Corrective Action Plans

Corrective Actions Taken or Planned: In March 2024, the Kim Wilson Housing Team implemented a formal written process in which the Grant Program Specialist documents evidence of the monthly match tracking process and the Executive Director approves each printed tracking sheet from the housing database. Person Responsible for Corrective Action: Rachel Erpelding, Executive Director and Kim Wilson Housing Team.

In response to the findings on the andit of federal programs the district will implement the following: Each month when reporting our financials all federal grant accounts will be separated and will be reviewed for accuracy and to insure proper project codes are correct also expenditures for 1 % professional development will be reviewed for accuracy. All payment request for federal fund grants will be approved prior to submission by the Superintendent. Ann Wallace will provide this listing to the Superintendent for approval each month. Corrective Action Plan has been implemented July 25, 2024.

We agree with the auditor's comments, and the following actions have been taken to ensure all expenditures are allocated to the correct programs: 1. Prior to submitting the monthly meal claims to the California Nutrition Information & Payment System (CNIPS), a monthly meal count report is generated from MealTime, the point of sale program for each school site. 2. The montly meal count numbers are entered into CNIPS, and then the MealTime report is used to verify the meal counts match. 3.The Office Assistnant verifies the site claim numbers to ensure there are no errors or typos. Jason Hill, Director of Nutrition Services, is responsible for implementing this corrective action.

2024-003 Reporting Federal Assistance Listing Number: 10.553, 10.555, and 10.559 Program: Child Nutrition Cluster Federal Agency: U.S. Department of Education Pass-Through Agency: Arizona Department of Education Pass-Through Number: ADE ED09-0001 Compliance Requirement: L. Reporting Award Period: July 1, 2023 – June 30, 2024 Type of Finding: Noncompliance (Other Matter), significant deficiency in internal control Questioned Costs: $4,397.30 of underreported claims Repeat Finding: This is not a repeat finding. Condition/Context: The District did not properly calculate, and report meal claims accurately for three of 4 months selected during the current year. This led to the District under-reporting $4,397.30 in student meal claims. Criteria: The Uniform Guidance compliance supplement. Local educational agencies (LEAs), institutions, and sponsors determine eligibility by comparing the data reported by the child’s household to published income eligibility guidelines. Child Nutrition Program claim forms should be supported by documentation showing the number of meals for which reimbursement was requested and document that the meals were served prior to the date of the reimbursement request. The claim reports should be filed on a timely basis. Corrective Action: The District will implement review procedures as part of the meal claim process to ensure claims reported match with District records. The District will ensure any over/under reporting is investigated and resolved in a timely manner. The District will review reports from FY24 and ensure any unclaimed meals are properly reconciled, as applicable. Planned completion date for corrective action plan: For the period ending June 30, 2025. Name of the contact person responsible for corrective action: Lori Wilson, Business Manager

December 27, 2024 Finding Number: 2024-004 Material Weakness in Internal Control / Material Noncompliance – Cash Management (repeat comment) (Workforce Innovation and Opportunity Act- WIOA) Finding Condition: 1) The Consortium requested funds in advance of when the related disbursements were made, 2) the basis for the advances (requests) were not supported by appropriate documentation, and 3) authorization for requesting funds in advance was not obtained. Planned Corrective Action: The Consortium has carefully reviewed our policies and procedures and have made the necessary changes to ensure that cash draws are based on expenditures already incurred and that they are supported by transactions recorded in the general ledger. Cash draws continue to be “necessary and reasonable”. We strive to improve the timing of our cash draws, our grant reconciliations and to continually monitor our cash management to ultimately eliminate this issue. Responsible Contact Person: Shamar Herron (Executive Director) Sherron@mwse.org Anticipated Completion Date: March 2025 Respectfully, Shamar Herron

