Corrective Action Plans

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Findings - Financial Statement Audit: None Findings - Federal Award Programs Audit: U.S. Department of Housing and Urban Development Finding 2023-001: Section 223(f) Loan Program, CFDA 14.157. Recommendation: Make the deposit to the residual receipts amount as required and ensure that all fut...
Findings - Financial Statement Audit: None Findings - Federal Award Programs Audit: U.S. Department of Housing and Urban Development Finding 2023-001: Section 223(f) Loan Program, CFDA 14.157. Recommendation: Make the deposit to the residual receipts amount as required and ensure that all future residual receipts amounts are deposited within 90 days after year end. Action Taken: Management will make the required residual receipts deposit as soon as available cash flow allows.
We agree. The reimbursement has been processed in the Voucher for the month of August 2024. Procedures have been established improving the reviewing and monitoring process in order to detect and help to identify errors before vouchers processed.
We agree. The reimbursement has been processed in the Voucher for the month of August 2024. Procedures have been established improving the reviewing and monitoring process in order to detect and help to identify errors before vouchers processed.
View Audit 315891 Questioned Costs: $1
Finding 479211 (2024-001)
Significant Deficiency 2024
Management agrees with the finding and will put processes and controls in place to verify timely deposit in the future. The required deposit of $9,507 was made in April 2024 to the residual receipts account.
Management agrees with the finding and will put processes and controls in place to verify timely deposit in the future. The required deposit of $9,507 was made in April 2024 to the residual receipts account.
Comment on Finding: We concur with the auditors' finding that the balance in excess residual receipts was above the limit allowed by HUD and was not remitted per HUD guidelines. Actions Taken or Planned: The Director of Accounting and Property Accountant will review and verify the Residual Recei...
Comment on Finding: We concur with the auditors' finding that the balance in excess residual receipts was above the limit allowed by HUD and was not remitted per HUD guidelines. Actions Taken or Planned: The Director of Accounting and Property Accountant will review and verify the Residual Receipts balance, determine amount eligible for retainage and return the remainder to HUD in accordance with HUD regulations.
Management agrees with the finding and has replenished the funds
Management agrees with the finding and has replenished the funds
View Audit 315578 Questioned Costs: $1
Action: Current Property manager completed corrections and new HUD 50059A Certifications corrected for March 31, 2024. Ongoing Action: Additional file reviews for all certifications, prior to and after completion, requiring the signatures of the reviewing Property manager and the area support manag...
Action: Current Property manager completed corrections and new HUD 50059A Certifications corrected for March 31, 2024. Ongoing Action: Additional file reviews for all certifications, prior to and after completion, requiring the signatures of the reviewing Property manager and the area support manager. Additional training reviews for specific compliance findings with all management staff.
Corrective action plan for finding 2024-001 The company recognizes that the audit for Bethany Center missed its official filing date in 2023. The delay in submitting the reports was due to a system conversion, staffing shortages and a delay in the auditor filing the financial statements in a timely ...
Corrective action plan for finding 2024-001 The company recognizes that the audit for Bethany Center missed its official filing date in 2023. The delay in submitting the reports was due to a system conversion, staffing shortages and a delay in the auditor filing the financial statements in a timely manner. We have now been on our new system for a year and have staff allocated to working on timely and accurate financial reporting. We will work with new auditors to make sure late filings are not repeated. This corrective plan has resulted in the timely filing of the 2024 reports. Any questions on our corrective action you can contact: Joseph Miller, Director of Finance jomiller@frontporch.net (818) 254-1414
Corrective action plan for finding 2024-001 The company recognizes that the audit for Presidio Gate Apartments missed its official filing date in 2023. The delay in submitting the reports was due to a system conversion, staffing shortages and a delay in the auditor filing the financial statements in...
Corrective action plan for finding 2024-001 The company recognizes that the audit for Presidio Gate Apartments missed its official filing date in 2023. The delay in submitting the reports was due to a system conversion, staffing shortages and a delay in the auditor filing the financial statements in a timely manner. We have now been on our new system for a year and have staff allocated to working on timely and accurate financial reporting. We will work with new auditors to make sure late filings are not repeated. This corrective plan has resulted in the timely filing of the 2024 reports. Any questions on our corrective action you can contact: Joseph Miller, Director of Finance jomiller@frontporch.net (818) 254-1414
Corrective action plan for finding 2024-001 The company recognizes that this underfunding was inadvertently missed for one month during the transition to a new financial institution. Upon recognizing the missed deposit, a transfer of $2,750 was made to the Replacement Reserve on 6/26/2024. The task ...
