Corrective Action Plans

Finding 1235733 (2025-002)

Material Weakness 2025

Peace Villa Inc.

MN

Internal Control / Segregation of Duties

Corrective Action Plan (CAP) f) Actions Planned in Response to the Finding: The Organization does not plan to take any action but is aware of the condition. Based on the cost of correcting this deficiency, the Organization has decided to accept the risk associated with this deficiency. g) Official R...

Corrective Action Plan (CAP) f) Actions Planned in Response to the Finding: The Organization does not plan to take any action but is aware of the condition. Based on the cost of correcting this deficiency, the Organization has decided to accept the risk associated with this deficiency. g) Official Responsible for Ensuring Corrective Action: Brenda Schmitz, Property Manager, will review the financial statements and related footnotes and approve them. h) Planned Completion Date for the Corrective Action: The corrective action plan for this finding will be completed by December 31, 2026. i) Explanation of Disagreement: There is no disagreement with the audit finding. j) Plan to Monitor Completion of Corrective Action: The Board will be monitoring this corrective action plan.

View Audit 411413

Finding 1235732 (2025-001)

Material Weakness 2025

Peace Villa Inc.

MN

Internal Control / Segregation of Duties

Corrective Action Plan (CAP) a) Actions Planned in Response to the Finding: The Organization will review and approve adjusting journal entries as proposed by the auditor, as well as taking responsibility for the audited financial statements. b) Official Responsible for Ensuring Corrective Action: Br...

Corrective Action Plan (CAP) a) Actions Planned in Response to the Finding: The Organization will review and approve adjusting journal entries as proposed by the auditor, as well as taking responsibility for the audited financial statements. b) Official Responsible for Ensuring Corrective Action: Brenda Schmitz, Property Manager, will review the adjusting journal entries and approve them. c) Planned Completion Date for the Corrective Action: The corrective action plan for this finding will be completed by December 31, 2026. d) Explanation of Disagreement: There is no disagreement with the audit finding. e) Plan to Monitor Completion of Corrective Action: The Board will be monitoring this corrective action plan.

View Audit 411413

Finding 1235694 (2025-100)

Material Weakness 2025

State of Montana

MT

Cash Management Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303

Inadequate Cash Management Controls - Various - DPHHS - The Montana Department of Public Health and Human Services implemented initial changes to its cash draw processes in state fiscal year 2025 and was in the process of implementing additional controls during a period of concurrent change in feder...

Inadequate Cash Management Controls - Various - DPHHS - The Montana Department of Public Health and Human Services implemented initial changes to its cash draw processes in state fiscal year 2025 and was in the process of implementing additional controls during a period of concurrent change in federal award administration (DOGE) and in state accounting policy. Gaps and inconsistencies in internal controls occurred during that transition. The department fully implemented revised cash draw processes and enhanced internal controls in August 2026 and will monitor the interval between drawdown and disbursement as part of its ongoing internal control monitoring. Responsible Party - Brenda Crawford, Internal Control and Compliance Officer, Montana Department of Public Health and Human Services Target Implementation Date - 8/21/2026

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Finding 1235688 (2025-021)

Material Weakness 2025

State of Montana

MT

Material Weakness Reporting Matching / Level of Effort / Earmarking § 200.303

Inadequate Control Over Federal Reporting - UI - DLI - The Montana Department of Labor and Industry resolved the control deficiencies related to the Employment and Training Administration (ETA) Forms 191, 9050, and 9052 through the modernization of the Unemployment Insurance system, which replaced t...

Inadequate Control Over Federal Reporting - UI - DLI - The Montana Department of Labor and Industry resolved the control deficiencies related to the Employment and Training Administration (ETA) Forms 191, 9050, and 9052 through the modernization of the Unemployment Insurance system, which replaced the Montana Integrated System to Improve Customer Service (MISTICS) with the Montana Unemployment Services Environment (MUSE). The new MUSE system became operational in October 2023, after the July through September 2023 reporting period covered by the finding. The department has also updated its procedures to ensure supervisory reviews and approvals are consistently documented and retained. Approval emails are now saved in monthly electronic shared files. Centralized retention in these shared files provides access to authorized staff, supports reported data, and reduces the risk of documentation being unavailable due to staff turnover or loss of individual records. Responsible Party - Robin Graham, Central Services Division Administrator, Montana Department of Labor and Industry Target Implementation Date - 12/31/2026