December 27, 2024 Finding Number: 2024-003 Material Weakness in Internal Control / Material Noncompliance – Cash Management (repeat comment) (Wagner Peyser) Finding Condition: 1) The Consortium requested funds in advance of when the related disbursements were made, 2) the basis for the advances (requests) were not supported by appropriate documentation, and 3) authorization for requesting funds in advance was not obtained. Planned Corrective Action: The Consortium has carefully reviewed our policies and procedures and have made the necessary changes to ensure that cash draws are based on expenditures already incurred and that they are supported by transactions recorded in the general ledger. Cash draws continue to be “necessary and reasonable”. We strive to improve the timing of our cash draws, our grant reconciliations and to continually monitor our cash management to ultimately eliminate this issue. Responsible Contact Person: Shamar Herron (Executive Director) Sherron@mwse.org Anticipated Completion Date: March 2025 Respectfully, Shamar Herron

Management agrees with this finding and will implement a more detailed review process for PTE and subrecipient monitoring requirements to ensure grant requirements are being appropriately followed.

Finding: 2024-008 Name of contact person: Dr. Justin Hoggard, Board President and CFO Corrective Action: Management will reconcile student fees to actual activity each year. Proposed Completion Date: April 30, 2025 Anticipated Completion: April 30, 2025

Finding #2024-002 Wage Allocations (Program Affected - Career and Technical Education - Basic Grants to States (Assistance Listing No. 84.048) and Youth Apprenticeship (State Program ID No. 445.107) Condition: Wages and benefits charged to the Career and Technical Education - Basic Grants to States and Youth Apprenticeship were based on projected staff time and not the actual activity of each employee from the Agency's time management system. Criteria: When wages and benefits are allocated to multiple programs, the costs claimed for reimbursement should be based on the actual time spent. Supporting documentation must be maintained to support how each employee is allocated. When making grant claims, payroll costs coded to the grant project in the general ledger should be compared to the time management system. Cause: The Agency projected staff time at the beginning of the year. Actual hours worked by employees in the time management system did not match the projected staff time recorded to the grants in the general ledger. These grants were not adjusted to match actual staff time. Effect: The costs charged to the grant may not reflect the actual time and effort spent by the employees. Recommendation: We recommend the projected staff time charged to projects be adjusted to actual costs at least annually when there are significant differences between projected and actual time. Response: The Agency reviews timesheets in Harvest whenever grant claims are made to ensure proper work has been completed and proper work time is claimed under grants. Each employee is provided with their payroll allocations as per grant funding amounts. The reports are submitted weekly by each employee and reviewed by management weekly. To ensure that the deliverables are being met, and time is being worked accordingly, grant claims are made on actual costs only. Contact Person: Courtney Rounds Anticipated Completion: 12/1/2024

During fiscal year 2024, the College had two grant awards with Natural Resources Conservation Services (NRCS). The first grant award was from September 1, 2022 through August 31, 2023. The second grant award was from the date of final contract signature which was September 29, 2023 through September 21, 2028. Due to the gap period between contracts, the September 2023 NRCS general ledger was cleared of any expenses. A grant program staff member attended a training in August 2023 and submitted for travel reimbursement in October 2023. Grant program staff members attended a conference in September 2023 and the registration fees were paid in October 2023. The travel reimbursement, conference registration fees and corresponding indirect costs were included in the October 2023 financial report submitted to NRCS for reimbursement. Once the error was discovered, the expenses were removed from the NRCS general ledger and charged to an ·appro pri at e account. An adjustment was made to reduce the expenses on the October 2024 financial report submitted to NRCS. The college recognizes the importance of proper reporting for financial reports and reimbursement requests and that those reports should only include costs that are incurred during the grant period. The grant finance team will work with grant program staff to implement a schedule that will help to ensure that goods, services and travel are completed during the grant term, that invoices are submitted in a timely manner and prior to grant end, and when possible, payment will be made for said items prior to the end of the grant term. The grant finance team will review expenses incurred during the grant term and immediately following the grant term to confirm expenses are being reported in the correct period for financial reporting and reimbursement requests. Person(s) Responsible: Carrie Patton, Jen Evans Timing for Implementation: Immediate

The district has been and will continue to follow the guidelines and regulations for the grants awarded and will continue to review the documentation provided to support the claims for reimbursements for accuracy.

