Corrective Action Plans

Finding 539101 (2024-001)

Significant Deficiency 2024

VA

Student Financial Aid Special Tests & Provisions Eligibility

2024-001 Notification of Disbursements (Significant Deficiency) Criteria: Prior to making a disbursement, the school must notify students of the amount and type of Title IV funds they are expected to receive, and how and when those disbursements will be made (often referred to as an award letter or ...

2024-001 Notification of Disbursements (Significant Deficiency) Criteria: Prior to making a disbursement, the school must notify students of the amount and type of Title IV funds they are expected to receive, and how and when those disbursements will be made (often referred to as an award letter or college financing plan) (34 CFR 668.165(a)(1)). Condition: One out of twenty-five undergraduate students selected for disbursement testing for the 2023-2024 academic year was not documented as having been notified prior to the disbursement of Title IV funds. Notification failed to occur after the student's enrollment status changed from half-time to three-fourths time enrollment, making them eligible for additional Pell Grant awards. Action Taken: The University will request assistance from the software provider and consultants to develop a notification process for when a student’s enrollment status changes from half-time to three-fourths time enrollment. Responsible Party: Emily Williamson, Financial Aid Director Point of contact: Emily Williamson, Financial Aid Director Williamson_e@lynchburg.edu (434) 993-8253 Expected date of correction: June 1, 2025

View Audit 349808

Finding 539094 (2024-001)

Significant Deficiency 2024

Delaware College of Art and Design

DE

Special Tests & Provisions Eligibility Significant Deficiency

View of Responsible Officials: A policy for notifying applicants of changes to Expected Family Contribution (EFC) or financial assistance resulting from the verification process is contained in the Delaware College of Art and Design (DCAD) Approval, Delivery, and Disbursement of Title IV Funds Polic...

View of Responsible Officials: A policy for notifying applicants of changes to Expected Family Contribution (EFC) or financial assistance resulting from the verification process is contained in the Delaware College of Art and Design (DCAD) Approval, Delivery, and Disbursement of Title IV Funds Policies and Procedures in Section III Item d. (previously submitted). Should any of the students’ financial aid change or increase, FAO emails the student Updated Financial Aid Award Letters reflecting the changes. A copy of the student’s Need Analysis/Award Updates is also given to the Bursar. The two other omissions in the finding were correctly noted as not written in DCAD’s policy. No planned corrective action is necessary due to the College’s closure.

View Audit 349799

Finding 539079 (2024-001)

Significant Deficiency 2024

Community Crisis Center

IL

Subrecipient Monitoring Eligibility

Department of Justice 2024-001 Crime Victim Assistance Program Auditor’s Recommendation: We recommend Community Crisis Center, Inc. continue to review its files to ensure that all client files contain the required confidentiality and intake forms. We also recommend Community Crisis Center, Inc. im...

Department of Justice 2024-001 Crime Victim Assistance Program Auditor’s Recommendation: We recommend Community Crisis Center, Inc. continue to review its files to ensure that all client files contain the required confidentiality and intake forms. We also recommend Community Crisis Center, Inc. implement and enforce a policy to obtain the signed forms for all new clients and get any signed forms as soon as possible for any current clients. Additionally, Community Crisis Center, Inc. should conduct regular training and monitoring of employees to ensure confidentiality best practices are followed. Action Taken: Community Crisis center, Inc. will review files to ensure that confidentiality forms and intakes are present on a daily, monthly and quarterly basis for accuracy. In Addtiion, training will be provided to all new staff upon hiring, with quarterly reviews thereafter. If the funding agency has questions regarding this plan, please call me at 847-742-4088.

View Audit 349778

Finding 539067 (2024-009)

Significant Deficiency 2024

City of Boston

MA

Procurement, Suspension & Debarment Student Financial Aid Allowable Costs / Cost Principles § 200.303 § 200.64 § 200.67

Boston Public Schools has revised its’ eligibility record keeping process to ensure that records are accurate and complete. This adjustment to record keeping practice has been instituted beginning with the FY25 grant application cycle. Anticipated Completion Date: June 30, 2025 Responsible Contact...

