Corrective Action Plans

Finding 571874 (2024-001)

Material Weakness 2024

WI

Cash Management Reporting

Material Adjustment to Fund Balance and Net Position Condition: The District audit resulted in a material restatement to fund balance/net position that was detected by auditing procedures. Plan: The District acknowledges the finding and will continue to review new standards as part of the fiscal aud...

Material Adjustment to Fund Balance and Net Position Condition: The District audit resulted in a material restatement to fund balance/net position that was detected by auditing procedures. Plan: The District acknowledges the finding and will continue to review new standards as part of the fiscal audit process. Anticipated Date of Completion: The District will immediately implement yearly review of new standards as part of the fiscal audit process. Name of Contact Person: Nicki Ells, Business Manager Management Response: The District acknowledges the Plan and will begin reviewing regulatory requirements and capital assets on an annual basis.

View Audit 362918

Finding 571858 (2024-003)

Significant Deficiency 2024

Webber International University, Inc.

FL

Cash Management Student Financial Aid

2024-003 – Cash Management (Significant Deficiency) Department of Education, SFA Cluster, Cash Management Criteria: In accordance with 34 CFR 668.164, an institution submits a drawdown request for funds utilizing ED’s electronic grants management system that may not exceed the amount of funds needed...

2024-003 – Cash Management (Significant Deficiency) Department of Education, SFA Cluster, Cash Management Criteria: In accordance with 34 CFR 668.164, an institution submits a drawdown request for funds utilizing ED’s electronic grants management system that may not exceed the amount of funds needed to make immediate disbursements to eligible students and parents. The institution must disburse the requested funds as soon as administratively possible, but no later than three business days following receipt of those funds from ED. Any funds not disbursed by the end of the third business day are considered excess cash. Condition: A sample of twenty-six students were tested for timely distribution of federal student aid funds. Aid was distributed more than three business days after funds were received from ED for all students tested. Cause: Lack of controls over cash management. Effect: Excess federal cash retained by the institution. Recommendation: We recommend the University implement appropriate training regarding compliance regulations into the employee onboarding process and thereafter for applicable employees. In addition, we recommend the University implements timely review procedures to ensure that any overdrawn funds are returned within the tolerance period. Action Taken: The University acknowledges the deficiency in the timely disbursement of Title IV funds and has taken immediate corrective action to strengthen cash management controls. Specifically, the Financial Aid Office and the Business Office collaborated to revise internal procedures to ensure that federal funds are disbursed within three business days of receipt from the U.S. Department of Education. Effective 7/16/2025, a new standard operating procedure (SOP) was implemented, which includes: 1) Weekly reconciliation between Campus Anyware and G5 drawdowns to track the timing of funds received and disbursed. 2) Mandatory compliance training on federal cash management regulations for all financial aid and student accounts staff, both during onboarding and annually thereafter. 3) Monthly internal audits to review disbursement timelines and identify exceptions. Additionally, any funds inadvertently held beyond the three-day window are now promptly returned to G5 within the regulatory tolerance period. Responsible Party and contact information: Triniti Lee – Financial Aid Processor, Leetk2@webber.edu, Adhley Neal – Business Office Processor, nealad@webber.edu. Expected Date of Correction: 8/1/2025

View Audit 362898

Finding 571842 (2024-001)

Significant Deficiency 2024

New Jersey Turnpike Authority

NJ

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

Corrective Action Plan Year Ended December 31, 2024 Findings Related to the Financial Statements Reported in Accordance with Government Auditing Standards None Findings Related to Federal Awards 2024-001 Activities Allowed or Unallowed and Allowable Costs/Cost Principles Federal Agency: U.S. Depa...

Corrective Action Plan Year Ended December 31, 2024 Findings Related to the Financial Statements Reported in Accordance with Government Auditing Standards None Findings Related to Federal Awards 2024-001 Activities Allowed or Unallowed and Allowable Costs/Cost Principles Federal Agency: U.S. Department of Homeland Security: Passed through the State of New Jersey, Department of Law and Public Safety Program Titles and Assistance Listing Numbers (ALN): Disaster Grants – Public Assistance (Presidentially Declared Disasters) – ALN 97.036 Federal Grant Numbers: State of New Jersey pass-through number: UH1WX, Project #2365 – Award Year 2024 (Application 696220) Contact Person: Donna Wilser, Deputy Executive Director, 732-750-5300 Corrective Action: Management agrees with the finding. Beginning in December 2024, as a commitment to strengthen our processes and ensure that all physical timesheets related to FEMA-declared disaster events are properly maintained and readily accessible, management put a process in place to enhance procedures and controls for timesheets going forward to ensure full compliance with the Uniform Guidance requirements. This process was successfully implemented as of this date and for prospective periods. However, this process does not remedy the issue noted in the finding which relates to time worked from 2020-2022, which is before the process was in place. Therefore, the finding is repeated from the prior year. Anticipated Completion Date: Completed

View Audit 362864

Finding 571817 (2024-001)

Significant Deficiency 2024

School District of Fort Atkinson

WI

Questioned Costs Cash Management Reporting

Condition: Supporting documentation for the monthly food service meals provided did not align with the claims reported for reimbursement by free, reduced, and paid categories. Plan: The District will keep physical copies of reports and claims submitted. As students switched categories (free, reduced...