2024-004 - Student Financial Aid Cluster – (a) Federal Supplemental Educational Opportunity Grant (b) Federal Work Study Grant (c) Federal Perkins Loan Program (d) Federal Pell Grant Program (e) Federal Direct Student Loans (f) Teacher Education Assistance for College and Higher Education ALN No. (a) 84.007 (b) 84.033 (c) 84.038 (d)84.063 (e) 84.268 - Year Ended June 20, 2024 Condition Found 5 of the 40 student files (12.5%) we examined, we noted the students were not properly awarded Direct loans. Corrective Action Plan Student Financial Services has created a report comparing need-based aid awarded to the student’s need eligibility and an overall aid awarded compared to the Cost of Attendance (COA) budget. We will also work to develop a report that compares FAFSA year in school compared to total credit hours earned. Responsible Person for Corrective Action Plan Kandi Molder, Registrar and Executive Director of Student Services Deb Beck, Managing Director of Student Financial Services Implementation Date of Corrective Action Plan January 31, 2025

Corrective Action Plan: Anticipated Completion Date January 15, 2025 Prior to Mono County Office of Education (MCOE) taking over this program in 2022-23, another agency was responsible for the original eligibility determinations and special tests and provisions. MCOE investigated further, and it was noted that the staff at the time were not following the procedures and forms that were in place. Items were either not completed or filled out correctly in many instances. When the audit finding was identified in the 2022-23 audit, MCOE took action to immediately implement new procedures to address the items noted. Although a few items were noted during the 2023-24 audit, MCOE has made significant efforts in putting procedures in place, and will continue efforts to ensure all required documentation is complete. MCOE has developed a corrective action plan as follows to adhere to strong internal control in meeting the program’s requirements: • MCOE will ensure that existing and new staff are trained to adhere to the policies and procedures for the program. • MCOE will be conducting annual reviews of all service providers and children served to ensure MCOE is maintaining the required documents on file. • MCOE has developed a double-check procedure to ensure that staff is keeping the required documentation on file for both providers and children served moving forward. I, Jennifer Weston, CBO, will be responsible for the implementation and monitoring of the corrective action plan. Sincerely, Jennifer Weston Chief Business Officer Mono County Office of Education

Management agrees with the finding and has made the transfer into the replacement reserve account.

Nutrition Services staff process will run as follows: 1. NS Kitchen Staff: Ensure accurate daily meal count recording and initial review. 2. Intermediate Account Clerk: Perform detailed reconciliations and edit checks. 3. NS Account Technician: Reviews and verifies the final reports for compliance. This process will be overseen by the Director and or Assistant Director, Nutrition Services. This procedure will allow for accurate recording, reporting and verifying of meal counts.

U.S. Department of Education Clinton School District #124 respectfully submits the following Corrective Action Plan for the year ended June 30, 2024. Contact information for the individual responsible for the corrective action: Daniel Brungardt, Superintendent Clinton School District #124 Independent Public Accounting Firm: Gerding, Korte & Chitwood, P.C., 723 Main Street, Boonville, MO 65233 Audit Period: Year ended June 30, 2024 The findings from the June 30, 2024, Schedule of Findings and Questioned Costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Significant Deficiency 2024-001 Child Nutrition Cluster Recommendation: We recommend that fund balances should be monitored to ensure that balances remain in line with child nutrition compliance requirements. Action Taken: Over the last five years, the school district's fund increased due to securing a contract at a low initial rate, while also benefiting from higher reimbursement rates and increased participation. This year, the district will once again go through the rebid process, and the estimated increase in costs is expected to range from 10% to 15%. This increase will likely surpass the amount the district receives in reimbursements, leading to a budget deficit. Additionally, student participation in the lunch program has declined over the years.

