Corrective Action Plans

Finding 1162403 (2023-002)

Material Weakness 2023

OH

Questioned Costs Material Weakness Matching / Level of Effort / Earmarking

Finding Number: 2023-002 Condition: The System failed to make the monthly debt service reserve fund deposits required by the USDA loan agreement. Planned Corrective Action: Once it was determined that it was necessary to keep the balance of the fund at a prorated amount to the required one year of d...

Finding Number: 2023-002 Condition: The System failed to make the monthly debt service reserve fund deposits required by the USDA loan agreement. Planned Corrective Action: Once it was determined that it was necessary to keep the balance of the fund at a prorated amount to the required one year of debt service by ten years, we began funding it in order to meet that requirement by the end of fiscal year 2023, which we did, and we have maintained the required funding since then. Contact person responsible for corrective action: Eric Draime, CFO Anticipated Completion Date: 6/30/2023

View Audit 372185

Finding 1162216 (2023-001)

Material Weakness 2023

Northeast Iowa Workforce Development Board

IA

Cash Management Equipment & Real Property Management Internal Control / Segregation of Duties

We will review policies and procedures for disbursements to ensure that all payments have an evidenced independent review prior to payment. We plan to implement these changes January 1, 2026.

View Audit 372029

Finding 1162186 (2023-004)

Material Weakness 2023

Tippecanoe And Chapman Lakes Regional Sewer District

IN

Subrecipient Monitoring Material Weakness Reporting

FINDING 2023-004 Information on the federal program: Subject: Water and Waste Disposal Systems for Rural Communities – Reporting Federal Agency: U.S. Department of Agriculture Assistance Listing Number: 10.760 Federal Award Number: N/A Pass-Through Entity: N/A Compliance Requirements: Reporting Audi...

FINDING 2023-004 Information on the federal program: Subject: Water and Waste Disposal Systems for Rural Communities – Reporting Federal Agency: U.S. Department of Agriculture Assistance Listing Number: 10.760 Federal Award Number: N/A Pass-Through Entity: N/A Compliance Requirements: Reporting Audit Findings: Material Weakness, Noncompliance Condition: The District did not have proper controls in place to ensure that the RD442-2 and RD 442-3 forms were filled out and submitted. Context: Form RD442-2 and Form RD442-3 were not submitted to the granting agency. The District may submit the financial data in other forms, however, the required reporting information was not submitted at all for the year under audit. The forms are required to be submitted on GAAP accrual basis. Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: The third-party accounting firm will prepare the required forms which will be reviewed by the Board of Directors prior to submission. Responsible Party and Timeline for Completion: The third-party accounting firm and the Board of Directors will implement the corrective action plan, which will go into effect with the next required submission for 2025.

View Audit 371994

Finding 1162000 (2023-001)

Material Weakness 2023

Pierre Indian Learning Center

SD

Internal Control / Segregation of Duties Questioned Costs Material Weakness § 200.512

Management concurs with the finding. The delay in submitting the Single Audit reporting package to the Federal Audit Clearinghouse was due delayed completion of audited financial statements. The school is in the process of getting current with audited financials statements.

View Audit 371860

Finding 1161911 (2023-001)

Material Weakness 2023

Glens Falls Housing Authority

NY

Reporting Internal Control / Segregation of Duties

CORRECTIVE ACTION: Management is in agreement with the auditor’s recommendations and acknowledges that these issues have continued through our March 31, 2024 and March 31, 2025 fiscal year ends. We continue to make every effort to get our filings up to date by our March 31, 2025 year end due date of...

CORRECTIVE ACTION: Management is in agreement with the auditor’s recommendations and acknowledges that these issues have continued through our March 31, 2024 and March 31, 2025 fiscal year ends. We continue to make every effort to get our filings up to date by our March 31, 2025 year end due date of December 31, 2025.

View Audit 371800

Finding 1161859 (2023-004)

Material Weakness 2023

Merrill Pioneer Community Hospital, Inc

IA

Procurement, Suspension & Debarment Subrecipient Monitoring Reporting § 200.303

We will work to establish written procedures and policies related to the management of Federal awards, including reporting requirements.

View Audit 371778

Finding 1161858 (2023-003)

Material Weakness 2023

Merrill Pioneer Community Hospital, Inc

IA

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

We have implemented procedures to ensure we are in compliance with all reporting requirements. Individuals have been assigned to be responsible for the preparation and submission of reports. The Board has implemented procedures to monitor the compliance and communicate the procedures to new members.

