Corrective Action Plans

Finding 2556 (2022-005)

Significant Deficiency 2022

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

Finding 2086 (2022-003)

Significant Deficiency 2022

Jewish Community Services, Inc.

MD

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting § 200.303

Reporting 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 dis...

Reporting 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 adopt a two-step process for grant reporting to ensure that deadlines are properly met. Grant reporting process begin will once the month ends and reports will be reviewed two days before the submission is due to ensure all reporting requirements are satisfied. 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

Finding 2072 (2022-005)

Significant Deficiency 2022

Catherine McAuley Center, Inc.

IA

Allowable Costs / Cost Principles Significant Deficiency

Recommendation: Policies and procedures should be in place to ensure indirect costs are properly calculated and adequately approved/reviewed. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management will review p...

Recommendation: Policies and procedures should be in place to ensure indirect costs are properly calculated and adequately approved/reviewed. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management will review policies and procedures to ensure indirect costs are properly calculated and adequately approved/reviewed. Name of the contact person responsible for corrective action: Paula Land, Executive Director Planned completion date for corrective action plan: On going

View Audit 3591

Finding 2071 (2022-004)

Material Weakness 2022

Catherine McAuley Center, Inc.

IA

Allowable Costs / Cost Principles Material Weakness Reporting

Recommendation: Policies and procedures should be in place to ensure quarterly financial reports are properly supported, accurately reported, and adequately approved/reviewed. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to...

Recommendation: Policies and procedures should be in place to ensure quarterly financial reports are properly supported, accurately reported, and adequately approved/reviewed. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management will review policies and procedures to ensure quarterly financial reports are properly supported, accurately reported, and adequately approved/reviewed. Name of the contact person responsible for corrective action: Paula Land, Executive Director Planned completion date for corrective action plan: On going

View Audit 3591

Finding 2022 (2022-004)

None 2022

Tacoma Community House

WA

Questioned Costs Allowable Costs / Cost Principles § 200.402

We have no disagreement with the findings. We will require reconciliation of recorded expenses and actual payments to ensure billing of allowable reimbusable costs is correctly calculated and in agreement with the terms of relevant contracts. We will settle overbilling with the pass through entity. ...

We have no disagreement with the findings. We will require reconciliation of recorded expenses and actual payments to ensure billing of allowable reimbusable costs is correctly calculated and in agreement with the terms of relevant contracts. We will settle overbilling with the pass through entity. the Executive Director, Aimee Khuu will be responsible for ensuring that the corrective actions take place as described. if you have any questions or require additional information, please feel free to contact her at 253-383-3951 Ext 105 or akhuu@tacomacommunityhouse.org.

View Audit 3534 Questioned Costs: $1

Finding 2021 (2022-003)

Material Weakness 2022

Tacoma Community House

WA

Allowable Costs / Cost Principles Material Weakness

This is a reiteration of Finding 2022-002. Please refer to corrective action plan under finding 2022-002 as follows:We have no disagreement with the findings. Tacoma Community House will implement procedures to ensure disbursements are supported and approved before payment. Recurring payments will b...

This is a reiteration of Finding 2022-002. Please refer to corrective action plan under finding 2022-002 as follows:We have no disagreement with the findings. Tacoma Community House will implement procedures to ensure disbursements are supported and approved before payment. Recurring payments will be identified and approved at the start of the year. We will require accounts payable personnel to process payments only on documented and approved transactions. We will require credit card holders to limit use of their credit cards on pre-approved purposes, require adequate documentation of the expenses, and prohibit use of credit cared by their staff. Tacoma Community House will establish vendor rellationships with significant vendors and process such vendor purchases through accounts payable. The Executive Director, Aimee Khuu will be responsible for ensuring that the corrective actions take place as descibed. If you have any questions or require additional information, please feel free to contact her at 253-383-3951 Ext 105 or akhuu@tacomacommounityhouse.org.

View Audit 3534

Finding 2002 (2022-004)

Significant Deficiency 2022

The Immigrant and Community Refugee Organization

OR

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

Contact person (s) responsible: Jocelyn Swain, Interim Fiscal Director. Corrective action planned: Management will ensure that the Indirect Cost Rate Proposal is submitted annually and on time. Anticipated completion date: June 1, 2023

View Audit 3447

Finding 1994 (2022-002)

Material Weakness 2022

Good Shepherd Community Center

MS

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles

The Center agrees with the recommendation, and it will be implemented by Cindy McCarley no later than January 31, 2024. Some of these procedures have already been put into place in the calendar year 2023 and a thorough review of current procedures will be done to ensure compliance in future audits. ...

The Center agrees with the recommendation, and it will be implemented by Cindy McCarley no later than January 31, 2024. Some of these procedures have already been put into place in the calendar year 2023 and a thorough review of current procedures will be done to ensure compliance in future audits. The Center believes that all questioned costs were allowable costs as Center staff were diligent in obtaining approvals from the granting organization before spending grant funds.

View Audit 3433 Questioned Costs: $1

Finding 1932 (2022-006)

Material Weakness 2022

Pryor School District No. 2 & 3

MT

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

The Board Chairmen concurs with the finding, a new business manager was put in place August 2022, and is familiar with filing and organizing documents. REQs have been put into place for all purchases.

View Audit 3344

Corrective Action Plans

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