Corrective Action Plans

Finding 478900 (2023-006)

Significant Deficiency 2023

MA

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

EXECUTIVE OFFICE OF LABOR AND WORKFORCE DEVELOPMENT 2023-006 Unemployment Insurance, COVID-19 – Unemployment Insurance – Assistance Listing No. 17.225 Action taken in response to the finding: While Massachusetts BAM unit (MBAM) had been making progress in meeting timeliness deadlines, it began suff...

EXECUTIVE OFFICE OF LABOR AND WORKFORCE DEVELOPMENT 2023-006 Unemployment Insurance, COVID-19 – Unemployment Insurance – Assistance Listing No. 17.225 Action taken in response to the finding: While Massachusetts BAM unit (MBAM) had been making progress in meeting timeliness deadlines, it began suffering setbacks in or around July 2022. MBAM was experiencing difficulties with the SUN server not accepting data and the system adding additional edits that should not have existed. Consistent work with the USDOL Hotline resolved the issues and/or created workarounds. Ultimately the SUN server failed after degrading for a year. The server was unavailable for use sporadically through the year and for four full separate weeks in May, June, and July 2023. Not only were staff unable to submit DCI data but it took additional organizational work of handling unentered cases, additional time to work with the Hotline and test fixes, while needing additional steps to implement work arounds for items that could not be fixed. MBAM continues to utilize work arounds for BAM data entry. Since SWA’s SUN server has become functional again, MBAM has been improving timeliness. MBAM also continues to work with ETA Hotline to report and resolve defects within the SUN system. MBAM management also developed an organizational strategy for the unit to provide its investigators with weekly updates on what cases should be worked on based on batch due dates. A case status report has been developed to provide unit supervisors with the status of each case assigned, expected date of completion, work completed to date on case, and cause for delay. Additionally, MBAM management has developed in-house reporting to track individual investigators. The reports track each investigator, telling management the number of cases closed each week and tracking the aging of Investigations. The manager uses these reports to identify cases to be prioritized based on aging and to quickly identify if a specific investigator is lagging in their case closure. Based on performance, the Manager has coaching sessions with individual investigators a minimum of every two weeks where work prioritization, organization, and any other additional necessary issues are reviewed and discussed. A meeting with all investigators is held weekly to provide education, discuss change to policy/procedure, and provide an open forum for BAM program implementation questions. Monitoring also occurs at the end of each quarter. Based on outcome, discussion of weaknesses and development of new levels of support are discussed and implemented. Name of the contact person responsible for corrective action: Susan Saulnier, Director of UI Performs Planned completion date for corrective action plan: September 30, 2024

View Audit 315520

Finding 478886 (2023-002)

Significant Deficiency 2023

Housing Authority of the City of Seattle

WA

Questioned Costs HUD Housing Programs Internal Control / Segregation of Duties § 200.302

Moving to Work Demonstration Program – Assistance Listing No. 14.881 Recommendation: We recommend the Authority review their process and internal controls over HQS inspections to ensure compliance with HUD requirements and their administrative plan. Furthermore, management should ensure no HAP payme...

Moving to Work Demonstration Program – Assistance Listing No. 14.881 Recommendation: We recommend the Authority review their process and internal controls over HQS inspections to ensure compliance with HUD requirements and their administrative plan. Furthermore, management should ensure no HAP payments are issued for units that have not passed HQS housing inspections. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Housing Choice Voucher department is addressing inspection controls in multiple ways. The Department has added additional staffing and also has created new tracking that makes it easier to review and identify units that have not passed inspection and not been abated. The Department has also instituted an ongoing process that has the inspections manager conducting a monthly review of units moving through the abatement process to ensure timely processing and cessation of HAP payments as needed. As part of this review the Department is also conducting a comprehensive review of units that have prior failed inspections to ensure abatement occurred. Name of the contact person responsible for corrective action: Mark La Brayere Planned completion date for corrective action plan: Three elements are continuous with no final completion date. The singular comprehensive review is scheduled to be completed within three months.

