Corrective Action Plans

Finding 555772 (2024-001)

Significant Deficiency 2024

Alliance for Community Empowerment, Inc.

CT

Questioned Costs Allowable Costs / Cost Principles Period of Performance

CT Energy Assistance Program Assistance Listing No. 93.568 Recommendation: We recommend Alliance for Community Empowerment, Inc. design controls to ensure an adequate review process is in place to review the period of costs incurred to ensure costs are charged to grants in the proper period. Action...

CT Energy Assistance Program Assistance Listing No. 93.568 Recommendation: We recommend Alliance for Community Empowerment, Inc. design controls to ensure an adequate review process is in place to review the period of costs incurred to ensure costs are charged to grants in the proper period. Action taken in response to finding: All expenditures will be reviewed and recorded in the proper period of performance. The correction was put into place during the audit and all expenditures have been reviewed during entry and at the point of signature from the Finance Director. Name of the contact person responsible for corrective action: Indi Hayes, Finance Director Planned completion date for corrective action plan: March 21, 2025

View Audit 354453 Questioned Costs: $1

Finding 555669 (2024-001)

Significant Deficiency 2024

Alpha Warren Housing Corporation

OH

HUD Housing Programs Allowable Costs / Cost Principles Eligibility

Management is currently conducting a comprehensive review of the process to ensure alignment with compliance requirements and identify areas for improvement. Completion Date: Immediately

View Audit 354277

Finding 555653 (2024-004)

Material Weakness 2024

Link of Hampton Roads, Inc.

VA

Allowable Costs / Cost Principles Subrecipient Monitoring Cash Management § 200.308 § 200.309 § 200.403

1. Implement pre-approval controls; require date validation for all expenses against the award' s period of performance. Program Director or Executive Director or Accounting Director to review and approve. 2. Conduct training; educating staff on 2 CFR requirements and period-of-performance limitatio...

1. Implement pre-approval controls; require date validation for all expenses against the award' s period of performance. Program Director or Executive Director or Accounting Director to review and approve. 2. Conduct training; educating staff on 2 CFR requirements and period-of-performance limitations. 3. Perform periodic reviews; monitor compliance quarterly to detect outliers.

View Audit 354255

Finding 555652 (2024-003)

Material Weakness 2024

Link of Hampton Roads, Inc.

VA

Allowable Costs / Cost Principles Subrecipient Monitoring Cash Management § 200.308 § 200.309 § 200.403

1. Implement pre-submission controls; require Date validation for all expenses against the award's period of performance. Program Director or Executive Director or Accounting Director to review and approve. 2. Conduct training; educating staff on 2 CFR requirements and period-of-performance limitati...

1. Implement pre-submission controls; require Date validation for all expenses against the award's period of performance. Program Director or Executive Director or Accounting Director to review and approve. 2. Conduct training; educating staff on 2 CFR requirements and period-of-performance limitations. 3. Perform periodic reviews; monitor compliance quarterly to detect outliers.

View Audit 354255

Finding 555651 (2024-002)

Significant Deficiency 2024

Link of Hampton Roads, Inc.

VA

Allowable Costs / Cost Principles Cash Management

1. Implement pre-submission controls; require all draw requests to have written review and approval. Program Director or Executive Director or Accounting Director to review and approve. 2. Documentation Requirements: require written confirmation when payments are received from both the program and t...

1. Implement pre-submission controls; require all draw requests to have written review and approval. Program Director or Executive Director or Accounting Director to review and approve. 2. Documentation Requirements: require written confirmation when payments are received from both the program and the bank. 3. Perform periodic reviews; monitor compliance quarterly to detect outliers.

View Audit 354255

Finding 555650 (2024-001)

Significant Deficiency 2024

Link of Hampton Roads, Inc.

VA

Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Corrective Action: 1. Implement expense controls, require supporting documentation be submitted for each expense along with review and approval from Program Director or Executive Director or Accounting Director. 2. Perform periodic reviews, Monitoring compliance quarterly to detect outliers.

View Audit 354255

Finding 555645 (2024-001)

None 2024

Pejepscot Housing, Inc.

ME

Reporting Allowable Costs / Cost Principles § 200.512

Views of Responsible Offices and Planned Corrective Action: We plan on verifying that the submission to the Federal Audit Clearinghouse is completed in a timely manner.

