Corrective Action Plans

Views of Responsible Officials and Planned Corrective Actions: The Organization will update its property records to include all required information. Additionally, the Organization plans to document its performance of a physical inventory count and related reconciliation on an annual basis.

Condition: During audit fieldwork, our testing resulted in a restatement of fund balance in order to correct leased capital assets, buildings, land improvements and equipment categories of capital assets. Plan: The District and Assistant Superintendent of Administrative Services will implement internal controls to properly record capital assets on a timely basis priorto audit fieldwork. Anticipated Date of Completion: Fiscal Year 2026 Name of Contact Person: Tracy Middleton, Director of Business and Transportation Services Management Response: The district conducted a capital asset management review, and it resulted in a restatement of fund balance. The district will continue to monitor in future years in coordination with Industrial Appraisals.

Management agrees with the finding and acknowledges that internal controls over inventory issuance were not consistently followed by an individual. While procedures existed requiring documentation of pick tickets, compliance with these procedures was not adequately enforced on a small number of transactions. The Cooperative has begun strengthening its internal control processes to ensure that all inventory withdrawals are properly authorized and documented prior to release. In addition, management will implement monitoring procedures, including periodic reviews of inventory documentation, to ensure compliance with established controls. Training will also be provided to all relevant personnel to reinforce proper procedures and the importance of adherence to internal control requirements. Management expects these corrective actions to be fully implemented by May 15, 2026.

Finding 2025-002 Corrective Action Plan: GWA has updated the federally funded fixed asset register to include the omitted assets and has implemented additional procedures to strengthen compliance with 2 CFR § 200.3 13(d). Corrective actions include the following: 1. Finance personnel will review capital asset additions to identify federally funded assets and ensure the appropriate federally funded asset code is assigned when recorded in the Authority’s main fixed asset register. 2. Federally funded assets will be recorded in the federally funded fixed asset register and periodically reconciled to related procurement and capital expenditures records to ensure completeness and accuracy. 3. A supervisory review process has been enhanced to verify that federally funded asset codes are properly assigned prior to posting and that federally funded assets are accurately reflected in the federally funded fixed asset register. Additionally, at the general ledger level, fund source identifiers will be incorporated into the asset close-out journal entry process to furtlier strengthen visibility and review of federally funded asset activity. 4. Finance personnel responsible for asset recording will be briefed on federal property management requirements and revised internal procedures related to federally funded asset coding, tracking and reporting. GWA believes these corrective measures adequately address the control gap identified in the finding and will ensure compliance with 2 CFR § 200.3 13(d) on a prospective basis. Expected completion date: September 30, 2026 Point of contact for Follow-Up: Bryan Iriarte, Accountant III Josephine Sanalila, Accountant III Sandra Santos, Controller

