Corrective Action Plans

Finding 1155828 (2024-003)

Material Weakness 2024

Nebraska Association for Developmental Housing

IA

Questioned Costs Special Tests & Provisions Subrecipient Monitoring

Finding 2024-003 Due to cash flow constraints, the Project was not able to repay the nonprofit sponsor’s foundation. The Project will repay the nonprofit sponsor’s foundation when cash is available. If cash becomes available, the anticipated completion date is June 30, 2025.

View Audit 368220 Questioned Costs: $1

Finding 1155780 (2024-002)

Material Weakness 2024

New York State Stop-Dwi Foundation Inc.

NY

Questioned Costs Subrecipient Monitoring Cash Management § 200.344

The Foundation immediately paid the vendor the full amount upon learning of this finding from the auditor and verified that the vendor received the payment. The recording of Grant Revenue/Accounts Receivable and Grant Expenses/Accounts Payable is now done for each grant expense immediately upon appr...

The Foundation immediately paid the vendor the full amount upon learning of this finding from the auditor and verified that the vendor received the payment. The recording of Grant Revenue/Accounts Receivable and Grant Expenses/Accounts Payable is now done for each grant expense immediately upon approval from the Foundation and submission to New York State for reimbursement. This was previously not done. The changes to the recognition of revenue and expenses are already in effect and should eliminate any future finding related to the non-payment of expenses that have been reimbursed through grants.

View Audit 368162 Questioned Costs: $1

Finding 1155746 (2024-002)

Material Weakness 2024

Elizabeth's New Life Center

OH

Questioned Costs Cash Management Material Weakness

While we acknowledge the auditor’s observation, management does not concur that the absence of formal timesheets equates to unsupported labor charges. Employees completed assigned responsibilities under the Sexual Risk Avoidance Education grant. Salaries were charged consistent with approved budgets...

While we acknowledge the auditor’s observation, management does not concur that the absence of formal timesheets equates to unsupported labor charges. Employees completed assigned responsibilities under the Sexual Risk Avoidance Education grant. Salaries were charged consistent with approved budgets and federal cost principles. During the audited (12-month) period, total payroll expenses allocated to the grant reflected actual performance of program activities as contracted. Accordingly, we believe the costs are fully allowable and the questioned amount of $40,495 is valid program expense. To address auditor concerns, we will utilize the documentation of program detail and timekeeping information within the Educator Tracker to accurately charge time and effort each pay period. The Educator Tracker will include all pertinent details including staff assignments, grant source per assignment, and supervisor approval. Anticipated completion: October 15, 2025. Responsible party: Kimberly Danon, Director of Youth Education.

View Audit 368035 Questioned Costs: $1

Finding 1155730 (2024-001)

Material Weakness 2024

Houston Advanced Research Center

TX

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring

Finding #2024-001 – Other Noncompliance. Applicable federal program: U. S. Environmental Protection Agency, Passed through Texas Commission on Environmental Quality, Nonpoint Source Implementation Grants, Low Impact Development 2020, Assistance Listing #66.460, Contract period: 11/06/20 – 04/30/26, ...

Finding #2024-001 – Other Noncompliance. Applicable federal program: U. S. Environmental Protection Agency, Passed through Texas Commission on Environmental Quality, Nonpoint Source Implementation Grants, Low Impact Development 2020, Assistance Listing #66.460, Contract period: 11/06/20 – 04/30/26, Contract number: 582-21-10148. Condition and context: Under the terms of its agreement with the Texas Commission in Environmental Quality, HARC receives reimbursement for a percentage of the expenditures incurred in performance of the funded program. Donated services utilized in performance of the program were included in reimbursement submitted to the grantor. Recommendation: Re-emphasize to program and accounting personnel federal grant requirements for the allowability of in-kind donations. Management’s response: Management concurs with the finding. This issue arose because the non-federal flow-through sponsor required certain in-kind cost share amounts to be invoiced as direct expenses, which conflicted with federal cost principles. It is important to note that while the questioned costs increased reported revenue for 2024, the program had unreimbursed expenditures. Corrective actions were implemented in the first half of 2025, including the hiring of new Grants and Contracts Management staff and strengthening of internal controls, to ensure compliance with federal requirements and prevent recurrence in future reporting. Responsible officer: Carmen Osier, Director of Business Operations. Estimated completion date: June 30, 2025.

