Corrective Action Plans

Finding 9675 (2023-001)

None 2023

Concordia University, Inc. and Affiliate

WI

Student Financial Aid Eligibility Matching / Level of Effort / Earmarking

2023-001 Incorrect Direct Loans Disbursement Amount - Student Financial Aid Cluster Assistance Listing #s 84.007, 84.033, 84.063, 84.379, 84.268, Grant Period - Year Ended June 30, 2023 Condition Found During our student file testing we noted one student out of forty was disbursed the incorrect Dire...

2023-001 Incorrect Direct Loans Disbursement Amount - Student Financial Aid Cluster Assistance Listing #s 84.007, 84.033, 84.063, 84.379, 84.268, Grant Period - Year Ended June 30, 2023 Condition Found During our student file testing we noted one student out of forty was disbursed the incorrect Direct Loan amount. Based on the student’s enrollment status and need this student was eligible for $926 in Subsidized Loans and $4,574 in Unsubsidized Loans; however, the College awarded the student $230 in Subsidized loans and $5,270 in Unsubsidized loans which resulted in an under award of $696 in Subsidized Loans and an over award of $696 in Unsubsidized Loans. We consider this error in awarding to be an instance of noncompliance of the Eligibility Compliance Requirement. Corrective Action Plan New policy to determine what loan amount to award along with our policy to increase aid if a summer term is added on and budget is increased (only for 2023-2024 as in 2024-2025 budget can only be based on 9 months). This combined with two reports,overaward (sub when not eligible) and underaward (sub eligibility but has not been awarded due to professional judgement, budget increase or new ISIR). Responsible Person for Corrective Action Plan – Kevin Sheridan, Director of Financial Aid Implementation Date of Corrective Action Plan- 9/1/2023

View Audit 13431

Finding 9671 (2023-001)

Material Weakness 2023

Bedford Public Schools

MI

Questioned Costs Special Tests & Provisions Procurement, Suspension & Debarment

CORRECTIVE ACTION PLAN Pursuant to Federal Regulations, Uniform Administrative Requirements Section 200.511, the following are the findings as noted in Bedford Public Schools’ Single Audit report for the year ended June 30, 2023, and corrective actions to be completed. Finding: 2023-001 – Special ...

CORRECTIVE ACTION PLAN Pursuant to Federal Regulations, Uniform Administrative Requirements Section 200.511, the following are the findings as noted in Bedford Public Schools’ Single Audit report for the year ended June 30, 2023, and corrective actions to be completed. Finding: 2023-001 – Special Tests and Provisions – Wage Rate Requirements U.S. Department of Education – COVID-19 - Education Stabilization Fund (ALN 84.425D and 84.425U); Passed through the Michigan Department of Education; All project numbers. Auditor Description of Condition and Effect: The one contract selected for testing that was subject to the wage rate requirements did not include the required provision and the District did not obtain the required certified payrolls. The District did not follow federal requirements to include the prevailing wage rate provision in its contract. Auditor Recommendation: We recommend that the District reviews its policies to ensure that applicable prevailing wage requirements are included in construction contracts whenever federal funds are used and certified payrolls are obtained. Corrective Action: District officials will ensure that construction contracts contain these requirements during the bid process. Responsible Person: Chrissie Bruckner, Executive Director of Business Services Anticipated Completion Date: June 30, 2024

View Audit 13421 Questioned Costs: $1

Finding 9645 (2023-001)

Significant Deficiency 2023

Schuyler Head Start, Inc.

NY

Internal Control / Segregation of Duties Reporting

The Organization will review and follow their established policies and procedures over the submission of annual SF-425 reports. The submission was completed without the proper signature due to an abbreviated due date. Keith Chin ( our financial representative with Federal Head Start) had changed t...

The Organization will review and follow their established policies and procedures over the submission of annual SF-425 reports. The submission was completed without the proper signature due to an abbreviated due date. Keith Chin ( our financial representative with Federal Head Start) had changed the due date from 01/31/2024 to 12/12/2023. The CFO submitted the report without the Executive Director's signature in order to meet the Federal deadline. The CFO did have approval from the Executive Director over the phone to submit the report, but did not note this on the SF 425. After speaking with Chris Mott from Sciarabba Walker and Keith Chin from Federal Head Start, it was determined that Schuyler Head Start could submit the SF 425 on 01/31/2024, and therefore this report will be resubmitted by following the correct policies and procedures. In the future, no report will be submitted without the proper signatures and all reports submittted by Schuyler Head Start will be completed by following the published policies and procedures.

