Corrective Action Plans

Finding 525650 (2024-002)

Material Weakness 2024

NC

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

The County will develop a 2nd Party Review from that will be used to check completed applications for accuracy in applying policy and to assure all verifications have been uploaded to the NCFAST system.

View Audit 344762

Finding 525649 (2024-002)

Significant Deficiency 2024

Chowan County, North Carolina

NC

Questioned Costs Eligibility Internal Control / Segregation of Duties

New Procedures and controls are being developed for all Medicaid caseworkers to follow. There were 60 Medicaid transactions that were examined, that resulted in (1) Eligibility error discovered during the fiscal year findings June 30, 2024. (1) Eligibility error SSI benefits terminated, no proof of ...

New Procedures and controls are being developed for all Medicaid caseworkers to follow. There were 60 Medicaid transactions that were examined, that resulted in (1) Eligibility error discovered during the fiscal year findings June 30, 2024. (1) Eligibility error SSI benefits terminated, no proof of disability in the file. Documentation Training Power Point will need to be utilized for all Medicaid workers when documenting each case. Application/Recertification check list will be used for applications and recertifications. Supervisor and Lead Worker will continue to review all pending Medicaid applications, and complete 2nd Party reviews once applications are completed. NC Fast Learning Gateway trainings and New employee trainings will be conducted. Medicaid workers will need to make sure they are working the SSI Termination report to eliminate any future paybacks. Workers will continue to have Round Table Meetings to discuss policy, administrative letters, and cases. Medicaid workers will keep the case record accurate, verifications, and reserve calculations correct. Proposed Completion Date: November 1, 2024. Certain controls are currently being created and reviewed. Management will continue to monitor the progress of this issue and modify the controls as needed.

View Audit 344759 Questioned Costs: $1

Finding 525618 (2024-001)

None 2024

Town of Dudley, Massachusetts

MA

Internal Control / Segregation of Duties Questioned Costs Subrecipient Monitoring

When the reporting portal opens in late March 2025 for Annual Reports due by April 30, 2025 (for the April 1, 2024-March 31, 2025 reporting period), the Town Accountant will enter a project under expenditure category 6.1 (Revenue Replacement) that will include the $3,519,030.12 that was obligated an...

When the reporting portal opens in late March 2025 for Annual Reports due by April 30, 2025 (for the April 1, 2024-March 31, 2025 reporting period), the Town Accountant will enter a project under expenditure category 6.1 (Revenue Replacement) that will include the $3,519,030.12 that was obligated and expended by Dudley for revenue replacement. On the overview section of the 2024 report the town will report the full $3,519,030.12 as obligated and expensed.

View Audit 344723

Finding 525611 (2024-001)

Significant Deficiency 2024

Housing Authority of the Borough of Clementon

NJ

HUD Housing Programs Special Tests & Provisions Significant Deficiency

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor. The Authority will increase oversight in the Section 8 Housing Choice Vouchers Program to ensure that established internal control policies are being followed on a timely basis. Ve...

Views of responsible officials and planned corrective action: The Authority accepts the recommendation of the auditor. The Authority will increase oversight in the Section 8 Housing Choice Vouchers Program to ensure that established internal control policies are being followed on a timely basis. Vernon Lawrence, Executive Director, will be responsible to implement this corrective action by June 30, 2025.

View Audit 344709

Finding 525598 (2024-001)

Significant Deficiency 2024

Allegheny College

PA

Questioned Costs Student Financial Aid Reporting

Criteria, Condition, Cause: We concur that our timely reporting of academically dismissed students during the non-required summer term is an issue and will be vigilant to prevent this delayed reporting in the fun1re. It should be noted that this small cohort was all deemed ineligible to return for ...