Project NOW, Inc. submits the following corrective action plan for the identified finding for the audit period July 1, 2024 through June 30, 2025. 2025-001 - Delinquent Audit Submission, Audit Preparedness, Timely Reconciliations and Material Adjustments Corrective Action: Lack of audit preparedness, reconciliations not done or not completed timely, and material adjustments either not completed properly and accurately or just not done at all were the cause and the reason for the delinquent audit submission. The Accounting Manager and one Grant Accountant left the organization early to mid FY2025. The CFO then decided to scale back her work hours before eventually leaving the organization prior to completing her agreed upon task of preparing the organization for the audit. The new CFO was hired in September 2025, and a temp Grant Accountant was hired full time in November 2025. Instead of replacing the Accounting Manager, a third Grant Accountant was brought in as a temp in February 2026 and will be hired full time in June 2026. Steps in the Corrective Action Process: Train and Crosstrain Finance Staff and Grant Accountants: Upon the new CFO's arrival, many of the duties for grant reporting as well as the majority of the month-end closing entries fell under one grant accountant. Some duties were delegated to the temp grant accountant, but a majority of the workload still fell to the other accountant. We will make sure that each grant accountant is trained on the grants they are responsible for as well as cross trained on other grants so grant reporting obligations do not go undone in the absence of one accountant. Person(s) Responsible: Steve Morenz, CFO Timing for Implementation: Current and ongoing Training the Accounting Staff in month end closing entries and the handling of material acquisitions and disposals: It was found during the audit that a new agency acquisition was not added to Project NOW's books properly, a new LLC had not been properly set up in the accounting system, and the sale of houses and the sale of vehicles were not handled correctly. The CFO will monitor such activities and make sure the proper accounting for such transactions is completed in the accounting system either at the time of sale or time of acquisition. Person(s) Responsible: Steve Morenz, CFO Timing for Implementation: Current and ongoing Returning to and following a strict month end closing schedule, having the books closed by the 15th of each month: At one point, from the last corrective action plan to this one, the Finance staff was current with their month end closings. But with the transitions that occurred they had again fallen behind, and at one point being up to six months behind in closing the months. With a fully trained Finance department, starting in January 2026 we were able to close two months during each calendar month and were current with our statement's closings by March 2026. The staff will work diligently to maintain this schedule. This will also help ensure grant reporting is done on a timely basis as well. Person(s) Responsible: Steve Morenz, CFO Timing for Implementation: Current and ongoing Balance Sheet Account Review and Reconciliation: Apparently other than monthly bank reconciliations, there has been no balance sheet account review done for quite some time. Moving forward, the CFO will work with the accounting staff to see that reconciliations of all balance sheet accounts for all entities will be done regularly and correctly so we are better prepared for audit season. Person(s) Responsible: Steve Morenz, CFO Timing for Implementation: Current and ongoing Monthly departmental revenue and expense reports distributed to each director by the 20th of each month: Again, prior to the latest staffing transitions, R&E reports were sent to department directors every month. This practice then fell by the wayside. We have re-implemented the distribution of month financial reports to all directors showing all revenues and expenses for the departments they manage and the grants they are responsible for. Regular meetings will be held between the CFO, specific grant accountant, and the directors to review their statements to see how their department is running and their compare financial results versus their budget. This will also help monitor activity on the organization's income statement, making sure those balances are accurate and complete. Project NOW, Inc. submits the following corrective action plan for the identified finding for the audit period July 1, 2024 through June 30, 2025. 2025-001 - Delinquent Audit Submission, Audit Preparedness, Timely Reconciliations and Material Adjustments Corrective Action: Lack of audit preparedness, reconciliations not done or not completed timely, and material adjustments either not completed properly and accurately or just not done at all were the cause and the reason for the delinquent audit submission. The Accounting Manager and one Grant Accountant left the organization early to mid FY2025. The CFO then decided to scale back her work hours before eventually leaving the organization prior to completing her agreed upon task of preparing the organization for the audit. The new CFO was hired in September 2025, and a temp Grant Accountant was hired full time in November 2025. Instead of replacing the Accounting Manager, a third Grant Accountant was brought in as a temp in February 2026 and will be hired full time in June 2026. Steps in the Corrective Action Process: Train and Crosstrain Finance Staff and Grant Accountants: Upon the new CFO's arrival, many of the duties for grant reporting as well as the majority of the month-end closing entries fell under one grant accountant. Some duties were delegated to the temp grant accountant, but a majority of the workload still fell to the other accountant. We will make sure that each grant accountant is trained on the grants they are responsible for as well as cross trained on other grants so grant reporting obligations do not go undone in the absence of one accountant. Person(s) Responsible: Steve Morenz, CFO Timing for Implementation: Current and ongoing Training the Accounting Staff in month end closing entries and the handling of material acquisitions and disposals: It was found during the audit that a new agency acquisition was not added to Project NOW's books properly, a new LLC had not been properly set up in the accounting system, and the sale of houses and the sale of vehicles were not handled correctly. The CFO will monitor such activities and make sure the proper accounting for such transactions is completed in the accounting system either at the time of sale or time of acquisition. Timing for Implementation: Current and ongoing Returning to and following a strict month end closing schedule, having the books closed by the 15th of each month: At one point, from the last corrective action plan to this one, the Finance staff was current with their month end closings. But with the transitions that occurred they had again fallen behind, and at one point being up to six months behind in closing the months. With a fully trained Finance department, starting in January 2026 we were able to close two months during each calendar month and were current with our statement's closings by March 2026. The staff will work diligently to maintain this schedule. This will also help ensure grant reporting is done on a timely basis as well. Person(s) Responsible: Steve Morenz, CFO Timing for Implementation: Current and ongoing Balance Sheet Account Review and Reconciliation: Apparently other than monthly bank reconciliations, there has been no balance sheet account review done for quite some time. Moving forward, the CFO will work with the accounting staff to see that reconciliations of all balance sheet accounts for all entities will be done regularly and correctly so we are better prepared for audit season. Person(s) Responsible: Steve Morenz, CFO Timing for Implementation: Current and ongoing Monthly departmental revenue and expense reports distributed to each director by the 20th of each month: Again, prior to the latest staffing transitions, R&E reports were sent to department directors every month. This practice then fell by the wayside. We have re-implemented the distribution of month financial reports to all directors showing all revenues and expenses for the departments they manage and the grants they are responsible for. Regular meetings will be held between the CFO, specific grant accountant, and the directors to review their statements to see how their department is running and their compare financial results versus their budget. This will also help monitor activity on the organization's income statement, making sure those balances are accurate and complete. Person(s) Responsible: Steve Morenz, CFO Timing for Implementation: Current and ongoing Person(s) Responsible: Steve Morenz, CFO

