issue resulted in errors in the amount charged to various programs during the year and resulted in the need for a material al...

For the year ended June 30, 2022 audit, the audit team noted that payroll and personnel costs were not being recorded in the payroll system correctly on a monthly basis. This issue resulted in errors in the amount charged to various programs during the year and resulted in the need for a material allocation adjustment after fiscal year-end. As payroll allocations were a major driver in other than personnel service (OTPS) expense allocations, OTPS costs also required material allocations adjustments at year end. Lincoln Hall has continued our remedial efforts for this audit findings. In 2017, we upgraded the Serenic Navigator accounting software from the 2007 version to the 2013 version, and from the 2013 version to the 2017 version in December 2019. The intent of these upgrades was to strengthen our controls and visibility into accounting records. Furthermore, we have been working on correcting the accounting process related to charging payroll and other applicable costs directly to the appropriate programs. Lincoln Hall began the process of reviewing its financial system and processes and implementing changes in fiscal year (FY) 2020 though these process changes took longer than originally expected due to delays as a result of the COVID-19 pandemic. Process changes have been implemented but we are currently still working to “de bug” certain parts of our allocation and direct charge processes; these are captured in the corrective action plan. For example, internal controls have been improved upon ensuring that employees are appropriately classified to programs within the Paychex system. Reviews are performed each pay period to verify employee’s allocability to programs. We believe that these actions will make a significant impact in preventing the material reallocation of costs by function at year-end and provide us with accurate cost allocations on a monthly basis.

View Audit 3654

Finding 2087 (2022-004)

Significant Deficiency 2022

Jewish Community Services, Inc.

MD

Allowable Costs / Cost Principles Subrecipient Monitoring Significant Deficiency § 200.303

Allowable costs Emergency Rental Assistance Program - Federal Assistance Listing Number: 21.023 Recommendation: We recommend that the Organization implement the proper policies and procedures to ensure compliance with 2 CFR section 200.303. Explanation of disagreement with audit finding: There is ...

Allowable costs Emergency Rental Assistance Program - Federal Assistance Listing Number: 21.023 Recommendation: We recommend that the Organization implement the proper policies and procedures to ensure compliance with 2 CFR section 200.303. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding:. JCS will ensure all expenses are properly allocated to the correct funding source. Name of the contact person responsible for corrective action: Nicole Wheeler, Controller Planned completion date for corrective action plan: June 30, 2024

View Audit 3645

Corrective Action Plans

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