Condition: Supporting documentation for the monthly food service meals provided did not align with the claims reported for reimbursement by free, reduced, and paid categories. Plan: The District will keep physical copies of reports and claims submitted. As students switched categories (free, reduced, and paid), the electronic system failed to keep that in account, leading to discrepancies. Anticipated Date of Completion: The District anticipates completion during the 2024-2025 fiscal year. Name of Contact Person: Nathan Knitt, Director of Business Services

View Audit 362828 Questioned Costs: $1

Finding 571788 (2024-001)

Significant Deficiency 2024

Council of Graduate Schools

DC

Allowable Costs / Cost Principles Reporting Internal Control / Segregation of Duties § 200.502 § 200.510

Description: The SEFA schedule included unallowable costs. Planned Corrective ActionL CGS will revise its SEFA preparation procedures to ensure that only allowable and properly reimbursable expenditures on federal awards are reported. Additional training will be scheduled for those responsible sta...

Description: The SEFA schedule included unallowable costs. Planned Corrective ActionL CGS will revise its SEFA preparation procedures to ensure that only allowable and properly reimbursable expenditures on federal awards are reported. Additional training will be scheduled for those responsible staff members to ensure that this error does not happen in the future. Anticipated Completion Date: October 1, 2025 Responsible Person: Keith Peregonov, VP for Finance, Human Resources and Operations

View Audit 362812

Finding 571761 (2024-005)

Significant Deficiency 2024

City of Commerce

CA

Cash Management Internal Control / Segregation of Duties

The City will work on a formal cash management policy and procedure concerning federal grants. This policy will include the process of preparing, reviewing, and approving drawdowns with final approvals from the City Manager. The transportation department will work on a tracking system monitoring gra...

The City will work on a formal cash management policy and procedure concerning federal grants. This policy will include the process of preparing, reviewing, and approving drawdowns with final approvals from the City Manager. The transportation department will work on a tracking system monitoring grant expenditures and drawdowns. Responsible Persons: Claude McFerguson – Director of Transportation Date of Implementation: May 19, 2025

View Audit 362784

Finding 571734 (2024-001)

Material Weakness 2024

Addison School District No. 4

IL

Cash Management Reporting Internal Control / Segregation of Duties

Plan: The District will implement internal controls to properly record GASB 87 leases and personal property replacement tax revenue on a timely basis prior to audit fieldwork. Anticipated Date of Completion: June of 2025 Name of Contact Person: Melissa Morgese, Assistant Superintendent of Business M...

Plan: The District will implement internal controls to properly record GASB 87 leases and personal property replacement tax revenue on a timely basis prior to audit fieldwork. Anticipated Date of Completion: June of 2025 Name of Contact Person: Melissa Morgese, Assistant Superintendent of Business Management Response: The restatement was due to new auditors finding an error in the prior year GASB 87 calculation. This has been corrected and the district will continue to evaluate going forward.

View Audit 362740

Finding 571703 (2024-002)

Material Weakness 2024

National Association of Chronic Disease Directors

GA

Questioned Costs Reporting Cash Management § 200.305 § 200.327 § 200.516

Correction action • Finance team is in the process of implementing a new financial accounting (Grants Management System, Sage) system to ensure that coding for grants are accurately tracked. Internal reports will be built to provide monthly analysis of individual grants. Finance will work with progr...

Correction action • Finance team is in the process of implementing a new financial accounting (Grants Management System, Sage) system to ensure that coding for grants are accurately tracked. Internal reports will be built to provide monthly analysis of individual grants. Finance will work with program staff to ensure timely and accurate budget to actuals review and reconciliations. • Finance will contact Grant Manager responsible for each grant to develop plan of action for returning any overdrawn funds. Responsible Person • Associate Director - Finance Anticipated completion date • September 30, 2025

View Audit 362661 Questioned Costs: $1

Finding 571702 (2024-003)

Material Weakness 2024

National Association of Chronic Disease Directors

GA

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.305 § 200.403 § 200.405 § 200.430

Correction action • Finance will work HR and Program staff to document written procedures for staffing allocations. • Finance will strengthen monthly project monitoring of project activity and also ensure that budget changes, if necessary, are approved by the Grants Manager. • Drawdown process is be...