Below are the participation percentage rates. Current Participation Rates for Oct 2024 (percentages) HS - 52.53 lunch with 56.38 being free/reduced 36.64 breakfast with 62.5 being free/reduced MS- 66.94 lunch with 62 being free/reduced 23.42 breakfast with 82.85 being free/reduced CIS - 65.48 lunch with 73.70 being free/reduced 44.38 breakfast with 78.07 being free/reduced HE - 70.41 lunch with 74.53 being free/reduced 47.93 breakfast with 76.72 being free/reduced Participation Rates from Oct 2019 (percentages) HS - 59.03 lunch with 52.65 being free/reduced 32.23 breakfast with 69.64 being free/reduced MS- 69.74 lunch with 68.01 being free/reduced 55.13 breakfast with 72.28 being free/reduced CIS - 77.87 lunch with 72.29 being free/reduced 44.54 breakfast with 83.43 being free/reduced HE - 76.88 lunch with 71.27 being free/reduced         45.09 breakfast with 84 being free/reduced Additionally, during the rebid process, the school district will seek companies that have successfully increased participation, as this could also impact the overall cost of the program. The district will reduce the fund based on the following: Increased Contract Costs: District administration believes that through the rebid process and the new contract, the district will achieve at least a 10% reduction in contract costs. Indirect Costs: The school district has not been claiming indirect costs as part of its food service allocation in the past. However, beginning next year, the district will start including indirect costs in its food service budget. This change will help ensure that the full scope of expenses associated with operating the food service program is accounted for, providing a more accurate reflection of the program’s financial needs New Equipment: The district operates four kitchens, with only one having received upgrades in the past 10 years. A list of necessary equipment upgrades has been compiled. Below is a forecast of additional costs for the next three years, along with the equipment that will be purchased that will reduce the food service budget by $940.874.48

Completion Date: June 30, 2025 Sincerely, Daniel Brungardt, Superintendent Clinton School District #124

Segregation of Duties – Child Nutrition Cluster Recommendation: We recommend the district designate an individual to review eligibility determinations for accuracy and proper input into software. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: To enhance segregation of duties, we have designated a specific individual (Director of Food Services) responsible for reviewing eligibility determinations. This designated person is tasked with verifying the accuracy of information and ensuring proper input into the relevant software. These measures effectively separate key responsibilities, establishing a robust system of checks and balances. Through these implemented practices, our district aims to minimize errors, enhance accountability, and ensure the integrity of the grant management process. Name of the contact person responsible for correction action: Lavesa Glover-Verhagen Planned completion date for corrective action: June 30, 2025