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Finding 1235687 (2025-020)

Material Weakness 2025

State of Montana

MT

Internal Control / Segregation of Duties Special Tests & Provisions Subrecipient Monitoring § 200.303

Inadequate Support for Benefit Accuracy Measurement Reviews - UI - DLI - The Montana Department of Labor and Industry began retaining copies of the on-demand report generated from the Sun System upon learning of the concern. This process continued until October 2024, when staff confirmed that the ne...

Inadequate Support for Benefit Accuracy Measurement Reviews - UI - DLI - The Montana Department of Labor and Industry began retaining copies of the on-demand report generated from the Sun System upon learning of the concern. This process continued until October 2024, when staff confirmed that the newly developed view in the Montana Unemployment System Enhancement (MUSE) system was functioning as intended. The MUSE system now includes a real-time interface that compares its data with the Sun System, providing staff with immediate information to monitor the volume of items selected for workload sampling. Responsible Party - Robin Graham, Central Services Division Administrator, Montana Department of Labor and Industry Target Implementation Date - 12/31/2026

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Finding 1235686 (2025-019)

Material Weakness 2025

State of Montana

MT

Internal Control / Segregation of Duties Reporting Significant Deficiency § 200.303

Inaccurate Federal Reporting - UI - DLI - The Montana Department of Labor and Industry has made several revisions to the Employment and Training Administration (ETA) 2112 preparation and reconciliation process. Additional notations have been added to the existing ETA 2112 preparation workbook, along...

Inaccurate Federal Reporting - UI - DLI - The Montana Department of Labor and Industry has made several revisions to the Employment and Training Administration (ETA) 2112 preparation and reconciliation process. Additional notations have been added to the existing ETA 2112 preparation workbook, along with screenshots to assist the preparer with accuracy. Unemployment Insurance transactional tasks have been re-assigned to the appropriate accounting and budgeting staff to improve workflow. An additional separate but collaborative bank-to-SABHRS reconciliation has been incorporated into the process. Monthly Unemployment Insurance process meetings have been reinstated for all staff who perform tasks that impact the preparation and reconciliation of the ETA 2112 report. The purpose of these meetings is to discuss any issues regarding the process and to check in on the completion of the report and its components. The department will be engaging with a sister state that uses the same vendor software for its Unemployment Insurance system in an information-sharing session. The designated state has staff experienced in ETA 2112 preparation and submission, and department staff hope to confirm that the system report utilized in the process reflects accurate data. The department has also re-engaged a previously procured vendor to conduct a reporting accuracy and efficiency assessment of the Unemployment Insurance Program. Responsible Party - Robin Graham, Central Services Division Administrator, Montana Department of Labor and Industry Target Implementation Date - 12/31/2026

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Finding 1235670 (2025-099)

Material Weakness 2025

State of Montana

MT

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Special Tests & Provisions § 200.303

Inadequate Access and Privilege Controls - TANF - LIHEAP - CHIP - Medicaid - DPHHS - The Montana Department of Public Health and Human Services completed the development of its accounts matrix for the CHIMES eligibility system in October 2025 and implemented an enhanced process for conducting and do...

Inadequate Access and Privilege Controls - TANF - LIHEAP - CHIP - Medicaid - DPHHS - The Montana Department of Public Health and Human Services completed the development of its accounts matrix for the CHIMES eligibility system in October 2025 and implemented an enhanced process for conducting and documenting access reviews, including verification of user permissions. These improvements have been fully incorporated into routine operations, and the department has implemented all aspects of the audit recommendations. Responsible Party - Brenda Crawford, Internal Control and Compliance Officer, Montana Department of Public Health and Human Services Target Implementation Date - 10/24/2025

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Finding 1235668 (2025-087)

Material Weakness 2025

State of Montana

MT

Allowable Costs / Cost Principles Eligibility Internal Control / Segregation of Duties § 200.303

Inadequate Manual Override Controls - TANF - DPHHS - The Montana Department of Public Health and Human Services implemented a business process in its eligibility system (CHIMES) on May 5, 2026, and revised it on August 25, 2026, to address common override reasons and to document the basis for each o...

