Corrective Action Plans

Finding 1158059 (2024-002)

Material Weakness 2024

MI

HUD Housing Programs Internal Control / Segregation of Duties Reporting

Management will implement a formal tracking system and internal calendar reminders to ensure timely submission of audited financial statements in accordance with HUD requirements.

View Audit 370012

Finding 1158056 (2024-001)

Material Weakness 2024

Caap Housing, Inc. Dba Emma O. Johnson Homes 073-11685

IN

Questioned Costs HUD Housing Programs

Auditee: CAAP Housing, Inc. HUD Project Number: 073-11685 Audit Firm: Agresta, Storms & O’Leary PC Audit Period Ended December 31, 2024 Corrective Action Plan Prepared by: Name: Cynthia Norris Position: Housing Asset and Tenant Service Director (Community Action of Greater Indianapolis, Inc.) A. Cur...

Auditee: CAAP Housing, Inc. HUD Project Number: 073-11685 Audit Firm: Agresta, Storms & O’Leary PC Audit Period Ended December 31, 2024 Corrective Action Plan Prepared by: Name: Cynthia Norris Position: Housing Asset and Tenant Service Director (Community Action of Greater Indianapolis, Inc.) A. Current Findings on the Schedule of Findings, Questioned Costs, and Recommendations Finding No. 2024-001 A. Comments on the Finding and Each Recommendation: Management agrees with the finding that the security deposit cash account was underfunded at December 31, 2024. B. Action Taken or Planned on the Finding: Management will transfer the required funds to the security deposit cash account when the funds are available. B. Status of Corrective Actions on Findings Reported in the Prior Audit Schedule of Findings, Questioned Costs, and Recommendations See Finding No. 2024-001 for status of Finding No. 2023-001. Respectfully Submitted, Terrence White Executive Director/CEO Community Action of Greater Indianapolis, Inc.

View Audit 370008 Questioned Costs: $1

Finding 1157692 (2024-001)

Material Weakness 2024

The Housing Authority of the City of Colmbus

MS

Cash Management HUD Housing Programs Significant Deficiency

Immediate Reimbursement: The Housing Authority will initiate the reimbursement of the Public Housing Program for the identified rental assistance funds. Policy and Procedure Updates: Internal cash management policies are being revised to establish clear timelines and responsibilities for fund reimbu...

Immediate Reimbursement: The Housing Authority will initiate the reimbursement of the Public Housing Program for the identified rental assistance funds. Policy and Procedure Updates: Internal cash management policies are being revised to establish clear timelines and responsibilities for fund reimbursements. Staff Training: All relevant personnel will receive training on HUD’s cash management requirements and the updated internal procedures to ensure consistent and timely compliance. Monthly Monitoring: A monthly reconciliation and review process will be implemented to monitor fund transfers and reimbursements. This will be overseen by the Finance Director and reported to the Executive Director quarterly. Fee Accountant Oversight: To strengthen financial oversight, the Housing Authority will engage a fee accountant to serve as an additional layer of review. This professional will provide independent verification of financial transactions and ensure compliance with HUD cash management standards.

View Audit 369877

Finding 1157690 (2024-001)

Material Weakness 2024

Aids Alabama, Inc.

AL

Reporting HUD Housing Programs § 200.512

The Organization is increasing its efforts to ensure that its policies and procedures are in place to ensure timely submission of reports. Completion Date: Estimated December 2025. Contact Person: Daniel Kevin Finney - Chief Financial Officer - 3529 7th Avenue South Birmingham, AL 35222 205-324-9822...

The Organization is increasing its efforts to ensure that its policies and procedures are in place to ensure timely submission of reports. Completion Date: Estimated December 2025. Contact Person: Daniel Kevin Finney - Chief Financial Officer - 3529 7th Avenue South Birmingham, AL 35222 205-324-9822 finney@aidsalabama.org

View Audit 369874

Finding 1157607 (2024-005)

Material Weakness 2024

Dairy Grazing Apprenticeship, Inc.

WI

Internal Control / Segregation of Duties Cash Management HUD Housing Programs

Partnerships for Climate-Smart Commodities – Assistance Listing No. 10.937 Recommendation: We recommend the Organization implement a formal control where someone other than the preparer documents their review of the financial and performance reports prior to submitting to the federal agency. This re...

Partnerships for Climate-Smart Commodities – Assistance Listing No. 10.937 Recommendation: We recommend the Organization implement a formal control where someone other than the preparer documents their review of the financial and performance reports prior to submitting to the federal agency. This review would include comparing the amounts in the report to the general ledger or other supporting documents. This review should be supported by documenting the signature and date prior to submission Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Organization is finalizing the Federal Grant Report Review and Submission Protocol whose purpose is to ensure that all federal funding programmatic reports and FFRs are accurate, complete, and compliant with grant requirements and federal regulations before they are submitted to the funding agency. This form will be filed in the project folder.