Criteria, Condition, Cause: We concur that our timely reporting of academically dismissed students during the non-required summer term is an issue and will be vigilant to prevent this delayed reporting in the fun1re. It should be noted that this small cohort was all deemed ineligible to return for the upcoming semester on the same day, and so that singular days' enrollment status changes were the only updates that were untimely in the submission to the National Student Loan Data System (NSLDS). We will be modifying and monitoring our process to accurately capture and report to the NSLDS sh1dents determined to be ineligible to return in the fall semester even during a tenn of non-required enrollment. Effect, Questioned costs, Context: Enrollment rosters and updated enrollment statuses are reported regularly with NSLDS to ensure current enrollment status that can impact loan repayment dates and in-school deferments are accurately on record with the Department of Education. For the summer enrollment roster, although Allegheny's summer term is a non-required tern1, students that are not enrolled in the summer tern1, but Allegheny is aware that they will not be enrolled in the upcoming required fall tem1 must be reported as withdrawn through the summer enrollment roster. Recommendation The College will continue to confom1 to the NSLDS reporting process and timeline, and with the collaboration of the Financial Aid's, Registrar's, and Provost's Offices, will fully bring the non-required term enrollment reporting into alignment. For the next non-required summer tern1 enrollment report in 2025, Allegheny will be incorporating the shtdents determined to be academically dismissed from the spring tenn on the initial summer enrollment roster with the updated withdrawn stah1s. The initial summer enrollment roster will be submitted within 60 days.

View Audit 344703

Finding 525577 (2024-002)

Material Weakness 2024

Gage County

NE

Internal Control / Segregation of Duties Reporting

The County has discussed the finding but must consider the cost of adequate segregation of duties when determining the use of tax money.

View Audit 344683

Finding 525576 (2024-001)

Material Weakness 2024

Gage County

NE

Internal Control / Segregation of Duties Questioned Costs Special Tests & Provisions

The County has discussed the finding but must consider the cost of professional resources to complete a set of drafted county financial statements.

View Audit 344683

Finding 525569 (2024-002)

Significant Deficiency 2024

City of Danube

MN

Internal Control / Segregation of Duties

Name of Contact Person: Dotty Schnobrich, City Clerk

View Audit 344659

Finding 525569 (2024-002)

Significant Deficiency 2024

City of Danube

MN

Internal Control / Segregation of Duties

Correction Action: The finance related tasks will be separated as much as possible and alternative controls will be used to compensate for the lack of separation. The City Council will become more involved in providing some of these controls.

View Audit 344659

Finding 525569 (2024-002)

Significant Deficiency 2024

City of Danube

MN

Internal Control / Segregation of Duties

Proposed Completion Date: The City Council will implement the above procedures immediately.

View Audit 344659

Finding 525563 (2024-005)

Significant Deficiency 2024

Bethany College

KS

Special Tests & Provisions Questioned Costs Significant Deficiency

Corrective Action Plan 2024-005: The College has provided to the USDA the required documentation that had been identified as not sufficiently provided and has established controls to ensure that the requirements listed in the Letter of Conditions will be met each year going forward. Completion Date...

Corrective Action Plan 2024-005: The College has provided to the USDA the required documentation that had been identified as not sufficiently provided and has established controls to ensure that the requirements listed in the Letter of Conditions will be met each year going forward. Completion Date: December 2024 Contact Person: Steven W. Eckman, President

View Audit 344637

Finding 525547 (2024-002)

Material Weakness 2024

Jay County School Corporation

IN

Questioned Costs Allowable Costs / Cost Principles School Nutrition Programs § 200.303

Context: During testing of activities allowed and unallowed/allowable costs, it was noted the School Corporation transferred $48,693 from the School Lunch Fund to the JCHS Prepaid Food/Trust Acct to settle negative student balances deemed uncollectible. Outstanding student debt resulting from nonpa...

Context: During testing of activities allowed and unallowed/allowable costs, it was noted the School Corporation transferred $48,693 from the School Lunch Fund to the JCHS Prepaid Food/Trust Acct to settle negative student balances deemed uncollectible. Outstanding student debt resulting from nonpayment of school meals or milk is an unallowable expenditure to the nonprofit school food service account and cannot be absorbed by the food service program at the end of the school year. It must be paid for with other non-federal sources. Contact Person Responsible for Corrective Action: Shannon Current Contact Phone Number: 260-726-9341 Views of Responsible Official: We concur with the finding now that we have more clarifying information. Prior to this audit, we were told we had to use non-federal funds to write off the debt. The published documentation we had was vague as it only stated non-federal funds. With the assistance of our food service company, we were told that catering, adult meals, and al a carte were all non-federal funds. They also had a calculation for figuring out the amount of non-federal funds that we had to make sure it was enough to cover the negative debt. Description of Corrective Action Plan: Moving forward, I will make sure that any negative debt is written off using the operations fund, rainy day, or other approved fund. Anticipated Completion Date: The next time we are required to write off debt. Possibly June 30, 2025.