The misclassification and subsequent omission of approximately $20,000 in equipment expenditures occurred during the revision of the Annual Certification Report for the Equitable Sharing Program. While correcting the classification of overtime expenditures, a full reconciliation of total expenditures to the underlying accounting records was not completed, resulting in the inadvertent omission of equipment costs. The City has reinforced existing review procedures and implemented an additional step requiring a documented reconciliation of the Annual Certification Report totals to the general ledger prior to submission and after any revisions or resubmissions. Responsible Persons: Police Chief Date of Implementation: Initiate FY 2025-26 with ongoing monitoring into FY 2026-27

Period of Performance 2025-002 Plan: The University reinforced the existing procedures related to awards subject to modified or shortened periods of performance, including additional oversight of expenditures charged near revised award end dates. Post-Award monitoring and controls related to award end-date management and expenditure allowability will continue to be evaluated and strengthened, as appropriate. Expected Implementation Date: 07/01/2026 Contact: LaShawnda V. Hall Assistant Vice President for Research Financial Operations Accounting Services for Research Sponsored Projects (ASRSP) Northwestern University 1800 Sherman Ave, Suite 6-6000 Evanston, IL 60201 lashawnda.hall@northwestern.edu Phone: 847.491.4716

Recommendation: The Department of Social Services should strengthen internal controls to ensure that it consistently secures, tracks, and records returned cards for the Summer EBT program. Corrective Action Plan as Reported by the Department of Social Services: The Department agrees with this finding. However, the Department believes that there are proper internal controls to ensure the security of returned cards. There was no log maintained by the Department but the controls in place reduced the risk of benefits being used incorrectly to an acceptable level. The returned cards were destroyed, and all unused benefits were expunged. Anticipated Completion Date: N/A Department of Social Services Contact Person: Andy Davis, Fiscal Administrative Manager 2 860-424-5709

Personnel Responsible for Corrective Action: Karla Clubine, Chief Executive Officer, David Cichocki, Chief Financial Officer Anticipated Completion Date: June 30, 2026 Views of Responsible Officials and Planned Corrective Action: Management accepts the recommendation. The Hospital will strengthen its federal grant cash management procedures and will perform and document cost verification prior to all federal grant drawdowns beginning in fiscal year 2026.

Finding 2025-002: Equipment and Real Property Management The single audit report included the following recommendation: EY recommends Amtrak set up a system with certain criteria for identifying sites at a higher risk for noncompliance with safeguard requirements, and creates an action plan for evaluating, and remediating potential noncompliance. EY recommends that management consider redesigning one of its key controls to help ensure that the monitoring of the observations is occurring on a preventive basis to help identify any exposure to non-compliance before it occurs and clearly identifies any follow-up steps and actions. For example, there should be established a protocol as well as timeline for when required observations are to take place, additionally, as it is known in advance, which items are coming up for inventory, Amtrak could prepare an annual schedule of inventories, that could be revised quarterly. Management Response/Status of Action Plans: Amtrak acknowledges the recommendation that Amtrak should have a system with certain criteria for identifying sites at a higher risk for noncompliance with safeguard requirements and create an action plan for evaluating and remediating potential noncompliance. As part of this effort, the Enterprise Asset Management and Disposition Team will work with Corporate Security to review and, as appropriate, align existing governance processes to reduce the likelihood of similar noncompliance. Amtrak agrees with the recommendation to redesign key controls to help ensure that the monitoring of the observations happens on a preventive basis to help identify any exposure to non-compliance before it occurs. Amtrak published an updated Equipment Control Policy and created an eLearning course, as well as implemented several processes, technologies, and reporting that help to proactively monitor and identify equipment that is 90 days or less of needing an inventory. This has improved the compliance rate from less than 70% in FY22 to over 97% in FY25. Amtrak understands that this is a repeat finding and will review with Infrastructure Maintenance and Construction Services, the owner of equipment that was out of compliance to strengthen the practice and reduce the likelihood of noncompliance. The contact for this item is Robert Hoban, Director Asset Management. Amtrak anticipates fully remediating this finding by September 2028.