Corrective action plan for finding 2024-001 The company recognizes that this underfunding was inadvertently missed for one month during the transition to a new financial institution. Upon recognizing the missed deposit, a transfer of $2,750 was made to the Replacement Reserve on 6/26/2024. The task of Replacement Reserve monthly funding is now on a checklist and reviewed by multiple team members verifying that the payments are made. Any questions on our corrective action you can contact: Joseph Miller, Director of Finance jomiller@frontporch.net (818) 254-1414
Plan: A procedure has been implemented to ensure that at least two people in the agency have EIV Coordinator level access. This guarantees that someone within the agency always has the ability to grant or remove staff permissions and to run EIV reports in compliance with HUD requirements. The final...
Plan: A procedure has been implemented to ensure that at least two people in the agency have EIV Coordinator level access. This guarantees that someone within the agency always has the ability to grant or remove staff permissions and to run EIV reports in compliance with HUD requirements. The final permission settings for the second coordinator are currently being verified and tested. Anticipated Completion Date: 07/31/2024 Responsible person: Jackie Oliveira, Director of Affordable Housing
Plan: On June 4, 2024, the new Affordable Housing Director identified and corrected the incorrect authorized user information in the OneSite system with her own information. A protocol will be created for promptly updating authorized user information whenever there are personnel changes or role adju...
Plan: On June 4, 2024, the new Affordable Housing Director identified and corrected the incorrect authorized user information in the OneSite system with her own information. A protocol will be created for promptly updating authorized user information whenever there are personnel changes or role adjustments. Anticipated Completion Date: 06/04/2024 Responsible person: Jackie Oliveira, Director of Affordable Housing
Plan: A procedure will be implemented and documented to ensure that all tenant income and expenses are reviewed by a second individual to ensure accuracy. Anticipated Completion Date: 09/30/2024 Responsible person: Jackie Oliveira, Director of Affordable Housing
Plan: A procedure will be implemented and documented to ensure that all tenant income and expenses are reviewed by a second individual to ensure accuracy. Anticipated Completion Date: 09/30/2024 Responsible person: Jackie Oliveira, Director of Affordable Housing
Plan: On June 4, 2024, the new Affordable Housing Director identified and corrected the incorrect authorized user information in the OneSite system with her own information. A protocol will be created for promptly updating authorized user information whenever there are personnel changes or role adju...
Plan: On June 4, 2024, the new Affordable Housing Director identified and corrected the incorrect authorized user information in the OneSite system with her own information. A protocol will be created for promptly updating authorized user information whenever there are personnel changes or role adjustments. Anticipated Completion Date: 06/04/2024 Responsible person: Jackie Oliveira, Director of Affordable Housing
Plan: A response has been submitted to HUD for the MOR performed in 2023. Final approval is pending with HUD. Program management recognizes the importance of responding to MOR findings within the required 30 days and will ensure that once fully staffed such deadlines are met. Anticipated Completi...
Plan: A response has been submitted to HUD for the MOR performed in 2023. Final approval is pending with HUD. Program management recognizes the importance of responding to MOR findings within the required 30 days and will ensure that once fully staffed such deadlines are met. Anticipated Completion Date: ongoing Responsible person: Jackie Oliveira, Director of Affordable Housing
Plan: A procedure has been implemented to ensure that at least two people in the agency have EIV Coordinator level access. This guarantees that someone within the agency always has the ability to grant or remove staff permissions and to run EIV reports in compliance with HUD requirements. The final...
Plan: A procedure has been implemented to ensure that at least two people in the agency have EIV Coordinator level access. This guarantees that someone within the agency always has the ability to grant or remove staff permissions and to run EIV reports in compliance with HUD requirements. The final permission settings for the second coordinator are currently being verified and tested. Anticipated Completion Date: 07/31/2024 Responsible person: Jackie Oliveira, Director of Affordable Housing
The Board of Directors will designate an individual to document financial statement preparation processes which ensure timely submission of the Single Audit Reporting Package.
The Board of Directors will designate an individual to document financial statement preparation processes which ensure timely submission of the Single Audit Reporting Package.
The deposit was delayed due to cash flow issues from service coordinator funding not being allocated for two years, and therefore, eleven monthly deposits were made in a lump sum in March, 2024. Since the end of the fiscal year, monthly deposits have been made and management is committed to ensuring...