Boston Public Schools has revised its’ eligibility record keeping process to ensure that records are accurate and complete. This adjustment to record keeping practice has been instituted beginning with the FY25 grant application cycle. Anticipated Completion Date: June 30, 2025 Responsible Contact Person: Colin Musto, Assistant City Auditor, Grants Monitoring Unit colin.musto@boston.gov

View Audit 349776

Finding 538846 (2024-003)

Significant Deficiency 2024

County of Loudoun, Virginia

VA

HUD Housing Programs Internal Control / Segregation of Duties Eligibility § 200.303

Finding: 2024-003: Significant Deficiency in Internal Control Over Compliance and Non- Material Noncompliance Responsible Person: Brian Reagan, Assistant Director, Department of Housing and Community Development Estimated Completion: April 30, 2025 Corrected Action: 1. The County will develop a solu...

Finding: 2024-003: Significant Deficiency in Internal Control Over Compliance and Non- Material Noncompliance Responsible Person: Brian Reagan, Assistant Director, Department of Housing and Community Development Estimated Completion: April 30, 2025 Corrected Action: 1. The County will develop a solution with the software company that supports the Department of Housing and Community Development’s (DHCD) current client management to provide standardized reports that can be used by managers to monitor properties that have upcoming inspection due dates. The County will address current limitations within the software that does not allow for a fully automated workflow, which then necessitates a highly manual process and more likelihood of human error. 2. Staff will continue to utilize the monthly Section Eight Management Assessment Program (SEMAP) Indicators Report in HUD’s Public and Indian Housing Information Center (PIC) database and provide that information to the inspectors monthly so that all inspections will be planned in advance of the due date. 3. The HCV Program is currently in the process of transitioning the client management software to a new software provider and staff is diligently working to ensure that notifications and reports are available for the tracking of initial, biennial, and special inspection due dates. 4. DHCD currently employs only one full-time Inspector to conduct all initial, biennial, and special inspections for the HCV Program. The number of initial inspections increased by 180% during 2023 and 2024. As part of the Fiscal Year 2026 budget process, DHCD requested an additional full-time Inspector position that will conduct HCV inspections as well as inspections for other DHCD programs, which will further ensure that all inspections are completed in a timely manner and subject to quality control, especially during periods of program growth. 5. Additionally, the Inspector and HCV Program Manager will attend Inspection training, to enhance their knowledge of inspection requirements and compliance.

View Audit 349563

Finding 538845 (2024-002)

Material Weakness 2024

County of Loudoun, Virginia

VA

Eligibility Material Weakness Matching / Level of Effort / Earmarking

Finding 2024-002: Material Weakness in Internal Control Over Compliance and Non-Material Noncompliance Responsible Person: Chris Slagle, Program Manager; Allison Gregg, Program Manager Estimated Completion: January 31, 2026. Corrected Action: 1. The Department will conduct a thorough assessment of c...

Finding 2024-002: Material Weakness in Internal Control Over Compliance and Non-Material Noncompliance Responsible Person: Chris Slagle, Program Manager; Allison Gregg, Program Manager Estimated Completion: January 31, 2026. Corrected Action: 1. The Department will conduct a thorough assessment of current redetermination reports and state policies to identify approaching deadlines and overdue items and create a structured monitoring system for supervisory staff. Standardized verification checklists will be introduced to confirm that all necessary documentation is collected, and incoming materials will be reviewed promptly to improve decision-making accuracy. The agency will collaborate with technical teams to correct the VaCMS programming error so that auto-renewals cannot occur without verification of crucial information such as social security numbers. 2. The Department will strengthen its workforce by enhancing training for new and existing employees. Requests will be submitted to the Board of Supervisors to support hiring additional staff, thereby mitigating the burden on each employee by reducing the caseload of 1,000 cases per worker to a more manageable caseload, allowing staff to process cases more efficiently. Training sessions will emphasize state and federal standards for timeliness, along with best practices for case documentation and adherence to the updated Medicaid Unwinding and Public Health Emergency guidelines. Regular professional development opportunities will be offered to ensure that all staff members remain informed about policy changes and evolving procedures. 3. The Public Benefits Unit Program leadership will conduct quarterly reviews to measure compliance with redetermination deadlines and track indicators such as workload volume, pending actions, and overdue items. Quarterly reviews will be documented and submitted to Department leadership. These reviews will highlight redetermination outcomes, caseload trends, and staffing considerations. 4. The Department will onboard the Public Benefits Program Administrator, who will be tasked with overseeing compliance across all Benefit Programs. The agency will implement a Corrective Action Plan aimed at ensuring timely and accurate completion of Medicaid redeterminations.

