Corrective Action Plans

Finding 1205809 (2024-002)

Material Weakness 2024

MN

Internal Control / Segregation of Duties

Management is aware of the finding and has concluded that it is not economically feasible to correct this finding. Management will rely on oversight by the Mayor and City Council to monitor this condition.

View Audit 397558

Finding 1205808 (2024-001)

Material Weakness 2024

City of Tower, Minnesota

MN

Internal Control / Segregation of Duties

For now, the City accepts the degree of risk associated with this condition and thoroughly reviews a draft of the financial statements, footnote disclosures, and supplementary information prior to issuance. Management will engage the audit firm to prepare drafts of its annual financial statements an...

For now, the City accepts the degree of risk associated with this condition and thoroughly reviews a draft of the financial statements, footnote disclosures, and supplementary information prior to issuance. Management will engage the audit firm to prepare drafts of its annual financial statements and related footnote disclosures in accordance with the regulatory basis of accounting.

View Audit 397558

Finding 1205800 (2024-001)

Material Weakness 2024

Town of Akron

CO

Material Weakness Internal Control / Segregation of Duties

The Town has implemented a process whereas the Town Manager and Board of Trustees review all federal or state grant agreements to verify whether the grant agreement outlines a CFDA number in determining whether the funds are related to federal awards.

View Audit 397536

Finding 1205742 (2024-005)

Material Weakness 2024

Excelsior Springs Hospital

MO

Reporting Internal Control / Segregation of Duties

Corrective Action Plan: The Hospital is currently working on a plan to file all audit reports for the subsequent fiscal year ended September 30, 2025, before their required reporting due date of June 30, 2026.

View Audit 397466

Finding 1205047 (2024-001)

Material Weakness 2024

Detroit Police Athletic League, Inc.

MI

Allowable Costs / Cost Principles Reporting Internal Control / Segregation of Duties

Finding: The Organization did not have adequate and effective controls over compliance in place as it relates to activities allowed or unallowed and allowable costs. We noted Instances where payroll and non-payroll related expenditures did not have documentation of review. Corrective Response: Manag...

Finding: The Organization did not have adequate and effective controls over compliance in place as it relates to activities allowed or unallowed and allowable costs. We noted Instances where payroll and non-payroll related expenditures did not have documentation of review. Corrective Response: Management is committed to strengthening how we track and allocate hours to grant-funded projects to ensure full compliance with 2 CFR 200.430. Going forward, the organization will implement a time study approach to support the allocation of personnel costs to federal grants. Employees working across multiple funding sources will participate in periodic time studies designed to reasonably estimate the distribution of their time based on actual activities performed. The results of these time studies will be used as the basis for allocating payroll costs to the appropriate grants, and will be supported by documentation and supervisory review. We will also implement consistent tools and processes to ensure allocations are applied systematically across all funding sources. On a monthly basis, the finance team will review and reconcile payroll allocations to ensure they align with the established methodology. In addition, we will provide training and ongoing oversight to reinforce compliance and prevent similar Issues In the future.

View Audit 396692

Finding 1205007 (2024-002)

Material Weakness 2024

Innovative Health Solutions

CA

Significant Deficiency Internal Control / Segregation of Duties

Finding 2024-02 Internal Control Over Compliance: Written Compliance Policies and Procedures. Management concurs with the finding. In June 2025, IHS completed revising its Fiscal Policy Manual to incorporate key Uniform Grant Guidance compliance requirements

View Audit 396668

Finding 1205006 (2024-001)

Material Weakness 2024

Innovative Health Solutions

CA

Material Weakness Reporting Internal Control / Segregation of Duties

Finding 2024-01 Internal Control Over Financial Reporting: Revenue Recognition. Management concurs with the finding. Innovative Health Solutions (IHS) began full implementation of GAAP reporting in FY2024/25. The Fiscal Policy Manual was updated during FY2024/25 to incorporate GAAP revenue recogniti...

Finding 2024-01 Internal Control Over Financial Reporting: Revenue Recognition. Management concurs with the finding. Innovative Health Solutions (IHS) began full implementation of GAAP reporting in FY2024/25. The Fiscal Policy Manual was updated during FY2024/25 to incorporate GAAP revenue recognition criteria for various revenue streams. IHS will continue to review and refine its accounting policies and procedures as it transitions some of its financial reporting and audit support functions to a new outside CPA firm specializing in nonprofit services beginning July 1, 2025.