The deposit was delayed due to cash flow issues from service coordinator funding not being allocated for two years, and therefore, eleven monthly deposits were made in a lump sum in March, 2024. Since the end of the fiscal year, monthly deposits have been made and management is committed to ensuring the required deposits are made monthly going forward. Person(s) Responsible: Aaron Franklin, Karen Webber Timing for Implementation: Completed 04/01/2024
Finding #2024-001 Comments on Findings and Recommendation: During the year ended March 31, 2024, deposits to the reserve for replacements account were $236 less than the required amount. Management should transfer $236 from the operating account to the reserve for replacements account. Action(s) tak...
Finding #2024-001 Comments on Findings and Recommendation: During the year ended March 31, 2024, deposits to the reserve for replacements account were $236 less than the required amount. Management should transfer $236 from the operating account to the reserve for replacements account. Action(s) taken or planned on the finding: Management concurs with the finding and recommendation.
View Audit 310491 Questioned Costs: $1
Management will correct the next voucher
Management will correct the next voucher
View Audit 305045 Questioned Costs: $1
Management has corrected the errors
Management has corrected the errors
Item 2023.007 – Period of Performance Recommendation The Center should develop written procedures to review all expenditures to ensure they are within the proper period of performance of the grant. Repeat Finding Yes Action Taken Island Health Care will take the following actions to address this rec...
Item 2023.007 – Period of Performance Recommendation The Center should develop written procedures to review all expenditures to ensure they are within the proper period of performance of the grant. Repeat Finding Yes Action Taken Island Health Care will take the following actions to address this recommendation: • Conduct a pre-approval of expenditures, verifying that the expense is allowable under the grant terms and falls within the period of performance • Utilize a pre-approval form that includes details of the proposed expenditure, its necessity, and confirmation in the form of authorized signatures that it is within the grant period. • Require all relevant supporting documentation with the date the expense was incurred, ensuring it falls within the grant's period of performance. This is further reviewed by the CFO who will verify that the expenditure meets all requirements and is then able to record it in the accounting system. • Conduct regular reviews of expenditures to ensure compliance with the grant period and maintain audit trail • Review these procedures annually to ensure they ongoing compliance with the grant's period of performance
Item 2023.006 – Cash Management Recommendation The Center should develop written procedures to review all drawdowns that occur in order to ensure accuracy. Repeat Finding Yes Action Taken Island Health Care will take the following actions to address this recommendation: • Prepare written procedures ...
Item 2023.006 – Cash Management Recommendation The Center should develop written procedures to review all drawdowns that occur in order to ensure accuracy. Repeat Finding Yes Action Taken Island Health Care will take the following actions to address this recommendation: • Prepare written procedures to document the process for Drawdown requests, including the initial review, documented approval process, submission to the funding agency, and the recording of the drawdown in the accounting system immediately after submission • Maintain detailed records of all drawdown requests, supporting documentation, approvals, and correspondence • Conduct regular internal reviews of drawdown activities to ensure compliance with procedures and maintain audit trail • Review drawdown procedures annually to ensure they remain current with funding agency guidelines and best practices
Item 2023.004 – Reporting Recommendation The Center should establish controls to ensure all accounting records are analyzed and proper support is available in order to ensure that the financial statement audit is submitted on a timely basis to the Federal government. Repeat Finding Yes Action Taken ...
Item 2023.004 – Reporting Recommendation The Center should establish controls to ensure all accounting records are analyzed and proper support is available in order to ensure that the financial statement audit is submitted on a timely basis to the Federal government. Repeat Finding Yes Action Taken Island Health Care will take the following actions to address this recommendation: • Ensure proper analysis and support of accounting records through a monthly financial close process that enforces standards for supporting documentation, and internal review and approval • Ensure timely submission of financial statement audit by establishing a Master Calendar for the organization's required submissions. Depending on the required submission deadline, we would ensure that we properly allocate time and tasks into a schedule that would assist us in making our submission on a timely basis.
Condition: The Organization did not submit the budget to HUD within 30 days of the start of its fiscal year. Planned Corrective Action: Management has implemented a new review and oversight process related to the process for the documentation submissions to HUD to ensure timely submissions of items ...
Condition: The Organization did not submit the budget to HUD within 30 days of the start of its fiscal year. Planned Corrective Action: Management has implemented a new review and oversight process related to the process for the documentation submissions to HUD to ensure timely submissions of items and to ensure documentation of review of submitted information is retained on a goforward basis. Contact person responsible for corrective action: Louise Arzu, Vice President, Finance Anticipated Completion Date: 9/30/2026
Management agrees with the recommendation and will fund the residual receipts account during 2026.
Management agrees with the recommendation and will fund the residual receipts account during 2026.
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