Corrective Action Plans

Finding 391140 (2023-001)

Material Weakness 2023

Lourexis, Inc.

OH

Questioned Costs HUD Housing Programs Internal Control / Segregation of Duties

(a) Comments on Findings and Recommendations Management concurs with the finding and auditors’ recommendation enhance internal controls to ensure Project funds are only used for Project activities and expenses necessary for the ongoing operation and maintenance of the Project. (b) Action(s) Taken or...

(a) Comments on Findings and Recommendations Management concurs with the finding and auditors’ recommendation enhance internal controls to ensure Project funds are only used for Project activities and expenses necessary for the ongoing operation and maintenance of the Project. (b) Action(s) Taken or Planned Management is aware of the requirements related to use of Project funds. Management refunded to the Project $190,000 on January 31, 2023 and $279,000 on December 20, 2023. Remaining $8,640 included in prepaid expenses will be refunded to the Project by January 31, 2024. Furthermore, internal controls over disbursement of project funds are being strengthened to prevent future non-compliance.

View Audit 301749 Questioned Costs: $1

Finding 391124 (2023-011)

Material Weakness 2023

State of Iowa

IA

Questioned Costs Allowable Costs / Cost Principles HUD Housing Programs

The Department will work with the U.S. Department of Education to identify appropriate steps for resolution. In addition, Department leadership directed ESEA and federal grants management training for the Bureau of Federal Programs and all other relevant department staff, which will provided by the...

The Department will work with the U.S. Department of Education to identify appropriate steps for resolution. In addition, Department leadership directed ESEA and federal grants management training for the Bureau of Federal Programs and all other relevant department staff, which will provided by the Council for Chief State Schools Officer’s Federal Education Group beginning in April of 2024.

View Audit 301710 Questioned Costs: $1

Finding 390930 (2023-015)

Significant Deficiency 2023

State of Louisiana

LA

Special Tests & Provisions HUD Housing Programs Reporting

Dear Mr. Waguespack: The Department is in receipt of your single audit finding entitled "Untimely Submission of Summary of Samples and Test Results Form". I appreciate the opportunity to respond to the finding and also to have my response letter included as an attachment in the final report. The D...

Dear Mr. Waguespack: The Department is in receipt of your single audit finding entitled "Untimely Submission of Summary of Samples and Test Results Form". I appreciate the opportunity to respond to the finding and also to have my response letter included as an attachment in the final report. The Department concurs with the finding. While the Department has not identified any Quality Assurance issues with projects, the final documents were not submitted timely which could cause a delay in validating that the sampling and test results were completed in accordance with our requirements. Document submittal must be made by either the DOTD Project Engineers; District Lab Engineers; Construction, Engineering & Inspection (CEI) Consultants; or local entities, depending on contract. DOTD will investigate and pursue the following possible corrective actions as a plan to address the issues identified for each contract type. • The Local Public Agency (LPA) training will be developed as an online training that can be accessed remotely, in addition to the in person training currently offered. All entities and CEI Consultants will be required to provide proof of completion of this mandatory LPA training prior to CEI contract award. This will ensure all responsibilities for the contract holder are defined prior to project, including the requirement to submit all paperwork in a timely manner and potential ramifications. • DOTD will update the Louisiana Standard Specifications for Roads and Bridges book to document that the Department reserves the right to not pay for quantities installed if all required paperwork is not submitted by the contractor. • Project Engineers will be instructed to hold future payments for projects where appropriate paperwork was not received. • LPA contracts will be adjusted to include language that DOTD will be allowed to withhold retainage until all Final estimates and 2059 packages are submitted. • DOTD Construction will continue to pursue improvements to fully implement Headlight Materials and all accompanying modules to automate and oversee real time status updates of the QA/QC process. • DOTD Construction will review the Construction Contracts Administration Manual to determine appropriate internal timeline requirements for document submittals based on the legal requirements for all documents types. • All action plan items will be discussed at the District Administrator meetings and at all Shade Tree meetings with Consultants. • District Project Engineers who routinely appear on the project aging report disseminated by Construction will have performance goals and metrics added to their Performance Evaluation System (PES) and/or the soon to be rolled out SuccessFactors documentation. Mr. Michael Vosburg, Deputy Chief Engineer, will be responsible for pursuit of the Construction related initiatives above and implementation of those which are deemed feasible. Mr. M. Todd Donmyer, Assistant Secretary of Operations, will be responsible for pursuit of the Operations related initiatives above and implementation of those deemed feasible. Implementation dates will be ongoing as we review the related internal policies, processes and procedures to determine viability and will be tracked internally once established. Thank you for the opportunity to respond to this audit finding and to have this Management Response Letter included in the final audit report. Please feel free to contact me at (225) 379-1200 or Don Johnson, Undersecretary, at (225) 379-1270, should you have any questions.