View Audit 396668

Finding 1205000 (2024-010)

Material Weakness 2024

The City of Frederick, Maryland

MD

Special Tests & Provisions Material Weakness Internal Control / Segregation of Duties

Finding reference: 2024-010 - 93.224, 93.527 – Health Center Program Cluster Material Weakness and Noncompliance over Special Tests and Provisions Recommendation: All elements required for the sliding fee discount should be properly maintained in Allscripts. Employees should be properly trained on t...

Finding reference: 2024-010 - 93.224, 93.527 – Health Center Program Cluster Material Weakness and Noncompliance over Special Tests and Provisions Recommendation: All elements required for the sliding fee discount should be properly maintained in Allscripts. Employees should be properly trained on the software, and a user manual should be created related to patient intake so patient records are consistent and documented appropriately. Action taken: All elements required for the sliding fee discount are being properly maintained. All employees have been properly trained in software.

View Audit 396662

Finding 1204855 (2024-004)

Material Weakness 2024

Mountain State Centers for Independent Living, Inc.

WV

Internal Control / Segregation of Duties

Indirect cost proposal. MSCIL acknowledges the need to maintain compliance wi th fed eral reporting requirements and has taken steps to ensure timely submission going forward. Management will complete and submit the indirect cost proposal immediately upon finalization of the audited financial statem...

Indirect cost proposal. MSCIL acknowledges the need to maintain compliance wi th fed eral reporting requirements and has taken steps to ensure timely submission going forward. Management will complete and submit the indirect cost proposal immediately upon finalization of the audited financial statements. Responsibility for preparing future proposals will be assigned to a designated staff member, with oversight from the President/CEO to ensure deadlines are met. MSCIL is also refining its reporting schedule and review procedures to support timely and accurate filings in future years. The Fyffe Jones Group will assist with filing needs as necessary to support compliance and ensure accuracy of submissions. These steps will help e nsure tha t indirect cost proposals are submitted timely in accordance with federal requirements.

View Audit 396485

Finding 1203053 (2024-001)

Material Weakness 2024

Incorporated Village of Ocean Beach

NY

Procurement, Suspension & Debarment Cash Management Matching / Level of Effort / Earmarking § 200.303

United States Environmental Protection Agency Capitalization Grants for Clean Water Revolving Funds ALN: 66.458 Condition: The Village has not updated its existing policies and written procedures to conform to Uniform Guidance requirements. Planned Corrective Action: The Village’s Treasurer will wor...

United States Environmental Protection Agency Capitalization Grants for Clean Water Revolving Funds ALN: 66.458 Condition: The Village has not updated its existing policies and written procedures to conform to Uniform Guidance requirements. Planned Corrective Action: The Village’s Treasurer will work on updating all policies and procedures relating to the U.S. Office of Management and Budget Uniform Guidance to ensure the Village policies are in compliance with these guidelines. Responsible Contact Person: Linda M. Morrisey Village Treasurer Village of Ocean Beach Bay & Cottage Walks, P.O. Box 457 Ocean Beach, NY 11770 Anticipation completion date: March 31, 2026

View Audit 396283

Finding 1191626 (2024-001)

Material Weakness 2024

Hawkeye Properties and Workforce Innovation, Inc.

CA

Reporting Internal Control / Segregation of Duties § 200.510 § 200.512

Management has taken steps to contract an audit firm and is currently working with the auditors to perform the single audit for the fiscal year ended June 30, 2025, with anticipation of completion before the deadline of March 31, 2026. Management has also prepared a Schedule of Expenditures of Feder...

Management has taken steps to contract an audit firm and is currently working with the auditors to perform the single audit for the fiscal year ended June 30, 2025, with anticipation of completion before the deadline of March 31, 2026. Management has also prepared a Schedule of Expenditures of Federal Awards for the fiscal year ended June 30, 2025.

View Audit 395484

Finding 1191602 (2024-003)

Material Weakness 2024

First Nations Community Healthsource, Inc.

NM

Reporting Internal Control / Segregation of Duties § 200.512

Recommendation We recommend that management enhance its internal control structure, including financial close and reporting, to ensure timely filing of future Single Audit reporting packages. Management Response Corrective Action FNCH recognizes the critical importance of establishing robust interna...