CORRECTIVE ACTION PLAN December 11, 2024 Southwestern Virginia Transit Management Company (SVTMC) respectfully submits the following corrective action plan for the year ended June 30, 2024. Name and address of independent public accounting firm: Brown, Edwards & Company, L.L.P. 3906 Electric Road Roanoke, VA 24018 Audit period: June 30, 2024 The findings from the June 30, 2024, Schedule of Findings and Questioned Costs (the "Schedule “) are discussed below. The findings are numbered consistently with the number assigned in the Schedule. FINDINGS- FINANCIAL STATEMENT AUDIT 2024-001: Segregation of Duties and Management Oversight (Material Weakness) Condition: Due to staff turnover, duties handled by the Director of Finance included incompatible duties during the year under audit such as: collection of cash, post receipts to general ledger, and prepare bank deposit slips. ln addition, the Inventory Manager has access both to physical inventory and to the inventory tracking system. Criteria: A fundamental concept of internal controls is the separation of duties. No one employee should have access to both physical assets and the related accounting records, or to all phases of a transaction. ln addition, all significant transactions and controls should involve reconciliations and supervisory, or management level, reviews of those processes. An effective and timely review process is intended to prevent and detect both fraud and errors. Cause: Turnover in key positions can result in individuals performing duties that are not appropriately segregated. In addition, turnover can also create challenges in the oversight or review function. Effect: Internal controls are designed to safeguard assets and detect losses from employees dishonesty or error. Recommendation: Steps should be taken to eliminate conflicting duties and implement compensating controls, where possible. Corrective Action: Although turnover in key positions increased the need for staff to undertake incompatible duties, small staff sizes will likely perpetuate the need for the Director of Finance and Inventory Manager to occasionally perform duties which would be ideally segregated. To help alleviate the risks involved, management will develop additional compensating controls around these activities, including working with system vendors to identify activity logging capabilities and additional reports for periodic review by management. 2024-002: Grant Management and Operating Assistance (Material Weakness) Condition: During 2024, various functions related to financial management were not performed timely resulting in difficulties and delays in completion of the annual audit. Additionally, the untimely nature of grant reconciliations and drawdowns has led to significant cash and grant management issues. Criteria: Internal controls related to financial management should be designed to ensure timely reconciliations are performed, including submission of reimbursement requests and reconciling grant and local revenue. Cause: Turnover in financial positions and increased levels of federal and state grant usage caused significant delays in performance of and reduction in effectiveness of certain financial duties. Effect: Untimely drawdowns could result in vendors not being paid timely, result in cash shortages, and inability to pay payroll. Recommendation: We recommend that the Company establish financial management procedures to ensure that timely reconciliations and submissions of reimbursement requests. We would recommend these procedures be performed monthly and include tracking and reconciling grant activity by type (federal, state, and local). Corrective Action: The Interim Director of Finance and Accounting Supervisor are currently reviewing operating procedures and implementing methods to streamline work and eliminate duplicate activity. A Monthly Close Checklist is under development, which will create consistency in the timing and manner of recording financial activities. Additionally, detailed spreadsheets tracking grant activity have been developed, which will allow staff members to better monitor reimbursement requests and ensure vendors are paid timely moving forward. 2024-003: Bank Reconciliations (Material Weakness) Condition: Monthly bank reconciliations were not prepared by an accountant and reviewed and approved by a supervisor in a timely manner. Criteria: Monthly bank reconciliations should be performed by the 15th of the next month. Cause: Staff shortage and lack of cash flow management. Effect: Poor cash flow management resulting in vendor and contractor invoices not being paid timely. Recommendation: We recommend bank reconciliations be prepared by an accountant and reviewed by a supervisor to ensure unreconciled or unusual items, or other matters noted in the reconciliation, are detected and addressed in a timely manner. Corrective Action: The Interim Director of Finance and Accounting Supervisor are currently reviewing operating procedures and implementing methods to streamline work and eliminate duplicate activity. A Monthly Close Checklist is under development, which will create consistency in the timing and manner of recording financial activities. Currently, the Interim Director of Finance is preparing all company bank reconciliations. 