View Audit 349563

Finding 538844 (2024-002)

Significant Deficiency 2024

Nazareth College of Rochester

NY

Student Financial Aid Eligibility

Corrective Action Plan We agree with the auditor’s finding as set forth above. Due to turnover in the financial aid department, there was an incorrect understanding of the maximum award process. We have updated the university’s policies and procedures to ensure they are compliant with Title IV requi...

Corrective Action Plan We agree with the auditor’s finding as set forth above. Due to turnover in the financial aid department, there was an incorrect understanding of the maximum award process. We have updated the university’s policies and procedures to ensure they are compliant with Title IV requirements and will be assigning this responsibility to a new employee. The University has refunded, through Common Origination and Disbursement, any federal funding associated with the over-awards as noted in this finding. Timeline for Implementation of Corrective Action Plan Prior to June 30, 2025 Contact Person Vice President for Strategic Enrollment, Marketing and Communications

View Audit 349557

Finding 538840 (2024-003)

Material Weakness 2024

Knox Community School Corporation

IN

Special Tests & Provisions Subrecipient Monitoring Eligibility § 200.303

Information on the federal program: Subject: Education Stabilization Fund - Special Tests and Provisions - Wage Rate Requirements Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Yea...

Information on the federal program: Subject: Education Stabilization Fund - Special Tests and Provisions - Wage Rate Requirements Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U210013 PassThrough Entity: Indiana Department of Education Compliance Requirement: Special Tests and Provisions - Wage Rate Requirements Audit Findings: Material Weakness, Material Noncompliance, Qualified Opinion Condition and Context: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the Special Tests and Provisions - Wage Rate Requirements compliance requirements. The School Corporation had five construction and improvement projects which were funded with ESSER II (84.425D) and ESSER Ill (84.425U) grant awards. For 1 of 2 contracts selected for testing, the School Corporation did not include the Davis-Bacon wage rate requirements in the vendor contract. For this same vendor contract for floor replacement in a junior/senior high school, the School Corporation did not obtain the weekly payroll report certification from the construction vendor to monitor compliance with Davis-Bacon wage rate requirements. Therefore, no review was performed to ensure that pay rates complied with the federal wage rate requirements for this project. The total project cost disbursed for the flooring project during the audit period was $342,822 which included materials and labor. Total contract expenditures subject to Davis-Bacon wage rate requirements, including material and labor, during the audit period were $1,386,275. Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: North Knox School Corporation will comply with the Davis-Bacon wage rate requirements in all future projects using federal funds. Responsible Party for Corrective Action: Darrel Bobe, Superintendent, and Terri Roesler, Treasurer, will oversee the corrective action plan. Timeline for Completion: Immediately.

View Audit 349540

Finding 538836 (2024-004)

Material Weakness 2024

Knox Community School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking § 200.303

Information on the federal program: Subject: Child Nutrition Cluster - Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying ...

Information on the federal program: Subject: Child Nutrition Cluster - Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying Numbers): FY2023, FY2024 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Eligibility Audit Finding: Material Weakness, Material Noncompliance, Qualified Opinion Condition and Context: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the eligibility compliance requirement. During the testing of internal controls over eligibility determinations via the application process and related compliance, we noted the School Corporation was not able to provide the application or any documentation to support the eligibility status for 6 out of the 8 applicant students selected for tested for the 2022-2023 school year. There were no issues identified for students selected for testing whose eligibility was directly certified. Additionally, for the 2023-2024 school year, for 2 out of 30 students selected for the testing, the income eligibility determinations were not properly implemented. One student was determined to be eligible for "Free" meals per their free/reduced application but, the School Corporation incorrectly entered the eligibility as "Reduced" within the food service software. Another student was eligible for "Reduced" benefits per the direct certified download file but was entered into the food service software as eligible for "Free" benefits. Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Moving forward, the corporation will take more time in reviewing free and reduced applications to ensure student free or reduced status is listed correctly and supporting documentation is maintained. Applications are now completed online limiting paper copies. A review of applications by another member of the corporation staff will also be conducted. Responsible Party for Corrective Action: Terri Roesler, Treasurer, will oversee the implementation of the corrective action plan. Timeline for Completion: Immediately.