View Audit 368026 Questioned Costs: $1

Finding 1155727 (2024-006)

Material Weakness 2024

Area Xv Multi-County Housing Agency

IA

Questioned Costs Cash Management Material Weakness

Finding 2024-006 See response to finding 2024-002.

View Audit 368025 Questioned Costs: $1

Finding 1155676 (2024-004)

Material Weakness 2024

City of Rapid City

SD

Questioned Costs Period of Performance Cash Management

2024-004 FINDING: Period of Performance Responsible Officials: Daniel Ainslie, Finance Director, Jamie Toennies, Grants Division Manager Corrective Action Plan: Written communication will be sent to department directors and staff involved in grant administration addressing the compliance requirement...

2024-004 FINDING: Period of Performance Responsible Officials: Daniel Ainslie, Finance Director, Jamie Toennies, Grants Division Manager Corrective Action Plan: Written communication will be sent to department directors and staff involved in grant administration addressing the compliance requirements associated with Period of Performance. This communication will specifically state that no federal funds will be spent outside of this time period without written approval by grantor and/or approved budget modification. In addition, the City’s Uniform Grant Guidance Polices/Procedures will be updated to include a section on Period of Performance compliance requirements. Anticipated Completion Date: December 31, 2025

View Audit 367944 Questioned Costs: $1

Finding 1155638 (2024-005)

Material Weakness 2024

Keene Union School District

NH

Allowable Costs / Cost Principles Cash Management HUD Housing Programs § 200.430

Continued training of cost center managers. Throughout the summer we have had the Finance Manager training Community Eds administrative team and responsible grant managers to get compliance with Time and Effort requirements.

View Audit 367887

Finding 1155535 (2024-003)

Material Weakness 2024

Boys & Girls Clubs, Northwest Georgia, Inc.

GA

Cash Management

2024-03: Approval for expenditures Name of contact person: J.R. Davis, Chief Executive Officer Corrective Action: A member of management or the Board of Directors will review and authorize all disbursements. This authorization will be evidenced by the initialing of each disbursement reviewed. Propos...

2024-03: Approval for expenditures Name of contact person: J.R. Davis, Chief Executive Officer Corrective Action: A member of management or the Board of Directors will review and authorize all disbursements. This authorization will be evidenced by the initialing of each disbursement reviewed. Proposed completion date: The Board will implement the above procedure immediately.

View Audit 367832

Finding 1155533 (2024-001)

Material Weakness 2024

Boys & Girls Clubs, Northwest Georgia, Inc.

GA

Internal Control / Segregation of Duties Cash Management Reporting

2024-01: Segregation of Duties Name of contact person: J.R. Davis, Chief Executive Officer Corrective Action: Duties and functions will be reviewed to determine where segregation needs to occur. The duties will be separated as much as possible and alternative controls will be implemented to compensa...

2024-01: Segregation of Duties Name of contact person: J.R. Davis, Chief Executive Officer Corrective Action: Duties and functions will be reviewed to determine where segregation needs to occur. The duties will be separated as much as possible and alternative controls will be implemented to compensate for lack of segregation. However, the risk of not segregated certain duties are not worth the additional costs. Nonfinancial employees will be trained and provide some assistance. Proposed completion date: The Board will implement the above procedure immediately.

View Audit 367832

Finding 1155524 (2024-003)

Material Weakness 2024

I Be Black Girl

NE

Cash Management Allowable Costs / Cost Principles § 200.305

IBBG will strengthen its cash management procedures to ensure compliance with federal reimbursement and advance payment requirements. Corrective actions include: • Implementing a written cash management policy outlining the requirement to disburse funds prior to reimbursement requests and the three-...

IBBG will strengthen its cash management procedures to ensure compliance with federal reimbursement and advance payment requirements. Corrective actions include: • Implementing a written cash management policy outlining the requirement to disburse funds prior to reimbursement requests and the three-day window for advance requests. • Requiring dual review by the Finance & Operations Director and Executive Director before submission of all federal drawdowns. • Establishing a monthly reconciliation process to confirm drawdowns match disbursed costs. • Training will be provided to staff involved in the cash management process to ensure consistent implementation and adherence to best practices.