View Audit 301612

Finding 390928 (2023-014)

Significant Deficiency 2023

State of Louisiana

LA

Special Tests & Provisions HUD Housing Programs Internal Control / Segregation of Duties

Dear Mr. Waguespack: The Department is in receipt of your single audit finding entitled "Inadequate Controls over and Noncompliance with Wage Rate Requirements". I appreciate the opportunity to respond to the finding and also to have my response letter included as an attachment in the final report....

Dear Mr. Waguespack: The Department is in receipt of your single audit finding entitled "Inadequate Controls over and Noncompliance with Wage Rate Requirements". I appreciate the opportunity to respond to the finding and also to have my response letter included as an attachment in the final report. The Department concurs with the finding. We plan to implement all corrective actions by April 30, 2024. Ms. Paula Roddy, Compliance Programs Director, will be responsible for ensuring implementation for all Compliance related matters. Mr. M. Todd Donmyer, Assistant Secretary of Operations, will be responsible for ensuring implementation for all Operations related matters. The following are our corrective action plans for each of the issues noted: • To address the exceptions identified with DOTD's compliance with the Copeland Act ensuring that contractor's estimates are only approved after all required payrolls for the service period are submitted, we offer the following control enhancements: o Compliance Programs will update the Labor Compliance Manual to add the Estimate Approval Process with specific instructions for the following Construction phases of a project: • Assembly Period 1st estimate • Zero Dollar estimate • Project estimate (payroll coverage needed to approve) • 30-day estimate • 30 plus day estimate • Closeout estimate o Responsible Compliance Programs employee and backup will be trained on Manual updates o Compliance Programs will discuss these requirements at any Project Engineer and District Administrator meetings section personnel attend, as well as at the annual shade tree meetings, when possible. • To address the exceptions identified with compliance with DOTD's policy for site interviews for Davis-Bacon eligible projects, we offer the following control enhancements: o The Office of Operations will develop a District by District process to schedule, coordinate, and follow-up with their respective Project Engineers to ensure site interviews are performed, signed, and scanned into the system of record. Additionally, part of this process will be to develop an internal audit process to ensure the controls implemented are working effectively. o Compliance Programs will work with the Enterprise Support Services to develop a report identifying all Davis-Bacon eligible projects. This list will be communicated on an ongoing basis to the responsible District personnel and will be used by the Labor Compliance Manager to perform spot audits for compliance. Any areas of deficiency should be addressed or exceptions documented accordingly. o Compliance Programs will discuss these requirements at any Project Engineer and District Administrator meetings section personnel attend, as well as at the annual shade tree meeting when possible. Thank you for the opportunity to respond to this audit finding and to have this Management Response Letter included in the final audit report. Please feel free to contact me at (225) 379-1200 or Don Johnson, Undersecretary, at (225) 379-1010, should you have any questions.

View Audit 301612

Finding 390901 (2023-004)

None 2023

State of Louisiana

LA

Questioned Costs Allowable Costs / Cost Principles HUD Housing Programs

Dear Mr. Waguespack: The Department of Children and Family Services (DCFS) has reviewed the finding “Improper Employee Activity in Federal Program”. The Department concurs with the finding and continues to prioritize prevention and detection of improper activity associated with programs it administ...