View Audit 315516 Questioned Costs: $1

Finding 478873 (2023-003)

Significant Deficiency 2023

Harvest Against Hunger

WA

Allowable Costs / Cost Principles Significant Deficiency Matching / Level of Effort / Earmarking

Federal Agency: U.S. Department of the Treasury Federal Program Name: Coronavirus State and Fiscal Recovery Funds Assistance Listing Number: 21.027 Federal Award Identification Number and Year: K3422 & K3724 - 2021 Pass-Through Agency: Washington State Department of Agriculture Pass-Through Number(s...

Federal Agency: U.S. Department of the Treasury Federal Program Name: Coronavirus State and Fiscal Recovery Funds Assistance Listing Number: 21.027 Federal Award Identification Number and Year: K3422 & K3724 - 2021 Pass-Through Agency: Washington State Department of Agriculture Pass-Through Number(s): E128H7X5KWX5 Award Period: 7/1/21-6/30/23; 11/19/21-6/30/23 Type of Finding: • Significant Deficiency in Internal Control over Compliance Section III – Findings and Questioned Costs – Major Federal Programs Condition: Harvest Against Hunger allocates costs to the program based on the available funding and number of employees working on the project. They do not use the timesheet to record the operating hours for the program, but rather management makes a judgmental decision based on their understanding of program operations during the payroll period. Questioned costs: None Cause: The Organization lacks documentation supporting the allocation determination used to determine payroll amounts charged to the major program. Views of responsible officials: There is no disagreement with the finding. Criteria or specific requirement: Per §200.303, non-Federal entities must "establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non- Federal entity is managing the Federal award in compliance with Federal statues, regulations, and the terms and conditions of the Federal awards." Additionally, non-Federal entities must charge salaries and wages "based on records that accurately reflect the work performed" (§200.430(i)). Effect: Without proper documentation of the payroll allocation used, the Organization could charge time to a federal program that does not reflect true expenditures incurred by that program. Repeat Finding: This is not a repeated finding. Recommendation: The Organization should implement policies for consistently determining time allocation to the federal program, and ensure internal controls help to ensure this allocation is correct and consistently documented

View Audit 315495

Finding 478786 (2023-001)

Material Weakness 2023

County of Commissioners of Calvert County, Maryland

MD

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Point of Contact (POC): the Deputy Director of Accounting (vacant) will oversee the corrective action plan with assistance from an Accountant III (Casey Waldron)  Resource Requirements: the main resources will be the Deputy Director of Accounting and an Accountant III. It is anticipated that the no...

Point of Contact (POC): the Deputy Director of Accounting (vacant) will oversee the corrective action plan with assistance from an Accountant III (Casey Waldron)  Resource Requirements: the main resources will be the Deputy Director of Accounting and an Accountant III. It is anticipated that the non-recurring milestones will take no more than 40 hours to complete.  Planned Milestones: o Create a tracker for balance sheet account reconciliations – completed 05/24 o Every June and July, send out reminders on transitioning to the new fiscal year while the prior fiscal year is being closed to ensure expenses/revenue are accounted for properly. o Staff complete monthly balance sheet account reconciliations by the 15th of the following month o As part of each balance sheet account reconciliation, staff will prepare a document for each account (by 08/24 and updated annually) that includes the following information:  Name/Title of account  General Ledger account number  Fund (if applicable)  Purpose  Types of transactions  Transaction flow o Tracker and reconciliations are discussed monthly at a meeting led by either POC or the Director of Finance (Bruce Miller), meetings will be held the week that includes the 15th, if possible o Create a checklist for a quarterly review of revenue and expenses by 10/24 o Using the above checklist, perform a quarterly review of the revenue and expense data for quarters 1 through 3 no later than 30 days after the end of the quarter.  Actual-to-budget comparison for expenses/revenue  Cost centers used with the wrong fund  Negative expense balances  Positive revenue balances  Adjustments for issues identified during the quarterly review will be posted prior to the next quarterly review Maryland Relay for Impaired Hearing or Speech: 1-800-735-2258 o Consolidate year-end checklists into a master checklist by 08/24. The checklist must include the following information:  Procedure to be performed  Where instructions for the procedure are located  Responsibility Party  Date Due  Date Completed  Reviewing Party  Date Due  Date Completed o Hold bi-weekly year-end status meetings starting the 2nd week in July through the issuance of the audited financial statements  Scheduled Completion Date: the target completion date for non-recurring milestones is 10/24. As part of the CAP, we will be implementing recurring milestones that will be completed within the timelines specified above.  Status Date: o The tracker for balance sheet account reconciliations was completed in 05/24. o Staff is working daily on account reconciliations for Fiscal Year (FY) 2024. o The June reminder regarding the end of FY 2024 and the start of FY 2025 was sent on 06/30/24.