Inadequate Manual Override Controls - TANF - DPHHS - The Montana Department of Public Health and Human Services implemented a business process in its eligibility system (CHIMES) on May 5, 2026, and revised it on August 25, 2026, to address common override reasons and to document the basis for each override. Effective August 19, 2026, staff added a targeted question to the monitoring tool regarding manual overrides and issuances to ensure these items are consistently reviewed. The department considers this corrective action implemented and will evaluate its effectiveness during the upcoming monitoring cycle. Responsible Party - Brenda Crawford, Internal Control and Compliance Officer, Montana Department of Public Health and Human Services Target Implementation Date - 8/25/2026

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Finding 1235665 (2025-084)

Material Weakness 2025

State of Montana

MT

Reporting Internal Control / Segregation of Duties Allowable Costs / Cost Principles § 200.303

Inaccurate ACF‑204 Reporting Controls - TANF - DPHHS - The Montana Department of Public Health and Human Services revised its instructions and implemented a mandatory review checklist on August 26, 2026. The updated process includes enhanced review steps and requires formal sign-off by both the prog...

Inaccurate ACF‑204 Reporting Controls - TANF - DPHHS - The Montana Department of Public Health and Human Services revised its instructions and implemented a mandatory review checklist on August 26, 2026. The updated process includes enhanced review steps and requires formal sign-off by both the program manager and the Temporary Assistance for Needy Families (TANF) unit designee prior to final report submission to ensure data accuracy. Responsible Party - Brenda Crawford, Internal Control and Compliance Officer, Montana Department of Public Health and Human Services Target Implementation Date - 8/26/2026

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Finding 1235649 (2025-063)

Material Weakness 2025

State of Montana

MT

Material Weakness Period of Performance Reporting § 200.303

Inaccurate RSA-911 Case Service Report - Voc Rehab - DPHHS - The Montana Department of Public Health and Human Services strengthened internal controls in August 2026 to ensure employment start dates are consistently and accurately captured in the RSA-911 report. The employment start date information...

Inaccurate RSA-911 Case Service Report - Voc Rehab - DPHHS - The Montana Department of Public Health and Human Services strengthened internal controls in August 2026 to ensure employment start dates are consistently and accurately captured in the RSA-911 report. The employment start date information was present in the department's case management system (Madison) and in case documentation; the condition arose in the system's reporting extraction layer, which caused accurate underlying data to be misstated in the submitted report. Because approximately 75 percent of cases in each RSA-911 submission carry forward from one reporting cycle to the next, the defect in the reporting layer affected multiple reporting periods. The department corrected the system's program field data in August 2026, prior to submitting the April through June 2026 RSA-911 report due that month. The department also implemented a validation check to detect and correct mismatches in future reports. The department has implemented corrective action and is working with its federal grantor agency to correct the reports submitted in fiscal year 2026. Responsible Party - Brenda Crawford, Internal Control and Compliance Officer, Montana Department of Public Health and Human Services Target Implementation Date - 8/21/2026

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Finding 1235647 (2025-110)

Material Weakness 2025

State of Montana

MT

Cash Management Material Weakness Matching / Level of Effort / Earmarking § 200.303

Inadequate Treasury State Agreement Preparation and Controls - O&M - Innovation - DOA - The Montana Department of Administration will each fiscal year identify major Cash Management Improvement Act programs, prepare and distribute interest-calculation spreadsheets to agencies, submit the annual repo...

Inadequate Treasury State Agreement Preparation and Controls - O&M - Innovation - DOA - The Montana Department of Administration will each fiscal year identify major Cash Management Improvement Act programs, prepare and distribute interest-calculation spreadsheets to agencies, submit the annual report, and prepare and submit the Treasury State Agreement. Responsible Party - Jennifer Thompson, State Accountant, Montana Department of Administration Target Implementation Date - 6/30/2026

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Finding 1235646 (2025-008)

Material Weakness 2025

State of Montana

MT

Cash Management Material Weakness Period of Performance § 200.303

Noncompliant Closeout Reporting - O&M - DMA - The Montana Department of Military Affairs concurs with the finding. In August 2024, the department and the United States Property and Fiscal Office (USPFO) identified older awards that remained open and should have been closed by prior staff. From Augus...

