Corrective Action Plans

Non-compliance with Cash Management Requirements of the Capital Fund Program Corrective Action With the exception of Capital Fund Program grant authorizations budged for Public Housing Program operating assistance, the Authority will expend the unexpended Capital Fund Program grant proceeds held prior to drawing down additional funding from Capital Fund Program grants. Jebidiah Jackson, Executive Director, has assumed the responsibility of executing this corrective action as of August 1, 2026.

Corrective Action Plan: Misuse of Funds – Vehicle: Pact updated its Global Vehicle Policy effective November 1, 2025. The updated Global Vehicle Policy reinforces Pact’s zero-tolerance policy. No new reports of vehicle misuse have been received since November 2025, and all the reported cases of misuse occurred prior to November 1. Pact’s updated policy complies with all applicable laws and regulations, including the organization’s internal Code of Conduct, while aligning with the objectives and scope of work for the project. Pact’s guidelines specify roles and responsibilities and role assignments; identify authorized places to obtain fuel; where to store vehicle keys; where to park vehicles; and require individuals to enter detailed records regarding the use of the vehicle into a log. Misuse of Funds – Payroll: In alignment with Pact’s core principle of continuous quality improvement, and following substantiation of the misuse in one country office, Pact developed and implemented a corrective action plan. This plan included a comprehensive quality review of existing controls to identify and address any procedural gaps in the timesheet systems to ensure the timesheet systems have a functional auditable approval trail. We have reinforced, including in Senior Management Team meetings with staff, and other trainings supervisors’ responsibility to review and verify hours worked for their staff.

Condition Holyoke Gas & Electric (HG&E) calculated indirect costs using an incorrect total direct cost base rather than the modified total direct costs required by the grant agreement and 2 C.F.R. §200.414(f). Indirect cost was calculated based on total cost, including construction and material. Corrective Action Plan Corrective Action Planned: By December 25, 2026, HG&E will implement a formal grant administration policy that clearly defines roles and responsibilities and establishes a comprehensive framework for effective grant management. In addition, HG&E will ensure that all questions related to indirect costs and other compliance requirements are confirmed in writing. HG&E believes this approach will significantly reduce the risk of future reporting errors. Names of Contact Persons Responsible for Corrective Action: Brooke McMahon – 413-536-9318 Bill Sullivan - 413-536-9523 99 Suffolk Street Holyoke, MA 01040 Anticipated Completion Date: The Corrective Action Plan will be implemented by December 31, 2026

Expenditures submitted for the Alabama Medicaid Administrative Claiming Program included expenditures supported by federal funds. Contact Person: Dr. Brock Nolin, Superintendent Corrective Action: Claims will be adjusted to correct the duplication of federal funds. Policies and procedures will be implemented according to the recommendations found in the Schedule of Findings and Questioned Costs. Proposed Completion Date: Prior to the submission of the July-September 2026 claim.

Views of Responsible Officials and Planned Corrective Actions: The Crossett Housing Authority Director will immediately seek guidance from HUD officials and MRI/Lindsey to remedy this problem.

Finding 2025-014 Medicaid Cluster, ALN 93.775, 93.777, and 93.778 and Children's Health Insurance Program, ALN 93.767 - Expenditure Processing for Medical Payments Management Views MDHHS agrees with the finding. Planned Corrective Action MDHHS implemented a system update in Bridges to ensure new cases are correctly assigned to either CHIP or Medicaid, and all remaining existing cases were updated during fiscal year 2025, eliminating the need for the quarterly manual reclassification. MDHHS discontinued the manual reclassification process during fiscal year 2026 and transferred the expenditures back to Medicaid for the individuals identified in the finding. Anticipated Completion Date Completed Responsible Individual(s) Brant Cole, MDHHS Crystal Kline, MDHHS

Finding 2025-044 Temporary Assistance for Needy Families, ALN 93.558 - Inappropriate TANF-Funded Emergency Foster Care Assistance Management Views MDHHS agrees with the finding. Planned Corrective Action MDHHS redetermined the Foster Care Title IV-E (Title IV-E) eligibility after the birth certificate was received and the youth was determined to be Title IV-E eligible. MDHHS has already reclassified the funds to the appropriate funding source, allowing the department to claim Title IV-E for the eligible placement, and repaying any TANF overpayments. Reconciliations between different fund sources, or recoupments for overpayments, will be created within 30 calendar days of receipt of supporting documentation and approved timely by management. All recoupment and reconciliation records will be approved by management no later than September 30 each fiscal year to ensure compliance with year-end requirements. Anticipated Completion Date September 30, 2026 Responsible Individual(s) Nancy Berger, MDHHS

