Corrective Action Plans

Finding 1214155 (2025-029)

Material Weakness 2025

MA

Questioned Costs Special Tests & Provisions Subrecipient Monitoring

2025-029 CCDF Cluster 93.575, 93.596 Recommendation: We recommend the Department fully implement procedures and internal controls regarding written agreements as part of Program Integrity and Accountability. It should ensure that it fulfills the eight identified requirements including ensuring that ...

2025-029 CCDF Cluster 93.575, 93.596 Recommendation: We recommend the Department fully implement procedures and internal controls regarding written agreements as part of Program Integrity and Accountability. It should ensure that it fulfills the eight identified requirements including ensuring that the program complies with the approved Plan and all Federal requirements, monitoring programs and services, and ensuring that all State and local or non-governmental agencies through which the State administers the program, including agencies and contractors that determine individual eligibility, operate according to the rules established for the program. Action taken in response to finding: The department is putting FFATA reporting procedures in place for all current contracts. Fiscal leadership meets regularly to review and refine federal reporting processes, including FFATA. The fiscal team is also providing FFATA specific training to staff, which will cover the purpose of FFATA reporting, required subrecipient data, and deadlines for collecting and submitting information. Name(s) of the contact person(s) responsible for corrective action: Eric Hansson, CFO Planned completion date for corrective action plan: September 30, 2026

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Finding 1214152 (2025-028)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Reporting Significant Deficiency § 200.303

2025-028 Epidemiology and Laboratory Capacity for Infectious Diseases 93.323 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior audit. We recommend that the Department review and enhance its internal controls to ensure financial reports a...

2025-028 Epidemiology and Laboratory Capacity for Infectious Diseases 93.323 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior audit. We recommend that the Department review and enhance its internal controls to ensure financial reports are reviewed and approved prior to submission. Action taken in response to finding: Fiscal reporting will consist of email communication from the Director of Administration and Finance to the Deputy Director of Administration and Finance or other designee requesting the Deputy Director of Administration and Finance or other designee to review both the quarterly report in the ELC’s CAMP portal and the spreadsheet backup attached to the email communication that supports the financial data in ELC’s CAMP portal. The Deputy Director of Administration and Finance or other designee will review the spreadsheet and financial data in ELC CAMP. If the Deputy Director of Administration and Finance or other designee, approves, he/she will email the Director of Administration and Finance stating that he/she has reviewed and approved the data in the spreadsheet and in the ELC CAMP portal. If Deputy Director of Administration and Finance or other designee does not approve, he/she will communicate this through email to the Director of Administration and Finance with what the issues are and ask the Director of Administration and Finance to correct and resubmit the information to Deputy Director of Administration and Finance. For the purposes of the fiscal reporting section of the finding : We started implementing this process with the 4th quarterly reporting covering May 2025-July 2025 for the budget period August 1, 2024-July 2025. We have continued this process for the next reporting cycle for the 1st and 2nd quarter of the new budget period August 1, 2025-July 2026. The 1st quarter covered August 1, 2025-October 31,2025, reporting due to CDC November 2025. The 2nd quarter covered November 1, 2025-Januaray 31, 2026, reporting due to CDC February 2026 The program reporting follows : Programmatic performance reporting is completed in ELC CAMP under the direction of each section’s programmatic lead(s) and the oversight of the Project Director (PD). Once completed, the multiple programmatic leads will email the PD to confirm the programmatic data are entered, have been reviewed, and the data are submitted. The Project Director will review the programmatic data in the ELC CAMP portal. If the Project Director finds errors, she will email the programmatic lead(s) identifying the error and ask the programmatic lead(s) to correct. The same process noted above would continue until the Project Director approves the programmatic performance report Name(s) of the contact person(s) responsible for corrective action: Cheryl Bernard-Dort, Director of Administration and Finance, BIDLS and Nadia ElKamouss, Deputy Director of Administration and Finance, BIDLS; Natalie Morgenstern, Director, Division of Epidemiology, BIDLS Planned completion date for corrective action plan: August 31, 2026

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Finding 1214148 (2025-026)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-026 Epidemiology and Laboratory Capacity for Infectious Diseases 93.323 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior audit. It should establish procedures and internal controls to ensure that all required subawards are reported...