View Audit 349540

Finding 538809 (2024-003)

Material Weakness 2024

Franklin County Community School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Eligibility § 200.303

FINDING 2024-003 Subject: Child Nutrition Cluster - Internal Controls over Eligibility Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying N...

FINDING 2024-003 Subject: Child Nutrition Cluster - Internal Controls over Eligibility Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying Numbers): FY 22-23, FY 23-24 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Eligibility Audit Finding: Material Weakness Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the eligibility compliance requirement. Context: During testing over controls for eligibility, we noted there was no formal, secondary review for the applications entered in the food service software determining eligibility. Additionally, there was no documented annual review by School Corporation personnel of the income eligibility guidelines used by the food service software. Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Franklin County Community School Corporation has transitioned to the Community Eligibility Provision (CEP) as an alternative to collecting, approving, and verifying household eligibility applications. Responsible Party and Timeline for Completion: Jessica Defossett, September 2024 transition to CEP

View Audit 349523

Finding 538797 (2024-001)

None 2024

Trustees of Dartmouth College

NH

Student Financial Aid Eligibility Reporting

Management’s View and Corrective Action Plan 2024-001 Enrollment Reporting Cluster: Student Financial Assistance Sponsoring Agency: Department of Education Award Name: Pell Grant Program and Federal Direct Student Loans Award Number: Various Assistance Listing Title: Federal Pell Grants, Federal Dir...

Management’s View and Corrective Action Plan 2024-001 Enrollment Reporting Cluster: Student Financial Assistance Sponsoring Agency: Department of Education Award Name: Pell Grant Program and Federal Direct Student Loans Award Number: Various Assistance Listing Title: Federal Pell Grants, Federal Direct Student Loans Award Year: 2023-2024 Assistance listing numbers: 84.063, 84.268 Pass-through entity: Not Applicable To whom it may concern: The Registrar’s Office has reviewed the finding and concluded the root cause to be a high volume of corrections required for graduated students as communicated by the National Student Clearinghouse (NSC). Students requiring corrections are not included in the National Student Loan Database System (NSLDS) data pulls from the NSC. When necessary, corrections were processed, the applicable students were included in a subsequent NSLDS data pull, resulting in ultimate reporting to the NSLDS outside of the required 60-day window for 31 students. To ensure reporting of graduated statuses within the compliance timeline, Dartmouth has implemented new practices based on the scheduled Degree Verify submissions to the NSC. The revised process was implemented in January 2025 and schedules an assessment of error volume and correction efforts ten days following submission to the NSC. This revised process allows enough time for degree files to be processed by the NSC, provide notification of necessary corrections to the College and result in timely acceptance by the NSLDS. Additionally, we have increased the number of staff in the Registrar's Office who are trained to make these status corrections from one to three. In performing our analysis to assess the total number of students reported outside of compliance, we identified an additional distinct population reported outside of compliance. Active students of the Master’s in Public Health (MPH) program are automatically enrolled in their next term, with an ‘EL’ (enrolled) status. Upon the Guarini Registrar’s Office’s graduation certification, the subsequent term is coded ‘CH’. The ‘CH’ term carries no credits 68 and requires no billing; however, it is reported to the NSC as a ‘Withdrawn’ status for the student. Because the ‘CH’ term is reported after the graduation term, it overrides the ‘Graduated’ status to ‘Withdrawn’ within the NSC. Upon the next NSLDS data pull, the student’s status is then updated from ‘Graduated’ to ‘Withdrawn’ in NSLDS. These statuses were corrected in February 2025 and had no impact on either the student or federal government. An additional 29 students were corrected in February 2025, resulting in a total population of 60 students reported outside of compliance with NSLDS. Per discussion with Gary Hutchins, Registrar and Assistant Dean for the Guarini School of Graduate and Advance Studies, effective immediately, future terms will be deleted for these students upon graduation certification. Deletion of the enrollment records will retain their appropriate ‘Graduated’ status. Sincerely, Eric Parsons Registrar of the College 69