View Audit 367814

Finding 1155511 (2024-004)

Material Weakness 2024

Shatterproof A Nonprofit Corporation

CT

Cash Management Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303

Cash Management Block Grants for Prevention and Treatment of Substance Abuse – Assistance Listing No. 93.959 COVID-19 - Substance Abuse and Mental Health Services Projects of Regional and National Significance – Assistance Listing No. 93.243 Recommendation: We recommend Shatterproof implement contro...

Cash Management Block Grants for Prevention and Treatment of Substance Abuse – Assistance Listing No. 93.959 COVID-19 - Substance Abuse and Mental Health Services Projects of Regional and National Significance – Assistance Listing No. 93.243 Recommendation: We recommend Shatterproof implement controls to ensure anadequate review process is in place to review reimbursement requests to determine anddocument the request is properly supported and in compliance with the grant agreement. Explanation of disagreement with audit finding: There is no disagreement with the auditfinding. Action taken in response to finding: State Directors review and approve all invoices prior to submission to the state. Name of the contact person responsible for corrective action: Young Kim Planned completion date for corrective action plan: January 1st, 2025

View Audit 367790

Finding 1155494 (2024-001)

Material Weakness 2024

Homes for the Exceptional V, Inc.

NY

Cash Management HUD Housing Programs

Owner certified financials will be submitted in HUD Secure Systems within approximately 45 days from year end. This will allow for sufficient time to submit residual receipts within 60 days of year-end. Our current practice of submitting residual receipts has been aligned with the due date of Owner ...

Owner certified financials will be submitted in HUD Secure Systems within approximately 45 days from year end. This will allow for sufficient time to submit residual receipts within 60 days of year-end. Our current practice of submitting residual receipts has been aligned with the due date of Owner Certified Financials, 90 days after year-end close. We have not been made aware by HUD that this was a compliance issue.

View Audit 367787

Finding 1155492 (2024-001)

Material Weakness 2024

Homes for the Exceptional Iv, INC

NY

Cash Management HUD Housing Programs

Owner certified financials will be submitted in HUD Secure Systems within approximately 45 days from year end. This will allow for sufficient time to submit residual receipts within 60 days of year-end. Our current practice of submitting residual receipts has been aligned with the due date of Owner ...

Owner certified financials will be submitted in HUD Secure Systems within approximately 45 days from year end. This will allow for sufficient time to submit residual receipts within 60 days of year-end. Our current practice of submitting residual receipts has been aligned with the due date of Owner Certified Financials, 90 days after year-end close. We have not been made aware by HUD that this was a compliance issue.

View Audit 367785

Finding 1155491 (2024-001)

Material Weakness 2024

Homes for the Exceptional Iii, Inc.

NY

Cash Management HUD Housing Programs

Owner certified financials will be submitted in HUD Secure Systems within approximately 45 days from year end. This will allow for sufficient time to submit residual receipts within 60 days of year-end. Our current practice of submitting residual receipts has been aligned with the due date of Owner ...

Owner certified financials will be submitted in HUD Secure Systems within approximately 45 days from year end. This will allow for sufficient time to submit residual receipts within 60 days of year-end. Our current practice of submitting residual receipts has been aligned with the due date of Owner Certified Financials, 90 days after year-end close. We have not been made aware by HUD that this was a compliance issue.

View Audit 367784

Finding 1155490 (2024-001)

Material Weakness 2024

Homes for the Exceptional Ii, INC

NY

Cash Management HUD Housing Programs

Owner certified financials will be submitted in HUD Secure Systems within approximately 45 days from year end. This will allow for sufficient time to submit residual receipts within 60 days of year-end. Our current practice of submitting residual receipts has been aligned with the due date of Owner ...

Owner certified financials will be submitted in HUD Secure Systems within approximately 45 days from year end. This will allow for sufficient time to submit residual receipts within 60 days of year-end. Our current practice of submitting residual receipts has been aligned with the due date of Owner Certified Financials, 90 days after year-end close. We have not been made aware by HUD that this was a compliance issue.