Finding 2025-009 MDE, Security Management and Access Controls Management Views MDE agrees with the finding. Planned Corrective Action For part a., management will review the exceptions with the team responsible for processing security forms to reinforce appropriate review and processing. MDE will also implement an automated security access request process, which will eliminate any human error as a result of processing forms. For part b., management will refine the NexSys annual recertification process to reduce errors. NexSys staff will improve internal user list reviews and confirm completeness during the upcoming recertification cycle prior to management’s final review. MDE is currently developing an automated process to handle the annual recertification of the Grant Electronic Monitoring System/Michigan Administrative Review System (GEMS/MARS) users and anticipates implementation in September 2026. For part c., MDE updated the procedure for disabling accounts in April 2026 to strengthen and clarify the process to ensure MDE disables inactive user accounts after 18 months. Anticipated Completion Date a. May 2027 b. NexSys: October 2026 GEMS/MARS: September 2026 c. Completed Responsible Individual(s) Monica Butler, MDE Joshua Long, MDE Drew Finkbeiner, MDE

Finding 2025-029 Coronavirus State and Local Fiscal Recovery Funds, ALN 21.027 - MiGrants Security Management and Access Controls Management Views The Department of Natural Resources (DNR) agrees with the finding. Planned Corrective Action DNR recognizes the importance of maintaining strong security and access controls for the MiGrants system. While DNR has updated many internal processes to align with revised SOM technical standards, additional actions are needed to further strengthen its controls and ensure comprehensive documentation. For part a., each DNR division administrator will maintain thorough documentation of all internal roles assigned related to MiGrants access and verify adequate justification is provided for each role assigned. Each division administrator will be responsible for creating a procedure that identifies the process that captures appropriate approval information for the internal roles assigned by their division. The system administrator will establish a shared repository in a centralized location where the information is stored. For part b., DNR will implement a formal recertification review for all MiGrants users annually, ensuring that supporting documentation is complete and properly retained. For part c., DNR received an exception in June 2026 from the DTMB Technical Review Board to SOM Technical Standard 1340.00.020.01 (Access Control Standard) that extends the requirement for disabling inactive user accounts from 60 days to 365 days. Anticipated Completion Date a. February 28, 2027 b. December 31, 2026 c. Completed Responsible Individual(s) Leah Babcock, DNR Bobbi Audette, DNR Kerry Grey, DNR

Finding 2025-023 Coronavirus State and Local Fiscal Recovery Funds, ALN 21.027 - EGrAMS Security Management and Access Controls Management Views LEO agrees with the finding. Planned Corrective Action For part a., LEO has a process to maintain documentation and support for internal users. For external users, LEO will ask the vendor to upgrade the system so it logs every external user activation, including the approving LEO staff member’s name and the timestamp, rather than overwriting previous external user activation records. For part b., LEO established a user reconciliation process in March 2026 that will be managed by the LEO Grants Division. For part c., LEO will change its policy requiring the disablement of user accounts inactive for over 60 days to comply with SOM Technical Standard 1340.00.020.01 (Access Control Standard). LEO will work with DTMB to complete a system security plan so user accounts will be automatically deactivated after 60 days of inactivity. LEO will also explore options to address the issue of EGrAMS users who typically only access the system every 90 days to complete required system reports. Anticipated Completion Date a. December 31, 2026 b. Completed c. December 31, 2026 Responsible Individual(s) Jason Hamblin, LEO

#2025-003 FINDING: Grant Tracking Responsible Individual: Pedro Rosa, Business Manager Corrective Action Plan: The Business Manager will follow the recommendation of the auditors. This expenditure of the Curriculum Subscription was paid for the first year to get started with the material, we did not expense it in the second and third year. A discount was given to pay the three years up front. The prepaid upfront expense was approved by the grantor. The Business Manager will continue to agree that actual expenditures incurred to the general ledger before requesting reimbursement. Anticipated Completion Date: Ongoing

4. Finding 2025-004 a. Comments on the Finding and Each Recommendation The auditee agrees with the finding. The auditee agrees with the recommendation to reimburse the amount due to the project and establish procedures to ensure reimbursement for shared costs and related receivables are made timely in accordance with established policy. b. Action(s) Taken or Planned on the Finding We will implement procedures to ensure shared costs are reimbursed on a consistent and regular basis.