View Audit 354241

Finding 555642 (2024-001)

None 2024

United Pejepscot Housing INC

ME

Reporting Allowable Costs / Cost Principles § 200.512

Views of Responsible Offices and Planned Corrective Action: We plan on verifying that the submission to the Federal Audit Clearinghouse is completed in a timely manner.

View Audit 354240

Finding 555600 (2024-002)

Significant Deficiency 2024

Wings Academy I

OH

Questioned Costs Allowable Costs / Cost Principles § 200.303

Finding Number: 2024-002 Planned Corrective Action: The school acknowledges the lack of sufficient internal controls in place to ensure that only allowable costs are charged to federal grants. These funds as identified under audit, will be repaid to the appropriate agency, accordingly. A corrective ...

Finding Number: 2024-002 Planned Corrective Action: The school acknowledges the lack of sufficient internal controls in place to ensure that only allowable costs are charged to federal grants. These funds as identified under audit, will be repaid to the appropriate agency, accordingly. A corrective action will be implemented, to include a review the federal award allowable uses and implementation of a process to ensure that costs are allowable prior to payment. Anticipated Completion Date: June 30, 2025 Responsible Contact Person: Stephanie Ataya, Treasurer

View Audit 354101 Questioned Costs: $1

Finding 555554 (2024-003)

Material Weakness 2024

San Bernardino City Unified School District

CA

Allowable Costs / Cost Principles Reporting Subrecipient Monitoring

When this matter was brought to the District's attention it was too late to adjust for FY 2023-2024 but the District took steps to ensure all ESSER Funds impacted were fully expended and the indirect charges were ultimately balanced out.

View Audit 354064

Finding 555545 (2024-002)

Material Weakness 2024

San Bernardino City Unified School District

CA

Questioned Costs Allowable Costs / Cost Principles

When this matter was brought to the District's attention it was too late to adjust for FY 2023-2024 but the District took steps to ensure all ESSER Funds impacted were fully expended and the indirect charges were ultimately balanced out.

View Audit 354064 Questioned Costs: $1

Finding 555534 (2024-004)

Material Weakness 2024

San Bernardino City Unified School District

CA

Questioned Costs Allowable Costs / Cost Principles

When this matter was brought to the District's attention it was too late to adjust for FY 2023-2024 but the District took steps to ensure all federal funds impacted were fully expended and the indirect charges were ultimately balanced out.

View Audit 354064 Questioned Costs: $1

Finding 555525 (2024-001)

None 2024

Indiana Housing and Community Development Authority

IN

Questioned Costs Allowable Costs / Cost Principles § 200.403

Corrective Action Plan for finding number 2024-001 Corrective action to be taken: The COVID-19 Emergency Rental Assistance program ceased accepting new applications on March 28, 2025. Prior to that a quality control process was in place to review applications before they were approved for payment ...

Corrective Action Plan for finding number 2024-001 Corrective action to be taken: The COVID-19 Emergency Rental Assistance program ceased accepting new applications on March 28, 2025. Prior to that a quality control process was in place to review applications before they were approved for payment to try to catch errors such as this. No further benefit payments will be issued as the program is being closed out. We have created a new internal review section that will focus on reviewing all potential issues identified. We have also engaged KPMG, LLP to audit any payments made that may be subject to recapture. Anticipated completion date All efforts are already under way and every attempt will be made to recapture any overpayments prior to monitoring (yet to be announced) by the U.S Department of the Treasury. Contact for the corrective action S. Kyleen Welling, Chief of Staff and Chief Operating Officer

View Audit 354055 Questioned Costs: $1

Finding 555439 (2024-005)

Significant Deficiency 2024

Grant County

NM

Cash Management Procurement, Suspension & Debarment Allowable Costs / Cost Principles § 200.302 § 200.318

Views of Responsible Officials and Planned Corrective Action The County has a written policy regarding Federal Grants that was passed by the Grant County Commissioners in January 2025. Finding resolution timeline: Resolved. Designation of employee position responsible for meeting this deadline: ...

Views of Responsible Officials and Planned Corrective Action The County has a written policy regarding Federal Grants that was passed by the Grant County Commissioners in January 2025. Finding resolution timeline: Resolved. Designation of employee position responsible for meeting this deadline: Andrea Montoya, Deputy County Manager

View Audit 354003

Finding 555374 (2024-001)

Significant Deficiency 2024

Topos Institute

WA

Questioned Costs Allowable Costs / Cost Principles

Finding Number 2024-001 Contact Persons: Brendan Fong and Beth Williams Topos will follow the following steps: Corrective action planned Anticipated Completion Date Add a step in the month-end close process to include a review of costs at least quarterly (if not monthly) to identify inaccurately cod...