View Audit 315436

Finding 478781 (2023-003)

None 2023

Community Action Partnership of North Dakota Inc.

ND

Subrecipient Monitoring Internal Control / Segregation of Duties § 200.331

2023-003 – Subrecipient Monitoring Compliance Person responsible for corrective action – Andrea Olson, Executive Director Responsible official’s response – Management is in agreement with this finding. Corrective action planned – CAPND has subsequently requested all audit reports from all subrecipie...

2023-003 – Subrecipient Monitoring Compliance Person responsible for corrective action – Andrea Olson, Executive Director Responsible official’s response – Management is in agreement with this finding. Corrective action planned – CAPND has subsequently requested all audit reports from all subrecipients. Additionally, CAPND has changed subaward formatting to ensure that all required information is included within the award. Planned implementation date of corrective action – July 10, 2024

View Audit 315423

Finding 478774 (2023-005)

Significant Deficiency 2023

Alameda Health System, A Public Hospital Authority

CA

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

Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. The Health System will review, modify, and implement policies and procedures over the program to ensure that required reports are prepared and reviewed by separate individuals. Documentation will be mai...

Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. The Health System will review, modify, and implement policies and procedures over the program to ensure that required reports are prepared and reviewed by separate individuals. Documentation will be maintained by the program to evidence preparation and review processes and timely filing of required reports.

View Audit 315421

Finding 478772 (2023-003)

Significant Deficiency 2023

Alameda Health System, A Public Hospital Authority

CA

HUD Housing Programs Reporting Significant Deficiency § 200.303

Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. The Health System will review, modify, and implement policies and procedures over the program to ensure that performance reports are prepared and reviewed by separate individuals. Documentation will be ...

Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding. The Health System will review, modify, and implement policies and procedures over the program to ensure that performance reports are prepared and reviewed by separate individuals. Documentation will be maintained by the program to evidence preparation and review processes and timely filing of annual report.

View Audit 315421

Finding 478744 (2023-001)

Material Weakness 2023

Mason County, Illinois

IL

Internal Control / Segregation of Duties Subrecipient Monitoring

Corrective Action Plan To the extent possible, monitoring of monthly financial results and compliance information will continue in the County Courthouse offices and the County Health Department. Anticipated Completion Date The County is not in a financial position to hire additional employees. The...

Corrective Action Plan To the extent possible, monitoring of monthly financial results and compliance information will continue in the County Courthouse offices and the County Health Department. Anticipated Completion Date The County is not in a financial position to hire additional employees. The increased monitoring has already begun. Responsible Parties Kenneth Walker, Mason County Board Chairman 125 North Plum Havana, Illinois 62644 (309)543-3359 Cari Meeker, County Treasurer 125 North Plum Havana, Illinois 62644 (309)543-3359 Curt Jibben, County Health Department Administrator 1002 East Laurel Ave. Havana, Illinois 62644 (309)210-0110

View Audit 315403

Finding 478725 (2023-002)

Material Weakness 2023

Human Resource Development Institute

IL

Allowable Costs / Cost Principles Cash Management Internal Control / Segregation of Duties

The Organization will implement the following corrective actions for the fiscal year ending June 30, 2024 to remediate the finding and address the cause of the finding. The Organization will implement the following corrective actions for fiscal year 2024 to remediate the finding and address the caus...