2025-026 Epidemiology and Laboratory Capacity for Infectious Diseases 93.323 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior audit. It should establish procedures and internal controls to ensure that all required subawards are reported timely and accurately to SAM.gov no later than the end of the month following the month of issuance of each subaward. Action taken in response to finding: The Bureau of Infectious Disease and Laboratory Sciences (BIDLS) will put in place starting May 1, 2026 a process to review obligations for subawards under Epidemiology and Laboratory Capacity for Infectious Diseases COVID-19 – Epidemiology and Laboratory Capacity for Infectious Diseases - Assistance Listing No. 93.323, to identify subawards that fall under the rules set forth by Federal Funding Accountability and Transparency Act (FFATA) and report the appropriate obligations to FSRS according to the above-mentioned recommendations Name(s) of the contact person(s) responsible for corrective action: Cheryl Bernard-Dort, Director of Administration and Finance, BIDLS Planned completion date for corrective action plan: 7/31/2026

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Finding 1214146 (2025-025)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-025 Immunization Cooperative Agreements 93.268 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior audit. It should establish procedures and internal controls to ensure that all required subawards are reported timely and accurately to...

2025-025 Immunization Cooperative Agreements 93.268 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior audit. It should establish procedures and internal controls to ensure that all required subawards are reported timely and accurately to SAM.gov no later than the end of the month following the month of issuance of each subaward. Action taken in response to finding: The Bureau of Infectious Disease and Laboratory Sciences (BIDLS) will put in place starting May 1, 2026 a process to review obligations for subawards under Immunization, Assistance Listing No. 93.268 to identify subawards that fall under the rules set forth by Federal Funding Accountability and Transparency Act (FFATA) and report the appropriate obligations to FSRS according to the above-mentioned Name(s) of the contact person(s) responsible for corrective action: Cheryl Bernard-Dort, Director of Administration and Finance, BIDLS Planned completion date for corrective action plan: 7/31/2026

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Finding 1214134 (2025-022)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-022 Aging Cluster 93.044, 93.045, 93.053 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department develop procedures and internal controls to ensure that all required subawards are reported timely and accu...

2025-022 Aging Cluster 93.044, 93.045, 93.053 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department develop procedures and internal controls to ensure that all required subawards are reported timely and accurately no later than the end of the month following the month of issuance of each subaward. Action taken in response to finding: This finding is related to prior year Finding 2023-020. The Department implemented internal controls during FFY24 to address FFATA reporting requirements; however, the current finding pertains to contracts executed in prior fiscal years that were not amended following the original finding. Since issuance of the prior finding, AGE has established procedures and internal controls to ensure that all required subawards are identified, tracked, and reported in accordance with FFATA requirements. For FFY25 contracts and all new awards going forward, total award information is collected at the time of contract execution and subaward data will be submitted SAM.gov within 30 days of contract signature and no later than the end of the month following issuance of each subaward, as required. Name(s) of the contact person(s) responsible for corrective action: Sheila Tunney, Chief Financial Officer, Christina H. Martinez, Director of Contracts and Accounting Ted Zimmerman, State Planner Planned completion date for corrective action plan: Implemented for FFY25 contracts; full resolution of by 9/30/2026

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Finding 1214124 (2025-020)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-020 COVID-19 – Elementary and Secondary School Emergency Relief Fund, COVID-19 – American Rescue Plan-Elementary and Secondary School Emergency Relief (ARP ESSER) 84.425D, 84.425U Recommendation: We recommend the Department develop procedures and internal controls to ensure that all required su...