Finding Number 2024-001 Contact Persons: Brendan Fong and Beth Williams Topos will follow the following steps: Corrective action planned Anticipated Completion Date Add a step in the month-end close process to include a review of costs at least quarterly (if not monthly) to identify inaccurately coded transactions. Feb-Apr 2025 Create an unallowable cost tag for entries and re-train the Office Manager to better identify unallowable costs at the point of entry. Done Second party review prior to match in QBO for unallowable cost and prepaid identification. Feb 2025 Prepare an initial draft of the indirect cost proposal at fiscal year end (prior to YE close). Nov 2025 Communicate reminder to PIs about internal controls policies and procedures for expenses reimbursed by federal grants, including ensuring all expenses should be made within the period of performance, and getting written approval from program managers for changes. Mar 2025 Topos considers the above steps sufficient and adequate to close the gaps in the coding errors of transactions that may have permitted unallowable costs. These steps will increase the effectiveness of identifying transactions and allow for appropriate tracking of costs. This will remedy the lapse in effectiveness experienced by Topos’ internal controls over allowable costs.

View Audit 353994 Questioned Costs: $1

Finding 555356 (2024-003)

Material Weakness 2024

Micro Entrerprise Services of Oregon

OR

Allowable Costs / Cost Principles Material Weakness

Finding # 2024-003 Type: Material weakness over allowable costs A.L. 14.218 U.S. Department of Housing and Urban Development A.L. 21.027 U.S. Department of Treasury Material Weakness Invoices submitted to funding agencies did not have documented review and approval for 8 of 13 invoices reviewed....

Finding # 2024-003 Type: Material weakness over allowable costs A.L. 14.218 U.S. Department of Housing and Urban Development A.L. 21.027 U.S. Department of Treasury Material Weakness Invoices submitted to funding agencies did not have documented review and approval for 8 of 13 invoices reviewed. Corrective Action: As of February 2025, we have implemented a process to document the review and approval of invoices by the grants manager. Anticipated Completion Date February 28, 2025

View Audit 353993

Finding 555350 (2024-002)

Material Weakness 2024

Micro Entrerprise Services of Oregon

OR

Allowable Costs / Cost Principles Material Weakness

Finding # 2024-002 Type: Material weakness Type: Material noncompliance over allowable costs A.L. 14.218 U.S. Department of Housing and Urban Development A.L. 21.027 U.S. Department of Treasury Material Weakness/Material Noncompliance Personnel expenses charged to federal awards must be supporte...

Finding # 2024-002 Type: Material weakness Type: Material noncompliance over allowable costs A.L. 14.218 U.S. Department of Housing and Urban Development A.L. 21.027 U.S. Department of Treasury Material Weakness/Material Noncompliance Personnel expenses charged to federal awards must be supported records that reflect the time worked charged to the award. The Organization charged personnel expenses based on approved budgeted amounts in the award agreement for 12 of 64 items tested. Corrective Action: We will implement additional training with employees on tracking time as well as develop an improved timesheet process. We are also in the process of implementing a new payroll system to ensure integration with the accounting system. Anticipated Completion Date July 1, 2025

View Audit 353993

Finding 555344 (2024-003)

Material Weakness 2024

California State University

CA

Questioned Costs Allowable Costs / Cost Principles § 200.303 § 200.430

The University concurs with the recommendations. The University will review and enhance its procedures and internal controls to monitor or ensure the completeness and accuracy of all federal grants, to ensure they are separately recorded within the general ledger and all expenditures and activities ...

The University concurs with the recommendations. The University will review and enhance its procedures and internal controls to monitor or ensure the completeness and accuracy of all federal grants, to ensure they are separately recorded within the general ledger and all expenditures and activities are processed in accordance with applicable federal guidelines. The University will implement effort reporting procedures for the SNAP Cluster program that include accounting for all employee activities for the program and implement appropriate controls to ensure costs charges to the SNAP program are based on actual costs incurred and are properly determined and calculated based upon the Uniform Guidance allowable costs criteria.