Dear Mr. Waguespack: The Department of Children and Family Services (DCFS) has reviewed the finding “Improper Employee Activity in Federal Program”. The Department concurs with the finding and continues to prioritize prevention and detection of improper activity associated with programs it administers. The Fraud and Recovery Unit (FRU) investigated two employees for suspected payroll fraud. The FRU determined that one employee received wages from DCFS and a secondary employer for the same hours worked. DCFS is pursuing recoupment of wages paid for the duplicative hours and will seek recoupment of funds in the amount $875.00 from this employee. DCFS is conducting additional inquiries related to the other employee’s suspected activities to determine the actual loss to the agency and will proceed accordingly. Both employees are no longer employed with the Department. DCFS will continue to investigate improper employee activities and emphasize the consequences of illegal acts. If you have any questions, please contact Rhonda Brown, Fraud and Recovery Unit Director, at Rhonda.Brown.DCFS@LA.GOV.

View Audit 301612 Questioned Costs: $1

Finding 390900 (2023-002)

None 2023

Lutheran Housing Services, Inc. No.3 Dba Luther Oaks 042-11109-Wah-L8

OH

Procurement, Suspension & Debarment Subrecipient Monitoring HUD Housing Programs

Condition: The Organization did not comply with the regulatory agreement requirement to have a security deposit cash account that meets or exceeds the security deposit liability account. Planned Corrective Action: Management acknowledges noncompliance in the current fiscal year and has taken measure...

Condition: The Organization did not comply with the regulatory agreement requirement to have a security deposit cash account that meets or exceeds the security deposit liability account. Planned Corrective Action: Management acknowledges noncompliance in the current fiscal year and has taken measures to improve internal controls over compliance. Management will deposit funds to the security deposit cash account in order to meet the regulatory agreement requirement. Contact person responsible for corrective action: Lorinda Schalk, Chief Financial Officer / Treasurer Anticipated Completion Date: March 31, 2024

View Audit 301609

Finding 390899 (2023-001)

None 2023

Lutheran Housing Services, Inc. No.3 Dba Luther Oaks 042-11109-Wah-L8

OH

HUD Housing Programs Internal Control / Segregation of Duties Procurement, Suspension & Debarment

Condition: The Organization failed to make, on a monthly basis, the required reserve for replacements deposits in the amounts specified in the subsequent amendments to required deposit amounts approved by HUD. Planned Corrective Action: Management detected the error and worked with the Organization'...

Condition: The Organization failed to make, on a monthly basis, the required reserve for replacements deposits in the amounts specified in the subsequent amendments to required deposit amounts approved by HUD. Planned Corrective Action: Management detected the error and worked with the Organization's lender to calculate and remit a corrective deposit in the current fiscal year to catch-up previously underfunded amounts. Management acknowledges noncompliance and has taken measures to improve internal controls over compliance. Contact person responsible for corrective action: Lorinda Schalk, Chief Financial Officer / Treasurer Anticipated Completion Date: March 31, 2024

View Audit 301609

Finding 390898 (2023-001)

None 2023

Lutheran Housing Svcs, Inc. No. 1 D/b/a Luther Pines 043-35588

OH

HUD Housing Programs Internal Control / Segregation of Duties

Condition: The Organization failed to make, on a monthly basis, the required reserve for replacements deposits in the amounts specified in the subsequent amendments to required deposit amounts approved by HUD. Planned Corrective Action: Management detected the error and worked with the Organization'...

Condition: The Organization failed to make, on a monthly basis, the required reserve for replacements deposits in the amounts specified in the subsequent amendments to required deposit amounts approved by HUD. Planned Corrective Action: Management detected the error and worked with the Organization's lender to calculate and remit a corrective deposit in the current fiscal year to catch-up previously underfunded amounts. Management acknowledges noncompliance and has taken measures to improve internal controls over compliance. Contact person responsible for corrective action: Lorinda Schalk, Chief Financial Officer / Treasurer Anticipated Completion Date: March 31, 2024

View Audit 301608

Finding 390867 (2023-001)

Significant Deficiency 2023

Saugatucket Spring INC

RI

HUD Housing Programs Internal Control / Segregation of Duties

Corrective Action Plan United States Department of Housing and Urban Development Saugatucket Springs, Inc. respectfully submits the following corrective action plan for the year ended June 30, 2023 Name of Audit Firm: Damiano, Burk & Nuttall, P.C. 6 Blackstone Valley Place Suite 109 Lincoln, RI 0286...