Management’s Response Community Council of Idaho, Inc. acknowledges the finding related to untimely reconciliations, material audit adjustments, and delayed financial statement issuance. Management agrees that improvements are necessary to strengthen internal controls over financial reporting, ensure timely account reconciliations, and improve the overall financial close and audit preparation process. Management recognizes that turnover within the business office during the audit year significantly impacted continuity, institutional knowledge, and the timely completion of reconciliations and closing procedures. Subsequent to year end, management has initiated corrective actions designed to improve financial reporting accuracy, accountability, and timeliness. Corrective Actions to Be Implemented 1. Implementation of Formal Monthly Closing Procedures Management will implement a standardized monthly financial close process with defined timelines, responsibilities, and review procedures. The monthly close process will include: Completion of all balance sheet reconciliations, Review of grant and contract revenue accounts, Review of property and equipment activity, Reconciliation of debt schedules, Reconciliation of pharmaceutical inventory balances, Recording of depreciation and interest expense, and Verification that all material journal entries are posted timely. A monthly close checklist will be developed and maintained to ensure consistency and accountability. 2. Timely Reconciliation of Grant and Contract Accounts Management will strengthen procedures surrounding grant and contract accounting to ensure receivables and revenue are reconciled monthly and supported by appropriate documentation. Actions include: Reconciling grant receivable balances to supporting reimbursement requests and funding agency records, Reviewing deferred revenue and earned revenue calculations monthly, Investigating and resolving variances timely, and Implementing supervisory review of grant reconciliations. 3. Enhanced Review and Oversight Controls Management will implement additional review controls over financial reporting and account reconciliations. These controls will include: Documented supervisory review and approval of reconciliations, Review of significant or unusual journal entries, Periodic review of financial statements and supporting schedules by senior finance leadership, and Earlier audit preparation and interim review procedures to identify issues prior to year end. 4. Strengthening Staffing and Organizational Structure Management and executive leadership have evaluated the operational needs of the business office and have taken steps to improve staffing stability and oversight capacity. Actions include: Clarifying accounting roles and responsibilities, Enhancing cross-training within the finance department, Providing additional training related to grant accounting and reconciliations, Utilizing external resources or consultants, as needed, to support complex accounting areas and transition periods. 5. Improvement of Clinic Reporting Processes Management will continue evaluating clinic reporting systems and procedures to ensure operational growth is adequately supported by accounting and financial reporting processes. This includes: Improving coordination between clinic operations and accounting, Standardizing reporting procedures, Evaluating system-generated reports for accuracy and completeness, and Implementing additional reconciliation and review controls related to clinic financial activity. 6. Audit Readiness and Timeliness Improvements Management will establish an audit preparation timeline with interim deadlines to support timely completion of the annual audit and compliance with federal reporting deadlines. The organization will: Prepare schedules and reconciliations in advance of audit fieldwork, Conduct periodic internal reviews of audit support documentation, Improve coordination with external auditors throughout the year, and Monitor progress toward required reporting deadlines. Contact Person Responsible for Corrective Action: Implementation oversight will be shared among executive leadership, finance management, program leadership, and those charged with governance. Anticipated Completion Date: Corrective actions began subsequent to year end and are expected to be substantially implemented during fiscal year 2026, with ongoing monitoring and refinement thereafter.