View Audit 349510

Finding 538745 (2024-002)

Material Weakness 2024

Housing Authority of the City of Martinsburg

WV

Eligibility Procurement, Suspension & Debarment Cash Management

Finding 2024-002 – Documentation of Costs and Vendor Invoices – Financial Reporting and Internal Controls ALN 14.850 & 14.871– Noncompliance & Material Weakness Recommendation: We recommend that the Authority amend policies and procedures to better facilitate effective purchasing controls. A clear ...

Finding 2024-002 – Documentation of Costs and Vendor Invoices – Financial Reporting and Internal Controls ALN 14.850 & 14.871– Noncompliance & Material Weakness Recommendation: We recommend that the Authority amend policies and procedures to better facilitate effective purchasing controls. A clear audit trail should be maintained to ensure proper approval, as well as documentation to support the allowability and eligibility of costs. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: We will enhance our internal controls over purchasing and Develop detailed procedures for creating, approving, and managing purchase orders. Name(s) of the contact person(s) responsible for corrective action: Navonya Kolani, Executive Director Planned completion date for corrective action plan: September 30, 2025.

View Audit 349460

Finding 538720 (2024-001)

Significant Deficiency 2024

Anderson Community School Corporation

IN

Internal Control / Segregation of Duties Eligibility Significant Deficiency § 200.303

FINDING 2024-001 Finding Subject: Title I Grants to Local Educational Agencies - Eligibility Contact Person Responsible for Corrective Action: Pam Storm Contact Phone Number and Email Address: 765-641-2160 (Pstorm@acsc.net) Views of Responsible Officials: We concur with the finding. Description of C...

FINDING 2024-001 Finding Subject: Title I Grants to Local Educational Agencies - Eligibility Contact Person Responsible for Corrective Action: Pam Storm Contact Phone Number and Email Address: 765-641-2160 (Pstorm@acsc.net) Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: For eligibility, the federal grants director will prepare the PE report and enrollment and poverty data, and will give to the Assistant Superintendent for review and approval via signature. Anticipated Completion Date: December 31, 2025

View Audit 349447

Finding 538674 (2024-004)

Material Weakness 2024

City of Baldwin Park

CA

Subrecipient Monitoring Eligibility HUD Housing Programs

2024-004 - Special Tests – Internal Control and Compliance over Housing Quality Standards Inspections (Material Weakness) Condition: During the Fail Inspection Testing, we found five (5) instances out of nine (9) in which the City did not conduct the Housing Quality Standards (HQS) failed inspecti...

2024-004 - Special Tests – Internal Control and Compliance over Housing Quality Standards Inspections (Material Weakness) Condition: During the Fail Inspection Testing, we found five (5) instances out of nine (9) in which the City did not conduct the Housing Quality Standards (HQS) failed inspection follow-up in a timely manner. Specifically: • For two (2) samples, the reinspection was not performed within 30 days of the failed inspection, and the deficiencies were not confirmed to be resolved within the required timeframe. • For one (1) sample, the inspection checklist indicated a failed inspection, while the inspector erroneously documented and processed it as a passed inspection, meaning o reinspection was performed. • For one (1) sample, the reinspection was not performed, and no documentation was found to verify the follow-up inspection. We also noted one (1) additional instance out of forty (40) samples from Eligibility Cross Testing where the failed inspection did not have any record of a follow-up reinspection. Management concurs. Corrective Actions: Staff will continue to utilize consulting services to complete the necessary HQS inspections during the staff turnover. The City will also strengthen the internal controls for inspections to complete them timely and within compliance. Name of Responsible Person: Ron Garcia, Director of Community Development Ryan Mulligan, Housing Manager

View Audit 349408

Finding 538658 (2024-002)

Significant Deficiency 2024

Culver-Stockton College

MO

Student Financial Aid Special Tests & Provisions Eligibility

The College implemented a policy on January 1, 2025, that clearly defines the proper enrollment status for the various programs offered. The policy has been reviewed by respective administrators. The staff member that is submitting student enrollment data to NSLDS has been trained accordingly. In a...