The Organization will implement the following corrective actions for the fiscal year ending June 30, 2024 to remediate the finding and address the cause of the finding. The Organization will implement the following corrective actions for fiscal year 2024 to remediate the finding and address the cause of the finding. The Organization has hired staff with higher technical accounting skills than the previous staff. The following staff have been hired full-time or will be hired soon: Payroll and Benefits Specialist, Grant Accountant, Senior Staff Accountant, Accounts Payables and Receivables Specialist, and a Purchasing Specialist. • The Organization’s Human Resources has implemented quarterly audits on all new staff to verify each new staff member hired within the last year has a signed employee offer and appropriate backup support to support each employee’s annual salary. • The Organization has implemented a new accounting system – Sage Intacct. Additionally, we have implemented a grants project tracking module to better help with grants and contracts reporting and compliance. • The Organization has implemented a new payroll and human resources IT solution – UKG. All manual and onboarding processes will be implemented within the system for tracking and auditing purposes. The anticipated implementation date is in August 2024. • The Organization will implement an established month-end checklist for all monthly entries to be completed by assigned finance staff. We will ensure that all staff are trained adequately to handle any assigned task. All monthly entries are required to be reviewed and approved by the Chief Financial Officer prior to posting to the general ledger within our new Accounting Software. All appropriate backup documentation will be saved and stored within the accounting software. • All grant related year-end audit procedures will be transitioned to the Grant Accountant who has experience with audits, compliance, and reporting for City, State, and Federal grants. • The Organization will document accounting policies and procedures to reflect the new month-end processes and provide training to staff on current and future policies. • The Organization will ensure that Finance personnel receive a minimum of twenty-five (25) hours of training annually of relevant accounting topics including updates to generally accepted accounting principles, generally accepted government accounting principles, nonprofit and governmental financial reporting, and other related accounting trainings. • The Organization will ensure that any personnel involved in financial reporting have the technical expertise to help with the preparation, review, and analysis of the financial statements and supplementary information. The target date for implementation is August 31, 2024. The responsible party for the planned resources will be Gail Vijuk, Chief Financial Officer (708) 288-7897. Our address is 340 E. 51st St., Chicago, IL 60615.

View Audit 315390

Finding 478721 (2023-007)

Significant Deficiency 2023

Hyde County

NC

Eligibility Significant Deficiency Internal Control / Segregation of Duties

Finding: 2023-007 New Medicaid Supervisor started 6/1/23 & has put new procedures in place & training of staff to eliminate the errors that occurred during the audit. All cases are reviewed before being processed to make sure the worker has worked the case properly & if not immediate feedback, staff...

Finding: 2023-007 New Medicaid Supervisor started 6/1/23 & has put new procedures in place & training of staff to eliminate the errors that occurred during the audit. All cases are reviewed before being processed to make sure the worker has worked the case properly & if not immediate feedback, staffing & 2nd party review form is provided to the worker. Due to COVID & the State continuing cases this resulted in 15 of 35 of our errors. Of the 20 left, one is from 2018 due to the claim being paid in 2023 for a date of service of 2018. The other 19 relate to a current recert, however, review shows these were still worked prior to new supervisor & new procedures put into place. New staff has been brought in & are being trained one-on-one. It is anticipated that it will take 6 months - 1 year to get the new workers completely trained in their program. Team also has a pending new hire. Staffing cases & 2nd party reviews will continue indefinitely. It was recently determined that workers were not reviewing the eligibility check for correct income/household size. Training has the workers checking this now. Section III - Federal Award Findings and Questioned Costs (continued) 6 months - 1 year

View Audit 315389

Finding 478713 (2023-001)

Material Weakness 2023

United Mental Health & Addiction Recovery Coalition

IL

Reporting Internal Control / Segregation of Duties

Management concurs with the auditor’s finding and will implement the recommended corrective actions.