Management will request retroactive HUD disposition approval and either demonstrate proper handling of proceeds or reimburse/deposit funds as directed by HUD. A written fixed-asset policy will be implemented requiring HUD approval prior to asset disposal, Board approval of dispositions, and retention of HUD correspondence and disposition documentation.

Management acknowledges that audit recommendation to strengthen controls over physical inventory procedures and documentation. • We agree that formalizing these processes will enhance accountability, transparency, and audit readiness. To address the first recommendation, management will update existing inventory policies and procedures to require formal, documented positive confirmation of physical inventory counts performed by each department. This will include signed attestations or electronic approvals from designated department representatives verifying that counts have been completed accurately and in accordance with established guidelines. Standardized templates and timelines will be implemented to ensure consistency across all departments. • Regarding the second recommendation, management will establish a centralized process for retaining inventory count documentation and reconciliation records. All supporting documentation, including count sheets, variance analyses, and reconciliation summaries, will be maintained in accordance with the organization's record retention policy. This will support ongoing monitoring activities and ensure documentation is readily available for audit review. Implementation of these enhancements is expected to be completed by September 30, 2026. Management is committed to continuous improvement of internal controls and appreciates Forvis Mazars’ recommendations. Anticipated Completion: September 30, 2026 Responsible Curtis E. Duncan, Controller Contact Person: 713-670-2476

COMMONWEALTH OF PUERTO RICO MUNICIPALITY OF COAMO Corrective Action Plan For the Fiscal Year Ended June 30, 2025 _____________________________________________________________________________________________________________________ Audit Report: Reports on Compliance and Internal Control in Accordance with Government Auditing Standards and OMB Super Circular Uniform Guidance Audit Period: July 1, 2024 – June 30, 2025 Fiscal Year: 2024-2025 Principal Executive: Hon. Juan C. García Padilla, Mayor Contact Person: Mrs. Miraisa David Esparra, Finance and Budget Director Phone: (787) 825-1150 Original Finding Number: 2025-003 Statement of Concurrence or Non concurrence: We concur with the finding. Corrective Action: We concur with the audit finding. As expressed in the corrective action related to Finding 2025-002, we are going to identify budgetary resources to engage another staff to work with the capital assets subsidiary ledger completeness. Implementation Date: June 30, 2027 Responsible Person: Mrs. Miraisa David Esparra Finance Department Director

The Department of Finance will work with the Department of Administration to obtain the necessary documentation of the required physical inventory of all grant funded property and equipment, the reconciliation of the physical inventory to property records, and the equipment maintenance logs. Training for all employees responsible for these activities will be provided as deemed necessary. Additionally, the Department of Finance will provide a formal memorandum to all of the Borough departments outlining the federal requirements governing the purchase, management, inventory, use and disposition of assets acquired with federal grant funds in accordance with 2 C.F.R. Part 200.

2025-016 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: ETA 9130 reports are jointly reviewed by Finance and program staff before submission and certification. Supporting documentations are cross-checked for accuracy and completeness, and all relevant files are maintained in a centralized, shared folder to ensure transparency and accountability. This multi-layered review and documentation process has been incorporated into a standard quarterly reporting procedures to prevent future discrepancies and ensure federal reporting integrity. New internal controls and procedures were established 8/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Ken Luke, Vina Yung, DCS: David Manning Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 8/30/2025.

Response to 2025 LSC Compliance Finding: 2025-001 – 09-610050 Legal Services Corporation – LSC Section 1631 – Physical Inventory Noncompliance While physical inventories had not been performed as required in 2025, all LSC funded items (building and land) were accounted for each year as the office is currently used for operations. These LSC funded items accounted for 93.8% of fixed asset net book value. The leasehold improvement items with remaining net book value (6.2%) are also in an office currently used for operations and were essentially accounted for by default. All items that were not inventoried (furniture, equipment, etc) were fully depreciated to zero value. Corrective Action Plan Bay Area Legal Services (BALS) Administrator is responsible for performing and/or coordinating the physical inventories. The Administrator has already scheduled and/or carried out the majority of physical inventories required in 2026 and will ensure the remaining few inventories are completed prior to year-end. In situations where the Administrator cannot perform the physical inventory, BALS Chief Operating Officer (COO) and the Administrator are developing a plan to identify and train a staff member in each of the offices to perform the inventory for their location and provide the data back to the Administrator, who will coordinate and consolidate the physical inventories for the various locations. The Administrator will track the completion of the physical inventories via a chart indicating the last physical inventory date for each location. This inventory tracking chart will be provided to the COO and CFO semi-annually to monitor compliance.