2025-020 COVID-19 – Elementary and Secondary School Emergency Relief Fund, COVID-19 – American Rescue Plan-Elementary and Secondary School Emergency Relief (ARP ESSER) 84.425D, 84.425U Recommendation: We recommend the Department develop procedures and internal controls to ensure that all required subawards are reported timely and accurately no later than the end of the month following the month of issuance of each subaward. Action taken in response to finding: The Department is updating internal procedures to ensure timely and accurate reporting of all required subawards. While there have been some technical challenges with SAM.gov, the Department is proactively reaching out to U.S. Department of Education contacts to resolve issues and maintaining a record of each outreach attempt. Staff responsibilities and monitoring procedures are being strengthened to support accurate reporting. Name(s) of the contact person(s) responsible for corrective action: Julia Jou, Budget Director, Rob Curtin, Deputy Commissioner, Erica Gonzales, Associate Commissioner Data & Accountability, Joseph Valchuis, Audit Supervisor Planned completion date for corrective action plan: April 15, 2026

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Finding 1214113 (2025-016)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Material Weakness Reporting § 200.303

2025-016 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We fur...

2025-016 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: ETA 9130 reports are jointly reviewed by Finance and program staff before submission and certification. Supporting documentations are cross-checked for accuracy and completeness, and all relevant files are maintained in a centralized, shared folder to ensure transparency and accountability. This multi-layered review and documentation process has been incorporated into a standard quarterly reporting procedures to prevent future discrepancies and ensure federal reporting integrity. New internal controls and procedures were established 8/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Ken Luke, Vina Yung, DCS: David Manning Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 8/30/2025.

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Finding 1214110 (2025-015)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-015 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department’s procedures and internal controls should ensure that all required FFATA report submissions are reviewed, approved and su...

2025-015 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department’s procedures and internal controls should ensure that all required FFATA report submissions are reviewed, approved and subsequently reported timely no later than the end of the month following the month of issuance of the subaward or subaward modification. Documentation of implemented controls should be readily available for audit. Action taken in response to finding: Reporting under FFATA is triggered when the department and the local areas agree on budgets — i.e., at the point when the state forms an official obligation amount. This change is meant to more closely align with FFATA guidance which specifies that “you must report each obligating action … no later than the end of the month following the month in which the obligation was made.” U.S. Election Assistance Commission. Importantly, the guidance states: “Only report on subaward obligations. Do not report individual payments made to subrecipients.” Previously, FFATA was triggered when an encumbrance was recorded. By aligning FFATA reporting with the point at which the state formally obligates funds through approved local budgets, rather than when encumbrances are recorded, the process more accurately reflects the definition of an obligating action and strengthens overall compliance with FFATA requirements. Ongoing monitoring will continue to ensure reporting remains timely and accurate, with periodic reviews conducted to assess performance and identify any needed updates to the SOP. These revisions were fully implemented by 09/30/2025. New internal controls and procedures were established 9/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Sam Potel Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 9/30/2025.

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Finding 1214102 (2025-013)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Special Tests & Provisions Significant Deficiency § 200.303

2025-013 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should perform staff training and strengthen its procedures and controls to ensure overpayments are identified, recorded, and recovered in a timely manner and in full compliance with federal requirements. ...

2025-013 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should perform staff training and strengthen its procedures and controls to ensure overpayments are identified, recorded, and recovered in a timely manner and in full compliance with federal requirements. Action taken in response to finding: In response to this finding, we have worked with our developers of the EMT system to investigate some of the issues which arose. This review determined that some of the erroneous data was the result of conversion issues when converting UI Online data (the prior unemployment system of record) to the current system, EMT. Developers are working to identify any areas that may require technical fixes. However, as of May of 2026, all new claims filed for unemployment benefits will be made in the EMT system, therefore the reliance on utilizing converted data will lessen as time goes on. In response to discrepancies that arose due to staff errors, all adjudication staff will receive training on fault/fraud issues which will cover the penalties against the claimant associated with each finding. Additionally, the Department is updating its Adjudication Handbook. This handbook provides detailed instruction on all adjudication matters and the applicable legal citations for decision rendered. This handbook will be reviewed by all staff who adjudicate cases. Name(s) of the contact person(s) responsible for corrective action: Josh Nussey, Acting Director of Program Integrity Planned completion date for corrective action plan: 12/31/2026

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Finding 1214100 (2025-012)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Special Tests & Provisions Eligibility § 200.303

2025-012 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department review and enhance procedures and controls to ensure that RESEA program requirements are ...