View Audit 369842

Finding 1157605 (2024-003)

Material Weakness 2024

Dairy Grazing Apprenticeship, Inc.

WI

Cash Management Internal Control / Segregation of Duties HUD Housing Programs

Partnerships for Climate-Smart Commodities – Assistance Listing No. 10.937 Recommendation: We recommend the Organization implement a formal control where someone other than the preparer document their review of the claim prior to submitting to the federal agency. This review would include comparing ...

Partnerships for Climate-Smart Commodities – Assistance Listing No. 10.937 Recommendation: We recommend the Organization implement a formal control where someone other than the preparer document their review of the claim prior to submitting to the federal agency. This review would include comparing the amounts in the report to the general ledger or other supporting documents. This review should be supported by documenting the signature and date prior to submission. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Organization has created a process to ensure that claims are reviewed and approved prior to submission to the funder. This starts with the Claim/Billing Approval Form that is prepared by the Grants Manager/Designee and is routed to the Project Manager along with the supporting documentation. Once the form has been approved and electronically signed by both staff, it will be saved in the Organization’s internal files, and the claim will be initiated in the funder portal. Name(s) of the contact person(s) responsible for corrective action: Jill Matchett, Grants Manager Planned completion date for corrective action plan: October 10, 2025

View Audit 369842

Finding 1157603 (2024-006)

Material Weakness 2024

Newport News Redevelopment and Housing Authority

VA

Eligibility HUD Housing Programs Significant Deficiency

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their process and internal controls for new tenants to ensure compliance with HUD requirements and their administrative plan. Explanation of disagreement with audit finding: There is...

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their process and internal controls for new tenants to ensure compliance with HUD requirements and their administrative plan. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Director of Housing will review our process and internal controls for new tenants to ensure compliance with HUD requirements and our administrative plan. Name(s) of the contact person(s) responsible for corrective action: Director of Housing Planned completion date for corrective action plan: December 31 , 2025

View Audit 369839

Finding 1157600 (2024-005)

Material Weakness 2024

Newport News Redevelopment and Housing Authority

VA

HUD Housing Programs Material Weakness

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their process and internal controls for rent reasonableness to ensure compliance with HUD requirements and their administrative plan. Explanation of disagreement with audit finding: ...

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their process and internal controls for rent reasonableness to ensure compliance with HUD requirements and their administrative plan. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Director of Housing will review our process and internal controls to ensure staff perform the rent reasonableness in compliance with HUD requirements and our administrative plan. Name(s) of the contact person(s) responsible for corrective action: Director of Housing Planned completion date for corrective action plan: December 31, 2025

View Audit 369839

Finding 1157597 (2024-004)

Material Weakness 2024

Newport News Redevelopment and Housing Authority

VA

HUD Housing Programs Material Weakness

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their inspection process to ensure that inspections are performed timely and that all documentation is maintained within Yardi or the tenant file. We recommend the Authority hiring a...

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their inspection process to ensure that inspections are performed timely and that all documentation is maintained within Yardi or the tenant file. We recommend the Authority hiring additional inspectors or a third-party company to perform inspections to ensure compliance. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Director of Housing will ensure the inspection process is performed timely and the documentation is maintained within the Yardi software program. Processes will be reviewed and updated to ensure timely correction and enforcement. Name(s) of the contact person(s) responsible for corrective action: Director of Housing Planned completion date for corrective action plan: December 31, 2025

View Audit 369839

Finding 1157594 (2024-003)

Material Weakness 2024

Newport News Redevelopment and Housing Authority

VA

Questioned Costs HUD Housing Programs

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their recertification process to ensure that all Eligibility requirements are met and documented. Explanation of disagreement with audit finding: There is no disagreement with the au...

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their recertification process to ensure that all Eligibility requirements are met and documented. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Director of Housing will ensure staff perform the recertification process to ensure all requirements are met and documented. Name(s) of the contact person(s) responsible for corrective action: Director of Housing Planned completion date for corrective action plan: December 31 , 2025

View Audit 369839 Questioned Costs: $1

Finding 1157591 (2024-002)

Material Weakness 2024

Newport News Redevelopment and Housing Authority

VA

Questioned Costs HUD Housing Programs Significant Deficiency

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their failed inspection process to ensure that any abatement/contract modifications are performed timely and in accordance with the compliance requirements. We recommend that the Aut...