View Audit 371778

Finding 1161830 (2023-002)

Material Weakness 2023

City of Ceres

CA

Questioned Costs Subrecipient Monitoring Reporting

Planned Correction Action: Management will file the audited financial statements for the year ended June 30, 2023, as soon as possible. The underlying causes included prolonged resource constraints within the Finance Department, turnover in key accounting positions, challenges associated with the ER...

Planned Correction Action: Management will file the audited financial statements for the year ended June 30, 2023, as soon as possible. The underlying causes included prolonged resource constraints within the Finance Department, turnover in key accounting positions, challenges associated with the ERP system implementation, and delays in reconciling certain major balance sheet accounts. To address these issues, the City engaged an external financial consultant to assist in completing outstanding bank reconciliations and restoring timely financial reporting. Management is also implementing additional corrective measures, including reprioritizing workloads, enhancing oversight of monthly close activities, and establishing standardized reconciliation checklists for all major balance sheet accounts. Management anticipates that this finding will extend through the Fiscal Year 2024, Fiscal Year 2025, and possibly Fiscal Year 2026 financial statement reporting cycles, with full resolution expected in Fiscal Year 2027.

View Audit 371755

Finding 1161765 (2023-002)

Material Weakness 2023

Community Coordinated Child Care

IA

Reporting Significant Deficiency Internal Control / Segregation of Duties

Based on the recommendation, management anticipates taking actions such as updating its process for recording transactions, addressing cutoff, and implementing a more rigorous review process to ensure compliance.

View Audit 371700

Finding 1161647 (2023-001)

Material Weakness 2023

Greater Harvest Church

TN

Cash Management Internal Control / Segregation of Duties

We will ensure that meal count documents are accurate and reported correctly for reimbursement. Additionally, we will use checks and balance system using two or more people to calculate accurate and verifiable number of meals correctly, thoroughly, and efficiently. We are implementing an automation ...

We will ensure that meal count documents are accurate and reported correctly for reimbursement. Additionally, we will use checks and balance system using two or more people to calculate accurate and verifiable number of meals correctly, thoroughly, and efficiently. We are implementing an automation system that will track, record and input data for reporting purposes. The new system is called KidKare by Minute Menu to improve this process

View Audit 371591

Finding 1161565 (2023-001)

Material Weakness 2023

Centro Deambulantes Cristo Pobre, Inc.

PR

Questioned Costs Allowable Costs / Cost Principles Period of Performance § 200.343 § 200.77

Condition: During the audit, it was identified that $247,000 in federal funds were expended outside of the authorized period of performance for the Emergency Shelter Grant Program under the CARES Act. These expenditures were deemed unallowable by HUD and required repayment. The issue resulted from t...

Condition: During the audit, it was identified that $247,000 in federal funds were expended outside of the authorized period of performance for the Emergency Shelter Grant Program under the CARES Act. These expenditures were deemed unallowable by HUD and required repayment. The issue resulted from the lack of an effective monitoring system to track grant performance periods and ensure compliance with federal requirements. Planned Corrective Action: 1. Implement a Grant Period Monitoring System: The organization will establish a formal process for tracking the start and end dates of each grant’s period of performance, including automated alerts and internal checklists. 2. Strengthen Internal Controls: Develop procedures to ensure all expenses are reviewed and approved based on the grant’s performance period before payment or reimbursement/ 3. Staff Training: Provide mandatory annual training for fiscal and program staff on Uniform Guidance cost principles, compliance requirements, and federal reporting standards. 4. Pre-Audit Reconciliation: Conduct quarterly reconciliations of grant expenses to verify compliance with the authorized periods and allowable cost principles. 5. Documentation Submitted to HUD: The organization has submitted supporting documentation and justifications to HUD to validate the expenditures incurred outside the contractual performance period. These expenditures were related to payroll and operational costs within the same program operation. The entity awaits HUD’s determination and will comply with any final resolution or additional corrective guidance provided.

View Audit 371446 Questioned Costs: $1

Finding 1161442 (2023-001)

Material Weakness 2023

Collegeville Borough

PA

Internal Control / Segregation of Duties Reporting

Action Taken: The Borough will have someone independent of the bookkeeping process begin to review completed bank reconciliations. Anticipated Completion: During 2024.