Finding 2025-001 Federal Grantor: United States Department of Health and Human Services Planned Corrective Actions: Responsible Official – Dawn Ksepka, VP of Finance and System Controller Anticipated completion date – June 30, 2026 Management agrees with the finding. Remediation: Fairview has corrected the payroll reimbursement request for the inaccurate payroll charges identified in the finding. To prevent recurrence, Fairview will enhance controls over payroll review processes to ensure accuracy prior to submission. These enhancements include reinforcing review expectations with project directors and including detailed review procedures for validating pay rate and wage calculations prior to reimbursement submissions. Management believes these actions will improve the accuracy of payroll charges and ensure compliance with federal program requirements.

FINDING 2025-002: SECTION 811, ASSISTANCE LISTING NUMBER 14.181 Condition: A Due From Sponsor exists on the financial statements at year-end. Recommendation: The Sponsor should reimburse the Project immediately. Action Taken: The Project agrees with the finding. The Project's sponsor will reimburse the Project as soon as possible. If the Department of Housing and Urban Development has questions regarding these plans, please call Ling Han at 651-645-7271.

Corrective Action: All vouchers require Town Manager and Finance Director to approve and sign all vouchers prior to payment. Efforts are in place to make this a high priority even in busy times. The number of transactions processed greatly increased relative to Federal dollars, but the Town is committed to internal controls. Anticipated Completion Date: Immediately Contact Person: Elizabeth Draper and Brian Rosso

Federal Program: Consolidated Health Centers Grant Assistance Listing No. 93.224 & 93.527 Recommendation: Our auditors recommend the Organization to review internal controls in regards to the approval of federal fund drawdown requests. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Organization is in agreement with finding. The control issue was due to turnover in finance staff during fiscal year 2025. Under the direction of the Organization’s new CFO, the following revised procedures for cash management have been implemented for fiscal year 2026: • Payroll Documentation: A staff accountant or the controller will compile payroll expense details along with supporting documentation for each drawdown. • Review and Approval: This documentation is submitted to the CFO for review prior to any fund transfer. • Drawdown Execution: Upon approval, the CFO will initiate the drawdown from PMS. • Frequency: Drawdowns are processed on a biweekly basis and reflect expenses from the preceding payroll cycle. Upon completion of the drawdown, the CFO will save a copy of the drawdown request to the internal drive. • This drawdown receipt is reviewed by a second staff member, either the controller or senior accountant. • Drawdowns are also reviewed during monthly bank reconciliations.