Corrective Action Plan United States Department of Housing and Urban Development Saugatucket Springs, Inc. respectfully submits the following corrective action plan for the year ended June 30, 2023 Name of Audit Firm: Damiano, Burk & Nuttall, P.C. 6 Blackstone Valley Place Suite 109 Lincoln, RI 02865 Audit period covered: 7/1/2022-6/30/2023 The findings from the June 30, 2023 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Section A of the schedule, Summary of Audit Results, does not include findings and is not addressed. FINDINGS—FEDERAL AWARD PROGRAMS AUDITS DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2023-001: Section 202 Project Rental Assistance—Assistance Listing # 14.157 Recommendation: The Partnership should design and implement internal controls to ensure that all security deposits are transferred in the required time period. Management should also conduct a monthly inspection of the security deposit listing. Action Taken: Management is in agreement with the auditors’ findings. Management has instructed all accounting personnel to review all matters related to tenant compliance. If the United States Department of Housing and Urban Development has questions regarding this plan, please call Frank Shea at (401) 296-3761.

View Audit 301572

Finding 390866 (2023-001)

Significant Deficiency 2023

Wildberry Apartments, INC

RI

HUD Housing Programs Internal Control / Segregation of Duties

Corrective Action Plan United States Department of Housing and Urban Development Wildberry Apartments, Inc. respectfully submits the following corrective action plan for the year ended June 30, 2023 Name of Audit Firm: Damiano, Burk & Nuttall, P.C. 6 Blackstone Valley Place Suite 109 Lincoln, RI 028...

Corrective Action Plan United States Department of Housing and Urban Development Wildberry Apartments, Inc. respectfully submits the following corrective action plan for the year ended June 30, 2023 Name of Audit Firm: Damiano, Burk & Nuttall, P.C. 6 Blackstone Valley Place Suite 109 Lincoln, RI 02865 Audit period covered: 7/1/2022-6/30/2023 The findings from the June 30, 2023 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Section A of the schedule, Summary of Audit Results, does not include findings and is not addressed. FINDINGS—FEDERAL AWARD PROGRAMS AUDITS DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2023-001: Section 202 Project Rental Assistance—Assistance Listing # 14.157 Recommendation: The Partnership should design and implement internal controls to ensure that all security deposits are transferred in the required time period. Management should also conduct a monthly inspection of the security deposit listing. Action Taken: Management is in agreement with the auditors’ findings. Management has instructed all accounting personnel to review all matters related to tenant compliance. If the United States Department of Housing and Urban Development has questions regarding this plan, please call Frank Shea at (401) 296-3761.

View Audit 301563

Finding 390771 (2023-003)

Significant Deficiency 2023

Housing and Redevelopment Authority of Wadena

MN

Subrecipient Monitoring HUD Housing Programs

FINDING: 2023-003- Housing Voucher Cluster, CFDA No. 14.871 and 14.879 - Inspections Recommendation: We recommend that management retain a list of properties that fail an inspection and subsequent documentation showing the dates of re-inspection and the results of subsequent inspections. Actions Pla...