View Audit 371314

Finding 1161347 (2023-010)

Material Weakness 2023

Municipality of Santa Isabel

PR

Questioned Costs Reporting Significant Deficiency

Views of Responsible Officials and Planned Corrective Action We are giving instructions to the Finance Department, the Federal Program Office, and all other departments to submit, in a timely manner, all the required financial information, to our financial consultant and the external auditors, to co...

Views of Responsible Officials and Planned Corrective Action We are giving instructions to the Finance Department, the Federal Program Office, and all other departments to submit, in a timely manner, all the required financial information, to our financial consultant and the external auditors, to comply with the deadline for the submission of the Single Audit Report for the fiscal year ended June 30, 2025, which is March 31, 2026. Responsible Official: Mrs. Irma M. Vargas Aguirre, Finance and Budget Director Implementation Date: March 31, 2026

View Audit 371240

Finding 1161344 (2023-008)

Material Weakness 2023

Municipality of Santa Isabel

PR

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles

Views of Responsible Officials and Planned Corrective Action The necessary instructions were given to the accounting staff in order to comply with the reporting requirements established by each federal grant that the Municipality currently manages. Responsible Official: Mrs. Irma M. Vargas Aguirre, ...

Views of Responsible Officials and Planned Corrective Action The necessary instructions were given to the accounting staff in order to comply with the reporting requirements established by each federal grant that the Municipality currently manages. Responsible Official: Mrs. Irma M. Vargas Aguirre, Finance and Budget Director Implementation Date: December 31, 2025

View Audit 371240

Finding 1161181 (2023-004)

Material Weakness 2023

Bemidji Regional Airport Authority

MN

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Actions Planned in Response to Finding Authority staff will work with a third-part accountant on reconciling the balances and posting the proper year-end adjustments. The Authority will implement monitoring procedures over year-end accrual adjustments. Official Responsible for Ensuring CAP Implement...

Actions Planned in Response to Finding Authority staff will work with a third-part accountant on reconciling the balances and posting the proper year-end adjustments. The Authority will implement monitoring procedures over year-end accrual adjustments. Official Responsible for Ensuring CAP Implementation Kyle Christiansen, Executive Director Planned Completion of CAP December 31, 2024.

View Audit 371181

Finding 1161091 (2023-006)

Material Weakness 2023

East Tallahatchie School District

MS

Reporting Internal Control / Segregation of Duties § 200.512

Data collection form not submitted timely to the Federal Audit Clearinghouse A. Name of contact person responsible for corrective action: Name: Raymond Russell Title: Superintendent B. Corrective action planned: The district will implement policies and procedures to establish an internal control sys...

Data collection form not submitted timely to the Federal Audit Clearinghouse A. Name of contact person responsible for corrective action: Name: Raymond Russell Title: Superintendent B. Corrective action planned: The district will implement policies and procedures to establish an internal control system that will ensure strong financial accountability, proper safeguarding of assets, and accurate accounting records. C. Anticipated completion date: Immediately

View Audit 371077

Finding 1161081 (2023-001)

Material Weakness 2023

Mid-Columbia Children's Council, INC

OR

Questioned Costs Material Weakness Internal Control / Segregation of Duties

Management will verify and reconcile funds by fiscal year. Funds drawn after end of FY will be accrued back to correct FY and will include auto-reversal 1st day of new FY. Timing for implementation: Fiscal Year 23-24 Person responsible: Finance Director, Collice Martens

View Audit 371076

Finding 1161045 (2023-003)

Material Weakness 2023

Center for International Private Enterprise, Inc.

DC

Questioned Costs Reporting Matching / Level of Effort / Earmarking § 200.512

Views of Responsible Officials: Management has made significant changes in staffing and processes to ensure future Single Audit reports are completed within the required timeframes.

View Audit 371017

Finding 1161011 (2023-002)

Material Weakness 2023

Center for International Private Enterprise, Inc.

DC

Internal Control / Segregation of Duties Questioned Costs Subrecipient Monitoring § 200.318

Views of Responsible Officials: Management is implementing a new oversight and monitoring program that trains third-party contractors, qualifies them to do business with CIPE, and terminates the relationship for non-compliance with the terms, conditions and specifications of their contracts. This pr...