Findings (2025-001, 2025-002, 2025-003) Finding: Advance Funds- In accordance with 45 CFR 75.305(b)(1) [refer to “Prepaid Rent” above]. Of the 24 cash advances received, one advance was held for six working days, which is in excess of “immediate cash needs” as outlined in the Uniform Guidance and the policy historically observed by the Organization of 72 working hours. Auditor Recommendation: Advance Funds- We recommend that management design and implement formal, written internal control procedures to ensure compliance with cash management requirements. Specifically, management should implement a supervisory review to ensure federal funds are limited to minimum amounts needed for immediate cash requirements as indicated in the Uniform Guidance. Corrective Action: Advance Funds- Internal controls have been updated and there is an additional level for reviewing requests. The Executive Director is provided a list of all funds available after each draw down and the amounts drawn down are matched to the GL and GFR. This responsibility will be transferred to the Deputy Director once the new Fiscal Manager is in place. There is a schedule for the date the funds are allowed to be requested that fall within the 72-hour window posted in the Finance office and the Executive Director is notified before any requests are processed. The current Finance officer is meeting every 2 weeks for training with NDRN and policies, Uniform Guidance, MIP processes, and federal grants are reviewed in these meetings. Timeline: Advance Funds- TA with NDRN: Every 2 weeks starting April 22, 2026. Fiscal Manager: Posting for the position will be up by end of June 2026. 72-Hour Listing: Created and posted 6/1/26 Finding: Payroll Expenses- During our testing of allowable costs, 2 of the 20 time sheets selected did not contain approval signatures. Auditor Recommendation: Payroll Expenses- We recommend that management update its internal control policies to establish formal backup/interim approval authorities. When primary supervisors are out of the office on vacation or leave, a designated alternative official must be authorized to review and approve timesheets timely to ensure the continuity of internal controls. Corrective Action: Payroll Expenses- Payroll review: Payroll packets are reviewed during and after the payroll process to ensure all timesheets are approved and signed off by both the Executive Director and Board of Directors when appropriate. Executive Director’s timesheets and authorizations are presented to the Board of Directors when signing checks for review and approval. Procedures have been updated to include a secondary review of the timesheets at the end of each payroll cycle. Timeline: Payroll Expenses- Payroll review: After every payroll beginning 4/23/26 Finding: Prepaid Rent- As of September 30, 2025, a total of 14 months of rent payments were recognized in the general ledger and had been drawn from the PAIMI program. Total questioned costs related to these prepaid transactions, prepaid at year end, totaled $3,855.80. Auditor Recommendation: Prepaid Rent- We recommend that management design and implement formal, written internal control procedures to ensure compliance with cash management requirements. Specifically, management should implement a supervisory review of all general ledger disbursements against grant draws to ensure federal funds are limited to minimum amounts needed for immediate cash requirements. Corrective Action: Prepaid Rent- We received permission and were encouraged by our federal funders to pre-pay rent. We will not be pre-paying rent going forward. The Executive Director meets weekly with both PADD and PAIMI program managers to review processes. Timeline: Prepaid Rent- PADD and PAIMI program manager meetings: ongoing since before audit. Finding: Program Income- Our testing of allowable costs under the PADD grant identified two specific transactions where expenditures were fully reimbursed by federal funds despite being offset by program income and/or being erroneously drawn. Because these transactions relate to the same journal entry recognized in the general ledger, these are considered isolated instances. Auditor Recommendation: Program Income- We recommend that management design and implement formal, written internal control procedures to identify, track, and account for all program income generated by PADD grant activities within the general ledger. Corrective Action: Program Income- We received confirmation from the federal partners that we should spend the $16,165 legal fees from 2023, in April 2026. Those funds were not drawn down during PPE 4/30/26 and 5/15/26. Timeline: Program Income- $9104 was used to cover the PADD draw down for 4/30/26. No additional funds were drawn down. The remaining $7061 was used to cover part of the funds requested for 5/15/26. Additional funds were requested during the 5/15/26 draw down to cover remaining expenses. Nevada Disability and Law Center 2820 W Charleston Blvd, Suite 11 Las Vegas, NV 89102 EIN: 88-0327392 Jessica Crain, Deputy Director (Jessica@ndalc.org) (702) 257-8150 ext. 7122 phone (702) 257-8170 fax

Findings (2025-001, 2025-002, 2025-003) Finding: Advance Funds- In accordance with 45 CFR 75.305(b)(1) [refer to “Prepaid Rent” above]. Of the 24 cash advances received, one advance was held for six working days, which is in excess of “immediate cash needs” as outlined in the Uniform Guidance and the policy historically observed by the Organization of 72 working hours. Auditor Recommendation: Advance Funds- We recommend that management design and implement formal, written internal control procedures to ensure compliance with cash management requirements. Specifically, management should implement a supervisory review to ensure federal funds are limited to minimum amounts needed for immediate cash requirements as indicated in the Uniform Guidance. Corrective Action: Advance Funds- Internal controls have been updated and there is an additional level for reviewing requests. The Executive Director is provided a list of all funds available after each draw down and the amounts drawn down are matched to the GL and GFR. This responsibility will be transferred to the Deputy Director once the new Fiscal Manager is in place. There is a schedule for the date the funds are allowed to be requested that fall within the 72-hour window posted in the Finance office and the Executive Director is notified before any requests are processed. The current Finance officer is meeting every 2 weeks for training with NDRN and policies, Uniform Guidance, MIP processes, and federal grants are reviewed in these meetings. Timeline: Advance Funds- TA with NDRN: Every 2 weeks starting April 22, 2026. Fiscal Manager: Posting for the position will be up by end of June 2026. 72-Hour Listing: Created and posted 6/1/26 Finding: Payroll Expenses- During our testing of allowable costs, 2 of the 20 time sheets selected did not contain approval signatures. Auditor Recommendation: Payroll Expenses- We recommend that management update its internal control policies to establish formal backup/interim approval authorities. When primary supervisors are out of the office on vacation or leave, a designated alternative official must be authorized to review and approve timesheets timely to ensure the continuity of internal controls. Corrective Action: Payroll Expenses- Payroll review: Payroll packets are reviewed during and after the payroll process to ensure all timesheets are approved and signed off by both the Executive Director and Board of Directors when appropriate. Executive Director’s timesheets and authorizations are presented to the Board of Directors when signing checks for review and approval. Procedures have been updated to include a secondary review of the timesheets at the end of each payroll cycle. Timeline: Payroll Expenses- Payroll review: After every payroll beginning 4/23/26 Finding: Prepaid Rent- As of September 30, 2025, a total of 14 months of rent payments were recognized in the general ledger and had been drawn from the PAIMI program. Total questioned costs related to these prepaid transactions, prepaid at year end, totaled $3,855.80. Auditor Recommendation: Prepaid Rent- We recommend that management design and implement formal, written internal control procedures to ensure compliance with cash management requirements. Specifically, management should implement a supervisory review of all general ledger disbursements against grant draws to ensure federal funds are limited to minimum amounts needed for immediate cash requirements. Corrective Action: Prepaid Rent- We received permission and were encouraged by our federal funders to pre-pay rent. We will not be pre-paying rent going forward. The Executive Director meets weekly with both PADD and PAIMI program managers to review processes. Timeline: Prepaid Rent- PADD and PAIMI program manager meetings: ongoing since before audit. Finding: Program Income- Our testing of allowable costs under the PADD grant identified two specific transactions where expenditures were fully reimbursed by federal funds despite being offset by program income and/or being erroneously drawn. Because these transactions relate to the same journal entry recognized in the general ledger, these are considered isolated instances. Auditor Recommendation: Program Income- We recommend that management design and implement formal, written internal control procedures to identify, track, and account for all program income generated by PADD grant activities within the general ledger. Corrective Action: Program Income- We received confirmation from the federal partners that we should spend the $16,165 legal fees from 2023, in April 2026. Those funds were not drawn down during PPE 4/30/26 and 5/15/26. Timeline: Program Income- $9104 was used to cover the PADD draw down for 4/30/26. No additional funds were drawn down. The remaining $7061 was used to cover part of the funds requested for 5/15/26. Additional funds were requested during the 5/15/26 draw down to cover remaining expenses. Nevada Disability and Law Center 2820 W Charleston Blvd, Suite 11 Las Vegas, NV 89102 EIN: 88-0327392 Jessica Crain, Deputy Director (Jessica@ndalc.org) (702) 257-8150 ext. 7122 phone (702) 257-8170 fax