View Audit 353990 Questioned Costs: $1

Finding 555210 (2024-002)

Significant Deficiency 2024

Housing Authority of the Township of Neptune

NJ

Allowable Costs / Cost Principles HUD Housing Programs § 200.438

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor. The Authority will increase oversight in the Public and Indian Housing and Section 8 Vouchers Programs to ensure that established internal control policies are being followed on a t...

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor. The Authority will increase oversight in the Public and Indian Housing and Section 8 Vouchers Programs to ensure that established internal control policies are being followed on a timely basis. Bart Cook, Executive Director, is responsible for implementing this corrective action by September 30, 2025.

View Audit 353830

Finding 555173 (2024-004)

Material Weakness 2024

Miami Children's Health System, Inc. D/b/a Nicklaus Children's Health

FL

Questioned Costs Allowable Costs / Cost Principles Cash Management

Identifying Number: 2024-004 Finding: Material Weakness: Period of Performance Context: Expenditures were included on the 2024 Schedule of Expenditures of Federal Awards, however, the expenditures were incurred prior to the budget period start date. Corrective Actions Taken or Planned: The Director ...

Identifying Number: 2024-004 Finding: Material Weakness: Period of Performance Context: Expenditures were included on the 2024 Schedule of Expenditures of Federal Awards, however, the expenditures were incurred prior to the budget period start date. Corrective Actions Taken or Planned: The Director of the Office of Sponsored Programs and the Manager of Sponsored Programs will develop a standardized document checklist for all high-value expenditures. This checklist will require all Sponsored Programs analysts to submit complete documentation with expense reports and proof of payment and have their respective immediate supervisor/manager review for compliance before final approval by the Director. a. Implementing organizational changes such as updated policies and/or procedures b. Educating the team(s) and/or Department(s) on internal controls, processes and accuracy best practices during the Grant management process c. Oversight of drawdown requests by the Director of Sponsored Programs to ensure accuracy of request Planning Process: Compliance with Regulations: The Director and Manager from Sponsored Programs will ensure the corrective actions align with applicable federal grant regulations and guidelines. We will create: - Implement internal controls, with the Director and Manager from Sponsored Programs developing checks and balances at the end of each month to ensure compliance in all the grant's portfolio. - Oversight of all drawdown requests, ensuring complete and accurate supporting documentation. Communication: The Director and Manager from Sponsored Programs will communicate the corrective action plan to all relevant staff and stakeholders. Follow-up: The Director and Manager from Sponsored Programs will regularly monitor progress and adjust to resolve any inefficiencies. Training: The Director and Manager from Sponsored Programs will work on the development and delivery of mandatory training sessions for all Sponsored Programs relevant staff. This will include (not limted to): - Retrain on updated policies and procedures (OSP team, Departments and stakeholders, if applicable) - Retrain on workflows and system (OSP team, Departments and stakeholders, if applicable) - Retrain on process improvement (OSP team, Departments and stakeholders, if applicable) Policy Updates: Revision of existing policies or creation of new ones to clarify procedures. System Enhacements: Implementing new software/program that improves data accuracy and compliance in all Federal/State and Local Grants throughout Nicklaus Children's Hospital. Monitoring and Oversight: The Director and Manager from the Sponsored Programs will monitor transactions and reporting processed more frequently. Deadline for Implementation: Immediate Action: The Director of Sponsored Programs transitioned the staff member responsible for the findings to an area where their expertise is most valuable. This CAPA will take effect immediately and be fully implemented within six weeks by April 07, 2025, allowing time to create/revise SOPs, Working Practice Guidelines (WPGs), Checklists and training/retraining sessions for stakeholders and OSP team members.

View Audit 353775 Questioned Costs: $1

Finding 555172 (2024-003)

None 2024

Miami Children's Health System, Inc. D/b/a Nicklaus Children's Health

FL

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

Identifying Number: 2024-003 Finding: Reporting Context: An incorrect progress report was submitted to the grantor. Corrective Actions Taken or Planned: The Director of the Office of Sponsored Programs and the Manager of Sponsored Programs will develop a standardized document checklist for all high-...