View Audit 13328

Finding 9643 (2023-002)

Material Weakness 2023

Airport Community Schools

MI

Questioned Costs Special Tests & Provisions Material Weakness

2023-002 – Special Tests and Provisions – Wage Rate Requirements U.S. Department of Education – COVID-19 - Education Stabilization Fund (ALN 84.425D and 84.425U); Passed through the Michigan Department of Education; All project numbers. Auditor Description of Condition and Effect. While the contra...

2023-002 – Special Tests and Provisions – Wage Rate Requirements U.S. Department of Education – COVID-19 - Education Stabilization Fund (ALN 84.425D and 84.425U); Passed through the Michigan Department of Education; All project numbers. Auditor Description of Condition and Effect. While the contract contained the required Wage Rate Requirement provision, the District did not obtain the required certified payrolls for one out of the ten vendors selected for testing. The District did not follow federal requirements to obtain weekly certified payrolls. Auditor Recommendation. We recommend that the District reviews its policies to ensure certified payrolls are obtained whenever federal funds are used. Corrective Action. District officials will ensure that weekly certified payrolls are obtained when required. Responsible Person: Theresa Carrell, Chief Financial Officer Anticipated Completion Date: June 30, 2024

View Audit 13323 Questioned Costs: $1

Finding 9599 (2023-003)

Significant Deficiency 2023

Ahstw Community School District

IA

Internal Control / Segregation of Duties

See Report

View Audit 13291

Finding 9588 (2023-001)

Material Weakness 2023

Pierce City School District R-Vi

MO

Internal Control / Segregation of Duties HUD Housing Programs

CORRECTIVE ACTION PLAN August 11, 2023 U.S. DEPARTMENT OF EDUCATION U.S. DEPT. OF AGRICULTURE Pierce City School District R-VI respectfully submits the following corrective action plan for the year ended June 30, 2023. Contact information for the individual responsible for the corrective action...

CORRECTIVE ACTION PLAN August 11, 2023 U.S. DEPARTMENT OF EDUCATION U.S. DEPT. OF AGRICULTURE Pierce City School District R-VI respectfully submits the following corrective action plan for the year ended June 30, 2023. Contact information for the individual responsible for the corrective action: Dr. Kelli Alumbaugh, Superintendent Pierce City School District R-VI 300 N Myrtle Street Pierce City, MO 65723 (417) 476-2555 Independent Public Accounting Firm: The CPA Group, PC, 217 4th Street, Monett, MO 65708 Audit Period: Year ended June 30, 2023 The findings from the June 30, 2023, Schedule of Findings and Questioned Costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS – FINANCIAL STATEMENT AUDIT Material Weakness – Internal Control over Financial Reporting - Segregation of duties Finding 2023-001 Recommendation: We realize Because of limited resources and personnel, management may not be able to achieve a proper segregation of duties; however, our professional standards require that we bring this lack of segregation of duties to your attention in this report. Action Taken: The limited number of available personnel prohibits segregation of incompatible duties and the District does not have the resources to hire additional accounting personnel. Completion Date: Not applicable Sincerely, Dr. Kelli Alumbaugh, Superintendent Pierce City School District R-VI

View Audit 13282

Finding 9578 (2023-001)

Material Weakness 2023

Verona R-Vii School District

MO

Internal Control / Segregation of Duties HUD Housing Programs

CORRECTIVE ACTION PLAN August 14, 2023 U.S. DEPARTMENT OF EDUCATION UNITED STATES DEPARTMENT OF AGRICULTURE Verona School District R-VII respectfully submits the following corrective action plan for the year ended June 30, 2023. Contact information for the individual responsible for the correctiv...