Noncompliant Closeout Reporting - O&M - DMA - The Montana Department of Military Affairs concurs with the finding. In August 2024, the department and the United States Property and Fiscal Office (USPFO) identified older awards that remained open and should have been closed by prior staff. From August through December 2024, the department worked with the USPFO to identify, reconcile, and close the outstanding awards. The department has since implemented a master award tracker to identify each award’s period-of-performance end date, applicable closeout deadline, and report status. The department reviews the tracker regularly and notifies staff of approaching closeouts to ensure final reports are accurate and submitted within required timeframes. Responsible Party - Janae Brower, Chief Financial Officer, Montana Department of Military Affairs Target Implementation Date - 11/30/2026

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Finding 1235644 (2025-006)

Material Weakness 2025

State of Montana

MT

Matching / Level of Effort / Earmarking Allowable Costs / Cost Principles Internal Control / Segregation of Duties § 200.303

Noncompliant Payroll Allocation Controls - O&M - DMA - The Montana Department of Military Affairs concurs with the finding and will strengthen controls to ensure payroll coding and allocations are updated timely. The department will create a process for all changes to task profile IDs to ensure accu...

Noncompliant Payroll Allocation Controls - O&M - DMA - The Montana Department of Military Affairs concurs with the finding and will strengthen controls to ensure payroll coding and allocations are updated timely. The department will create a process for all changes to task profile IDs to ensure accurate funding-split percentages and coding are in place before payroll processing. The department will perform reconciliations of payroll charges, document and promptly correct errors, and verify that corrections address all related coding elements and split percentages. Responsible Party - Janae Brower, Chief Financial Officer, Montana Department of Military Affairs Target Implementation Date - 11/30/2026

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Finding 1235618 (2025-036)

Material Weakness 2025

State of Montana

MT

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

Inadequate 1505-029 Reporting Controls - HAF - Commerce - The Montana Department of Commerce updated the Homeowners Assistance Fund reporting procedure to strengthen internal controls by requiring supervisory verification of all quarterly and annual reports. These updates ensure all reports are comp...

Inadequate 1505-029 Reporting Controls - HAF - Commerce - The Montana Department of Commerce updated the Homeowners Assistance Fund reporting procedure to strengthen internal controls by requiring supervisory verification of all quarterly and annual reports. These updates ensure all reports are complete, accurate, and fully documented prior to submission. Responsible Party - Ingrid Mallo, Chief Financial Officer, Montana Department of Commerce Target Implementation Date - 7/1/2026

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Finding 1235616 (2025-028)

Material Weakness 2025

State of Montana

MT

Special Tests & Provisions Material Weakness Matching / Level of Effort / Earmarking § 200.303

Noncompliant Certified Payrolls - HPC - MDT - The Montana Department of Transportation partially concurs that there are late certified payrolls. To verify whether a certified payroll is warranted, contractor records—such as payroll cycle dates and corresponding Daily Work Report entries—must be revi...