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their failed inspection process to ensure that any abatement/contract modifications are performed timely and in accordance with the compliance requirements. We recommend that the Authority utilize Yardi software to its full potential in terms of inspection documentation. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Director of Housing will ensure the failed inspection process is performed timely and the documentation is maintained within the Yardi software program. Processes will be reviewed and updated to ensure timely correction and enforcement. Name(s) of the contact person(s) responsible for corrective action: Director of Housing Planned completion date for corrective action plan: December 31, 2025

View Audit 369839 Questioned Costs: $1

Finding 1157588 (2024-001)

Material Weakness 2024

Newport News Redevelopment and Housing Authority

VA

HUD Housing Programs Material Weakness

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their quality control re-inspection process to ensure the inspections are performed timely and in accordance with the SEMAP requirements. We recommend that the Authority utilize Yard...

Housing Voucher Cluster-Assistance Listing No. 14.871/14.879/14.EHV Recommendation: We recommend the Authority review their quality control re-inspection process to ensure the inspections are performed timely and in accordance with the SEMAP requirements. We recommend that the Authority utilize Yardi software to its full potential in terms of inspection documentation. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Director of Housing will ensure the re-inspection process in performed timely and the documentation is maintained within the Yardi software program. Processes will be reviewed and updated to ensure timely correction and enforcement. Name(s) of the contact person(s) responsible for corrective action: Director of Housing Planned completion date for corrective action plan: December 31 , 2025

View Audit 369839

Finding 1157581 (2024-001)

Material Weakness 2024

First Ame Housing Association

WA

HUD Housing Programs Reporting

Explanation: We acknowledge the oversight and would like to provide context to better understand the circumstances that led to the delay. We faced internal challenges when our previous management company departed, leaving us with incomplete files and late recertifications or recertifications that ne...

Explanation: We acknowledge the oversight and would like to provide context to better understand the circumstances that led to the delay. We faced internal challenges when our previous management company departed, leaving us with incomplete files and late recertifications or recertifications that never commenced, making it nearly impossible to catch up promptly. Next, staff staffing issues contributed to the delays because staff members were not adequately trained. Despite these challenges, we recognize the importance of adhering to HUD regulations and are committed to taking corrective measures. Corrective Actions Taken: We initiated immediate corrective actions to rectify the situation as stated in our 2023 corrective action plan. Upon discovering the late recertifications, we instituted the following measures to prevent the recurrence of late annual recertifications, 1. Created a recertification schedule and calendar with the annual recertification date, specific dates to notify residents that their annual recertification is due, and dates for submitting the information to CMS and to trac. The schedule and calendar are submitted to the executive director every two weeks to monitor progress. A meeting is also scheduled with staff every two weeks to review recertification issues. 2. We hired a consultant specializing in certification to train the staff and work with the staff daily to answer questions concerning our certification. This is not a one-and-done process; our recertification consultant is available on a permanent basis to address certification issues and provide ongoing staff training. These measures are designed to ensure timely compliance with HUD regulations and to strengthen our internal processes.

View Audit 369825

Finding 1157574 (2024-002)

Material Weakness 2024

Newton Housing Authority

MA

HUD Housing Programs Reporting

Name of Auditee: Newton Housing Authority EFPR Group, CP As, PLLC December 31, 2024 Name of Audit Firm: Period Covered by the Audit: CAP Prepared by: Michael Lara, Executive Director Phone: (718) 382-5332 (A)Current Finding on the Schedule of Findings and Questioned Costs and Recommendations (2) Fin...

Name of Auditee: Newton Housing Authority EFPR Group, CP As, PLLC December 31, 2024 Name of Audit Firm: Period Covered by the Audit: CAP Prepared by: Michael Lara, Executive Director Phone: (718) 382-5332 (A)Current Finding on the Schedule of Findings and Questioned Costs and Recommendations (2) Finding 2024-002 (a) Comments on the finding and recommendation - The Authority agrees with the finding. The Authority also agrees with the recommendation. Please see below for additional comments and action taken. (b) Action taken - The Authority will review and verify key line items (including restricted net position, unrestricted net position and cash and investments) against the general ledger prior to VMS submission. Supervisory review will be required to confirm accuracy. ( c) Planned implementation date - The Authority plans to implement procedures during the year ending December 31, 2025 to resolve the reported finding.

View Audit 369807

Finding 1157569 (2024-002)

Material Weakness 2024

Montgomery County Housing Authority

PA

HUD Housing Programs Special Tests & Provisions Significant Deficiency

Views of Responsible Officials and Planned Corrective Action: The Authority has recognized the deficiencies in the Housing Voucher Cluster and will implement internal control procedures that will ensure compliance with federal regulations. Rossaine Ricketts, Comptroller, is responsible for implement...