FINDING: 2023-003- Housing Voucher Cluster, CFDA No. 14.871 and 14.879 - Inspections Recommendation: We recommend that management retain a list of properties that fail an inspection and subsequent documentation showing the dates of re-inspection and the results of subsequent inspections. Actions Planned/Taken in Response to Finding: Wadena HRA is beginning to place failed inspections in our MRI software as a reminder to follow-up on inspections and document the results of the follow up inspection in the software, and file. This new process will help ensure follow up inspections are documented. Contact Person Responsible for Corrective Action: Maria Marthaler, Executive Director Planned Completion Date : June 30, 2024

View Audit 301489

Finding 390729 (2023-003)

None 2023

Clay County Board of Education

WV

Allowable Costs / Cost Principles HUD Housing Programs Reporting

#2303-003 Reporting of Time and Effort US Department of Education Title I Grants to Local Educational Agencies AL#84.010 ...

#2303-003 Reporting of Time and Effort US Department of Education Title I Grants to Local Educational Agencies AL#84.010 Recommendation: We recommend that the Clay County Board of Education's Title I Department implement procedures to accurately document and maintain the "Time and Effort" Documentation of all employees funded with federal funding, as required. Action Taken: The Title I Department of the Clay County Board of Education will implement procedures to ensure that "Time and Effort" Documentation and records are adequately maintained, as required for all applicable employees. Jennifer R. Paxton, CPA/Treasurer, and the Title I Director are responsible for implementing these procedures immediately.

View Audit 301414

Finding 390716 (2023-006)

Significant Deficiency 2023

Housing Authority of the City of Hope

AR

Eligibility HUD Housing Programs

Condition and Criteria: The Authority’s purpose for existence is providing decent safe and affordable housing to low-income persons. The PHA should establish and maintain policies for the selection of tenants from the waiting list. As documented in the CMR, the PHA did not properly maintain its wa...

Condition and Criteria: The Authority’s purpose for existence is providing decent safe and affordable housing to low-income persons. The PHA should establish and maintain policies for the selection of tenants from the waiting list. As documented in the CMR, the PHA did not properly maintain its waiting list. In addition, the PHA is required to obtain an executed General Depository Agreement for all bank accounts. Tenants were selected and traced to the waiting list. However, as documented in the CMR, the waiting list did not include applicants that had been ineligible when they originally applied. We also were not provided with an executed General Depository Agreement. Due to the change in management, some bank accounts have not been able to update the authorized signers on the accounts. Auditor’s Recommendation: The Authority should update its waiting list requirements and ensure that applicants are selected in the proper order. The PHA should obtain the required General Depository Agreement and make sure that current management and board members have access to all bank accounts. Grantee Response: We will comply with the auditor’s recommendation. Anticipated Completion Date: June 30, 2024

View Audit 301395

Finding 390715 (2023-005)

Significant Deficiency 2023

Housing Authority of the City of Hope

AR

HUD Housing Programs Eligibility

Condition and Criteria: The Authority’s purpose for existence is providing decent, safe, and affordable housing to low-income persons. As such, the Authority prepares a file for each admitted family, which contains information necessary to determine eligibility for assistance and calculations of ren...

Condition and Criteria: The Authority’s purpose for existence is providing decent, safe, and affordable housing to low-income persons. As such, the Authority prepares a file for each admitted family, which contains information necessary to determine eligibility for assistance and calculations of rent assistance to be paid on the family’s behalf. HUD regulations prescribe the content of these family files. These requirements consist of the following: f. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility.g. For both family income examinations and reexaminations, obtain and document in the family file third party verification of: (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income-based rent.h. Determine income eligibility and calculate the tenant’s rent payment in accordance with HUD regulations. i. Select tenants from the public housing waiting list in accordance with the PHA’s tenant selection policies.j. Re-examine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary.We selected twenty public housing tenant files for testing, but the Authority was not able to locate one of the requested files. It appears that the utility allowances had not been reviewed during the fiscal year as required by HUD standards. Auditor’s Recommendation: All files should be maintained and available for review. Utility allowances should be studied to determine if a change should be made. Grantee Response: We will comply with the auditor’s recommendation. We are currently making changes related to our response to the CMR. We have completed our utility allowance study and implemented the new allowance amounts. Anticipated Completion Date: June 30, 2024

View Audit 301395

Finding 390714 (2023-004)

Material Weakness 2023

Housing Authority of the City of Hope

AR

Questioned Costs Procurement, Suspension & Debarment HUD Housing Programs

Condition and Criteria: PHA and HUD procurement policies require the documentation of the bid process in varying degrees based on the size of the contract or purchase. The PHA is also required to include Davis Bacon requirements in the contracts and monitor its compliance by the contractors. The C...