2024-004: Trade Receivables and Revenue- Billing (Material Weakness) Condition: There were multiple customer accounts that were not billed throughout the year as services were provided by the Company. Criteria: Customers should be billed in a timely manner after being provided with services by the Company. Cause: Staff shortage, lack of revenue cycle oversight, and lack of cash flow management. Effect: Poor revenue cycle management, leading to customers not being billed. This leads to cash shortages from operations and a further reliance on grant funding for operations. This could also lead to the Company being unable to collect billed balances, as certain customers were hit with substantial bills when invoices were caught up in June 2024. Recommendation: We recommend billing customers for services rendered in a timely manner to improve cash flow and prevent collection issues. Corrective Action: Management is working to fill vacant Finance positions, including Accounts Receivable Associate. Until that time, the Interim Director of Finance has taken over responsibility for both advertising and operating billings. A Monthly Close Checklist is under development, which will create consistency in the timing and manner of recording financial activities. FINDINGS AND QUESTIONED COSTS - MAJOR FEDERAL AWARD PROGRAM AUDIT 2024-005: Federal Transit Cluster - AL# 20.507, Cash Management - Material Noncompliance/Material Weakness in Controls over Compliance Condition: A lack of cash flow and grant management oversight resulted in contractors and vendors not being paid timely during FY2024 . We noted 14 instances where contractors and vendors were not paid for over 30 days. We also noted four vendors were not paid for over 90 days. Criteria: All grant activities should include management level oversight to ensure timeliness, accuracy, and compliance with specified grant requirements. Cause: Lack of proactive cash flow and grant management occurred when invoices were received. Effect: Multiple contractors and vendors were not paid for over 30 days after receipt of invoice. Four vendors were not paid for over 90 days. Recommendation: A designated management level individual should have oversight to require timely drawdowns of capital grants and timely payment of invoices. Corrective Action: Issues with the implementation of new Federal and Commonwealth transportation grant portals hindered staff from being able to submit grant draw requests in a timely manner. Management is addressing these issues as they arise. The Interim Director of Finance and Accounting Supervisor are currently reviewing operating procedures and implementing methods to streamline work and eliminate duplicate activity. A Monthly Close Checklist is under development, which will create consistency in the timing and manner of recording financial activities. Additionally, detailed spreadsheets tracking grant activity have been developed, which will allow staff members to better monitor reimbursement requests and ensure vendors are paid timely moving forward. 2024-006: Federal Transit Cluster - AL# 20.507, Period of Performance - Significant Deficiency, Controls over Compliance Condition: There were numerous grants awarded to the Company that had award end dates prior to June 30, 2024, that had not been appropriately closed out at year-end. Criteria: All grants that are not active should be closed out within the grant awards management system after their award end date. Cause: Lack of proactive cash flow and grant management. Effect: Out of 18 federal grant awards tested, 6 had award end dates prior to June 30, 2024. All 6 were still marked as active in the grant award management system as of June 30, 2024, with total remaining funds on these awards totaling $673,179. Two of these grant awards had award beginning dates over 15 years old, had no activity during FY2024, and had not been closed out by June 30, 2024. Recommendation: A designated management level individual should close out all grant awards whose period of performance has expired within the grants management system. Corrective Action: Five FTA grants are in Active Award/Ready for Closeout (as of August 1 3, 2024), including VA-202 1- 038-01, YA- 2016-009-0 1, VA-202 1- 037-01, YA-2016-016-01 and YA-04-0027-01. Additionally, an inquiry was sent to the FTA on August 19, 2024, on what could be done with the remaining funds in VA-2019-018. Grant VA-2023-002- 00 has experienced delays due to the all-electric vehicle demand and supply chain issues. GRTC has been in communications with the FTA regarding this situation. All other active FTA grants have end of performance dates in 2025. 2024-007: Federal Transit Cluster - AL# 20.507, Procurement - Finding, Non-material Non-compliance Condition: As award recipients of Federal Transit Administration (FTA) funds, the Company is required to include certain clauses in contracts funded by FTA funds. We noted that the Company did not include the required " prohibition on certain telecommunications and video surveillance services or equipment" clause and the " notification of legal matters " clause as required clauses in their procurement manual and did not contain these clauses in one contract tested. Criteria: The FTA mandates that contracts funded with FTA awards must contain certain clauses related to prohibited vendors under the Code of Federal Regulations section 200.216 and requires contractors to notify the Company and the FTA of any current legal matters. Cause: Lack of compliance with FTA contract regulations. Effect: Contracts do not meet FTA contract regulations and are non-compliant. Recommendation: We recommend that the Company incorporate these required FTA clauses in their procurement manual and their standard contracts to properly incorporate in any future FTA funded contracts. Corrective Action: Missing FTA clauses will be addressed via revisions / updates to all of GRTC ' s solicitation and contract templates. As templates can often be edited by mistake, another tool to proof contracts is the " FTA Clause Matrix 2023 Applicability of Third-Party Contract Provisions" . The current version of this matrix includes provision from 2 CFR 200, Master Agreement 30 (FY 23) and Circular 4220.1 F. Procurement received this matrix during an NTI Procurement 101 training course December 2023. Referencing this matrix has been added as a step in project checklists. If the Federal Audit Clearinghouse has questions regarding this plan, please call Kevin Price , General Manager at 540-982-0305. Sincerely Kevin Price General Manager