View Audit 344628 Questioned Costs: $1

Finding 525538 (2024-001)

Significant Deficiency 2024

Benedict College

SC

Student Financial Aid Internal Control / Segregation of Duties Questioned Costs

Return of Title IV (R2T4) Planned Corrective Action: The College will continue to ensure that the Financial Aid staff is properly and regularly trained on all aspects of Return of Title IV Funds. The staff will participate in any webinars or conferences available. Weekly reports will be produced ...

Return of Title IV (R2T4) Planned Corrective Action: The College will continue to ensure that the Financial Aid staff is properly and regularly trained on all aspects of Return of Title IV Funds. The staff will participate in any webinars or conferences available. Weekly reports will be produced to ensure that all calculations are completed within the 45-day regulation. The Director of Financial Aid will regularly review calculations for accuracy, completeness, and timely return of funds. Person Responsible for Corrective Action Plan: Monique Rickenbaker, Director of Financial Aid and Scholarships Anticipated Date of Completion: July 1, 2025

View Audit 344611

Finding 525525 (2024-002)

Material Weakness 2024

Cleveland Municipal School District

OH

Questioned Costs Allowable Costs / Cost Principles Reporting § 200.430

We were previously found to be compliant with time and effort based on a single annual survey, although DEW’s guidance states it should be done semi-annually. We will be changing time and effort reporting to at least twice annually, resolving this issue. One was completed September 2024 and another ...

We were previously found to be compliant with time and effort based on a single annual survey, although DEW’s guidance states it should be done semi-annually. We will be changing time and effort reporting to at least twice annually, resolving this issue. One was completed September 2024 and another will be completed by February 2025.

View Audit 344601

Finding 525520 (2024-001)

Material Weakness 2024

Cleveland Municipal School District

OH

Cash Management Reporting Internal Control / Segregation of Duties

The Ohio Department of Education and Workforce audited the Nutrition Department last school year and found the same inconsistencies in its accounting and claiming practices. For this reason, we implemented a new point of sale (POS) system in all schools during the summer of 2024. Implementing the PO...

The Ohio Department of Education and Workforce audited the Nutrition Department last school year and found the same inconsistencies in its accounting and claiming practices. For this reason, we implemented a new point of sale (POS) system in all schools during the summer of 2024. Implementing the POS system will eliminate human errors in our paper-tracking meal-claiming practices. With the new POS system, the cashier presses a “meal” key when students receive a reimbursable meal. Doing so automatically tallies the day's meal counts for breakfast and lunch. The POS system will "flag" schools that have over claimed their enrollment. This flagging system is the same system that is on the CRRS site that the state uses. The new POS can also generate monthly CN-6 & 7 forms, which automatically add up the school's monthly breakfast and lunch counts and are used to file meal reimbursement in CRRS. Daily the managers check their end of day reports to make sure the meals were accounted for properly and not over claimed. At the end of the month our accounting team also checks the meal counts for accuracy before the numbers are entered into CRRS.

View Audit 344601

Finding 525518 (2024-002)

None 2024

Greenheart International

IL

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

2024-002 Name of Contact Person: Matthew Roy Corrective Action: Management believes this is a carryover from the prior year. The period tested was before the prior year audit so there was therefore no opportunity to correct the issue following the prior year comment. All periods subsequent to the 20...

2024-002 Name of Contact Person: Matthew Roy Corrective Action: Management believes this is a carryover from the prior year. The period tested was before the prior year audit so there was therefore no opportunity to correct the issue following the prior year comment. All periods subsequent to the 2023 audit have been properly supported and will be going forward. Proposed Completion Date: Management considers this finding resolved as of August 2024.

View Audit 344596

Finding 525513 (2024-001)

None 2024

Sjmc Senior H.d.f.c

NY

Questioned Costs Procurement, Suspension & Debarment HUD Housing Programs

As of January 13, 2025, management has made the required $45,000 in payments to cover the missing deposits in December 2024 and January 2025. Automatic payments have been set up as of January 2025 for future required payments and the Project is currently up to date.