CORRECTIVE ACTION PLAN August 14, 2023 U.S. DEPARTMENT OF EDUCATION UNITED STATES DEPARTMENT OF AGRICULTURE Verona School District R-VII respectfully submits the following corrective action plan for the year ended June 30, 2023. Contact information for the individual responsible for the corrective action: Dr. Tony Simmons, Superintendent Verona School District R-VII 101 E Ella Street Verona, MO 65734 (417) 498-2274 Independent Public Accounting Firm: The CPA Group, PC, 217 4th Street, Monett, MO 65708 Audit Period: Year ended June 30, 2023 The findings from the June 30, 2023, Schedule of Findings and Questioned Costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS – FINANCIAL STATEMENT AUDIT Material Weakness – Internal Control over Financial Reporting - Segregation of duties Finding 2023-001 Recommendation: We realize Because of limited resources and personnel, management may not be able to achieve a proper segregation of duties; however, our professional standards require that we bring this lack of segregation of duties to your attention in this report. Action Taken: The limited number of available personnel prohibits segregation of incompatible duties and the District does not have the resources to hire additional accounting personnel. Completion Date: Not applicable Sincerely, Dr. Tony Simmons, Superintendent Verona School District R-VII

View Audit 13269

Finding 9572 (2023-003)

Material Weakness 2023

Northwest Oregon Housing Authority

OR

HUD Housing Programs Material Weakness Internal Control / Segregation of Duties

2023-003 Housing Voucher Cluster – Assistance Listing No. 14.871 Recommendation: The Authority should review their HQS inspection policies to ensure that all inspections are performed timely, and that all necessary documentation is maintained for each inspection. Explanation of disagreement with aud...

2023-003 Housing Voucher Cluster – Assistance Listing No. 14.871 Recommendation: The Authority should review their HQS inspection policies to ensure that all inspections are performed timely, and that all necessary documentation is maintained for each inspection. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Northwest Oregon Housing Authority has reviewed its inspection policies regarding timely inspections. All units are being scheduled in a biennial cycle. The units noted in this audit all had inspections completed in 2021 or 2022. The units inspected in 2021 have subsequently been inspected (and passed HQS) in 2023, and the units inspected in 2022 are or will be scheduled in 2024, thus resolving this finding. Name(s) of the contact person(s) responsible for corrective action: Sandra Soucie, HCV Manager, HCVManager@nwoha.org Planned completion date for corrective action plan: 1/31/2024 If the U.S. Department of Housing and Urban Development has questions regarding this plan, please call Hsu-Feng Andy Shaw, Executive Director, at 503-861-0119.

View Audit 13226

Finding 9570 (2023-002)

Significant Deficiency 2023

Northwest Oregon Housing Authority

OR

HUD Housing Programs Eligibility Significant Deficiency

2023-002 Housing Voucher Cluster – Assistance Listing No. 14.871 Recommendation: The Authority should review their policies to ensure all required documentation is maintained for all individuals who are on the waiting list. Explanation of disagreement with audit finding: There is no disagreement wi...

2023-002 Housing Voucher Cluster – Assistance Listing No. 14.871 Recommendation: The Authority should review their policies to ensure all required documentation is maintained for all individuals who are on the waiting list. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: NOHA has reviewed its policies regarding documentation maintenance for all individuals on the waiting list. Quality control review of waiting list data entry was put in place after October 2020. The oldest application on the current HCV waiting list is dated 2019. NOHA anticipates this finding may continue until the waiting list application dates reach 10/2020. Name(s) of the contact person(s) responsible for corrective action: Sandra Soucie, HCV Manager, HCVManager@nwoha.org Planned completion date for corrective action plan: 1/31/2024

View Audit 13226

Finding 9568 (2023-001)

Significant Deficiency 2023

Northwest Oregon Housing Authority

OR

Questioned Costs HUD Housing Programs Eligibility

2023-001 Housing Voucher Cluster – Assistance Listing No. 14.871 Recommendation: The Authority should review their processes for eligibility determination and documentation to ensure all information is properly documented and maintained in the files. Explanation of disagreement with audit finding: T...

2023-001 Housing Voucher Cluster – Assistance Listing No. 14.871 Recommendation: The Authority should review their processes for eligibility determination and documentation to ensure all information is properly documented and maintained in the files. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: The Northwest Oregon Housing Authority has reviewed eligibility determination and documentation processes. Staff have received updated training regarding proper data entry of assets and application of COLA. NOHA continues to conduct on-going quality control file reviews to monitor file quality; year to date, approximately 6.5% of transactions have been reviewed. Name(s) of the contact person(s) responsible for corrective action: Sandra Soucie, HCV Manager, HCVManager@nwoha.org Planned completion date for corrective action plan: 1/31/2024

View Audit 13226 Questioned Costs: $1

Finding 9535 (2023-001)

None 2023

Berkshire County Head Start Child Development Program, Inc.