Condition and Criteria: PHA and HUD procurement policies require the documentation of the bid process in varying degrees based on the size of the contract or purchase. The PHA is also required to include Davis Bacon requirements in the contracts and monitor its compliance by the contractors. The CMR cited disbursements without procurement files totaling $226,057.43. During the audit, we were not provided with copies of the procurement records for these contracts. It also appears that the Davis Bacon standards were not included in the contracts and, as a result, those standards were not monitored.Auditor’s Recommendation: Documentation of expenses and the related procurement should be maintained and accessible for review. In addition, contracts should include Davis Bacon requirements and those requirements should be monitored by the Authority. Grantee Response: We are scheduling training for our staff related to the procurement and contract requirements and will begin better documenting both the procurement and the monitoring. Anticipated Completion Date: June 30, 2024

View Audit 301395 Questioned Costs: $1

Finding 390712 (2023-002)

Significant Deficiency 2023

Housing Authority of the City of Hope

AR

HUD Housing Programs Eligibility

Condition and Criteria: The Authority’s purpose for existence is providing decent, safe, and affordable housing to low-income persons. As such, the Authority prepares a file for each admitted family, which contains information necessary to determine eligibility for assistance and calculations of ren...

Condition and Criteria: The Authority’s purpose for existence is providing decent, safe, and affordable housing to low-income persons. As such, the Authority prepares a file for each admitted family, which contains information necessary to determine eligibility for assistance and calculations of rent assistance to be paid on the family’s behalf. HUD regulations prescribe the content of these family files. These requirements consist of the following:a. As a condition of admission or continued occupancy, require the tenant and other family members to provide necessary information, documentation, and releases for the PHA to verify income eligibility. b. For both family income examinations and reexaminations, obtain and document in the family file third party verification of: (1) reported family annual income; (2) the value of assets; (3) expenses related to deductions from annual income; and (4) other factors that affect the determination of adjusted income or income-based rent. c. Determine income eligibility and calculate the tenant’s rent payment in accordance with HUD regulations. d. Select tenants from the public housing waiting list in accordance with the PHA’s tenant selection policies. e. Re-examine family income and composition at least once every 12 months and adjust the tenant rent and housing assistance payment as necessary.Testing of ten HCV family files, it appeared the housing assistance payments were being computed correctly based on documentation in the file. However, and based on results from the CMR, it appears that incorrect payment standards and outdated utility allowance forms were being used in the computations. Auditor’s Recommendation: A thorough review of tenant files should be performed for the purpose of eliminating the deficiencies. Utility allowances should be studied and determined if a change should be made. Payment standards should be approved and consistently applied. Grantee Response: We will comply with the auditor’s recommendation. We are currently making changes related to our response to the CMR. We have completed our utility allowance study and implemented the new allowance amounts. Anticipated Completion Date: June 30, 2024

View Audit 301395

Finding 390711 (2023-001)

Significant Deficiency 2023

Housing Authority of the City of Hope

AR

HUD Housing Programs Eligibility Special Tests & Provisions

Condition and Criteria: The Authority’s purpose for existence is providing decent safe and affordable housing to low-income persons. As such, HUD requires the Authority to comply with special tests and provisions relating to its Housing Choice Voucher program. The Authority must inspect the unit le...