Noncompliant Certified Payrolls - HPC - MDT - The Montana Department of Transportation partially concurs that there are late certified payrolls. To verify whether a certified payroll is warranted, contractor records—such as payroll cycle dates and corresponding Daily Work Report entries—must be reviewed. Comparing datasets can help identify items needing further examination, but an analytical review alone cannot determine whether a certified payroll is late. Each contractor follows its own payroll cycle, and federal requirements must be applied to the circumstances of each contractor. This concern was raised multiple times, and while some issues were addressed, the additional review needed to confirm the accuracy of the identified noncompliance remains unresolved. In communication with the department, the auditor stated that “we will never arrive at an exact number we can all agree on due to gaps in Daily Work Report data and an uncertain measurement metric.” This acknowledgment calls into question the reliability of the projected late payment rate and indicates the need for additional procedures to validate the assumptions and methodology used in the analytical review. The department manually recalculated the contractor identified as having the highest number of late submissions. This review resulted in a rate 47.53 percent lower than the auditor’s calculation; however, the auditor did not revise the analysis. This recalculation reflects only one contractor, and reviewing the remaining contractors would likely further reduce the overall percentage. The department will continue strengthening internal controls on overdue payrolls. The original payroll withholding specification lacked a standard calculation method, which led to inconsistent practices among project managers. The Contract Administration Section developed a standardized deduction table based on the awarded contract amount to ensure consistent application statewide. Specification language was also revised for clarity. Additionally, the Contract Administration Section developed a monthly overdue payroll report that will be sent to project managers around the fifteenth of each month. This report will help identify and address overdue payrolls before the monthly estimate cycle ends. The department will continue monitoring overdue payrolls, ensuring proper withholding on estimates, and providing guidance and additional training to project staff. A guide has also been provided to help staff document communication with contractors and apply correct withholding. Responsible Party - Kimberly Doherty, Accounting Systems Supervisor, Montana Department of Transportation Dustin Rouse, Chief Engineer, Montana Department of Transportation Target Implementation Date - 12/31/2026

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Finding 1235600 (2025-092)

Material Weakness 2025

State of Montana

MT

Subrecipient Monitoring Internal Control / Segregation of Duties § 200.303

Noncompliant Risk Assessments - Foster Care - DPHHS - The Montana Department of Public Health and Human Services implemented a new risk assessment format and policy and procedure in June 2024. The department is following the new process, which was fully implemented in June 2024; the subrecipient ris...

Noncompliant Risk Assessments - Foster Care - DPHHS - The Montana Department of Public Health and Human Services implemented a new risk assessment format and policy and procedure in June 2024. The department is following the new process, which was fully implemented in June 2024; the subrecipient risk assessments cited in the finding were performed before that date. Responsible Party - Brenda Crawford, Internal Control and Compliance Officer, Montana Department of Public Health and Human Services Target Implementation Date - 7/25/2024

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Finding 1235527 (2025-068)

Material Weakness 2025

State of Montana

MT

Allowable Costs / Cost Principles Material Weakness Reporting § 200.303 § 200.334

Noncompliant Annual Reporting Controls - ESSER - OPI - The Montana Office of Public Instruction concurs with the finding. The grant is closed, and the temporary grant-funded staff are no longer with the agency. Moving forward, new grant managers will receive clearer direction on the agency’s interna...

Noncompliant Annual Reporting Controls - ESSER - OPI - The Montana Office of Public Instruction concurs with the finding. The grant is closed, and the temporary grant-funded staff are no longer with the agency. Moving forward, new grant managers will receive clearer direction on the agency’s internal controls. Responsible Party - April Grady, Chief Financial Officer, Montana Office of Public Instruction Target Implementation Date - 12/31/2026

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Finding 1235510 (2025-104)

Material Weakness 2025

State of Montana

MT

Subrecipient Monitoring Material Weakness Reporting § 200.303

Deficient FFATA Controls - Disaster Grants - DMA - The Montana Department of Military Affairs, Disaster and Emergency Services Division concurs with the finding. The division has implemented changes in response to prior audit finding 2023-073. When federal reporting systems were updated in March 202...

Deficient FFATA Controls - Disaster Grants - DMA - The Montana Department of Military Affairs, Disaster and Emergency Services Division concurs with the finding. The division has implemented changes in response to prior audit finding 2023-073. When federal reporting systems were updated in March 2025, the division adjusted its internal processes to align with the System for Award Management (SAM) and trained additional staff to reduce late and inaccurate reporting. Corrective actions have been implemented, and the required appendix is currently under review for approval. Responsible Party - Janae Brower, Chief Financial Officer, Montana Department of Military Affairs Target Implementation Date - 10/31/2026

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Finding 1235494 (2025-039)

Material Weakness 2025

State of Montana

MT

Reporting Internal Control / Segregation of Duties § 200.303

Misstated Obligation Reporting - SLFRF - GOV - The Montana Governor's Office of Budget and Program Planning does not agree that this matter represents material noncompliance. As the finding itself confirms, cumulative obligations were accurate as of the federal December 31, 2024 obligation deadline....