Views of Responsible Officials: Management is implementing a new oversight and monitoring program that trains third-party contractors, qualifies them to do business with CIPE, and terminates the relationship for non-compliance with the terms, conditions and specifications of their contracts. This program will be managed by the Legal and Compliance Department with significant support from the Grants Management department. Refined contractual language with third party contractors will require the submission of accurate and timely reports before any payments are made to contractors. In 2026, CIPE will institute an internal process staffed by multi-functional teams to perform site visits and audits, in line with the requirements of the new oversight and monitoring program.

View Audit 371017

Finding 1161010 (2023-001)

Material Weakness 2023

Center for International Private Enterprise, Inc.

DC

Allowable Costs / Cost Principles Questioned Costs Internal Control / Segregation of Duties § 200.308 § 200.430

Views of Responsible Officials: Management has implemented mandatory on-boarding training and annual training of all staff on overall grant management, with a focus on compliant entry of time and effort. New budgeting and forecasting tools and processes have been implemented to allow more effective ...

Views of Responsible Officials: Management has implemented mandatory on-boarding training and annual training of all staff on overall grant management, with a focus on compliant entry of time and effort. New budgeting and forecasting tools and processes have been implemented to allow more effective and timely monitoring of expenditures. In addition, CIPE has reviewed and revised relevant policies to ensure they align with best practices. CIPE worked closely with stakeholders on all these remedial efforts.

View Audit 371017

Finding 1160956 (2023-004)

Material Weakness 2023

State of Kosrae

FM

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring

Finding Number 2023-004 Period of Performance Corrective Action Plan (CAP) The State (DAS) will issue a memo requiring all departments to document the period of performance procedures performed. Additional training will be provided to ensure departments are complying. Anticipated Completion Date Sep...

Finding Number 2023-004 Period of Performance Corrective Action Plan (CAP) The State (DAS) will issue a memo requiring all departments to document the period of performance procedures performed. Additional training will be provided to ensure departments are complying. Anticipated Completion Date September 30, 2026 Responsible Person (Contact Details) Jonas M. Paul- Director (DAS) jpaulckdas@gmail.com Kayviann Hallers – Internal Control kayviannhallers@gmail.com

View Audit 370983 Questioned Costs: $1

Finding 1160898 (2023-004)

Material Weakness 2023

Mt Enterprise Community Health Clinic

TX

Questioned Costs Significant Deficiency Internal Control / Segregation of Duties

Reporting Recommendation: The auditor recommends the Organization maintain documentation produced during UDS preparation. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Streamlined processes and succession plan to...

Reporting Recommendation: The auditor recommends the Organization maintain documentation produced during UDS preparation. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Streamlined processes and succession plan to ensure all relevant information for UDS is maintained accurately and accessible for future audits and financial reporting Name(s) of the contact person(s) responsible for corrective action: David Rodrigues. Planned completion date for corrective action plan: December 2025.

View Audit 370964

Finding 1160443 (2023-005)

Material Weakness 2023

Housing Authority of the City of Daytona Beach, Florida

FL

Questioned Costs Eligibility HUD Housing Programs

2023-005 Eligibility – Tenant Files Public and Indian Housing Program – CFDA Number 14.850 Material Weakness in Internal Control, Material Noncompliance This is a repeat finding of 2022-004, reported as a Material Weakness and Material Noncompliance from June 30, 2022 (initially occurred as Finding ...