View Audit 315380

Finding 478705 (2023-001)

Significant Deficiency 2023

Nek Broadband

VT

Internal Control / Segregation of Duties Significant Deficiency

The management of NEK Broadband acknowledges the finding of a significant deficiency in internal controls noted by our auditors. We have implemented a new control to present all general journal entries as part of the monthly financial statement package to be reviewed by the finance and audit committ...

The management of NEK Broadband acknowledges the finding of a significant deficiency in internal controls noted by our auditors. We have implemented a new control to present all general journal entries as part of the monthly financial statement package to be reviewed by the finance and audit committee. Documentation of that review will be included in the monthly meeting minutes of the finance and audit committee. Further, we plan to implement a new accounting system with workflow controls, approval requirements and an integrated inventory system within the next year.

View Audit 315374

Finding 478689 (2023-001)

Significant Deficiency 2023

Prescott School District

AR

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

The Prescott School District understands that we have an audit finding due to not getting prior written approval from the Federal awarding agency or pass through entity for the purchases of equipment and other capital expenditures. The Prescott school district will contact the Arkansas Division of E...

The Prescott School District understands that we have an audit finding due to not getting prior written approval from the Federal awarding agency or pass through entity for the purchases of equipment and other capital expenditures. The Prescott school district will contact the Arkansas Division of Elementary and Secondary Education (DESE) for guidance regarding the matter and implement proper controls over program expenditures. This is anticipated to be completed before the staii of school for the 2024-2025 school year.

View Audit 315328 Questioned Costs: $1

Finding 478688 (2023-001)

Significant Deficiency 2023

National Council of Young Men's Christian Association of the USA

IL

Subrecipient Monitoring Internal Control / Segregation of Duties Reporting

Summary: During the fiscal year ended December 31, 2023, subgrants over $30,000 subject to Federal Funding Accountability and Transparency Act (FFATA) reporting were not submitted to the FFATA Subaward Reporting System (FSRS) website. Corrective Action Planned: We have implemented the following cont...

Summary: During the fiscal year ended December 31, 2023, subgrants over $30,000 subject to Federal Funding Accountability and Transparency Act (FFATA) reporting were not submitted to the FFATA Subaward Reporting System (FSRS) website. Corrective Action Planned: We have implemented the following controls in 2024 to address the deficiency: On a monthly basis, the Director, Development Operations and Grantmaking will prepare a report listing all subgrants awarded from the prior month. This report will include modifications to subgrants from earlier fiscal periods. The Senior Director, Federal Funding or the Vice President, Emerging Opportunities will review the report for accuracy and completeness. The Senior Manager, Accounting will then submit any subgrants over the $30,000 threshold to the FSRS website the month following the award or modification. The Senior Director, Revenue & Budget will review submitted FSRS submissions on a monthly basis. Anticipated Completion Date: Completed April 30, 2024 Name of Contact Person Responsible for the Plan: Jeff Johnson

View Audit 315327

Finding 478687 (2023-001)

Significant Deficiency 2023

Township of Berkeley

NJ

Reporting Internal Control / Segregation of Duties

The responsible officials will address the matter as part of their corrective action plan.

View Audit 315322

Finding 478686 (2023-001)

Significant Deficiency 2023

City of Deer River

MN

Internal Control / Segregation of Duties Reporting Significant Deficiency

Lack of segregation of duties Recommendation - The City's council members need to be cogniant of the issue and provide appropriate oversight. Such oversight could include review of all federal activity and posting of receipts and disbursements. In addition, any proprosed adjusting journal entir...

Lack of segregation of duties Recommendation - The City's council members need to be cogniant of the issue and provide appropriate oversight. Such oversight could include review of all federal activity and posting of receipts and disbursements. In addition, any proprosed adjusting journal entires should have additional oversight duties performed and documented. Action taken - the city is cognizant of the issue and continues to monitor the situation.

View Audit 315317

Finding 478680 (2023-002)

None 2023

South Carroll County Special School District

TN

Internal Control / Segregation of Duties Procurement, Suspension & Debarment Subrecipient Monitoring

For any construction or building improvements requiring the use of contractors in the future, management will discuss adherence to the Davis Bacon Act regarding prevailing wages with the contractors and obtain documentation from the contractors demonstrating compliance with the Act.