2025-012 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department review and enhance procedures and controls to ensure that RESEA program requirements are met. We further recommend the Department develop a formal process to review quarterly performance reports for accuracy prior to submission. Action taken in response to finding: In order to resolve this finding, the Department is in the process of creating a new policy and procedure to ensure reports are reviewed prior to submission via the federal reporting system. The policy and procedures will state the process involved in getting report information, review of information, notification to manager, and submittal through the federal reporting system. MDUA has completed a review of policies and procedures. This will be a new effort at formalizing a policy which will go through agency review prior to enactment. MDUA has established an informal policy for staff to follow which speaks to the intent of having a formalized policy. The new policy and procedure will detail the responsibilities of staff who are involved with retrieving the initial information for the report from our UI administrative system, review of information to ensure federal reporting system requirements and comparison to past reports, notification to direct manager that the review was completed, and submittal through the federal reporting system. Name(s) of the contact person(s) responsible for corrective action: John Saulnier, Director of Benefit Performance Planned completion date for corrective action plan: May 1st, 2026

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Finding 1214098 (2025-011)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Special Tests & Provisions Significant Deficiency § 200.303

2025-011 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department review and enhance procedures and controls to ensure that BAM case investigations are com...

2025-011 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department review and enhance procedures and controls to ensure that BAM case investigations are completed timely in accordance with the time limits established in the ET Handbook No. 395. Action taken in response to finding: BAM staff have begun utilizing a new case management system within the modernized EMT system. This has reduced the number of screen shots necessary to develop a case. BAM investigators will continue receiving training on system usage and how to optimize day to day operations through weekly training sessions and the ability to schedule one on one training sessions with the BAM supervisor each week. BAM management continues to work with the EMT project to submit tickets for BAM program remediation while it continues to wait on required programming from pre-go live. Two BAM Investigators are training while waiting for the additional hiring to be approved. An improvement in the system is that BAM management is now in control of the number of cases being sampled. This will allow modification of the weekly sampling to allow change when needed such as an increase in case sampling if a case had to be discarded. Name(s) of the contact person(s) responsible for corrective action: Susan Saulnier Director of UI Performs Planned completion date for corrective action plan: 10/31/2026

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Finding 1214096 (2025-010)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Reporting Significant Deficiency § 200.303

2025-010 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are review...

2025-010 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: ETA 9130 reports are jointly reviewed by Finance and program staff before submission and certification. Supporting documentations are cross-checked for accuracy and completeness, and all relevant files are maintained in a centralized, shared folder to ensure transparency and accountability. This multi-layered review and documentation process has been incorporated into a standard quarterly reporting procedures to prevent future discrepancies and ensure federal reporting integrity. New internal controls and procedures were established 8/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Ken Luke, Vina Yung, DUA: Mark Costello Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 8/30/2025.

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Finding 1214090 (2025-007)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Cash Management Material Weakness § 200.303

2025-007 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review its procedures to ensure that ETA 2112 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are review...

2025-007 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review its procedures to ensure that ETA 2112 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: Action was taken to address the issue prior to audit findings, and we do not anticipate similar situations to exist now that we have EMT generates the ETA 2112. Also, we have internal control for both preparer and approver to review each line item with the supporting documents. Name(s) of the contact person(s) responsible for corrective action: Finance: Messay Araya, Anna Yong Planned completion date for corrective action plan: 6/30/2026

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Finding 1214088 (2025-006)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Reporting Significant Deficiency § 200.303

2025-006 Employment Service Cluster - Assistance Listing No. 17.207, 17.801 Recommendation: The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that report...