2025-002 - FEMA Public Assistance - Allowable Costs/Cost Principles - Questioned Cost U.S. Department of Homeland Security Federal Emergency Management Agency Passed through State of Iowa Department of Homeland Security & Emergency Management Federal Assistance Listing Number (ALN): 97.036 Federal Award Year: 2024 Criteria - Under FEMA Public Assistance program requirements and applicable federal cost principles, only eligible costs incurred by the applicant, and supported by appropriate documentation, may be claimed for reimbursement. Donated services are subject to specific eligibility criteria and documentation standards and, in certain circumstances, are not allowable as reimbursable project costs. Condition - During our testing of allowable costs, we noted that the City claimed reimbursement from FEMA for donated services that did not meet the eligibility requirements for reimbursement under the Public Assistance Program. Cause - The condition resulted from a miscommunication between the Public Works Director and payables processing clerks to process payment for an invoice that indicated donated services. Effect - As a result, ineligible costs were submitted to FEMA for reimbursement. Although the amount is not material to the federal program as a whole, it represents noncompliance with federal program requirements. Recommendation - We recommend that the City enhance its procedures over the review of costs included in FEMA reimbursement requests to ensure that donated services are evaluated in accordance with FEMA Public Assistance program requirements and are excluded from reimbursement claims when not eligible. The City should correspond with the Iowa Department of Homeland Security and Emergency Management and FEMA to discuss the proper resolution for the solution. Views of Responsible Officials - The City will immediately be in contact witH the governing authorities and work quickly and effectively to resolve the issue and will strive to obtain and understanding of the grant requirements and strengthen controls to ensure it is communicated well.

2025-003: Period of Performance Compliance Action Taken/Planned: Management acknowledges the instances identified in which disbursements were processed after the award's period of performance. While no questioned costs were noted, the University recognizes that timely processing of expenditures and drawdowns is critical to ensuring compliance with federal requirements governing grant periods. To Strengthening Grant Closeout Procedures management will establish a formal grant closeout timeline to begin 90 days prior to the award end date, require principal investigators (PIs) and grant administrators to review all outstanding obligations and ensure timely submission of final expenses and implement a standardized closeout checklist to confirm all costs are recorded within the allowable period To Enhanced Monitoring of Grant Periods management will develop and maintain a centralized tracking system for all federal awards, including start and end dates, generate monthly reports identifying grants nearing expiration (within 90, 60, and 30 days) and distribute reports to Pis, Grants Accounting, and Finance leadership for proactive management. For timely processing and drawdown controls management will require all invoices and expenditures to be submitted within a defined timeframe (e.g., within 30 days of service or project completion), establish internal deadlines for processing disbursements and drawdowns prior to the grant end date and implement a review step within Grants Accounting to verify that expenses fall within the period of performance before payment is released. The grants department will conduct mandatory training for PIs, grant managers, and finance staff on period of performance requirements and federal compliance expectations and reinforce accountability for timely submission and processing of expenditures Management will also put in place for any costs identified outside the period of performance will require, documented justification, review and approval by the Director of Grants Accounting and CFO, and verification of allowability under award terms or sponsor approval, if applicable. Anticipated Completion Date/Date Completed: This will be implemented immediately with an anticipated completion date of June 30, 2026