View Audit 344580 Questioned Costs: $1

Finding 525505 (2024-004)

Material Weakness 2024

Maywood-Melrose Park-Broadview School District 89

IL

Questioned Costs School Nutrition Programs Internal Control / Segregation of Duties § 200.402

Maywood-Melrose Park-Broadview School District 89 06-016-0890-02 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS22 Year Ending June 30, 2024 Corrective Action Plan Finding No.: 2024- 004 Condition: The District has a contract with Open Kitchens for meals served under the ...

Maywood-Melrose Park-Broadview School District 89 06-016-0890-02 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS22 Year Ending June 30, 2024 Corrective Action Plan Finding No.: 2024- 004 Condition: The District has a contract with Open Kitchens for meals served under the Child Nutrition Cluster. In early fiscal year 2024, the District received notice that the method of payment to this vendor was to change to ACH. After further correspondence, the District remitted an ACH payment for three months of services for $936,828. The District subsequently discovered that the ACH was remitted to a fraudulent vendor. Plan: The district’s plan is any request through ACH will first get a call to the accounts receivable department at the company to ensure this is the proper way of making payment. The district will also follow up with a second call to our account rep to verify that the information is correct. The original payment to the vendor will be a small portion of the payment to verify the information. After this payment, a call will be made to accounts receivable to ensure payment. Anticipated Date of Completion: June 30, 2025 Name of Contact Person: Scott Wold, Business Manager

View Audit 344578 Questioned Costs: $1

Finding 525502 (2024-007)

Significant Deficiency 2024

Maywood-Melrose Park-Broadview School District 89

IL

Questioned Costs Procurement, Suspension & Debarment Matching / Level of Effort / Earmarking § 200.303

Maywood-Melrose Park-Broadview School District 89 06-016-0890-02 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS Year Ending June 30, 2024 Corrective Action Plan Finding No.: 2024- 007 Condition: During our audit of Education Stabilization Fund, we noted the District paid...

Maywood-Melrose Park-Broadview School District 89 06-016-0890-02 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS Year Ending June 30, 2024 Corrective Action Plan Finding No.: 2024- 007 Condition: During our audit of Education Stabilization Fund, we noted the District paid the vendor for duplicate invoices. The erroneous invoice passed through all necessary controls, including purchase order/invoice review and approval to payment approval, resulting in the invoice being paid twice to the vendor for a single service. BT noted the total suspected duplicated invoices to be $2,955.67. Plan: Moving forward, our accounts payable coordinator will not adjust invoice numbers in IVEE and instead check the general ledger to ensure payment for that invoice has not already been made. Business Manager will perform a review of the list of bills to ensure there are no duplicate payments. Anticipated Date of Completion: June 30, 2025 Name of Contact Person: Scott Wold, Business Manager

View Audit 344578

Finding 525499 (2024-006)

Material Weakness 2024

Maywood-Melrose Park-Broadview School District 89

IL

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.402 § 200.408

Maywood-Melrose Park-Broadview School District 89 06-016-0890-02 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS Year Ending June 30, 2024 Corrective Action Plan Finding No.: 2024- 006 Condition: Audit procedures identified that the District claimed $2,097,350 of expendit...

Maywood-Melrose Park-Broadview School District 89 06-016-0890-02 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS Year Ending June 30, 2024 Corrective Action Plan Finding No.: 2024- 006 Condition: Audit procedures identified that the District claimed $2,097,350 of expenditures on their June 30, 2024 reimbursement claim submitted to the Illinois State Board of Education, however these expenditures were not received and paid by the District until July/August 2024. Plan: The district performs a review of supporting documentation for expenditures claimed during a reimbursement request to ensure that expenditures claimed for reimbursement occurred during the fiscal year for which they are being claimed. Anticipated Date of Completion: June 30, 2025 Name of Contact Person: Scott Wold, Business Manager

View Audit 344578

Finding 525303 (2024-004)

Significant Deficiency 2024

Shelby Eastern Schools

IN

Questioned Costs Allowable Costs / Cost Principles School Nutrition Programs § 200.303 § 200.430

Context: For 5 selections, in a sample of 5 payroll transactions, the School Corporation did not have time and effort logs to support the portion of the employees’ time charged to the grant. The employees’ time was split with a non-federal fund; however, the School Corporation did not have support ...