The College implemented a policy on January 1, 2025, that clearly defines the proper enrollment status for the various programs offered. The policy has been reviewed by respective administrators. The staff member that is submitting student enrollment data to NSLDS has been trained accordingly. In addition, reports have been created to check the accuracy of enrollment data prior to submission.

View Audit 349400

Finding 538643 (2024-008)

Material Weakness 2024

Jemez Mountain School District

NM

Questioned Costs Eligibility

Corrective Action Plan 2024-008 [2023-006] – Improper Certification of Impact Aid (Material Weakness and Material Non-Compliance) Repeated Federal Program Information: Funding Agency: U. S. Department of Education Title: Impact Aid Federal Assistance Listing: 84-041 Passthrough: State of NM Public E...

Corrective Action Plan 2024-008 [2023-006] – Improper Certification of Impact Aid (Material Weakness and Material Non-Compliance) Repeated Federal Program Information: Funding Agency: U. S. Department of Education Title: Impact Aid Federal Assistance Listing: 84-041 Passthrough: State of NM Public Education Department Award Year: 2024 Responsible Official’s Plan: The district Superintendent, Federal Programs Manager and Lybrook principal have received training from Impact Aid in identifying eligible students. The recommended process will be used when submitting the next funding application. Specific corrective action plan for finding: The 2025 application was submitted using the process outlined in the corrective action plan. Timeline for completion of corrective action plan: June 2025 Employee positions responsible for meeting the timeline: Superintendent-Loren Cushman Principal-Arsenio Jacquez Federal Programs Manager-Patricia Cordova

View Audit 349366 Questioned Costs: $1

Finding 538527 (2024-068)

Significant Deficiency 2024

State of Maine

ME

Allowable Costs / Cost Principles Eligibility Internal Control / Segregation of Duties § 200.303

Department: Health and Human Services Title: Internal control over Medicare Part B premium payments needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The MaineCare Program management team will work with the Data Team to explore opportunities to improve...

Department: Health and Human Services Title: Internal control over Medicare Part B premium payments needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The MaineCare Program management team will work with the Data Team to explore opportunities to improve the report to reduce duplication of effort and improve overall efficiency and effectiveness of the review. The MaineCare Program management team will review relevant guidance material, clarify expectations and adjust standard operating procedures for further efficiency and oversight improvements. Completion Date: June 30, 2025 Agency Contact: Ian Yaffe, Director, Office for Family Independence, DHHS, 207- 592-1481

View Audit 349360

Finding 538516 (2024-063)

Material Weakness 2024

State of Maine

ME

Questioned Costs Allowable Costs / Cost Principles Eligibility § 200.303 § 200.403

Department: Health and Human Services Title: Internal control over the Foster Care – Title IV-E and Adoption Assistance – Title IV-E eligibility and benefit determination process needs improvement Questioned Costs: Known: ALN 93.658 $4,647 ALN 93.659 $9,367 Likely: Undeterminable Statu...

Department: Health and Human Services Title: Internal control over the Foster Care – Title IV-E and Adoption Assistance – Title IV-E eligibility and benefit determination process needs improvement Questioned Costs: Known: ALN 93.658 $4,647 ALN 93.659 $9,367 Likely: Undeterminable Status: Corrective action in progress Corrective Action: The Title IV-E Program Manager will continue to educate and train the FRS on the proper completion of the Title IV-E initial determination checklists for their FRS files, including the importance of signing off on those checklists for the initial determinations that they have completed. The Title IV-E Program Manager will conduct quarterly quality assurance (QA) reviews in the District that this issue was found, randomly pulling 10 cases to ensure compliance. When FRS staff conduct QA reviews, they will continue to be advised to monitor if signatures are present on the Title IV-E initial determination checklist. Reviewing if a checklist is signed is an existing question within our internal QA review document. The Department will establish a work group to identify the challenges of managing overpayments made to foster parents and to develop a process to minimize this problem. The Department will finalize and receive approval of the protocol/process form managing overpayments. The Department will implement the new overpayments management procedures. Completion Date: March 26, 2025, March 31, 2025, July 1, 2025, September 1, 2025, and November 1, 2025 respectively Agency Contact: Robert Blanchard, Associate Director, OCFS, DHHS, 207-624-7955