MA

Internal Control / Segregation of Duties § 200.512

Finding No. 2023-001 Late Filing of Audit Package and Data Collection Form Description of Finding: The audit package and data collection form were not filed with the FAC within the required timeframe for the year ended February 28, 2023. Statement of Concurrence: Berkshire County Head Start Child De...

Finding No. 2023-001 Late Filing of Audit Package and Data Collection Form Description of Finding: The audit package and data collection form were not filed with the FAC within the required timeframe for the year ended February 28, 2023. Statement of Concurrence: Berkshire County Head Start Child Development Program, Inc. concurs with the audit finding. Corrective Action: Berkshire County Head Start Child Development Program, Inc. has replaced the finance director who left during the audit that resulted in the delay. Name of Contact Person: lvania Mottos, Finance Manager, imottos@berkhs.org Projected Completion Date:Immediate - the position of the finance director has since been filed and the Organization does not expect any such delays in the future.

View Audit 13193

Finding 9519 (2023-002)

Material Weakness 2023

Crockett County Consolidated Common School District

TX

Internal Control / Segregation of Duties Reporting

Recommendation: The general ledger should be reviewed for completeness and accuracy, bank accounts should be reconciled, expenditures should be monitored to assure that they are within the budget and any necessary corrections should be made in a timely manner. Action Taken: The District will impl...

Recommendation: The general ledger should be reviewed for completeness and accuracy, bank accounts should be reconciled, expenditures should be monitored to assure that they are within the budget and any necessary corrections should be made in a timely manner. Action Taken: The District will implement procedures to ensure that the District’s personnel review the general ledger and make necessary adjustments when needed. Additional staff or outside assistance will be engaged as needed. Anticipated Completion Date: Throughout Fiscal Year Ending August 31, 2024

View Audit 13168

Finding 9515 (2023-002)

Material Weakness 2023

Iraan-Sheffield Collegiate Independent School District

TX

Internal Control / Segregation of Duties Reporting

Recommendation: The general ledger should be reviewed for completeness and accuracy, and any necessary corrections should be made in a timely manner. Expenditures should be monitored to assure that they are within the budget. Action Taken: The District will implement procedures to ensure that th...

Recommendation: The general ledger should be reviewed for completeness and accuracy, and any necessary corrections should be made in a timely manner. Expenditures should be monitored to assure that they are within the budget. Action Taken: The District will implement procedures to ensure that the District’s personnel review the general ledger and make necessary adjustments and budget amendments as needed. Additional staff or outside assistance will be engaged as needed. Anticipated Completion Date: Throughout Fiscal Year Ending August 31, 2024

View Audit 13163

Finding 9514 (2023-006)

None 2023

Grant County

OR

Questioned Costs Internal Control / Segregation of Duties Subrecipient Monitoring § 200.516

Views of responsible officials and planned corrective actions: The County does not have available funding to hire a grant compliance officer, however, the County plans to seek training resources for current staff responsible for grant administration

View Audit 13148 Questioned Costs: $1

Finding 9513 (2023-005)

Material Weakness 2023

Grant County

OR

Material Weakness Reporting Internal Control / Segregation of Duties

Views of responsible officials and planned corrective actions: A County Court member will meet with the contractor providing Title III services to discuss corrective action regarding timely completion of reporting and meeting reporting requirements

View Audit 13148

Finding 9509 (2023-001)

Significant Deficiency 2023

Heartland Medical Clinic, Inc., D/b/a Heartland Community Health Center

KS

Subrecipient Monitoring Eligibility HUD Housing Programs

To United States Department of Health and Human Services Heartland Community Health Center respectfully submits the following corrective action plan for the year ended April 30, 2023. CohnReznick, LLP 350 Church Street Hartford, CT 06103 Audit Period: April 30, 2023 The findings from the April 3...