2025-006 Employment Service Cluster - Assistance Listing No. 17.207, 17.801 Recommendation: The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: ETA 9130 reports are jointly reviewed by Finance and program staff before submission and certification. Supporting documentations are cross-checked for accuracy and completeness, and all relevant files are maintained in a centralized, shared folder to ensure transparency and accountability. This multi-layered review and documentation process has been incorporated into a standard quarterly reporting procedures to prevent future discrepancies and ensure federal reporting integrity. New internal controls and procedures were established 8/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Ken Luke, Vina Yung, DCS: Dave Manning Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 8/30/2025.

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Finding 1214082 (2025-003)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-003 Employment Service Cluster - Assistance Listing No. 17.207, 17.801 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should implement procedures and internal controls to ensure that all required subawards an...

2025-003 Employment Service Cluster - Assistance Listing No. 17.207, 17.801 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should implement procedures and internal controls to ensure that all required subawards and subaward modifications are reported no later than the end of the month following the month of issuance. Action taken in response to finding: Reporting under FFATA is triggered when the department and the local areas agree on budgets — i.e., at the point when the state forms an official obligation amount. This change is meant to more closely align with FFATA guidance which specifies that “you must report each obligating action … no later than the end of the month following the month in which the obligation was made.” U.S. Election Assistance Commission. Importantly, the guidance states: “Only report on subaward obligations. Do not report individual payments made to subrecipients.” Previously, FFATA was triggered when an encumbrance was recorded. By aligning FFATA reporting with the point at which the state formally obligates funds through approved local budgets, rather than when encumbrances are recorded, the process more accurately reflects the definition of an obligating action and strengthens overall compliance with FFATA requirements. Ongoing monitoring will continue to ensure reporting remains timely and accurate, with periodic reviews conducted to assess performance and identify any needed updates to the SOP. These revisions were fully implemented by 09/30/2025. New internal controls and procedures were established 9/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Sam Potel Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 9/30/2025.

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Finding 1214080 (2025-002)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

2025-002 Child Nutrition Cluster - Assistance Listing No. 10.555, 10.582 Recommendation: We recommend the Department develop procedures and internal controls to ensure that all required subawards are reported timely and accurately to SAM.gov no later than the end of the month following the month of ...

2025-002 Child Nutrition Cluster - Assistance Listing No. 10.555, 10.582 Recommendation: We recommend the Department develop procedures and internal controls to ensure that all required subawards are reported timely and accurately to SAM.gov no later than the end of the month following the month of issuance of each subaward. If the Department is unable to complete reporting in SAM.gov, it should follow up with the Service Desk and consult with their federal award contacts for assistance and guidance. Action taken in response to finding: The Department is reviewing and updating internal procedures to ensure all required subawards are reported timely and accurately in SAM.gov. While there have been some technical challenges with SAM.gov reporting, the Department is actively coordinating with U.S. Department of Agriculture contacts to resolve issues and ensure compliance and maintaining a record of each outreach attempt. Staff responsibilities and monitoring procedures are being strengthened to support accurate reporting. Name(s) of the contact person(s) responsible for corrective action: Julia Jou, Budget Director, Rob Curtin, Deputy Commissioner, Erica Gonzales, Associate Commissioner Data & Accountability, Rob Leshin, Director, Food and Nutrition Programs Joseph Valchuis, Audit Supervisor Planned completion date for corrective action plan: April 15, 2026

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Finding 1214075 (2025-034)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

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

GVRA has engaged an accounting firm to support the agency in continued efforts to obtain a formalize approval from SSA and RSA on the Cost Allocation Plan (CAP) and Indirect Cost Rate Proposal (ICRP), in compliance with applicable federal regulatory requirements. Accounting firm will: • Assist GVRA ...