View Audit 349360 Questioned Costs: $1

Finding 538503 (2024-057)

Significant Deficiency 2024

State of Maine

ME

Internal Control / Segregation of Duties Eligibility Reporting § 200.303

Department: Health and Human Services Title: Internal control over TANF performance reporting procedures needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The Department will review and update ACF 199/209 system processes within Office for Family Indep...

Department: Health and Human Services Title: Internal control over TANF performance reporting procedures needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The Department will review and update ACF 199/209 system processes within Office for Family Independence to enhance existing procedures to ensure that the information reported on the ACF-199 and ACF-209 reports is accurate and complete prior to submission to the Federal government. This will include modifying the existing Standard Operating Procedure as necessary. Completion Date: June 30, 2025 Agency Contact: Ian Yaffe, Director, Office for Family Independence, DHHS, 207- 592-1481

View Audit 349360

Finding 538499 (2024-053)

Material Weakness 2024

State of Maine

ME

Internal Control / Segregation of Duties Special Tests & Provisions Eligibility § 200.303

Department: Health and Human Services Title: Internal control over Income Eligibility and Verification System procedures needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The Department will develop a standard operating procedure to include processing ...

Department: Health and Human Services Title: Internal control over Income Eligibility and Verification System procedures needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The Department will develop a standard operating procedure to include processing of State Wage Information Collection Agency reports beginning July of 2024. This work will be assigned to a TANF team member. Completion Date: June 30, 2025 Agency Contact: Ian Yaffe, Director, Office for Family Independence, DHHS, 207-592-1481

View Audit 349360

Finding 538464 (2024-040)

Significant Deficiency 2024

State of Maine

ME

Internal Control / Segregation of Duties Special Tests & Provisions Subrecipient Monitoring § 200.303

Department: Labor Title: Internal control over UI overpayments needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The Department has filed a defect ticket with the helpdesk. In the process of finalizing scope, analyzing solution. System chan...

Department: Labor Title: Internal control over UI overpayments needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The Department has filed a defect ticket with the helpdesk. In the process of finalizing scope, analyzing solution. System changes anticipated to be resolved. The Department will monitor parameters to confirm overpayments are set up correctly. An SOP documenting these monitoring parameters is in process. The Department will add system parameters to run an extract once a quarter for review and validate overpayment system functionality. Test that rules are functioning per the MDOL solution. The Department has notified the Division of Administrative Hearings and staff training will be completed. Completion Date: December 21, 2025, June 30, 2025, September 30, 2025, and March 31, 2025, respectively Agency Contact: Suzan McKechnie Director, Bureau of Unemployment Compensation, DOL, 207-621-5126

View Audit 349360

Finding 538462 (2024-039)

Significant Deficiency 2024

State of Maine

ME

Eligibility Internal Control / Segregation of Duties Allowable Costs / Cost Principles § 200.303

Department: Labor Title: Internal control over UI claim payments needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The Department concluded a system build in January 2025 to implement controls to prevent repetitive waivers. Completion Date: March 30, 2...

Department: Labor Title: Internal control over UI claim payments needs improvement Questioned Costs: None Status: Corrective action in progress Corrective Action: The Department concluded a system build in January 2025 to implement controls to prevent repetitive waivers. Completion Date: March 30, 2025 Agency Contact: Suzan McKechnie, Director, Bureau of Unemployment Compensation, DOL, 207-621-5126

View Audit 349360

Finding 538428 (2024-031)

Material Weakness 2024

State of Maine

ME

Questioned Costs Allowable Costs / Cost Principles School Nutrition Programs § 200.303 § 200.403

Department: Education Title: Internal control over CNC claim reimbursements needs improvement Questioned Costs: Known: ALN 10.555 $1,605 ALN 10.582 $9,535 ALN 10.559 $117,259 Likely: Undeterminable Status: Corrective action in progress Corrective Action: Child Nutrition ...