Views of Responsible Officials: Management acknowledges that a formal internal review and approval process over Federal drawdowns was not in place during the audit period, particularly for the more frequent drawdowns that moved from monthly to weekly. The change in drawdown practices, including performing draws on a more frequent basis, was implemented in response to managing cash flow and external risks.Management notes that oversight was performed on a periodic basis, specifically each quarter end. Starting in May 2026, one financial party will calculate the Federal pull amount using actual costs and a 10% indirect rate, the Executive Director will review and sign off, and the Director of Grandfamilies & Kinship Support Network will initiate pulling funds from the Federal system.

View of Responsible Officials The Foundation is of the opinion that finding number 2025-001 for Cash Management is not applicable to the Equipment for Skilled Trades Training Programs as part of the Virginia Infrastructure Academy under ALN 84-116Z as requests for advance payments were limited to the minimum amounts needed and were timed with actual, immediate cash requirements to carry out the purpose of the approved programs and projects. With regards to College and Career Success for Foster Youth through Work-based Learning Opportunities and Coaching Support under ALN 84-116Z, the Foundation was notified by the U.S. Department of Education on September 12, 2024, that unused principal be returned. On September 25, 2024, the funds in the amount of $753,800 were refunded by wire transfer. This was the only notification the Foundation received from the U.S. Department of Education; no other notification was received regarding other advance payments made during the fiscal year. With regards to Improving the Quality of Early Childhood Educators under ALN 84-116Z, the Foundation did not receive any notification from the U.S. Department of Education requesting that advance payments be returned. In all instances of advance payments, the Foundation maintained funds in interest bearing accounts as outlined in the respective agreements for the three federal awards. With regards to the requests for advances that were made on a quarterly basis, the respective agreements for the three federal awards do not explicitly outline a timeframe for advance payments, nor did these advances trigger the federal government’s threshold for excessive drawdown. Estimated quarterly advance payments were made from the uncertainty of the U.S. Department of Education clawing back award funding while ensuring sufficient cash on hand to support approaching distributions to students and colleges and mitigating risk to the Foundation covering respective distributions with its own funds. Brown Edwards shared the suggested interpretation is a one-to-three-day timeframe between drawdown and distribution. Action taken: The Foundation calculated advance payment balances as of November 4, 2025, and issued respective returns to the U.S. Department of Education on November 5, 2025. Subsequent drawdowns have been made on a reimbursement basis. Action planned: The Foundation will revise its policies and procedures for requesting federal funds to ensure that requests for advance payments be limited to the minimum amounts needed and be timed with actual, immediate cash requirements to carry out the purpose of approved programs and projects. Specific steps: The Foundation will develop and implement a written policy requiring a documented review of immediate cash needs before any federal fund drawdown request is submitted and establishing a process to request funds on a reimbursement basis or just-in-time advance basis to align drawdowns with actual disbursements. Responsibility: The Chief Operating Officer and Finance Manager will work to draft the policy and will bring it to the Audit Committee for review and approval. Timeline: Policy approved and implemented by February 2026.

FINDING 2025-002: Unauthorized receipt of COVID-19 Supplemental Payments (CSP) Corrective action - The applications for reimbursement for program periods 1 through 3 were made in error. Management has contacted HUD and is awaiting a response.

Internal Control Over Reporting Department of Human Services – Grants to States for Medicaid – Assistance Listing No. 93.778 Recommendation: We recommend that the County enact controls to assure employees included in grant are included in reporting submitted. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County will implement procedures to ensure that all reports are reviewed prior to submission. Names of the contact person responsible for corrective action: Pat Paquin, Finance Manager Planned completion date for corrective action plan: December 31, 2026

Agency personnel will ensure they are minimizing the time between the transfer of funds from the federal awarding agency and the disbursement of those funds.