GVRA has engaged an accounting firm to support the agency in continued efforts to obtain a formalize approval from SSA and RSA on the Cost Allocation Plan (CAP) and Indirect Cost Rate Proposal (ICRP), in compliance with applicable federal regulatory requirements. Accounting firm will: • Assist GVRA in developing the Cost Allocation Plan and Indirect Cost Rate Proposal. • Provide training to GVRA executive leadership, management, and fiscal staff on the approved cost allocation methodology, policy requirements, and implementation procedures. Upon approval from cognizant agencies, GVRA will: • Incorporate the policy into GVRA’s official policy manuals. • Conduct policy review and updates of the Cost Allocation Plan and related policies to ensure continued compliance and accuracy. This corrective action will strengthen internal controls and ensure ongoing compliance with federal cost principles.

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Finding 1214059 (2025-017)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

Special Tests & Provisions Questioned Costs Subrecipient Monitoring

DCH is enhancing its application risk management and system security review practices through the following corrective actions: • Enterprise Risk Management Framework: DCH operates under a HITRUST i1-validated information security program and is pursuing HITRUST r2 validation in Fall 2026. This fram...

DCH is enhancing its application risk management and system security review practices through the following corrective actions: • Enterprise Risk Management Framework: DCH operates under a HITRUST i1-validated information security program and is pursuing HITRUST r2 validation in Fall 2026. This framework provides standardized, risk-based controls for identifying, assessing, and managing security risks across Medicaid and CHIP systems and supporting services. • ServiceNow IRM, SecOps, and TPRM Implementation: DCH is implementing ServiceNow modules for Integrated Risk Management (IRM), Security Operations (SecOps), and Third-Party Risk Management (TPRM) to centralize risk identification, SOC report intake, CUEC tracking, issue management, and remediation evidence. These capabilities will support consistent documentation, traceability, and auditability of risk management and third-party oversight activities. • System Security Reviews (SSRs) and SOC Report Validation: DCH will formalize and document its System Security Review (SSR) process for in-scope systems and third-party service providers. This includes: o Establishing documented procedures for annual review of SOC Type II reports and applicable CUECs. o Performing and retaining evidence of management review to assess control design and operating effectiveness. o Tracking SSR results, deficiencies, and remediation activities through ServiceNow IRM/TPRM. Ensuring SSRs are performed consistently and retained as auditable artifacts. These corrective actions are designed to provide reasonable assurance that application-level and third-party risks are identified, reviewed, documented, and managed in compliance with state and federal requirements.

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Finding 1214058 (2025-021)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

Subrecipient Monitoring Allowable Costs / Cost Principles Eligibility § 200.303

DHS will review existing Medical Assistance and income calculation policies, make any necessary changes, and provide refresher training for staff at all levels of eligibility for various types of Medical Assistance. In addition, reminders about the Medical Assistance Policy will be included in month...

DHS will review existing Medical Assistance and income calculation policies, make any necessary changes, and provide refresher training for staff at all levels of eligibility for various types of Medical Assistance. In addition, reminders about the Medical Assistance Policy will be included in monthly unit meetings. DHS will complete targeted Medical Assistance case reviews, and a review of system (Gateway) designs will be conducted to identify any necessary changes, updates, and additional improvements.

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Finding 1214057 (2025-018)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

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

Currently, DCH continues to meet with DHS/DFCS to ensure synchronization of the Georgia Gateway and GAMMIS systems. DCH is proposing additional procedures and policies for DHS/DFCS caseworkers to implement that will terminate members who have been determined ineligible in Gateway but remain active i...

Currently, DCH continues to meet with DHS/DFCS to ensure synchronization of the Georgia Gateway and GAMMIS systems. DCH is proposing additional procedures and policies for DHS/DFCS caseworkers to implement that will terminate members who have been determined ineligible in Gateway but remain active in GAMMIS.

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Finding 1214054 (2025-020)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

Subrecipient Monitoring Allowable Costs / Cost Principles Eligibility § 200.303

DHS will review existing Medical Assistance and income calculation policies, make any necessary changes, and provide refresher training for staff at all levels of eligibility for various types of Medical Assistance. In addition, reminders about the Medical Assistance Policy will be included in month...