Identifying Number: 2024-003 Finding: Reporting Context: An incorrect progress report was submitted to the grantor. Corrective Actions Taken or Planned: The Director of the Office of Sponsored Programs and the Manager of Sponsored Programs will develop a standardized document checklist for all high-value expenditures. This checklist will require all Sponsored Programs analysts to submit complete documentation with expense reports and proof of payment and have their respective immediate supervisor/manager review for compliance before final approval by the Director. a. Implementing organizational cjanges such as updated policies and/or procedures b. Educating the team(s) and/or Department(s) on internal controls, processes and accuracy best practices during the Grant management process c. Oversight of drawdown requests by the Director of Sponsored Programs to ensure accuracy of request Planning Process: Compliance with Regulations: The Director and Manager from Sponsored Programs will ensure the corrective actions align with applicable federal grant regulations and guidelines. We will create: - Implement internal controls, with the Director and Manager from Sponsored Programs developing checks and balances at the end of each month to ensure compliance in all the grant's portfolio. - Oversight of all drawdown requests, ensuring complete and accurate supporting documentation. Communication: The Director and Manager from Sponsored Programs will communicate the corrective action plan to all relevant staff and stakeholders. Follow-up: The Director and Manager from Sponsored Programs will regularly monitor progress and adjust to resolve any inefficiencies. Training: The Director and Manager from Sponsored Programs will work on the development and delivery of mandatory training sessions for all Sponsored Programs relevant staff. This will include (not limited to): - Retrain on updated policies and procedures (OSP team, Departments and stakeholders, if applicable) - Retrain on workflows and system (OSP team, Departments and stakeholders, if applicable) - Retrain on process improvement (OSP team, Departments and stakeholders, if applicable) Policy Updates: Revision of existing policies or creation of new ones to clarify procedures. System Enhacements: Implementing new software/program that improves data accuracy and compliance in all Federal/State and Local Grants throughout Nicklaus Children's Hospital. Monitoring and Oversight: The Director and Manager from the Sponsored Programs will monitor transactions and reporting processed more frequesntly. Deadline for Implementation: Immediate Action: The Director of Sponsored Programs transitioned the staff member responsible for the findings to an area where their expertise is most valuable. This CAPA will take effect immediately and be fully implemented within six weeks by April 07, 2025, allowing time to create/revise SOPs, Working Practice Guidelines (WPGs), Checklists and training/retraining sessions for stakeholders and OSP team members.

View Audit 353775

Finding 555171 (2024-002)

Material Weakness 2024

Miami Children's Health System, Inc. D/b/a Nicklaus Children's Health

FL

Questioned Costs Allowable Costs / Cost Principles Cash Management

Identifying Number: 2024-002 Finding: Material Weakness: Allowable Costs/Cost Principles Context: Expenditures were included on the 2024 Schedule of Expenditures of Federal Awards, however, the expenditures were not incurred until 2025. Corrective Actions Taken or Planned: The Director of the Office...

Identifying Number: 2024-002 Finding: Material Weakness: Allowable Costs/Cost Principles Context: Expenditures were included on the 2024 Schedule of Expenditures of Federal Awards, however, the expenditures were not incurred until 2025. Corrective Actions Taken or Planned: The Director of the Office of Sponsored Programs and the Manager of Sponsored Programs will develop a standardized document checklist for all high-value expenditures. This checklist will require all Sponsored Programs analysts to submit complete documentation with expense reports and proof of payment and have their respective immediate supervisor/manager review for compliance before final approval by the Director. a. Correcting the gaps between invoicing processes and collecting the Departments/AP proof of payment b. Returning overpayments, if applicable c. Implementing organizational changes such as updated policies and/or procedures d. Educating the team(s) and/or Department(s) on internal controls, processes and accuracy best practices duing the Grant management processes. Planning Process: Compliance with Regulations: The Director and Manager from Sponsored Programs will ensure the corrective actions align with applicable federal grant regulations and guidelines. We will create: - Create processes in which we will adopt verification procedures for invoices and collections. - Create/update Standard Operating Procedures (SOPs) - Provide our team with updated training material (working practice guidelines - WPGs), so they have clear expectations and understand our compliance mechanism. - Implement internal controls, with the Director and Manager from Sponsored Programs developing checks and balances at the end of each month to ensure compliance in all the grant's portfolio. Communication: The Director and Manager from Sponsored Programs will communicate the corrective action plan to all relevant staff and stakeholders. Follow-up: The Director and Manager from Sponsored Programs will regularly monitor progress and adjust to resolve any inefficiencies. Training: The Director and Manager from Sponsored Programs will work on the development and delivery of mandatory training sessions for all Sponsored Programs relevant staff. This will include (not limited to): - Retrain on updated policies and procedures (OSP team, Departments and stakeholders, if applicable) - Retrain on workflows and system (OSP team, Departments and stakeholders, if applicable) - Retrain on process improvement (OSP team, Departments and stakeholders, if applicable) Policy Updates: Revision of existing policies or creation of new ones to clarify procedures. System Enhacements: Implementing new software/program that improves data accuracy and compliance in all Federal/State and Local Grants throughout Nicklaus Children's Hospital. Monitoring and Oversight: The Director and Manager from the Sponsored Programs will monitor transactions and reporting processed more frequently. Deadline for Implementation: Immediate Action: The Director of Sponsored Programs transitioned the staff member responsible for the findings to an area where their expertise is most valuable. This CAPA will take effect immediately and be fully implemented within six weeks by April 07, 2025, allowing time to create/revise SOPs, Working Practice Guidelines (WPGs), Checklists and training/retraining sessions for stakeholders and OSP team members.