Views of Responsible Officials and Planned Corrective Action: The Authority has recognized the deficiencies in the Housing Voucher Cluster and will implement internal control procedures that will ensure compliance with federal regulations. Rossaine Ricketts, Comptroller, is responsible for implementing this corrective action by December 31, 2025.

View Audit 369797

Finding 1157568 (2024-001)

Material Weakness 2024

Montgomery County Housing Authority

PA

Questioned Costs HUD Housing Programs

Views of Responsible Officials and Planned Corrective Action: The Authority accepts the recommendation of the auditor. The Authorty will increase oversight in the Housing Voucher Cluster to ensure that established internal control policies are being followed on a timely basis. Rossaine Ricketts, Com...

Views of Responsible Officials and Planned Corrective Action: The Authority accepts the recommendation of the auditor. The Authorty will increase oversight in the Housing Voucher Cluster to ensure that established internal control policies are being followed on a timely basis. Rossaine Ricketts, Comptroller, is responsible for implementing this corrective action by December 31, 2025.

View Audit 369797 Questioned Costs: $1

Finding 1157565 (2024-001)

Material Weakness 2024

Northwest Senior Housing Corporation

CT

HUD Housing Programs

Action Taken: The Project made the required 12 th replacement reserve deposit in March 2025 . The Project has also applied for a significant rent increase, effective 1/1/26, that would cure the Project' s cash issues and allow it to keep up with monthly replacement reserve deposits.

View Audit 369795

Finding 1157563 (2024-002)

Material Weakness 2024

Pacific Housing Oahu Corporation - Elderly Residence

HI

Eligibility HUD Housing Programs Significant Deficiency

Recommendation: The Company should consider reevaluating their established procedures and controls currently in place to ensure full compliance with regard to eligibility and proper maintenance of tenant information, including policies for handling missing files during management transitions to ensu...

Recommendation: The Company should consider reevaluating their established procedures and controls currently in place to ensure full compliance with regard to eligibility and proper maintenance of tenant information, including policies for handling missing files during management transitions to ensure compliance with HUD requirements. Action Taken: The Company will start randomly testing a small sample of tenant files, as part of our quarterly site inspection. Additionally, Kay-Kay Realty, a third-party vendor is already engaged to review tenant move-in and recertification files, but the prior resident manager was selecting the files to review. We will now ask Kay-Kay Realty to randomly select tenant files for their review process. Contact person: Patrick Delaney; (808) 523-5681, ext. 693 Anticipated Completion Date: October 1, 2025

View Audit 369792

Finding 1157562 (2024-001)

Material Weakness 2024

Pacific Housing Oahu Corporation - Elderly Residence

HI

Eligibility HUD Housing Programs Significant Deficiency § 200.332

Ref. No. 2024-001: Missing Signatures Recommendation: The Company should consider reevaluating their established procedures and controls currently in place to ensure full compliance with regard to eligibility and proper maintenance of tenant information, including policies for handling missing files...

Ref. No. 2024-001: Missing Signatures Recommendation: The Company should consider reevaluating their established procedures and controls currently in place to ensure full compliance with regard to eligibility and proper maintenance of tenant information, including policies for handling missing files during management transitions to ensure compliance with HUD requirements. Action Taken: The Company will start randomly testing a small sample of tenant files, as part of our quarterly site inspection. Additionally, Kay-Kay Realty, a third-party vendor is already engaged to review tenant move-in and recertification files, but the prior resident manager was selecting the files to review. We will now ask Kay-Kay Realty to randomly select tenant files for their review process. Contact person: Patrick Delaney; (808) 523-5681, ext. 693 Anticipated Completion Date: October 1, 2025

View Audit 369792

Finding 1157557 (2024-001)

Material Weakness 2024

Housing Commission of Talbot

MD

HUD Housing Programs

U.S. Department of Housing and Urban Development The Housing Commission of Talbot respectfully submits the following corrective action plan for the year ended December 31, 2024 . . Audit period: January 1, 2024 through December 31, 2024 . Th~ finding from the prior audit's schedule of findings and q...