Misstated Obligation Reporting - SLFRF - GOV - The Montana Governor's Office of Budget and Program Planning does not agree that this matter represents material noncompliance. As the finding itself confirms, cumulative obligations were accurate as of the federal December 31, 2024 obligation deadline. No evidence supports the assertion that Treasury drew any incorrect conclusions from the one-quarter reporting delay, and the statement that the federal government “may have concluded” funds would be returned is speculative rather than fact based. The Office maintained documented controls over SLFRF administration and reporting, and the assertion that the Office had “no control” for verifying current obligations is factually incorrect, as the finding itself describes multiple control activities, including portal validations, MOU delegations, SABHRS budgetary accounting limitations, and standardized form checks. Additionally, the auditors identified no unsupported obligations under these controls or from the Office's interagency agreements, demonstrating that the Office’s control environment provided adequate assurance over current obligations and that additional internal audit procedures were not warranted given the low assessed risk of noncompliance before the obligation deadline. Ultimately, the one-quarter timing difference reflected a prudent and immaterial verification of accumulating budgetary reservations under newly issued Treasury guidance and had no impact on current or future financial integrity, state or federal appropriations, federal program outcomes, or compliance with cumulative obligation reporting requirements. Responsible Party - Chet McLean, Internal Control Coordinator, Montana Office of the Governor and Lieutenant Governor Target Implementation Date - N/A

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Finding 1235428 (2025-095)

Material Weakness 2025

State of Montana

MT

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Special Tests & Provisions § 200.303

Inadequate Provider Eligibility Controls - CHIP - DPHHS - The Montana Department of Public Health and Human Services does not concur. The department’s existing screening and enrollment controls satisfy the requirements of 42 CFR 455.410 and 455.412, and the federal grantor agency has already reviewe...

Inadequate Provider Eligibility Controls - CHIP - DPHHS - The Montana Department of Public Health and Human Services does not concur. The department’s existing screening and enrollment controls satisfy the requirements of 42 CFR 455.410 and 455.412, and the federal grantor agency has already reviewed and formally closed this finding based on those controls, as described below. The department implemented enhanced internal controls in fiscal year 2025 in direct response to prior single audit recommendations. Under these controls, the department receives and reviews a comprehensive quarterly screening report from its contractor and requires documented follow‑up when necessary. The federal grantor agency reviewed the department’s enhanced procedures, the contractor’s screening methodology, and the validation results, and closed the single audit finding, confirming the controls were adequate. In January 2025, the contractor provided a validation in which active National Provider Identifiers (NPIs) were compared against the Montana Medicaid file and the Provider Enrollment, Chain and Ownership System (PECOS). The validation confirmed a 96‑percent match rate requiring no further screening or enrollment actions, leaving only 4 percent of providers for the contractor to screen and enroll under federal requirements. Upon later audit inquiry, the department again consulted the federal agency. While reiterating regulatory expectations, the federal agency clarified that “the form and manner” of oversight activities remain within the state agency’s discretion. Given this explicit federal affirmation, together with the agency’s prior closure of the finding, the department maintains that its controls are fully compliant and effective and respectfully disagrees with the audit finding. Responsible Party - Brenda Crawford, Internal Control and Compliance Officer, Montana Department of Public Health and Human Services Target Implementation Date - N/A

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Finding 1235416 (2025-024)

Material Weakness 2025

State of Montana

MT

Special Tests & Provisions Material Weakness Reporting § 200.303

Inadequate Internal Controls Over Certified Payrolls - AIP - DOA - The Montana Department of Administration partially concurs with the finding. While the department oversees construction activities, it has consistently informed agencies that they retain responsibility for grant administration and fe...