FINDING 2025-012 Name of Responsible Individual: Assistant Vice President of Procurement Corrective Action: Since the prior audit period, the University implemented comprehensive corrective actions, including policy updates, strengthened receiving and tagging controls, enhanced supervisory review in WorkDay, and ongoing communications with Suppliers and internal stakeholders. Detective and corrective controls have been established through quarterly exception reporting, monthly equipment purchase audits, and completion of a University-wide physical inventory, and required follow-up to locate, tag, or correct asset records. Moreover, the corrective action plan aims to establish an integrated, sustainable control environment. With documented procedures, active monitoring, customer communications, training, and management oversight, the University expects future audit cycles to yield favorable results. Anticipated Completion Date: December 31, 2026

Finding Number: 2025‐002 Program Name/Assistance Listing Title: Education Stabilization Fund Assistance Listing Number: 84.425U Contact Person: Arlene Laughter, Business Coordinator Anticipated Completion Date: December 2026 Planned Corrective Action: The District plans to hire a GFA Specialist responsible for overseeing capital asset requirements. Duties will include completing the physical inventory, reconciling stewardship, and capital assets with the district’s general fixed assets list and maintaining records to support annual depreciation calculations and other required information. Reason Findings Were Not Corrected: The Business Office has experienced staffing shortages, particularly in Payroll and Grants Management, both of which have pressing deadlines. As a result, Fixed Assets was frequently deprioritized. Recognizing the importance of timely management in this area, the Business Office will establish a dedicated position focused exclusively on Fixed Assets.

Federal Agency Name: Department of Housing and Urban Development Program Name: Section 242 – Mortgage Insurance - Hospitals Federal Financial Assistance Listing #: CFDA #14.128 Compliance Requirement: Equipment and Real Property Management Finding Summary: The Section 242 – Mortgage Insurance - Hospitals Program requires an inventory of real property and equipment purchased with federal funds to be completed every two years. For the year ended July 31, 2025, the Organization failed to document the performance of this inventory when the last had been performed for the year ended July 31, 2023. Responsible Individuals: Jay Hodges, Chief Financial Officer Corrective Action Plan: Management will enhance internal controls to ensure inventory of real property and equipment purchased with federal funds is completed and documented appropriately. Anticipated Completion Date: April 29, 2026

2025-003. Special Tests and Provisions United States Department of Education, passed through New York State Department of Education: Education Stabilization Fund COVID-19: American Rescue Plan – Elementary and Secondary School Emergency Relief ALN: 84.425U Condition: The District did not have formal contracts with the contractors for some of the construction projects funded with ARP ESSER 3 funds. Although the contractors indicated in their submitted proposals that their quoted price was based on prevailing wages, there was no legally-enforceable contractual language requiring the contractors and their subcontractors to comply with the federal Wage Rate Requirements clauses and DOL regulations. Recommendation: The District should review and revise its existing procedures for reviewing and approving capital construction projects to ensure that fully-executed contracts are obtained, and that such contracts contain clauses related to the compliance with the federal Wage Rate Requirements. Planned Corrective Action: The District will review and revise its existing procedures for reviewing and approving capital construction projects to ensure that fully-executed contracts are obtained with clauses mandating compliance with federal Wage Rate Requirements. Responsible Contact Person: Mr. Chaim Wercberger District Treasurer Kiryas Joel Union Free School District 48 Bakertown Road Suite 401 Monroe, NY 10950 Anticipated completion date: June 30, 2026.