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 new procedure for compliance.

Finding #2024-001 – Program Income Contact – Suzanne Tobin, Chief Financial Officer Telephone Number – (301)-832-3810 Completion Date – December 10, 2024 Corrective Action Plan: Effective immediately, the Organization will comply with the program income compliance requirement of the U.S. Department of Housing and Urban Development (HUD) Continuum of Care Program by netting program income generated from the pass-through grant to the amount to be reimbursed prior to submitting the reimbursement request to HUD, in accordance with the protocol outlined in the manual issued by the Behavioral Health Authority (BHA).

Finding: 2024-004 – Inaccurate Reporting/Lack of Independent Review and Approval of Reporting Program: Community Development Block Grants/Entitlement Grants (ALN 14.218); U.S. Department of Housing and Urban Development; Direct award; All project numbers. Auditor Description of Condition and Effect: During our audit procedures over the City's annual PR-26 reports and the annual CAPER, we noted that none of the reports were subject to an independent review and approval prior to submission in order to detect and correct potential errors or omissions. We also noted that the CAPER was submitted as required, but contained financial data that did not agree to the City's underlying accounting records for the reporting period as required. The City's annual PR-26 report did not agree to the annual CAPER by approximately $435,000 and needed to be resubmitted to HUD. As a result of this condition, the City did not fully comply with the requirements of the grant and filed reports that contained financial errors. Auditor Recommendation: We recommend that reports required to be submitted to the oversight agency that contain financial information be reviewed and approved by the finance department to ensure accuracy of the financial information. Corrective Action: The City acknowledges the issues noted with reporting in the Community Development Block Grant Program. Finance and Community Development will work together to strengthen programmatic and financial reporting so that it is both timely and accurate. Staff working on this grant are new to their positions since the last time the program was audited, and are committed to reviewing policies and procedures to make sure reporting is completed appropriately. Responsible Person: Aaron Kuhn, Revenue Services Director and Marcie Gillette, Community Services Director Anticipated Completion Date: June 30, 2025

We have put in place that all cash reports will be verified in balance before and after bank statements are completed each month. These reports will then be reported in the monthly Treasurer Report to the Village Board and Management. This process will be completed for each account of the Village. These reports will also be printed and filed with our bank statements that are kept in-house for the correct time in compliance with the Illinois Local Records Act. This control will be completed by the Village Treasurer and verified by the Village Office Manager. We have put in place that all payroll liability accounts will be checked bi-monthly to verify only unremitted amounts are showing as a balance. We became aware that the previous year’s amounts were being carried over due to not being properly cleared out at year’s end, and that this line item within that account does not reflect an in and out account similar to other payroll accounts. With the help of our accounting software, gWorks, this should be corrected and should no longer be an ongoing error requiring adjustment. This control will be carried out by the Office and Human Resource Manager. We have put in place that all interfund transfers will be approved by the Office Manager and/or Village Treasurer (two parties involved in approval). Due to the setting up of our payroll process, these transfers will be verified during the bank reconciliation process. The Village Treasurer will also verify that all vendors are paid from the proper account to assure invoices are coded appropriately after entry by office staff to avoid most interfund transfers. If a vendor is paid from an incorrect account, the Office Manager or Village Treasurer will be required to review and approve to reimburse that account with a transfer between funds. The Village Office Staff employees will verify deposits before bank submission to help assure all monetary deposits are entered into the proper account. If a deposit is incorrectly sent to the wrong bank account, the Office Manager or Village Treasurer will adjust the bank accounts with an interfund transfer to balance the deposit correctly.

Responsible Officials: The acting Executive Director reported incident immediately and enforced quality improvement program in order to ensure that fraud, waste, and abuse do not occur. However, several allegations are being investigated and are currently being responded, by the Organization.