Recommendation We recommend that management enhance its internal control structure, including financial close and reporting, to ensure timely filing of future Single Audit reporting packages. Management Response Corrective Action FNCH recognizes the critical importance of establishing robust internal controls to guarantee the timely preparation and accurate submission of reports and records for audit purposes, particularly in alignment with the requirements outlined in 2 CFR 200.512. To effectively implement these internal controls, management will enforce procedures for the timely preparation of all necessary reports and records, including the Schedule of Expenditures of Federal Awards (SEFA). This will not only facilitate smoother audit processes but also ensure adherence to the 2 CFR 200.512. Management will train staff and establish timelines and responsibilities for report preparation and documentation to enhance compliance and streamline overall operations. Expected Outcome: • On‑time Single Audit filings in compliance with federal rules. • Clear visibility and accountability for deadlines. • Reduced risk of penalties and funding delays. • Greater confidence from agencies and stakeholders. Due Date of Completion: 3 days following issuance of the audit report Responsible Party(ies): CEO, CFO

View Audit 395458

Finding 1191113 (2024-002)

Material Weakness 2024

Keams Canyon Elementary School

AZ

Internal Control / Segregation of Duties

The School has hired a consultant for training.

View Audit 395263

Finding 1191112 (2024-001)

Material Weakness 2024

Keams Canyon Elementary School

AZ

Reporting Internal Control / Segregation of Duties

The School has hired a consultant to train and assist school personnel in internal controls and processing transactions. The School has hired a Business Manager and Human Resource Manager.

View Audit 395263

Finding 1190872 (2024-001)

Material Weakness 2024

St. John's Lutheran Home of Albert Lea

MN

Material Weakness Reporting Internal Control / Segregation of Duties

St. John’s Lutheran Home of Albert Lea submits the following corrective action plan for the year ended September 30, 2024. Name and address of independent public accounting firm: Lethert, Skwira, Schultz & Co. LLP, 170 E 7th Place, Saint Paul, MN 55101 Audit period: October 1, 2023 – September 30, 2...

St. John’s Lutheran Home of Albert Lea submits the following corrective action plan for the year ended September 30, 2024. Name and address of independent public accounting firm: Lethert, Skwira, Schultz & Co. LLP, 170 E 7th Place, Saint Paul, MN 55101 Audit period: October 1, 2023 – September 30, 2024 The findings from the September 30, 2024 schedule of findings, questioned costs and recommendations. FINDINGS - FINANCIAL STATEMENT AUDIT Finding 2024-001 - Auditor Preparation of the Financial Statements Material Weakness Finding Summary: The Organization does not have an internal control system designed to provide for the preparation of the complete consolidated financial statements, including the accompanying footnotes, as required by GAAP. We were also requested to draft the financial statements and accompanying notes to the financial statements. Corrective Action Plan: It is not cost effective to have an internal control system designed to provide for the preparation of financial statements and accompanying notes. We requested that our auditors Lethert, Skwira, Schultz & Co. LLP, prepare the financial statements and the accompanying notes to the financial statements as a part of their annual audit. We have designated a member of management to review the drafted financial statements and accompanying notes. Responsible Individuals: Heather King, Director of Finance, 507-473-1066 Anticipated Completion Date: Ongoing

View Audit 395160

Finding 1182298 (2024-005)

Material Weakness 2024

The Order of Fishermen Ministry Head Start Program, Inc.

MI

Subrecipient Monitoring Reporting Significant Deficiency § 200.303

TOFMHS concurs with the finding. The Agency filed both semi annual and annual financial reports for three grants during the fiscal year on a timely basis. The one semi-annual report was inadvertently filed late. However, upon notice by the Payment Management System of it being overdue, it was immedi...

TOFMHS concurs with the finding. The Agency filed both semi annual and annual financial reports for three grants during the fiscal year on a timely basis. The one semi-annual report was inadvertently filed late. However, upon notice by the Payment Management System of it being overdue, it was immediately filed. The Agency will prepare a checklist of required federal reports by the finance department, which will be monitored by the Program Director. Responsible Person: Fiscal Officer/Program Director Completion Date: January 1, 2025

View Audit 393724

Finding 1182294 (2024-003)

Material Weakness 2024

The Order of Fishermen Ministry Head Start Program, Inc.

MI

Subrecipient Monitoring Material Weakness Reporting § 200.501 § 200.512 § 200.514

TOFMHS concurs with the finding. The agency retained new auditors for the June 30,2024 fiscal year, subsequent to the due date for submission of the data collection reports. Corrective Action to be Taken: The Agency will take all reasonable measures to work with the new auditors to complete the audi...