2025-002. Equipment and Real Property Management United States Department of Education, passed through New York State Department of Education Education Stabilization Fund COVID-19: American Rescue Plan – Elementary and Secondary School Emergency Relief ALN: 84.425U Condition: The District did not include the capital expenditures for the “Early Childhood Educational Center (ECEC) Door Project”, “ECEC Roof Project”, “Front Vestibule Project”, and “Playground Equipment & Rubber Surfacing of Upper Play Area” that were paid with ARP ESSER 3 funds, in its current year’s capital assets inventory record. Additionally, certain items included as additions on the capital assets appraisal inventory report, such as classrooms equipment purchased with ARP ESSER 3 funds, did not match the amounts of expenditures in the District’s financial accounting application. Recommendation: The District should revise its existing procedures for compiling annual capital assets additions information to ensure equipment and capital-type expenditures purchased with federal funds are considered and evaluated for inclusion in the District’s annual capital assets inventory records. Planned Corrective Action: The District intends to modify its Capital Assets Accounting Policy to include the assets related to our long-term building leases, such as our new HVAC systems. We will also provide the leasehold improvement information to the District's appraisal company in order to update our capital assets inventory report. Responsible Contact Person: Mr. Chaim Wercberger District Treasurer Kiryas Joel Union Free School District 48 Bakertown Road Suite 401 Monroe, NY 10950 Anticipated completion date: September 1, 2026.

Finding Number: 2025-003 The District should create procedure to documents and maintain records related to physical inventories of equipment to exhibit compliance with Federal regulations. Response: A comprehensive physical inventory and asset verification is officially schedule for completion during the Summer of 2026. The imitative will reconcile existing records with physical counts to ensure accurate financial reporting's.

Finding: 2025-012 - AKSASP staff did not conduct an annual inventory of federal surplus personal property. Questioned Costs: None Assistance Listing Number: 39.003 Assistance Listing Title: Donation of Federal Surplus Personal Property Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): SSOA/OPPM, State Property Office agrees with this finding Corrective Action (corrective action planned): To ensure the annual inventory of federal surplus property is completed timely, the State Property Office will shut down operations from 1 September to 15 September annually to conduct a full inventory as rolling inventories do not meet the requirements. Completion Date (list anticipated completion date): The state property office will close from September 1, 2026, to September 15, 2026, to complete the required federal inventory by the required due date of September 30, 2026. Agency Contact (name of person responsible for corrective action): Jonathon Harshfield State of Alaska Property Manager

Finding: 2025-044 - Auditors could not obtain sufficient appropriate evidence to verify compliance with Fish and Wildlife Cluster’s (FWC) equipment and real property management requirements. Questioned Costs: Indeterminate Assistance Listing Number: 15.605, 15.611 Assistance Listing Title: FWC Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): ADFG agrees that the policy and procedures for management of equipment, real property, and capital improvements are insufficient. Corrective Action (corrective action planned): ADFG will continue efforts to establish and implement procedures and training to ensure that all equipment, real property, and capital improvements are managed in strict compliance with federal requirements. For equipment management, ADFG will take the following actions: • Ensure capital and sensitive equipment is accounted for in IRIS through a fixed asset transaction (FN, FA, FM, FT, or FD). The FN process was implemented on July 1, 2024 and ties equipment to the purchasing document. However, additional work is needed to ensure the Federal Award Identification Number (FAIN) and Assistance Listing Number are consistently included in IRIS transactions to improve traceability and compliance. • Develop and implement standardized procedures for inventory management in IRIS in coordination with the Office of Procurement and Property Management, Department of Administration. • Create and distribute inventory logs for staff to use in remote locations to address challenges in retrieving inventory items during seasonal months. • Develop comprehensive training for staff involved in equipment management to ensure staff are well-trained and knowledgeable about inventory management procedures and compliance requirements. • Establish clear guidelines for the timely disposal of broken, failed, or obsolete equipment to ensure efficient and compliant disposal of unnecessary equipment. For real property and capital improvement projects, ADFG will take the following actions: • Real property records have been compiled and are pending upload to the federal TRACS system. Once this upload is complete, ADFG will develop procedures and tracking logs to ensure annual site visits are conducted and documented. • Develop department policies and procedures to ensure real property is managed according to federal requirements as authorized in grant awards. This effort will be coordinated with USFWS to ensure alignment with federal expectations. • Provide training to program and administrative staff on the Code of Federal Regulations requirements and proper management of departmental record-keeping logs, including site visit documentation and file maintenance. Completion Date (list anticipated completion date): December 31, 2026 Agency Contact (name of person responsible for corrective action): Eric Verrelli, Procurement Specialist V Jessica Hood, Accountant 5