To United States Department of Health and Human Services Heartland Community Health Center respectfully submits the following corrective action plan for the year ended April 30, 2023. CohnReznick, LLP 350 Church Street Hartford, CT 06103 Audit Period: April 30, 2023 The findings from the April 30, 2023 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the number assigned in the schedule. Federal Awards Findings: Finding 2023.001 - Sliding Fee Scale Discount Recommendation The Organization should establish a system of internal controls to ensure that all sliding fee discounts are properly calculated and supported based on family size and income. Action Taken • Monthly Audits o The Front Office Coordinators at each location will routinely audit sliding fee verification on a monthly basis to verify that information has been captured and recorded correctly and all proof of income documentation is received. These monthly audits will be adopted as standard protocol and procedure for front office operations, effective January 2024. Any findings through the audit process will be reported to the COO. At least five patien.t charts will be audited monthly. o In addition, the billing manager will also review audit findings or summaries to ensure adequate adjustment to patient accounts to correlate with the patient's eligibility status. • Staff Training o Although Heartland has offered periodic sliding fee scale procedure training, administration will be scheduling additional training with a focus on required documentation and proper set up of sliding fee discounts. o Health Center Practice Administrator will review and implement and update standard operating procedure for sliding fee scale verification. o Employees will receive a copy of the sliding fee scale policy and sign that they have read the material. o Front office employees at all locations will complete a sliding fee schedule competency check-off sheet that will be reviewed by the Front Office Coordinators and billing manager. If there are any question regarding this plan, please e-mail Regina Oxford at roxford@heartlandhealth.org. Sincerely,

View Audit 13129

Finding 9492 (2023-001)

Material Weakness 2023

Boys and Girls Village, Inc.

CT

Material Weakness Reporting Internal Control / Segregation of Duties

The VP of Finance will make a template to reconcile A/R to Carelogic. On monthly basis the new senior accoutant will use this template to reconcile A/R to Carelogic. VP of Finance will review and sign off monthly.

View Audit 13073

Finding 9481 (2023-001)

Significant Deficiency 2023

Santa Fe County

NM

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Corrective Action Plan: The Finance Division will add calendar reminders to confirm all subsequent reporting on the audited financial statements and federal grants are completed by the various deadlines. Person Responsible: Yvonne Herrera, Finance Division Director Estimated Completion Date: June ...

Corrective Action Plan: The Finance Division will add calendar reminders to confirm all subsequent reporting on the audited financial statements and federal grants are completed by the various deadlines. Person Responsible: Yvonne Herrera, Finance Division Director Estimated Completion Date: June 30, 2024

View Audit 13026

Finding 9446 (2023-002)

Material Weakness 2023

Zumbro Education District

MN

Procurement, Suspension & Debarment Internal Control / Segregation of Duties

Assistance Listing Number: 84.027, 84.027X, 84.173, and 84.173X – Special Education Recommendation: We recommend the District implement procedures and controls to ensure vendors are not suspended or debarred Explanation of disagreement with audit finding: There is no disagreement with the audit fi...

Assistance Listing Number: 84.027, 84.027X, 84.173, and 84.173X – Special Education Recommendation: We recommend the District implement procedures and controls to ensure vendors are not suspended or debarred Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The District will work to implement procedures so vendors are verified to the suspensions and debarred list. Name(s) of the contact person(s) responsible for corrective action: Jackie Paradis, Business Manager and Patrick Gordon, Executive Director. Planned completion date for corrective action plan: June 30, 2024.

View Audit 12940

Finding 9433 (2023-003)

Material Weakness 2023

Woodbine Community School District

IA

Reporting Internal Control / Segregation of Duties

See Report

View Audit 12926

Finding 9412 (2023-004)

Material Weakness 2023

Reorganized School District R-II of Cape Girardeau County

MO

School Nutrition Programs Procurement, Suspension & Debarment Internal Control / Segregation of Duties

Name of Contact Person: Matt Lacy, Chief Financial Officer; Recommendation: We recommend the District verify a vendor's status by checking the System for Award Management (SAM) maintained by the General Services Administration before making purchases expected to exceed $25,000; Corrective Action: ...

Name of Contact Person: Matt Lacy, Chief Financial Officer; Recommendation: We recommend the District verify a vendor's status by checking the System for Award Management (SAM) maintained by the General Services Administration before making purchases expected to exceed $25,000; Corrective Action: We will verify all vendors' status using the System for Award Management (SAM) maintained by the General Services Administration before making purchases expected to exceed $25,000.

View Audit 12919

Finding 9404 (2023-001)

Significant Deficiency 2023

True North Rochester Preparatory Charter School

NY

Special Tests & Provisions HUD Housing Programs Internal Control / Segregation of Duties

Responsible Official’s Response: In this particular finding, the decision was made to undertake a project using organizational reserves. Subsequent to the project taking place additional review indicated it would qualify as permissible under the American Rescue Plan and Federal Funding could potenti...