TOFMHS concurs with the finding. The agency retained new auditors for the June 30,2024 fiscal year, subsequent to the due date for submission of the data collection reports. Corrective Action to be Taken: The Agency will take all reasonable measures to work with the new auditors to complete the audit process and submit the data collection report within the required time period. Responsible Person: Fiscal Officer/Program Director Completion Date: January 1, 2025

View Audit 393724

Finding 1181995 (2024-004)

Material Weakness 2024

Village of La Valle

WI

Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

2024-004 Federal Procedure Manual Condition: Internal controls over federal grants should be in place to provide reasonable assurance that misstatement in the schedule of expenditures of federal awards would be prevented or detected. Criteria: Non-federal entities who receive federal or state grants...

2024-004 Federal Procedure Manual Condition: Internal controls over federal grants should be in place to provide reasonable assurance that misstatement in the schedule of expenditures of federal awards would be prevented or detected. Criteria: Non-federal entities who receive federal or state grants or have grant programs should have documented policies and procedures in place over grants and grant expenditures. Cause: The Village does not have documented policies and procedures in place over grants and grant expenditures. Effect: Without documented policies and procedures, the internal control over federal grants is low, and the risk of misstatement in the schedule of expenditures of federal awards is high. Auditor’s Recommendation: We recommend that the Village works on written policies and procedures over grants and grant expenditures. Management Response: The Village will work with their auditor to develop and adopt written grant procedures that are in accordance with the Uniform Guidance.

View Audit 393368

Finding 1181955 (2024-003)

Material Weakness 2024

Western Prairie Human Services

MN

Reporting Significant Deficiency Internal Control / Segregation of Duties § 200.303

Finding Number: 2024-003 Finding Title: Reporting Program: 93.778 Medicaid Cluster Name of Contact Person Responsible for Corrective Action: Tracy Bowman Corrective Action Planned: The account activity will be reviewed and reconciled monthly to check for chart of accounts errors. When quarterly repo...

Finding Number: 2024-003 Finding Title: Reporting Program: 93.778 Medicaid Cluster Name of Contact Person Responsible for Corrective Action: Tracy Bowman Corrective Action Planned: The account activity will be reviewed and reconciled monthly to check for chart of accounts errors. When quarterly reports are completed two fiscal staff will have reviewed the chart of accounts codes. Anticipated Completion Date: 1/31/2025

View Audit 393258

Finding 1181906 (2024-002)

Material Weakness 2024

Butts County Board of Commissioners

GA

Internal Control / Segregation of Duties

Management will concur with the finding and will establish and implement formal procedures to ensure sufficient and appropriate documentation is obtained and maintained prior to removing a student from the graduation cohort.

View Audit 393207

Finding 1181833 (2024-002)

Material Weakness 2024

Pierre Indian Learning Center

SD

Reporting Internal Control / Segregation of Duties § 200.512

Corrective Action Plan for Finding 2024-002 Finding Title: Noncompliance with Single Audit Report Submission Requirements Federal Program(s): All programs included in the FY 2024 Single Audit Contact Person Responsible for Corrective Action: Dr. Veronica Morley, Superintendent Anticipated Completion...

Corrective Action Plan for Finding 2024-002 Finding Title: Noncompliance with Single Audit Report Submission Requirements Federal Program(s): All programs included in the FY 2024 Single Audit Contact Person Responsible for Corrective Action: Dr. Veronica Morley, Superintendent Anticipated Completion Date: March 31, 2025 Corrective Action Plan: Management concurs with the finding. The delay in submitting the Single Audit reporting package to the Federal Audit Clearinghouse was due delayed completion of audited financial statements. The school is in the process of getting current with audited financials statements.

View Audit 393100

Finding 1181785 (2024-001)

Material Weakness 2024

East Central Iowa Workforce Development Board

IA

Equipment & Real Property Management Internal Control / Segregation of Duties

Response and Corrective Action Planned – The ECIWDB acknowledges this deficiency and commits to taking the following corrective action: Documented establishment of a procedure that will allow for the Executive Director to approve payments in real time, with subsequent affirmation by the Finance Comm...

Response and Corrective Action Planned – The ECIWDB acknowledges this deficiency and commits to taking the following corrective action: Documented establishment of a procedure that will allow for the Executive Director to approve payments in real time, with subsequent affirmation by the Finance Committee at their monthly meetings. This procedural change shall be implemented on or about November 1, 2025.