Correction action • Finance will work HR and Program staff to document written procedures for staffing allocations. • Finance will strengthen monthly project monitoring of project activity and also ensure that budget changes, if necessary, are approved by the Grants Manager. • Drawdown process is being revised to ensure that the general ledger activity, pending draw request, and vendor payables are all in sync. • Finance will contact Grant Manager responsible for each grant to develop plan of action for returning any overdrawn funds. Responsible Person • Associate Director - Finance Anticipated completion date • September 30, 2025

View Audit 362661 Questioned Costs: $1

Finding 571682 (2024-001)

Material Weakness 2024

Town of East Hampton

NY

HUD Housing Programs Cash Management Reporting

Management has employed an outside consultants to assist in resolving past issues which will then help facilitate with entering the ensuing years data for the Section 8 Housing Choice Vouchers Program. The plan is to resolve the previous filing issues by 9/30/25. This will ensure that 2025 submissio...

Management has employed an outside consultants to assist in resolving past issues which will then help facilitate with entering the ensuing years data for the Section 8 Housing Choice Vouchers Program. The plan is to resolve the previous filing issues by 9/30/25. This will ensure that 2025 submission will be filed by May 31st, 2026.

View Audit 362619

Finding 571672 (2024-002)

Material Weakness 2024

Oro Grande School District

CA

Cash Management Reporting Internal Control / Segregation of Duties

The District will create a procedure for monthly review of meal counts at sites and reconciliation with the monthly claims. Reports will require a second person to review and approve before filing. The Director of Nutrition Services will review the Title 7 requirements and review the newprocedure fo...

The District will create a procedure for monthly review of meal counts at sites and reconciliation with the monthly claims. Reports will require a second person to review and approve before filing. The Director of Nutrition Services will review the Title 7 requirements and review the newprocedure for compliance.

View Audit 362615

Finding 571666 (2024-001)

Significant Deficiency 2024

Lutheran Services in Iowa, Inc.

IA

Cash Management Student Financial Aid Allowable Costs / Cost Principles § 200.303

Title IV-E Foster Care Assistance Listing No. 93.658 Recommendation: We recommend LSI design controls to ensure an adequate review process is in place for all drawdown requests. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response ...

Title IV-E Foster Care Assistance Listing No. 93.658 Recommendation: We recommend LSI design controls to ensure an adequate review process is in place for all drawdown requests. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Preparer of drawdown request will have approval from another finance team member. Name(s) of the contact person(s) responsible for corrective action: Roni Knief Planned completion date for corrective action plan: Complete and ongoing

View Audit 362611

Finding 571633 (2024-001)

Material Weakness 2024

City of South Amboy

NJ

Cash Management Allowable Costs / Cost Principles Material Weakness

FINDING: The City filed for and received reimbursements for the City’s ferry terminal site improvements utilizing the same vendor invoices under both the Coronavirus State and Local Fiscal Recovery Funds grant and/or State of New Jersey Department of Transportation federal and state transportation g...

FINDING: The City filed for and received reimbursements for the City’s ferry terminal site improvements utilizing the same vendor invoices under both the Coronavirus State and Local Fiscal Recovery Funds grant and/or State of New Jersey Department of Transportation federal and state transportation grants. ANALYSIS: The City Engineer had applied for reimbursements from the State of New Jersey Department of Transportation and the C.F.O. from the Coronavirus State and Local Fiscal Recovery Fuds grant unknowingly at the same time. Both individuals used the same vendor invoices in their reporting. The Engineer used only the invoices for the hard costs involved for reimbursement while the C.F.O. used invoices for both hard and soft costs to request drawdowns/advances. CORRECTIVE ACTION: All applications for grant reimbursements will be reviewed by Administration and/or C.F.O. prior to being submitted. IMPLEMENTATION DATE: Immediately

View Audit 362557

Finding 571592 (2024-001)

Significant Deficiency 2024

Margate Terrace Corporation

NJ

Questioned Costs HUD Housing Programs Cash Management

Management will ensure future residual receipts deposits are made timely.

View Audit 362509 Questioned Costs: $1

Finding 571541 (2024-005)

Material Weakness 2024

Tca Health, Inc.

IL

Cash Management Material Weakness Matching / Level of Effort / Earmarking § 200.303 § 200.305

Recommendation: We recommend management consider developing a contingency plan for when there is turnover in key personnel involved with the drawdown process of federal grants. As part of this plan, if changes need to occur to the primary internal control over drawdowns, those changes should be do...