View Audit 367783

Finding 1155461 (2024-002)

Material Weakness 2024

Aid Upstate

SC

Cash Management Significant Deficiency

Contact Person: Tracy Carr, Rajee Rao Management Response: We agree with the auditors’ comments and the following action plan will be taken to implement internal control procedures to allow for timely reporting: A schedule has been developed which has enabled the submission of the monthly grant reim...

Contact Person: Tracy Carr, Rajee Rao Management Response: We agree with the auditors’ comments and the following action plan will be taken to implement internal control procedures to allow for timely reporting: A schedule has been developed which has enabled the submission of the monthly grant reimbursement reports by the due date. It has required a group effort by the entire staff and the individual members of the finance team in the responsibilities to meet the deadline. The continued use of this schedule has proven to keep the process on track and allow the organization to adhere to the grant deadlines. Completion Date: Beginning June 1, 2024 and thereafter.

View Audit 367743

Finding 1155449 (2024-010)

Material Weakness 2024

County of Allegheny, Pennsylvania

PA

Cash Management HUD Housing Programs Reporting

The balance error was a result of human error. Specifically, the Program Income and Grant balances were combined erroneously. The staff person responsible for submitting the Cash on Hand report has since received additional training from HUD Pittsburgh Field Office’s Senior Financial Analyst, Cather...

The balance error was a result of human error. Specifically, the Program Income and Grant balances were combined erroneously. The staff person responsible for submitting the Cash on Hand report has since received additional training from HUD Pittsburgh Field Office’s Senior Financial Analyst, Catherine Byrne. ACED's Fiscal staff will follow the steps on the Cash on Hand checklist template, following all steps to complete the report. The Assistant Director of Finance or the Assistant Director of Operations will review and approve the report for accuracy and completion. This procedure is outlined in the attached policy and procedures manual. (p. 32)

View Audit 367739

Finding 1155426 (2024-003)

Material Weakness 2024

Forth Mobility Fund

OR

Cash Management Internal Control / Segregation of Duties Material Weakness § 200.303

2024-003. Conservation Research and Development Program – Assistance Listing #81.086 Recommendation: The Organization should establish written policies and procedures regarding invoicing for cost-reimbursement related to federal grants which include proper segregation of duties. Explanation of disag...

2024-003. Conservation Research and Development Program – Assistance Listing #81.086 Recommendation: The Organization should establish written policies and procedures regarding invoicing for cost-reimbursement related to federal grants which include proper segregation of duties. Explanation of disagreement with audit findings: There is no disagreement with the audit findings. Action Plan: Effective October 31, 2024, we implemented proper segregation of duties for preparing and submitting cost-reimbursement invoices related to federal grant awards. Under this procedure, the Grants Accountant prepares the invoice, and the Senior Finance Manager reviews and documents approval in writing. This segregation of duties has been incorporated into our written policies and procedures. In the event of any staffing changes or vacancies, responsibilities are reassigned among available finance staff and contracted accountants to ensure that preparation and review functions remain segregated at all times. Name(s) of the contact people responsible for correction action: Gina Avalos-Limardo, Director of Finance & Operations and Rachel Pippin, CMA, Senior Finance Manager Plan completion date for corrective action plan: September 30, 2025

View Audit 367713

Finding 1155416 (2024-005)

Material Weakness 2024

City of Wilton

ND

Cash Management Internal Control / Segregation of Duties

Contact Person – Pattie Solberg, City Auditor Corrective Action Plan – The City should follow their procedures for signing off on all requests for reimbursement reports before submitting the federal reimbursement. Completion Date – December 1, 2025

View Audit 367687

Finding 1155354 (2024-002)

Material Weakness 2024

Goodwill Industries of Michiana, Inc.

IN

Cash Management Significant Deficiency Internal Control / Segregation of Duties

2024-002 PAYROLL POPULATION The Organization uses general ledger detail to create draws to submit reimbursement claims. Some reimbursements are for payroll expenses that are paid through a separate system. The Organization could not reconcile the general ledger to the payroll software detail used to...