View Audit 393072

Finding 1181651 (2024-001)

Material Weakness 2024

Partnership Homes, Inc.

NC

Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.512

Partnership Homes, Inc. Greensboro, North Carolina CORRECTIVE ACTION PLAN February 11, 2026 Federal Audit Clearinghouse 1201 East 10th Street Jeffersonville, Indiana 47132 Partnership Homes, Inc. respectfully submits the following Corrective Action Plan for the year ended December 31, 2024. Bernard ...

Partnership Homes, Inc. Greensboro, North Carolina CORRECTIVE ACTION PLAN February 11, 2026 Federal Audit Clearinghouse 1201 East 10th Street Jeffersonville, Indiana 47132 Partnership Homes, Inc. respectfully submits the following Corrective Action Plan for the year ended December 31, 2024. Bernard Robinson & Company, L.L.P. 1501 Highwoods Blvd., Suite 300 Post Office Box 19608 Greensboro, North Carolina 27419-9608 Audit period: Year ended December 31, 2024 The finding from the December 31, 2024 Schedule of Findings and Questioned Costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. Findings - Federal Award Programs Audits Finding No. 2024-001: HOME Investment Partnerships Program , CFDA #14.239 Recommendation: We recommend management ensure that the data collection forms are submitted electronically to the FAC within the required due dates each fiscal year going forward. Management's Response: We agree with Finding 2024-001 and the recommendation described in the accompanying schedule of findings and questioned costs. Management will provide additional oversight to ensure the data collection forms are submitted electronically to the FAC each fiscal year going forward within required due dates. The data collection form for the year ending December 31, 2023 was submitted to the FAC on August 27, 2025. If you have questions regarding this plan, please call Mike Cooke at (336) 707-5289. Sincerely yours, Mike Cooke Executive Director Partnership Homes, Inc.

View Audit 392927

Finding 1181619 (2024-001)

Material Weakness 2024

Community Services Unlimited, Inc.

CA

HUD Housing Programs Internal Control / Segregation of Duties

Corrective Action: We agree with the finding and will implement recommended procedures immediately. We will continue preparing a roll forward schedule of net assets with donor restriction, and review/approve the schedule with the appropriate authorized individuals prior to presenting to the auditors...

Corrective Action: We agree with the finding and will implement recommended procedures immediately. We will continue preparing a roll forward schedule of net assets with donor restriction, and review/approve the schedule with the appropriate authorized individuals prior to presenting to the auditors at the commencement of the annual audit. Name of Contact Person: Heather Fenney, Co-Executive Director Proposed Completion Date: December 31, 2025.

View Audit 392889

Finding 1181480 (2024-009)

Material Weakness 2024

Community Action Committee of the Lehigh Valley, Inc. and Subsidiaries

PA

Subrecipient Monitoring Material Weakness Reporting § 200.327 § 200.328 § 200.334

U.S. Department of Treasury • Material Weakness in Internal Control over Compliance Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Condition: During audit testing of financial reporting for the Coronavirus State and Local Fiscal Recovery Funds program, the Organiza...

U.S. Department of Treasury • Material Weakness in Internal Control over Compliance Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Condition: During audit testing of financial reporting for the Coronavirus State and Local Fiscal Recovery Funds program, the Organization was unable to locate three of ten financial reports requested for review. As a result, auditors were unable to verify the accuracy, completeness, or timeliness of the reported financial information for those reporting periods. Recommendation: The Organization should strengthen internal controls over financial reporting and record retention by establishing clear procedures to ensure that all required reports are accurately prepared, timely submitted, and retained in accordance with federal requirements. Management should designate responsible personnel and implement monitoring procedures to verify compliance with reporting and documentation standards. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: The Organization will require that all supporting documentation related to financial reporting—including reports, source data, approvals, and correspondence—be retained electronically within Sage Intacct using standardized attachment and naming conventions. Management will implement periodic monitoring procedures, including supervisory review and internal spot checks, to verify that reports are timely submitted and that documentation is properly retained in Sage Intacct in accordance with applicable federal record-retention requirements. Name(s) of the contact person(s) responsible for corrective action: Dawn Godshall, Executive Director Planned completion date for corrective action plan: Planned completion date is June 30, 2025.

View Audit 392710

Corrective Action Plans

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