View Audit 315308

Finding 478672 (2023-001)

Material Weakness 2023

Centro Legal De La Raza

CA

Cash Management Reporting Matching / Level of Effort / Earmarking § 200.303

CORRECTIVE ACTION PLAN Summary Schedule of Current Year Audit Findings In accordance with Title 2 CFR 200 Uniform Administrative Requirements, Cost Principles and Audit Requirements under Section 200.511, Audit Findings follow-up, the following detail the summary of current year audit findings (and ...

CORRECTIVE ACTION PLAN Summary Schedule of Current Year Audit Findings In accordance with Title 2 CFR 200 Uniform Administrative Requirements, Cost Principles and Audit Requirements under Section 200.511, Audit Findings follow-up, the following detail the summary of current year audit findings (and the related corrective action plan) is presented below: Finding 2023-001: Inadequate Financial Reporting Condition: The tracking of eligible (billable) costs within the accounting system was inadequate and required a significant amount of work to generate reconciliations of billable costs to contract billings. In additional certain grants were inconsistently reflected as restricted or conditional compared to similar grants. As part of the process to review year end, management identified errors which required adjustments, the most common of which was adjusting revenue between restricted and conditional revenue. Criteria: CFR 200.303, Internal Controls, states that the non-Federal entity must: Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Additionally, management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Cause: The Organization did not have in place a formal, clear system which reconciled the billings to the funders and related eligible costs or releases related to certain restricted grants. Effect: Significant adjustments were proposed by management during the audit, principally between conditional and restricted revenue. Recommendation: We strongly recommend that all costs are coded directly to a contract within the accounting system and on a monthly or quarterly (at a minimum) basis there is a reconciliation of the billings between the funders and the revenue/costs related to the contracts to assure that all costs have been capture for billings and releases from restrictions. We also recommend detailed reviews/approvals of such reconciliations be performed. Questioned Costs: None identified. Context: While performing initial audit procedures, we requested management to perform a reconciliation of billings and related costs and review its recording of restricted and conditional grants. During management review, errors were identified by management and requested to be corrected. The condition noted is deemed to be systemic in nature. We did not identify any misstatements during our audit once the review was completed by management. Identification as a Repeat Finding: This is not a repeat finding. Management Views and Corrective Action Plan: Management agrees with the finding and recommendation. The Organization implemented a new accounting system effective July 1, 2023, in which substantially all costs are now coded to respective contracts which will provide much easily generatable support for billings. Management is working with the accounting team to implement a new process as part of the monthly closing procedures in which for cost reimbursement contacts there will be a review of revenue compared to costs to ascertain that the billing is accurate and complete. Name and Title of Responsible Official: Eos de Feminis, Interim CFO Planned Completion Date: Completed

View Audit 315304

Finding 478671 (2023-001)

Significant Deficiency 2023

Four Directions Development Corporation

ME

Questioned Costs Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

As part of internal controls and spenddown grant management, FDDC management regularly evaluates costs that are allowed to be allocated to CDFI if we are underspent for the grant. Management proactively charged specific non-federal funding sources to prevent the dispersion of administrative time as ...

As part of internal controls and spenddown grant management, FDDC management regularly evaluates costs that are allowed to be allocated to CDFI if we are underspent for the grant. Management proactively charged specific non-federal funding sources to prevent the dispersion of administrative time as indirect costs across programs, while continuing the practice of charging time considered indirect to the general administration pool. These salary and fringe charges, constituting the reclassifications, were deemed integral, allowable, reasonable, equitable, and directly allocable to the CDFI awards, rather than indirect. This clarifies the redistribution of staff time from three selected funding sources that offered the greatest flexibility. To support allocation costs, we utilize a Personal Activity Report (PAR) that is maintained in tandem with timecards to ensure management knows the activity performed supports the allocation of allowable expenses. In addition, as part of our analysis, time for fundraising and other non-allowable expenses were excluded as it constitutes an explicitly unallowable use of funds. Our financials undergo monthly reconciliation, with management reviewing spenddown at that time, often aggregating expenses occurring more than 30 days prior. A deliberate strategy to restrict direct billing to grants was employed to prevent overspending grants, utilizing the aforementioned technique, to ensure accurate and allowable expenses are reclassified to the appropriate grants. To address the concern, we reversed the entry to ensure there was no conflicting interpretation between FDDC and the auditor. FDDC plans to enhance internal processes to directly allocate all allowable expenses to the CDFI grant. Given the complexities of our shared understandings, management addressed the finding through the deployment of loan products during this audit period.