Recommendation: We recommend management consider developing a contingency plan for when there is turnover in key personnel involved with the drawdown process of federal grants. As part of this plan, if changes need to occur to the primary internal control over drawdowns, those changes should be documented with supporting documentation retained for the revised internal control. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: TCA will have a Grant/Staff Account or designee prepare documentation for the drawdowns. The CEO or designee will approve drawdown documents. CFO/Controller or designee will process the drawdown and take a screenshot when completed. All approvals will be shown on the excel sheet with the drawdown information. Name(s) of the contact person(s) responsible for corrective action: Jeremy Runde, Controller Planned completion date for corrective action plan: June 2025

View Audit 362500

Finding 571474 (2024-005)

None 2024

Central Manor Apartments, Inc.

FL

Questioned Costs HUD Housing Programs Cash Management

Finding 2024-005: Residual Receipts Deposit: Recommendation: The Project needs to determine if these funds must be submitted to the new owner. Action Taken: To be determined.

View Audit 362385 Questioned Costs: $1

Finding 571435 (2024-002)

Material Weakness 2024

Hope Shines Bright Holding Company, Inc.

NV

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Cash Management § 200.62

2004-002: Controls over Allowable Costs, etc. St. Jude’s Ranch for Children (the parent entity of HSB Holding Company) acknowledges that weaknesses in the financial oversight process contributed to this finding. Specifically, limited knowledge of Generally Accepted Accounting Principles (GAAP) and ...

2004-002: Controls over Allowable Costs, etc. St. Jude’s Ranch for Children (the parent entity of HSB Holding Company) acknowledges that weaknesses in the financial oversight process contributed to this finding. Specifically, limited knowledge of Generally Accepted Accounting Principles (GAAP) and federal cost principles by key financial personnel led to misclassification of costs and errors in reimbursement requests in a new type of grant unfamiliar to the accounting team. In response, the organization is restructuring its finance department to ensure that individuals with appropriate qualifications and experience in nonprofit GAAP and federal grant compliance are responsible for reviewing accounting records and reimbursement requests. This includes a new Chief Financial Officer with demonstrated experience in federal grant accounting and compliance and a dedicated grants manager to prepare all reimbursement submissions under the oversight of the CFO.

View Audit 362369

Finding 571396 (2024-002)

None 2024

Adams County, Colorado

CO

Questioned Costs Eligibility Cash Management

Condition: During our testing of 40 Foster Care IV-E benefit transactions, we noted one sample out of forty total samples where the individual receiving payment under Foster Care IV-E was not eligible as the individual did not meet the eligibility requirement of living with a parent or specified rel...

Condition: During our testing of 40 Foster Care IV-E benefit transactions, we noted one sample out of forty total samples where the individual receiving payment under Foster Care IV-E was not eligible as the individual did not meet the eligibility requirement of living with a parent or specified relative during the required timeframe. Recommendation: We recommend the County collaborate with the Colorado Department of Human Services to ensure that reimbursements under Foster Care IV-E only occur for individuals that are eligible under the Foster Care IV-E Program. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to the finding: The Adams County Human Services (ADHS) finance staff will implement a monthly review comparing the IV-E status report in the ADHS Mango application to the monthly Discoverer payments report from the State of Colorado system. This monthly process should show IV-E payments made for clients who were flagged non-IV eligible. If errors are found, ADHS will send a list of the clients and payments in question to the state for their review and correction. ADHS finance staff will also verify that we have correctly entered the client eligibility determination in the state system. Name of the contact person responsible for corrective action: Maurice Stenberg Planned completion date for corrective action plan: December 31, 2025

View Audit 362347 Questioned Costs: $1

Finding 571328 (2024-006)

Significant Deficiency 2024

Morris Colllege

SC

Cash Management Internal Control / Segregation of Duties

Management will take necessary steps to adopt a cash management policy that meets all the requirements. The College has put a reconciliation process in place to ensure funds are only drawdown after a review and approval of all expenditures has been completed.

View Audit 362285

Finding 571307 (2024-001)

Material Weakness 2024

Lyle School District No. 406

WA

Questioned Costs Internal Control / Segregation of Duties Subrecipient Monitoring

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Lyle School District No. 406 September 1, 2023 through August 31, 2024 This schedule presents the corrective action the District is planning to take for findings included in this report in accordance with Title 2 U.S. ...