U.S. Department of Housing and Urban Development The Housing Commission of Talbot respectfully submits the following corrective action plan for the year ended December 31, 2024 . . Audit period: January 1, 2024 through December 31, 2024 . Th~ finding from the prior audit's schedule of findings and questioned costs is discussed below. The finding is numbered consistently with the number assigned in the prior year. FINDINGS-FINANCIAL STATEMENT AUDIT None FINDINGS-FEDERAL AWARDS 2023-001 Missing Depository Agreements (Significant Deficiency) Condition: The Housing Commission of Talbot (the "Commission") did not set up depository agreements with its financial institutions. Status: This fin.ding is uncleared. A similar finding was noted in fiscal year 2024. The Commission has had prior communications with the Bank regarding the depository agreements requirements. The Bank would not sign due to internal policies. The Commission will coordinate discussions between our HUD local field office and the Bank to discuss the requirements for obtaining a depository agreement. U.S. Department of Housing and Urban Development · The Housing ,Commission -of Talbot- respectfully submits the following corrective action plan for the year ended December 31, 2024. Audit period: January 1, 2024 through December 31, 2024 · :. ·· The findirigs:from the schedule of findings and questioned costs is discussed below. The findings are numbered consistently with the numbers assigned in the schedule. -FINDINGS--FEDERAL AWARD PROGRAMS AUDITS U.S. Department of Housing and Urban Development 2024-001 Missing Depository Agreements (Non Compliance) Recommendation: The Commission should enter into depository agreements with all financial institutions holding Federal funds for the Commission. Explanation of disagreement with audit.finding: There is no disagreement with the audit finding. Action ~aken in response to finding: The Commission has had prior communications with the Bank regarding the depository agreement requirements. The Bank would not sign due to internal policies. The Commission will continue to coordinate discussions between our HUD local field office and the Bank to discuss the requirements for obtaining a depository agreement. Name(s) of the contact person(s) responsible for corrective action: Don Bibb, Executive Director Planned completion date for corrective action plan: December 31, 2025 If the U.S. Department of Housing and Urban Development has questions regarding this plan, please call Don Bibb, Executive Director

View Audit 369789

Finding 1157556 (2024-002)

Material Weakness 2024

Housing Authority of the City of New Bern

NC

HUD Housing Programs

Finding No. 2024-002: Failure to Submit CFP Reports on Time (Significant Deficiency) Corrective Action Plan: NBHA acknowledges the late submission of the AMCCs and the Annual Performance and Evaluation Report. To prevent recurrence, NBHA will create a compliance calendar with submission deadlines an...

Finding No. 2024-002: Failure to Submit CFP Reports on Time (Significant Deficiency) Corrective Action Plan: NBHA acknowledges the late submission of the AMCCs and the Annual Performance and Evaluation Report. To prevent recurrence, NBHA will create a compliance calendar with submission deadlines and designate a staff member responsible for monitoring all reporting requirements. The Executive Director will review compliance status monthly to ensure all reports are completed and submitted on time. Responsible Person: Reginal Barner, Executive Director Expected Completion Date: December 31, 2025 39

View Audit 369785

Finding 1157555 (2024-001)

Material Weakness 2024

Housing Authority of the City of New Bern

NC

HUD Housing Programs Cash Management Period of Performance

Finding No. 2024-001: Obligation Requirement for Capital Fund Program Drawdowns (Significant Deficiency Corrective Action Plan: NBHA has reviewed its internal controls regarding the obligation requirement for CFP LOCCS and will implement additional monitoring procedures to ensure timely obligation o...

Finding No. 2024-001: Obligation Requirement for Capital Fund Program Drawdowns (Significant Deficiency Corrective Action Plan: NBHA has reviewed its internal controls regarding the obligation requirement for CFP LOCCS and will implement additional monitoring procedures to ensure timely obligation of funds. This includes developing a tracking spreadsheet and assigning a staff member to review obligations quarterly. The Executive Director will receive quarterly reports to ensure compliance going forward. Responsible Person: Reginal Barner, Executive Director Expected Completion Date: December 31, 2025

View Audit 369785

Finding 1157554 (2024-002)

Material Weakness 2024

Housing Authority of Cass County

ND

HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

Contact Person Tawnya Taylor, Executive Director Corrective Action Plan The Authority will review its policies and procedures over program compliance requirements and continue to provide occupancy training to staff to prevent future exceptions. Planned Completion Date for CAP December 31, 2025

View Audit 369784

Finding 1157552 (2024-002)

Material Weakness 2024

Saraland Manor, Inc.

MS

Cash Management HUD Housing Programs

We agree that surplus cash deposit was not made in FY2020, and the recommendations described above. Management will deposit any surplus cash required into the residual receipts in future periods.

View Audit 369783

Finding 1157551 (2024-001)

Material Weakness 2024

Saraland Manor, Inc.

MS

Cash Management HUD Housing Programs

We agree that surplus cash deposit was not made in FY2019, and the recommendations described above. Management will deposit any surplus cash required into the residual receipts in future periods.

View Audit 369783

Corrective Action Plans

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