View Audit 315302 Questioned Costs: $1

Finding 478670 (2023-001)

Material Weakness 2023

Lifeline Connections

WA

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

Views of Responsible Officials and Planned Corrective Actions – Upon discovery of certain expenses that are no longer allowed for the CCBHC grant, Lifeline communicated the issue to SAMHSA. Lifeline immediately and proactively repaid to SAMHSA the full amount received for unallowable expenses, on Oc...

Views of Responsible Officials and Planned Corrective Actions – Upon discovery of certain expenses that are no longer allowed for the CCBHC grant, Lifeline communicated the issue to SAMHSA. Lifeline immediately and proactively repaid to SAMHSA the full amount received for unallowable expenses, on October 17, 2023.

View Audit 315292

Finding 478659 (2023-002)

Material Weakness 2023

Grundy Center Community School District

IA

Internal Control / Segregation of Duties

The District continually reviews internal controls and makes changes where appropriate.

View Audit 315260

Finding 478616 (2023-002)

Material Weakness 2023

Mid-Prairie Community School District

IA

Internal Control / Segregation of Duties Reporting

The District has implemented additional controls such as mandatory vacations for accounting staff and the engagement of an independent accounting professional who performs unannounced reviews of the current activities and processes cited above, as well as reviewing the workflow and work area, includ...

The District has implemented additional controls such as mandatory vacations for accounting staff and the engagement of an independent accounting professional who performs unannounced reviews of the current activities and processes cited above, as well as reviewing the workflow and work area, including electronic and paper files and correspondence of each employee while on their mandatory vacation. Written reports are provided to the Superintendent after each review visit and added to the employee’s personnel file. The District will continue to review internal controls and explore alternatives to improve segregation of duties.

View Audit 315243

Finding 478608 (2023-003)

Significant Deficiency 2023

Rice County, Minnesota

MN

Eligibility Significant Deficiency Internal Control / Segregation of Duties

FEDERAL AWARD PROGRAMS AUDITS 2023-003 Temporary Assistance for Needy Families Program (TANF) (Assistance Listing #93.558) Award #2301MNTANF, Passed through Minnesota Department of Human Services: Grant Period Year Ended December, 31, 2023; Eligibility Requirement Recommendation: It is recommended...

FEDERAL AWARD PROGRAMS AUDITS 2023-003 Temporary Assistance for Needy Families Program (TANF) (Assistance Listing #93.558) Award #2301MNTANF, Passed through Minnesota Department of Human Services: Grant Period Year Ended December, 31, 2023; Eligibility Requirement Recommendation: It is recommended the County implement procedures to ensure all required documentation is maintained in the file and that there are procedures in place to review files for errors and omissions in eligibility documentation. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County will review their process for data input and recording and remind staff to verify all eligibility requirements are documented for verbal interviews. Name of contact person responsible for corrective action plan: Rick Gieseke, Deputy Administrator Community Services Planned completion date for corrective action plan: December 31, 2024

View Audit 315237

Finding 478600 (2023-008)

Significant Deficiency 2023

Hertford County

NC

Eligibility Internal Control / Segregation of Duties

Finding 2023-006 Untimely Adoption of Policy Name of contact person: Corrective Action: Proposed completion date: Finding 2023-007 Untimely Review of SSI Termination Name of contact person: Corrective Action: Proposed completion date: Finding 2023-008 Inaccurate Information Entry Name of contact per...