Condition and Criteria: The Authority’s purpose for existence is providing decent safe and affordable housing to low-income persons. As such, HUD requires the Authority to comply with special tests and provisions relating to its Housing Choice Voucher program. The Authority must inspect the unit leased to a family at least annually to determine if the unit meets Housing Quality Standards (HQS) and the Authority must conduct quality control re-inspections. The Authority must prepare a unit inspection report (24 CFR sections 982.158(d) and 982.405(b)). In addition, the PHA is required to obtain an executed General Depository Agreement for all bank accounts. During our testing of 10 HCV tenant files, we noted annual HQS inspections for all the tested units. However, the Authority did not perform the required quality control re-inspections. Tenants were selected and traced to the waiting list. However, as documented in the CMR, the waiting list did not include applicants that had been ineligible when they originally applied. We also were not provided with an executed General Depository Agreement. Due to the change in management, some bank accounts have not been able to update the authorized signers on the accounts. Auditor’s Recommendation: The Authority should perform housing quality control re-inspections according to HUD guidelines. The Authority should update its waiting list requirements and ensure that applicants are selected in the proper order. The PHA should obtain the required General Depository Agreement and make sure that current management and board members have access to all bank accounts. Grantee Response: We will comply with the auditor’s recommendation. Anticipated Completion Date: June 30, 2024

View Audit 301395

Finding 390562 (2023-004)

Significant Deficiency 2023

City of Lynwood

CA

Internal Control / Segregation of Duties Subrecipient Monitoring HUD Housing Programs

2023-004 Reporting – Internal Control and Compliance Over Reporting City’s Response City concurs with this recommendation. Corrective Action Plan: Gabriel Linares, Director of Community Development, will enhance the department’s policy/desk procedure to ensure timely filing of the CAPER and Sect...

2023-004 Reporting – Internal Control and Compliance Over Reporting City’s Response City concurs with this recommendation. Corrective Action Plan: Gabriel Linares, Director of Community Development, will enhance the department’s policy/desk procedure to ensure timely filing of the CAPER and Section 15011 reports starting Quarter Four, FY2023-24.

View Audit 301327

Finding 390552 (2023-005)

Significant Deficiency 2023

Wilberforce University

OH

Student Financial Aid Matching / Level of Effort / Earmarking Eligibility

Views of Responsible Officials and Planned Corrective Actions: Management agrees with the auditors and has initiated the necessary corrective action plan to mitigate the deficiency from occurring again. The plan is to implement new procedures to ensure the reporting to the NSLDS is done on a timely ...

Views of Responsible Officials and Planned Corrective Actions: Management agrees with the auditors and has initiated the necessary corrective action plan to mitigate the deficiency from occurring again. The plan is to implement new procedures to ensure the reporting to the NSLDS is done on a timely basis. Implementation date: Immediately. Persons Responsible: Vice President of Business & Finance, the Registrars Office and the Director of Student Financial Aid.

View Audit 301315

Finding 390550 (2023-001)

Significant Deficiency 2023

Suffolk Redevelopment and Housing Authority

VA

HUD Housing Programs Eligibility Significant Deficiency

Finding No. 2023-001 Housing Choice Voucher: Tenant Eligibility – Significant Deficiency Contact Person: Ronald Jackson, Interim Executive Director/CEO CORRECTIVE ACTION: New Admission EIV compliance • SRHA has procured professional services for Quality Control and Consulting. The Nelrod Comp...

Finding No. 2023-001 Housing Choice Voucher: Tenant Eligibility – Significant Deficiency Contact Person: Ronald Jackson, Interim Executive Director/CEO CORRECTIVE ACTION: New Admission EIV compliance • SRHA has procured professional services for Quality Control and Consulting. The Nelrod Company was selected. The agency intends to work with this firm to setup a Quality Control program and establish stronger internal controls. • SRHA will add a Compliance/QC position to monitor all aspects of the agency’s operations to ensure compliance. • SRHA has engaged with the Nelrod Company to review and establish a quality control system for the Project Based Voucher program to include vouchers currently controlled by the separate entity Whitemarsh Pointe Eagle Landing. The Quality Control position in its Administration department will monitor and perform program compliance. TARGET DATE: April 15, 2024

View Audit 301308

Finding 390544 (2023-002)

Significant Deficiency 2023

Wallingford-Swarthmore School District

PA

HUD Housing Programs Material Weakness Reporting

Management’s Response: Management will implement safeguards to ensure responsible business office employees are held accountable for following procedures to ensure timely and complete monthly and annual financial reporting.