Department: Education Title: Internal control over CNC claim reimbursements needs improvement Questioned Costs: Known: ALN 10.555 $1,605 ALN 10.582 $9,535 ALN 10.559 $117,259 Likely: Undeterminable Status: Corrective action in progress Corrective Action: Child Nutrition Services will create a procedure for reviewing applications and making sure they are approved prior to participation. For the Summer Food Service Program (SFSP), the Child Nutrition Services will create an additional application, outside of CNPWeb to further assess non-congregate operations and eligibility to prevent duplicative services. Child Nutrition Services has submitted a ticket to create an edit check on the SFSP Application to ensure that all specific eligibility information is submitted. Child Nutrition Services will create a procedure to address that session specific information is received prior to claim approval for sites. Child Nutrition Services will require a site sheet for SFSP applications for each location and each enrollment period. Child Nutrition Services will submit a ticket to CNPWeb to allow for documentation to be added to the site information sheet when revisions are made to the system. Child Nutrition Services will add documentation to the activities tab, while we wait for the enhancement to be completed. Child Nutrition Services will create a procedure to ensure that allocations to schools fall between $50.00 - $75.00. Child Nutrition Services has provided training to the National School Lunch Program reviewers on the Fresh Fruit and Vegetable Program questions within the Administrative Review process to ensure that those questions are asked during the Administrative Review. Completion Date: May 1, 2025, first and fourth items, April 1, 2025, second, fifth, sixth, and seventh items, June 1, 2025, third item, March 1, 2025, eight item, and February 10, 2025, for nineth item Agency Contact: Jane McLucas, Director of Child Nutrition, DOE, 207-624-6880

View Audit 349360 Questioned Costs: $1

Finding 538423 (2024-030)

Material Weakness 2024

State of Maine

ME

Questioned Costs School Nutrition Programs Allowable Costs / Cost Principles § 200.303

Department: Education Title: Internal control over CNC eligibility needs improvement Questioned Costs: Known: ALN 10.559 $628,924 Likely: Undeterminable Status: Corrective action in progress Corrective Action: The Department will create procedures for Application Approvals with site classification, ...

Department: Education Title: Internal control over CNC eligibility needs improvement Questioned Costs: Known: ALN 10.559 $628,924 Likely: Undeterminable Status: Corrective action in progress Corrective Action: The Department will create procedures for Application Approvals with site classification, eligibility and non-congregate plan requirements. The Department will develop procedures for Revisions on Claims and Applications. For the Summer Food Service Program, the Department will request an edit check enhancement in CNPWeb to add actual enrollment be added to claims. Completion Date: May 1, 2025, first and second item, and May 1, 2026, third item Agency Contact: Jane McLucas, Director of Child Nutrition, DOE, 207-624-6880

View Audit 349360 Questioned Costs: $1

Finding 538394 (2024-022)

Material Weakness 2024

State of Maine

ME

Questioned Costs Allowable Costs / Cost Principles Eligibility § 200.303 § 200.403

Department: Health and Human Services Title: Internal control over SNAP eligibility determinations and benefit calculations needs improvement Questioned Costs: Known: ALN 10.551 $12,335 Likely: Undeterminable Status: Corrective action in progress Corrective Action: The Department will automate the i...

Department: Health and Human Services Title: Internal control over SNAP eligibility determinations and benefit calculations needs improvement Questioned Costs: Known: ALN 10.551 $12,335 Likely: Undeterminable Status: Corrective action in progress Corrective Action: The Department will automate the issuance of the TANF funded resource guide at Application and Recertification (existing ticket AO-4039). (Business Technology Lead) The Department will keep SNAP applications from being opened in batch runs such as mid-month and end-of-month mass change. (Business Technology Lead) The Department will provide updated training/reminders about start and end dating records including income records to retain the information used for benefit runs. (Training Team and Senior SNAP Program Manager) Completion Date: August 31, 2025, first item, and September 30, 2025, second and third items Agency Contact: Michael E. Downs, Senior Program Manager — SNAP, DHHS, 207-592- 4850

View Audit 349360 Questioned Costs: $1

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