Responsible Official’s Response: In this particular finding, the decision was made to undertake a project using organizational reserves. Subsequent to the project taking place additional review indicated it would qualify as permissible under the American Rescue Plan and Federal Funding could potentially cover the project costs. The contract for the work, however, was not further reviewed at the time. After subsequent review, it appears that the contract may not meet the standards for Federal Funding, Management, therefore, has removed the Federal funding revenue from it’s financial statements and has not requested funding for this project under the American Rescue Plan. As a regular course of business, the organization does require any contracts subject to Federal funding requirements meet Federal Funding requirements, including those requirements associated with prevailing wages. Going forward, a comprehensive contract review will be performed for any project retroactively deemed a potentially permissible use of Federal funds

View Audit 12883

Finding 9402 (2023-002)

Significant Deficiency 2023

True North Rochester Preparatory Charter School

NY

School Nutrition Programs Cash Management Reporting

The Rochester Schools will implement a plan which will eliminate discrepancies between meal counting at the homeroom level, reporting at the school level, and claims made at the state and federal levels. This implementation plan includes a heighten responsibility with data collection, multiple quali...

The Rochester Schools will implement a plan which will eliminate discrepancies between meal counting at the homeroom level, reporting at the school level, and claims made at the state and federal levels. This implementation plan includes a heighten responsibility with data collection, multiple quality checks and data transfer. Procedures to prevent reoccurrence in the future are listed below:

View Audit 12883

Finding 9401 (2023-002)

Significant Deficiency 2023

D H, Incorporated

OR

HUD Housing Programs Reporting Significant Deficiency

Finding 2023-002 Response Type of Finding: Significant deficiency in internal control over compliance and instance of immaterial noncompliance. Criteria: DHI’s regulatory agreement with HUD and the HUD Uniform Financial Reporting Standards (24 CFR §5.801) require audited financial statements to be s...

Finding 2023-002 Response Type of Finding: Significant deficiency in internal control over compliance and instance of immaterial noncompliance. Criteria: DHI’s regulatory agreement with HUD and the HUD Uniform Financial Reporting Standards (24 CFR §5.801) require audited financial statements to be submitted to HUD within 90 days of the fiscal year end. HUD may authorize an extension to the 90 day due date. Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action a. Kathleen Broadhurst, Sr. Director of Finance/ShelterCare 2. The corrective action planned: a. ShelterCare, as managing agent, has hired a new property accountant which should help with keeping the books current and ShelterCare prepared to start audit work mid-July and be ready to submit the audit to HUD within 90 days of the fiscal year end. 3. The anticipated completion date: a. New property accountant was hired in August of 2023.

View Audit 12871

Finding 9400 (2023-001)

Material Weakness 2023

D H, Incorporated

OR

HUD Housing Programs Eligibility Material Weakness

Finding 2023-001 Response Type of Finding: Material weakness in internal control over compliance and noncompliance. Criteria: In accordance with DH, Incorporated’s regulatory agreement with HUD for its HUD Section 223(f) Insured Mortgage and HUD Section 8 Housing Assistance Payments contract, DH, In...

Finding 2023-001 Response Type of Finding: Material weakness in internal control over compliance and noncompliance. Criteria: In accordance with DH, Incorporated’s regulatory agreement with HUD for its HUD Section 223(f) Insured Mortgage and HUD Section 8 Housing Assistance Payments contract, DH, Incorporated is required to annually recertify its tenants. It is the responsibility of management to design and implement internal controls to ensure the tenants are recertified within the applicable timeframe required by HUD. Additionally, HUD requires minimum security deposits of $50 to be collected for all tenants. Management’s Response and Planned Corrective Actions: 1. The name of the contact person(s) responsible for the corrective action: a. Kathleen Broadhurst, Sr. Director of Finance/ShelterCare b. Amanda Smith, Property Development Manager/ShelterCare 2. The corrective action planned: a. Pinehurst Management was overseeing property through 4/30/2023. ShelterCare was assigned as new managing agent 5/1/2023. b. ShelterCare is working to ensure that the onsite manager will be trained in HUD compliance. Training started in October 2023. c. We are currently prioritizing recertifications by oldest first so we are able to catch them up and get the property certifications back on track. d. Monthly review of Tenant Rental Assistance Certification System (TRACS) reports to ensure recertifications are being completed in a timely manner. 3. The anticipated completion date: a. New training was started in October 2023 and to be completed by 12/31/2023. Monthly review of TRACS reports was implemented 10/1/2023.

View Audit 12871

Corrective Action Plans

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