View Audit 301299

Finding 390524 (2023-001)

None 2023

Mission Housing Authority

TX

Questioned Costs HUD Housing Programs

Corrective Action Plan - Past due tenant accounts receivable. Contact person - Executive Director. Corrective action planned - The PHA is working to obtain workout agreements on all past due balances. Anticipated completion date - Within the next fiscal year.

View Audit 301280 Questioned Costs: $1

Finding 390434 (2023-004)

Material Weakness 2023

High Street Homes Inc.

MD

HUD Housing Programs

Contact person: Katherine Dannenfelser, Director of Finance Recommendation: We recommend that management ensure the HUD contract renewal application is completed accurately and submitted timely in order to receive HUD approval at the start of the fiscal year. This is extremely important to ensure t...

Contact person: Katherine Dannenfelser, Director of Finance Recommendation: We recommend that management ensure the HUD contract renewal application is completed accurately and submitted timely in order to receive HUD approval at the start of the fiscal year. This is extremely important to ensure the timely submission of the audited financial statements to REAC. Corrective Action: Upper Bay Counseling and Support Services, Inc. will have Senior Management and Financial staff working together via scheduled internal meetings to ensure the HUD approval at the start of the fiscal year is obtained. The contract renewal application and required follow up will be on the agendas of the internal HUD meetings. Proposed Completion Date: Management is implementing the above recommendation. UPDATE – as of March 20, 2024 this process is in place now as we plan to submit this information within the next few days. Thus this is considered implemented as we are working with various staff to ensure a timely and accurate submission in next few days.

View Audit 301234

Finding 390433 (2023-003)

Material Weakness 2023

High Street Homes Inc.

MD

HUD Housing Programs

Contact person: Katherine Dannenfelser, Director of Finance Recommendation: The Project should accurately maintain the monthly rental schedule and reconcile the HUD voucher activity and tenant payments to the general ledger and bank statements. The rental activity should be reconciled monthly and t...

Contact person: Katherine Dannenfelser, Director of Finance Recommendation: The Project should accurately maintain the monthly rental schedule and reconcile the HUD voucher activity and tenant payments to the general ledger and bank statements. The rental activity should be reconciled monthly and the Director of Finance should review the rental schedule monthly to ensure the reconciliation is accurate and all activity is properly accounted for during the year. Corrective Action: Upper Bay Counseling and Support Services, Inc. will implement monthly HUD financial meetings providing the oversight and review needed. Financial staff will submit a report to Senior Management of HUD financial matters on a regular basis. Proposed Completion Date: Management is implementing the above recommendation. UPDATE – March 20, 2024 A financial reporting package is in the process of being developed. There are regular monthly sessions between the Clinical and Financial staff to discuss financial matters. Thus, this is considered implemented.

View Audit 301234

Finding 390432 (2023-002)

Material Weakness 2023

High Street Homes Inc.

MD

HUD Housing Programs Reporting

Contact person: Katherine Dannenfelser, Director of Finance Recommendation: Replacement reserve account should be reconciled monthly and reviewed to ensure all required deposit activity is made and there are no unapproved withdrawals from the account. Corrective Action: Upper Bay Counseling and S...

Contact person: Katherine Dannenfelser, Director of Finance Recommendation: Replacement reserve account should be reconciled monthly and reviewed to ensure all required deposit activity is made and there are no unapproved withdrawals from the account. Corrective Action: Upper Bay Counseling and Support Services, Inc. will implement monthly reporting of Replacement Reserve Account and other HUD information as part of an effort to improve internal financial reporting overall. Proposed Completion Date: Management is implementing the above recommendation. UPDATE-March 20, 2024 – This reporting requirement will be included in financial reporting package being developed. Information is being communicated in monthly meetings and emails as we have increased communication between Clinical and Financial staff. Anticipate supplemental schedules being added to basic financial package on or before June 30, 2023. Moving monthly amount for Reserves during March 2024 and will move on the first few business days of every month going forward.

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