Context: For 5 selections, in a sample of 5 payroll transactions, the School Corporation did not have time and effort logs to support the portion of the employees’ time charged to the grant. The employees’ time was split with a non-federal fund; however, the School Corporation did not have support for the allocation of the time charged to the School Lunch fund. Contact Person Responsible for Corrective Action: Chris Scott Contact Phone Number: 765-544-2246 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The School Corporation will implement a formal time and effort reporting system for all employees whose salaries are partially funded by federal grants. Our Café department has since revised our process and no longer charge any SES employee payroll to the Café Account for cleaning. As a result, this issue has been fully addressed and should not recure in future reporting periods Anticipated Completion Date: July 2024

View Audit 344529 Questioned Costs: $1

Finding 525299 (2024-003)

Material Weakness 2024

Shelby Eastern Schools

IN

School Nutrition Programs Internal Control / Segregation of Duties Eligibility § 200.303

Context: During testing over controls for eligibility, we noted there was no formal, secondary review for the applications entered in the food service software determining eligibility. Additionally, there was no documented annual review by School Corporation personnel of the income eligibility guid...

Context: During testing over controls for eligibility, we noted there was no formal, secondary review for the applications entered in the food service software determining eligibility. Additionally, there was no documented annual review by School Corporation personnel of the income eligibility guidelines used by the food service software. Contact Person Responsible for Corrective Action: Chris Scott Contact Phone Number: 765-544-2246 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: A new Food Service Director has been hired and will take responsibility for ensuring compliance with eligibility requirements. Additionally, the Business Manager will oversee the corrective actions and implement a formal secondary review process. The Business Manager will conduct and document secondary reviews for all applications entered into the food service software to verify eligibility determinations. This ensures compliance with regulatory standards and addresses the deficiencies noted in the audit findings. Anticipated Completion Date: June 2025

View Audit 344529

Finding 525297 (2024-001)

Significant Deficiency 2024

Gilbert Unified School District No. 41

AZ

Allowable Costs / Cost Principles Reporting Internal Control / Segregation of Duties § 200.303 § 200.510

Finding Number: 2024‐001 Program Name/Assistance Listing Titles: Emergency Connectivity Fund; Education Stabilization Fund Assistance Listing Numbers: 32.009; 84.425 Contact Person: Jackie Mattinen, Director of Finance Anticipated Completion Date: February 28, 2025 Planned Corrective Action: The Gil...

Finding Number: 2024‐001 Program Name/Assistance Listing Titles: Emergency Connectivity Fund; Education Stabilization Fund Assistance Listing Numbers: 32.009; 84.425 Contact Person: Jackie Mattinen, Director of Finance Anticipated Completion Date: February 28, 2025 Planned Corrective Action: The Gilbert Public Schools Finance Department will provide financial oversight of all State and Federal fund applications and will require finance approval prior to submittal of all State and Federal fund applications initiated by all District departments and schools.

View Audit 344525 Questioned Costs: $1

Finding 525280 (2024-004)

Significant Deficiency 2024

Tgu Public School District No. 60

ND

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Questioned Costs § 200.328

Official Responsible for Ensuring CAP Dani Haman, Head Start business manager, will be responsible to ensure that the appropriate measures are taken. Correcting Plan The District will provide Dani Haman, Head Start business manager, necessary training. The Planned Completion Date of CAP Immediately

View Audit 344504

Finding 525276 (2024-003)

None 2024

Sessions Village 202 171-Ee015

WA

Questioned Costs HUD Housing Programs Reporting

Finding 2024-003: Section 202 Supportive Housing for the Elderly, Capital Advance and Project Rental Assistance Contract, ALN 14.157 Anticipated Completion Date: February 7, 2025 Recommendation: It was recommended Sessions Village 202 implement internal controls to ensure that the audited finan...

Finding 2024-003: Section 202 Supportive Housing for the Elderly, Capital Advance and Project Rental Assistance Contract, ALN 14.157 Anticipated Completion Date: February 7, 2025 Recommendation: It was recommended Sessions Village 202 implement internal controls to ensure that the audited financial statements are filed in accordance with the regulatory agreement. Action Taken: On February 7, 2025, the audit was submitted to HUD through REAC. Sessions Village 202 will review the process and procedures in place for the audit, and implement internal controls to ensure that the audited financial statements are filed in accordance with the regulatory agreement going forward.

View Audit 344496

Corrective Action Plans

Filters