View Audit 353775 Questioned Costs: $1

Finding 555170 (2024-001)

None 2024

Miami Children's Health System, Inc. D/b/a Nicklaus Children's Health

FL

Questioned Costs Allowable Costs / Cost Principles

Identifying Number: 2024-001 Finding: Allowable Costs/Cost Principles Context: The System received funding that was not net of appliccable credits. The funding received from the grantor was the full invoice amount, howver, the actual expenditure was net of applicable credits ($6,945). Corrective Act...

Identifying Number: 2024-001 Finding: Allowable Costs/Cost Principles Context: The System received funding that was not net of appliccable credits. The funding received from the grantor was the full invoice amount, howver, the actual expenditure was net of applicable credits ($6,945). Corrective Actions Taken or Planned: The Director of the Office of Sponsored Programs and the Manager of Sponsored Programs will develop a standardized document checklist for all high-value expenditures. This checklist will require all Sponsored Programs analysts to submit complete documentation with expense reports and proof of payment and have their respective immediate supervisor/manager review for compliance before final approval by the Director. a. Correcting the gaps between invoicing processes and collecting the Departments/AP proof of payment b. Returning overpayments, if applicable c. Implementing organizational changes such as updated policies and/or procedures d. Educating the team(s) and/or Department(s) on internal controls, processes and accuracy best practices during the Grant management process Planning Process Compliance with Regulations: The Director and Manager from Sponsored Programs will ensure the corrective actions align with applicable federal grant regulations and guidelines. We will create: - Processes in which we will adopt verification procedures for invoices and collections. - Create/update Standard Operating Procedures (SOPs). - Provide our team with updated training material (working pratice guidelines -WPGs), so they have clear expectations and understand our compliance mechanism. - Implement internal controls, with the Director and Manager from Sponsored Programs developing checks and balances at the end of each month to ensure compliance in all the grant's portfolio. Communication: The Director and Manager from Sponsored Programs will communicate the corrective action plan to all relevant staff and stakeholders. Follow-up: The Director and Manager from Sponsored Programs will regularly monitor progress and adjust to resolve any inefficiencies. Training: The Director and Manager from Sponsored Programs will work on the development and delivery of mandatory training sessions for all Sponsored Programs relevant staff. This will include (not limited to): - Retrain on updated policies and procedures (OSP tean, Departments and stakeholders, if applicable) - Retrain on workflows and system (OSP team, Departments and stakeholders, if applicable) - Retrain on process improvement (OSP team, Departments and stakeholders, if applicable) Policy Updates: Revision of existing policies or creation of new ones to clarify procedures. System Enhacements: Implemeting new software/program that improves data accuracy and compliance in all Federal/State and Local Grants throughout Nicklaus Children's Hospital. Monitoring and Oversight: The Director and Manager from the Sponsored Programs will monitor transactions and reporting processes more frequently. Deadline for Implementation: Immediate action: The Director of Sponsored Programs transitioned the staff member responsible for the findings to an area where their expertise is most valuable. This CAPA will take effect immediately and be fully implemented within six weeks by April 07, 2025, allowing time to create/revise SOPs, Working Practice Guidelines (WPGs). Checklists and training/retraining sessions for stakeholders and OSP team members.

View Audit 353775 Questioned Costs: $1

Finding 555167 (2024-001)

Material Weakness 2024

Movement Strategy Center

CA

Questioned Costs Allowable Costs / Cost Principles § 200.430

FINDINGS – Single Audit Audit Finding Summary: 2024-001 The organization failed to implement adequate internal controls to ensure compliance with federal timekeeping and documentation requirements for personnel expenses. Additionally, there appears to be a lack of understanding of the documentation...