DHS will review existing Medical Assistance and income calculation policies, make any necessary changes, and provide refresher training for staff at all levels of eligibility for various types of Medical Assistance. In addition, reminders about the Medical Assistance Policy will be included in monthly unit meetings. DHS will complete targeted Medical Assistance case reviews, and a review of system (Gateway) designs will be conducted to identify any necessary changes, updates, and additional improvements.

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Finding 1214051 (2025-019)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

Subrecipient Monitoring Allowable Costs / Cost Principles Eligibility § 200.303

DHS Division of Family and Children Services (DFCS), Temporary Assistance for Needy Families (TANF) program, will review existing TANF and expense statement review policies, and provide refresher training on these policies and applicable forms for staff at all levels of eligibility. TANF management ...

DHS Division of Family and Children Services (DFCS), Temporary Assistance for Needy Families (TANF) program, will review existing TANF and expense statement review policies, and provide refresher training on these policies and applicable forms for staff at all levels of eligibility. TANF management will complete targeted case reviews to ensure that all applicable documentation is included in the file, and peer reviews will be initiated. In addition, a review of the Gateway System will be conducted, and any required form(s) will be updated and included in the case file, if required.

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Finding 1214047 (2025-031)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

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

The Governor's Office of Highway Safety (GOHS) acknowledges the audit finding regarding documentation and monitoring controls associated with federal grant matching requirements, earmarking allocations, and adherence to the federal period of performance. Corrective Actions Implemented: GOHS has stre...

The Governor's Office of Highway Safety (GOHS) acknowledges the audit finding regarding documentation and monitoring controls associated with federal grant matching requirements, earmarking allocations, and adherence to the federal period of performance. Corrective Actions Implemented: GOHS has strengthened its monitoring procedures to ensure that all grant expenditures are reviewed for compliance with federal matching requirements, earmarked funding allocations, and the approved period of performance prior to reimbursement approval. GOHS has improved documentation controls by implementing standardized documentation requirements to ensure supporting records clearly demonstrate compliance with federal matching percentages and earmarked funding restrictions. Grant files will include detailed tracking of match contributions and earmark allocations. Programmatic and financial staff will receive additional training on federal grant compliance requirements, including match eligibility, earmarked fund tracking, and the importance of ensuring expenditures occur within the authorized period of performance. A secondary review process will be implemented within the Finance Division to verify that expenditures charged to federal grants meet match requirements and fall within the grant's approved performance period before payment is processed. GOHS Management will conduct periodic internal reviews to verify adherence to federal grant requirements and to ensure that the corrective actions remain effective.

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Finding 1214040 (2025-026)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

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

In response, the TCSG Office of Workforce Development has created a “FFATA Subaward Reporting and Tracking Form”. This form will be used to document each subaward that is entered into the SAM.gov federal website, listing each subaward by its FAIN Number, award amount connected to the corresponding F...

In response, the TCSG Office of Workforce Development has created a “FFATA Subaward Reporting and Tracking Form”. This form will be used to document each subaward that is entered into the SAM.gov federal website, listing each subaward by its FAIN Number, award amount connected to the corresponding FAIN number, and the staff member responsible for the subaward submission. This document will be created and provided by the staff member submitting the subawards in SAM.gov. Management within the OWD Grants and Finance Unit will review and confirm and the subawards in SAM.gov as indicated by the FFATA Subaward Reporting and Tracking Form. Upon confirmation by management, the form will be signed and dated. The new FFATA Subaward Reporting and Tracking Form will be emailed directly to DOAA.

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Finding 1214015 (2025-028)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

Internal Control / Segregation of Duties Special Tests & Provisions Questioned Costs § 200.303

We have documented our procedure for performance reporting so that reports are appropriately reviewed and approved prior to submission.

View Audit 400877

Corrective Action Plans

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