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Lyle School District No. 406 September 1, 2023 through August 31, 2024 This schedule presents the corrective action the District is planning to take for findings included in this report in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Finding ref number: 2024-001 Finding caption: The District did not have adequate controls for ensuring compliance with federal requirements for allowable costs and cost principles and federal wage rate requirements. Name, address, and telephone of District contact person: Susan Carabin, Business Manager PO Box 368 Lyle, WA 98635 (509) 365-2191 Corrective action the auditee plans to take in response to the finding: A new methodology for calculating indirect cost rates has been implemented, including working directly with EGMS staff at the beginning of the fiscal year to document the correct indirect rate per grant (for the 2024-25 fiscal year this was completed in March 2025). The District was previously not aware that OSPI was not modifying the hard coded rate. The District has significantly strengthened its internal controls over expenditures. We've implemented a checklist system for accounts payable, designed to catch errors such as duplicate taxation. Additionally, the District developed a master spreadsheet to reconcile all grant claims monthly, ensuring each claim is reconciled both before and after submission, and upon revenue receipt. Anticipated date to complete the corrective action: March 2025

View Audit 362249 Questioned Costs: $1

Finding 571152 (2024-001)

Significant Deficiency 2024

Hinds Community College District

MS

Student Financial Aid Special Tests & Provisions Matching / Level of Effort / Earmarking

a. Administrator: V.P. Finance/ CFO ....... Victor Parker 601-857-3961 b. Administrator: V.P. Student Services ...... Jennifer Scott-Gilmore 601-857-3250 The District using a Servicer to Deliver Title IV Credit Balances to a card did not provide a URL for the contract to the Department of Education ...

a. Administrator: V.P. Finance/ CFO ....... Victor Parker 601-857-3961 b. Administrator: V.P. Student Services ...... Jennifer Scott-Gilmore 601-857-3250 The District using a Servicer to Deliver Title IV Credit Balances to a card did not provide a URL for the contract to the Department of Education in the Cash Management Contracts Database and disclose the contract on the District's website. b. Corrective Action Planned: The Management has reviewed the District process of delivering Title IV credit balances to students. Management will disclose the third-party contractual agreement to its Servicer as well and provide the URL to the Department of Education via the Cash Management Contracts Database. The anticipated completion date is August 2025.

View Audit 362076

Finding 571138 (2024-001)

Significant Deficiency 2024

Central Texas Senior Ministry

TX

Cash Management Internal Control / Segregation of Duties § 200.303

Management has established and implemented written procedures to ensure future compliance.

View Audit 362038

Finding 571015 (2024-001)

Significant Deficiency 2024

Mrc Crestview Terrace

TX

Questioned Costs Internal Control / Segregation of Duties Cash Management

2024-001 Surplus Cash Payments Recommendation: We recommend management implement a control to ensure the surplus cash payments are deposited into the correct account and in accordance with the Regulatory Agreement. Explanation of disagreement with audit finding: There is no disagreement with the a...

2024-001 Surplus Cash Payments Recommendation: We recommend management implement a control to ensure the surplus cash payments are deposited into the correct account and in accordance with the Regulatory Agreement. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management transferred the funds to the correct account and implemented additional procedures to review monthly deposits, ensuring this issue is prevented in the future. Name(s) of the contact person(s) responsible for corrective action: Don Stephens and Michelle Miles. Planned completion date for corrective action plan: As of April 2025, Management is working with their lender, Lument, to have the surplus cash payment transferred from the Reserve for Replacement account to the Residual Receipts account.

View Audit 361975 Questioned Costs: $1

Finding 571007 (2024-002)

Significant Deficiency 2024

Morristown Housing Auhtority

TN

HUD Housing Programs Cash Management § 200.05

TVHS will implement a system to ensure the three-day rule is followed.

View Audit 361942

Finding 570868 (2024-001)

Significant Deficiency 2024

City of Corcoran

MN

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

Finding 2024-001 Internal Controls Over Compliance for Cash Management, Allowable Costs, Procurement, and Conflicts of Interest 1. Explanation of Disagreement with Audit Finding There is no disagreement with the audit finding. 2. Action Planned in Response to Finding Subsequent to year-end, the City...

Finding 2024-001 Internal Controls Over Compliance for Cash Management, Allowable Costs, Procurement, and Conflicts of Interest 1. Explanation of Disagreement with Audit Finding There is no disagreement with the audit finding. 2. Action Planned in Response to Finding Subsequent to year-end, the City addressed this matter by formally adopting written policies meeting the referenced requirements of the Code of Federal Regulations. 3. Official Responsible The City Administrator is the official responsible for ensuring corrective action. 4. Planned Completion Date June 30, 2025. 5. Plan to Monitor Completion The City Council will be monitoring this Corrective Plan.

View Audit 361794

Corrective Action Plans

Filters