2023-005 Eligibility – Tenant Files Public and Indian Housing Program – CFDA Number 14.850 Material Weakness in Internal Control, Material Noncompliance This is a repeat finding of 2022-004, reported as a Material Weakness and Material Noncompliance from June 30, 2022 (initially occurred as Finding 2021-002, Material Weakness and Material Noncompliance) Condition: Out of a total tenant population of approximately 269 tenant files, 25 files were selected for testing. Exceptions were noted as follows: • 4 tenant files where the 214 Affidavit was not in the file or was incorrectly completed (2 files for missing 214 affidavits and 2 files where boxes were not checked to indicate adults were signing for dependents). • 5 tenant files where the tenant’s personal declaration form was missing for the time period tested. • 2 tenant files where the Form 9886 were missing for the time period tested. • 10 tenant files where there were income issues (including income calculation errors or missing support or missing Forms 50058). • 7 tenant files had deduction issues (several for deductions that were taken twice for food stamp income that was “excluded” and then deducted again, incorrect utility allowances, incorrect child care costs). • 1 tenant file where the Form 50058 was missing so unable to determine if recertification date was correct. • 4 tenant files with missing birth certificates • 1 tenant file where the tenant’s date of birth on the 50058 form did not match the tenant’s birth certificate. • 5 tenant files with missing social security cards. • 1 tenant file where the adult tenants did not sign the lease agreement. • 5 tenant files with missing EIVs. Auditor’s Recommendation: The Authority should correct the deficiencies noted in the tested files and utilize an ongoing quality control review process on the entire tenant population to ensure proper compliance with the requirements related to tenant eligibility. Ongoing staff training and timely management reviews should be utilized to ensure staff is aware of acceptable procedures. In addition, the Authority should review staffing levels, skill sets and case load. Action Taken: As was also instituted for HCV participant files, the Authority has instituted a checklist sheet that will occupy the front interior of all tenant files. This checklist will contain every document that is required to be placed in the tenant file. The Authority has and will affirm the use of its procedures, and continue to implement procedures to ensure all tenant files are maintained in accordance with policies and procedures. Additionally: • All noted deficiencies will be corrected and cured. • The Authority has also taken steps to stabilize staff by hiring a Property Manager and an Occupancy Specialist that will support the Public Housing Department. • The Authority has implemented a 100% quality control review of all participant files. Task will be completed by an outside specialized compliance consulting company. The consulting company will report initial findings to the Authority and deficiencies will be cured. Thereby reducing any additional findings with tenant files. • Repeated noted errors will be reported to the Senior Property Manager and additional hand's-on training regarding deficient items will be completed as necessary.

View Audit 370860

Finding 1160396 (2023-005)

Material Weakness 2023

California Asian Pacific Chamber of Commerce

CA

Internal Control / Segregation of Duties Questioned Costs Subrecipient Monitoring § 200.334

Finding Reference Number: 2023-005 Description of Finding: Unable to provide supporting documentation for one expense sample. Statement of Concurrence or Nonconcurrence: The California Asian Pacific Chamber of Commerce (CalAsian) agrees with the finding. Corrective Action: CalAsian acknowledges that...

Finding Reference Number: 2023-005 Description of Finding: Unable to provide supporting documentation for one expense sample. Statement of Concurrence or Nonconcurrence: The California Asian Pacific Chamber of Commerce (CalAsian) agrees with the finding. Corrective Action: CalAsian acknowledges that this finding is a deficiency in its procedures. The Director of Finance is reviewing the Chamber’s record retention policies and internal controls to ensure that they are in compliance with 2 CFR § 200.334, and will recommend and implement improvements as needed. Staff responsible for federal grants will receive training on documentation and retention requirements. Name of Contact Person: Ryan Fong, Director of Finance, 916-446-7883, rfong@calasiancc.org Pat Fong Kushida, President & CEO, 916-446-7883, patfongkushida@calasiancc.org Projected Completion Date: September 2025

View Audit 370809

Finding 1160394 (2023-003)

Material Weakness 2023

California Asian Pacific Chamber of Commerce

CA

Reporting Internal Control / Segregation of Duties Material Weakness § 200.510

Finding Reference Number: 2023-003 Description of Finding: SEFA reporting Statement of Concurrence or Nonconcurrence: The California Asian Pacific Chamber of Commerce (CalAsian) agrees with the finding. Corrective Action: CalAsian acknowledges the significance of this finding and the potential for n...

Finding Reference Number: 2023-003 Description of Finding: SEFA reporting Statement of Concurrence or Nonconcurrence: The California Asian Pacific Chamber of Commerce (CalAsian) agrees with the finding. Corrective Action: CalAsian acknowledges the significance of this finding and the potential for noncompliance with Uniform Guidance with the grantors and Federal entities, as well as potential increased risk of omitted federal programs and incorrect major program determination. Moving forward, SEFA reporting will be reviewed and approved by multiple reviewers, including the President & CEO, Controller, and Director of Finance. Individual directors under relevant federal programs being reported on the SEFA will also be required to review that the information listed on the SEFA report is complete and accurate. This review process will be in place for the 2024 audit and subsequent audits. Name of Contact Person: Ryan Fong, Director of Finance, 916-446-7883, rfong@calasiancc.org Pat Fong Kushida, President & CEO, 916-446-7883, patfongkushida@calasiancc.org Projected Completion Date: September 2025

View Audit 370809

Corrective Action Plans

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