Finding 2023-006 Untimely Adoption of Policy Name of contact person: Corrective Action: Proposed completion date: Finding 2023-007 Untimely Review of SSI Termination Name of contact person: Corrective Action: Proposed completion date: Finding 2023-008 Inaccurate Information Entry Name of contact person: Corrective Action: Immediately Leslie Edwards, Finance Director The Finance Office is currently fully staffed, the Finance Director and the County Manager will work together to ensure proper policies are completed and up to date for federal awards. The fiance director will ensure that policies needed for federal grant awards are in place. The policies were adopted in FY2023 and the finding should be eliminated in FY24. Section III - Federal Award Findings and Question Costs (continued) Regular review intervals will be established to ensure that these critical tasks are being addressed promptly and efficiently, minimizing the risk of delays in case processing. Prioritizing tasks according to urgency and compliance requirements. Focusing on terminated cases to prevent any potential service disruption to clients. Regular reminders will be issued to staff to review and work on their tasks according to the established guidelines. Management monitor daily to track progress of this issue and modify the controls as needed. All staff must use the provided checklists to review their work prior to submission or finalization. Staff are required to review the determination history to verify accuracy in household composition and income details. After completing a manual budget, workers must compare their results with the NCFAST-generated budget to confirm accuracy in budgeting and program eligibility. Training sessions include knowledge checks to validate understanding and retention of correct income entry methods. Engaging in peer reviews where feasible to promote a culture of accuracy and mutual accountability. Brenda Brown, Director; Melissa Castelow, Medicaid Supervisor; Satonya Gonzales, Medicaid Supervisor Brenda Brown, Director; Melissa Castelow, Medicaid Supervisor; Satonya Gonzales, Medicaid Supervisor

View Audit 315224

Finding 478599 (2023-007)

Significant Deficiency 2023

Hertford County

NC

Internal Control / Segregation of Duties Eligibility Reporting

Finding 2023-006 Untimely Adoption of Policy Name of contact person: Corrective Action: Proposed completion date: Finding 2023-007 Untimely Review of SSI Termination Name of contact person: Corrective Action: Proposed completion date: Finding 2023-008 Inaccurate Information Entry Name of contact per...

Finding 2023-006 Untimely Adoption of Policy Name of contact person: Corrective Action: Proposed completion date: Finding 2023-007 Untimely Review of SSI Termination Name of contact person: Corrective Action: Proposed completion date: Finding 2023-008 Inaccurate Information Entry Name of contact person: Corrective Action: Immediately Leslie Edwards, Finance Director The Finance Office is currently fully staffed, the Finance Director and the County Manager will work together to ensure proper policies are completed and up to date for federal awards. The fiance director will ensure that policies needed for federal grant awards are in place. The policies were adopted in FY2023 and the finding should be eliminated in FY24. Section III - Federal Award Findings and Question Costs (continued) Regular review intervals will be established to ensure that these critical tasks are being addressed promptly and efficiently, minimizing the risk of delays in case processing. Prioritizing tasks according to urgency and compliance requirements. Focusing on terminated cases to prevent any potential service disruption to clients. Regular reminders will be issued to staff to review and work on their tasks according to the established guidelines. Management monitor daily to track progress of this issue and modify the controls as needed. All staff must use the provided checklists to review their work prior to submission or finalization. Staff are required to review the determination history to verify accuracy in household composition and income details. After completing a manual budget, workers must compare their results with the NCFAST-generated budget to confirm accuracy in budgeting and program eligibility. Training sessions include knowledge checks to validate understanding and retention of correct income entry methods. Engaging in peer reviews where feasible to promote a culture of accuracy and mutual accountability. Brenda Brown, Director; Melissa Castelow, Medicaid Supervisor; Satonya Gonzales, Medicaid Supervisor Brenda Brown, Director; Melissa Castelow, Medicaid Supervisor; Satonya Gonzales, Medicaid Supervisor

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