FINDINGS – Single Audit Audit Finding Summary: 2024-001 The organization failed to implement adequate internal controls to ensure compliance with federal timekeeping and documentation requirements for personnel expenses. Additionally, there appears to be a lack of understanding of the documentation and certification requirements under 2 CFR Part 200, Subpart E. Corrective Action Plan: Contact Person Responsible for Corrective Action: Marilyn Lovelace-Grant, Chief People and Culture Officer marilyn@movementstrategy.org | (510) 414-2674 Planned Action: MSC acknowledges the importance of accurate time and effort reporting in accordance with 2 CFR 200.430. To address the identified deficiencies, we will implement the following corrective measures. Policy and Procedure Enhancement: MSC is developing and implementing updated policies to ensure compliance with federal grant requirements. Employees who charge 100% of their time to a federal grant will be required to submit semi-annual certifications, while those working across multiple activities will maintain detailed time and effort reports aligned with federal guidelines. Improved Documentation and Controls: A standardized timekeeping and certification system will be enforced, requiring supervisory review and approval for all-time records. This will ensure that all reported work is properly documented and verified. Training and Compliance Monitoring: MSC will provide training for employees and supervisors to enhance their understanding of federal grant timekeeping and documentation requirements. Regular Internal Reviews: A periodic internal review process will be established to verify the accuracy and completeness of timekeeping records and ensure compliance with federal regulations. Resolution of Questioned Costs: MSC will work directly with the federal awarding agency to resolve the identified $50,000 in questioned costs and implement any additional corrective actions deemed necessary Expected Completion Date: September 30, 2025

View Audit 353769 Questioned Costs: $1

Finding 555112 (2024-002)

Material Weakness 2024

Urban Affairs Coalition

PA

Allowable Costs / Cost Principles Material Weakness Reporting

2024-002 Material Weakness in Internal Control over Compliance 21.023- Emergency Rental Assistance 93.914 – HIV Prevention 93.959 – Block Grants for Prevention and Treatment of Substance Abuse City of Philadelphia, Office of Addition Services (Contract # 22-20537-01) City of Philadelphia, Divi...

2024-002 Material Weakness in Internal Control over Compliance 21.023- Emergency Rental Assistance 93.914 – HIV Prevention 93.959 – Block Grants for Prevention and Treatment of Substance Abuse City of Philadelphia, Office of Addition Services (Contract # 22-20537-01) City of Philadelphia, Division of HIV Health (Contract #21-20003-03 and 22-20537-02) Philadelphia Housing Development Corporation (Contract # 21-20469) Condition: As part of the audit management was to provide us with a complete final trial balance where balances agree to the supporting schedules, reconciliations and documentation provided by management. We noted that the trial balance and general ledger detail reports originally provided by management were (a) delayed, (b) included unreconciled material account balances, (c) multiple journal entries (material and not material), (c) transactions missing from the trial balance, and (d) some reconciliations that either did not agree with the trial balance or individual transactions could not be traced back from the documentation provided to the general ledger. This had caused delays in the completion of the audit, preparation of financial statements, and associated disclosures and the timely arrival of our audit and single audit conclusion. Recommendation: We recommend that management implement policies and procedures as it relates to the reconciliation of accounts, tracking of transactions, and regular review to ensure that calculations of general ledge account balances are accurate and complete. In addition, we continue to recommend that management revisit its financial closing and reporting policies to include updates to its procedures for year-end closes and the timing of when final journal entries and analysis are performed. Repeat Finding: Yes Explanation of Disagreement with Audit Finding There is no disagreement with the audit finding. Action taken in response to finding: Management recognizes the recent delays in timely and accurate financial information and is committed to improving. We will implement updated procedures to ensure the swift and precise presentation of a complete final trial balance that aligns perfectly with the supporting schedules, reconciliations, and documentation. Our enhanced processes will involve promptly recording revenues and expenses, regularly reconciling bank records with accounts, and minimizing journal entries outside the appropriate period. The accounting staff has faced challenges meeting deadlines due to unexpected health issues and recent turnover within the team. Despite these obstacles, we are focused on optimizing our resources and enhancing our efficiency to ensure that tasks are completed on time. Planned completion date for corrective action plan: June 30, 2025

View Audit 353710

Corrective Action Plans

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