Inadequate Internal Controls Over Certified Payrolls - AIP - DOA - The Montana Department of Administration partially concurs with the finding. While the department oversees construction activities, it has consistently informed agencies that they retain responsibility for grant administration and federal reporting for grants awarded directly to them. Each agency is responsible for notifying the Department of all applicable grant requirements, guidance, and restrictions. In this instance, the department understood that the Montana Department of Transportation approved invoices reflecting the federal and non-federal funding split only after receiving the contractor’s Statement of Compliance for all pay periods included in the invoicing period. Due to limited time to respond to the audit finding, the department was unable to confirm with its contracted engineering firm the specific dates the certified payrolls were received and verified. To strengthen future compliance, the department will include language in project memoranda of understanding assigning responsibility for federal wage-rate compliance and record keeping to the agency that received the federal grant. The department will also implement internal controls requiring agencies to confirm that certified payroll requirements have been verified before payments are processed. Responsible Party - Russell Katherman, Administrator of Architecture and Engineering , Montana Long Range Building, Montana Department of Administration Target Implementation Date - 12/31/2026

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Finding 1235394 (2025-078)

Material Weakness 2025

State of Montana

MT

Subrecipient Monitoring Material Weakness Reporting § 200.303

Noncompliant FFATA - Innovation Waivers - SAO - The Montana State Auditor’s Office concurs with the finding. The Office has provided additional training to the team responsible for administering the State Innovation Waiver grant. The Office has also strengthened its procedures for monitoring award n...

Noncompliant FFATA - Innovation Waivers - SAO - The Montana State Auditor’s Office concurs with the finding. The Office has provided additional training to the team responsible for administering the State Innovation Waiver grant. The Office has also strengthened its procedures for monitoring award notices to ensure that reports required under the Federal Funding Accountability and Transparency Act are submitted no later than the end of the month following the month in which an obligation is made. Responsible Party - Amber Long-Thorvilson, Chief Financial Officer, Montana State Auditor's Office Target Implementation Date - 9/1/2026

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Finding 1235387 (2025-042)

Material Weakness 2025

State of Montana

MT

Special Tests & Provisions Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

Noncompliant Incentive Compensation Controls - SFA - MSU - The Montana State University - Bozeman concurs with the finding. Since approximately 2023, language has been included on the lump-sum bonus form that prohibits any bonus for classified staff related to the recruitment or admission of student...

Noncompliant Incentive Compensation Controls - SFA - MSU - The Montana State University - Bozeman concurs with the finding. Since approximately 2023, language has been included on the lump-sum bonus form that prohibits any bonus for classified staff related to the recruitment or admission of students. Any bonus request submitted to the Office of the Commissioner of Higher Education for contract employees is reviewed and approved by the University's Compensation Advisory Council, which also reviewed these federal regulations. In December 2024, the Montana University System Staff Compensation Plan was updated to explicitly exclude such payments. Responsible Party - Jeannette Grey Gilbert, Chief Human Resources Officer, Montana State University - Bozeman Target Implementation Date - 12/31/2024

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Finding 1235386 (2025-041)

Material Weakness 2025

State of Montana

MT

Special Tests & Provisions Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

Noncompliant GLBA Oversight - SFA - MSU - The Montana State University - Bozeman concurs. The University has hired a Chief Information Security Officer, who is designated as the Qualified Individual as part of the University’s Information Security Plan. Responsible Party - John Williams, Chief Infor...

Noncompliant GLBA Oversight - SFA - MSU - The Montana State University - Bozeman concurs. The University has hired a Chief Information Security Officer, who is designated as the Qualified Individual as part of the University’s Information Security Plan. Responsible Party - John Williams, Chief Information Security Officer, Montana State University - Bozeman Target Implementation Date - 2/28/2025

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Finding 1235361 (2025-056)

Material Weakness 2025

State of Montana

MT

Special Tests & Provisions Student Financial Aid Eligibility § 200.303

Inaccurate COA Calculations - SFA - UM - The University of Montana – Missoula conducted additional review and provided supplemental documentation and clarification for the remaining sampled student records; however, one exception could not be fully resolved. The University is committed to strengthen...

Inaccurate COA Calculations - SFA - UM - The University of Montana – Missoula conducted additional review and provided supplemental documentation and clarification for the remaining sampled student records; however, one exception could not be fully resolved. The University is committed to strengthening its documentation, retention, and review processes to ensure that support for cost-of-attendance calculations and adjustments is consistently maintained, documented, and adequately substantiated going forward. Responsible Party - Morgan Hahn, Interim Financial Aid Director, University of Montana - Missoula Target Implementation Date - 12/31/2026

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Corrective Action Plans

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