2024-002 PAYROLL POPULATION The Organization uses general ledger detail to create draws to submit reimbursement claims. Some reimbursements are for payroll expenses that are paid through a separate system. The Organization could not reconcile the general ledger to the payroll software detail used to submit reimbursements. Recommendation: The Organization should perform and maintain monthly reconciliations of the payroll software, general ledger, and draw detail that all agree. Action Taken: The Organization was billing the grantor for payroll fees, the additional fees for each employee or contract that participated in the grant. Originally, the funds were coded to payroll (compensation) expenses, which generated a discrepancy between the Payroll Register and the General Ledger. The unemployment expense was also coded to benefits, which created a variance between the payroll register (generated from payroll software) and the general ledger. Going forward, the trail balance and general ledger will be reconciled to the draw request. Additionally, the team has been trained in how to properly code these expenses. Contact Person: Shire Kuch Effective Date: 25 September 2025.

View Audit 367596

Finding 1155337 (2024-001)

Material Weakness 2024

Belmont Housing Associates, Inc.

CO

Questioned Costs Cash Management HUD Housing Programs

Management should ensure surplus cash is calculated in a timely matter in order to make any required deposit to the residual receipts account.

View Audit 367572 Questioned Costs: $1

Finding 1155330 (2024-005)

Material Weakness 2024

City of Muskegon Heights

MI

Allowable Costs / Cost Principles Cash Management Reporting

2024-005 – Reporting (Repeat Finding) Auditor Description of Condition and Effect. While the City performed the required Coronavirus State and Local Fiscal Recovery Funds expenditure reporting for each quarter of 2024, the Project and Expenditure reports for the first three quarters of 2024 did not ...

2024-005 – Reporting (Repeat Finding) Auditor Description of Condition and Effect. While the City performed the required Coronavirus State and Local Fiscal Recovery Funds expenditure reporting for each quarter of 2024, the Project and Expenditure reports for the first three quarters of 2024 did not report any current period expenditures. Rather, the cumulative expenditures for the year were included in the fourth quarter Project and Expenditure report. In addition, the Project and Expenditure reports for the third and fourth quarters of 2024 were not filed within the required timeframe. As a result of this condition, the City did not comply completely with the reporting requirements of the Coronavirus State and Local Fiscal Recovery Funds grant. Auditor Recommendation. We recommend that the City review the reporting requirements for each grant and complete all required reporting as required under the terms of the grant agreement. Corrective Action. City staff has accessed these reports and attempted to submit all required reports. Ongoing reports have been submitted on time. Assistance will be sought with federal agencies as necessary. Responsible Person. Finance Director Anticipated Completion Date. December 31, 2025

View Audit 367568

Finding 1155282 (2024-002)

Material Weakness 2024

Housing Authority of Pikeville

KY

Cash Management HUD Housing Programs Matching / Level of Effort / Earmarking § 200.305

Management will review and retrain to insure that capital fund expenditures are drawn down prior to payment.

View Audit 367530

Finding 1155265 (2024-001)

Material Weakness 2024

Public Utility District No. 1 of Skamania County

WA

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Public Utility District No. 1 of Skamania County January 1, 2024 through December 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...

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Public Utility District No. 1 of Skamania County January 1, 2024 through December 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 internal controls and did not comply with time-and-effort requirements. Name, address, and telephone of District contact person: Meagan Mikkonen, PO Box 500 – Carson, WA 98610, 509.219.0140 Corrective action the auditee plans to take in response to the finding: (If the auditee does not concur with the finding, the auditee must list the reasons for disagreement). The District will track all grant related employee time-and-effort through a timesheet. Timesheets will be submitted twice a month and approved by management. Anticipated date to complete the corrective action: Effective immediately (September 2025)

View Audit 367480 Questioned Costs: $1

Finding 1155264 (2024-003)

Material Weakness 2024

Disability Law Center of Virginia

VA

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

dLCV has refined our policies regarding review of timesheets to ensure that all timesheets are timely submitted and are reviewed and approved by designated staff. The policy revisions will be effective as of October 1, 2025

View Audit 367479

Corrective Action Plans

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