Corrective Action Plans

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Corrective Action Plan: The Department agrees with the finding and already has a plan underway to resolve the issues. ODM has been working with the Ohio Medicaid Enterprise System Fiscal Intermediary (FI) vendor to document the Third Party Liability (TPL) process and identify needed system updates, ...
Corrective Action Plan: The Department agrees with the finding and already has a plan underway to resolve the issues. ODM has been working with the Ohio Medicaid Enterprise System Fiscal Intermediary (FI) vendor to document the Third Party Liability (TPL) process and identify needed system updates, including importing electronic historical evidence into the FI module and creating new system panels that make TPL information easier for staff to view and work with. Thirteen TPL-related system updates have been identified; eight are already in progress and nearly complete. Once these updates are finished, TPL data including archived historical information will be accessible directly in FI in a familiar format. The Centers for Medicare and Medicaid Services requires states to use commercial off-the-shelf (COTS) products and rely on default tools whenever possible. The FI system initially lacked a data structure that could store all historical TPL information in an accessible way. Because the COTS system does not use the same tracking fields as the prior system, some historical evidence such as Document Control Numbers (DCNs) or supporting insurance documentation could not be viewed in FI during the audit period. ODM is adding new panels and data fields so this historical information can be accessed more easily going forward. TPL is complex, and due to the FI system limitations, monitoring is currently a manual process. The ODM TPL Unit Manager continues to review a sample of verifications to ensure insurance information is accurate and correctly captured in FI. The manager maintains a spreadsheet documenting TPL activity, with all relevant recipient information except the DCN (which is not available in FI). The TPL Unit manually removes or end dates TPL coverage in FI and sends a file to the vendor each week to add TPL information to the Other External Enrollment panel. The Department will take necessary steps to ensure all relevant data elements and documentation are maintained and accessible when major system upgrades or replacements occur, including appropriate retention of historical data. Anticipated Completion Date for Corrective Action: July 2026 Contact Person Responsible for Corrective Action: Name: Megan Powell Title: Audit Remediation Manager Address: 50 West Town Street, Suite 400, Columbus, Ohio 43215 Phone Number: 614-752-3844 E-Mail Address: megan.powell@medicaid.ohio.gov
Corrective Action Plan: ODM agrees with the Auditor’s recommendation to re-evaluate its Federal Funding Accountability and Transparency Act (FFATA) reporting procedures to ensure subaward information— including data reported by partner agencies— is entered accurately and on time in SAM.gov. ODM is c...
Corrective Action Plan: ODM agrees with the Auditor’s recommendation to re-evaluate its Federal Funding Accountability and Transparency Act (FFATA) reporting procedures to ensure subaward information— including data reported by partner agencies— is entered accurately and on time in SAM.gov. ODM is committed to timely reporting and is implementing the following actions to address this finding: • Multiple ODM staff now have SAM.gov access. (Completed) • ODM will document FFATA reporting procedures in a formal manual. • ODM is creating a tracking sheet with an approval process to verify that monthly reports from partner agencies are complete and accurate. • ODM has improved communication with subrecipients to ensure subaward information is received and submitted by required deadlines. Anticipated Completion Date for Corrective Action: June 2026 Contact Person Responsible for Corrective Action: Name: Megan Powell Title: Audit Remediation Manager Address: 50 West Town Street, Suite 400, Columbus, Ohio 43215 Phone Number: 614-752-3844 E-Mail Address: megan.powell@medicaid.ohio.gov
Corrective Action Plan: The Department agrees with the finding related to the large volume of system alerts and remains committed to ongoing work with our vendor, the Department of Job and Family Services (ODJFS), and the Department of Children and Youth (DCY) to improve the Ohio Benefits eligibilit...
Corrective Action Plan: The Department agrees with the finding related to the large volume of system alerts and remains committed to ongoing work with our vendor, the Department of Job and Family Services (ODJFS), and the Department of Children and Youth (DCY) to improve the Ohio Benefits eligibility system and reduce unnecessary alerts, including those generated through IEVS. These efforts are already showing progress: total incoming alerts decreased from 21.2 million in SFY 2024 to 16.9 million in SFY 2025. ODM has also reduced the average time it takes to clear alerts. Alerts play a key role in program integrity by notifying county caseworkers of important eligibility information that may require action. Anytime new programs are added to the Ohio Benefits system or program rules change, new alerts may be generated. ODM meets every other month with ODJFS to review IEVS-related issues. This collaboration resulted in nine system enhancements in SFY 2025 to reduce unnecessary alert generation. Several enhancements introduced Smart Alert Hierarchy logic, which prevents duplicate alerts by directing an alert to the individual’s first active or pending program in the sequence: Medicaid, SNAP, TANF, Child Care. Notable changes include: • AVS alerts: Only the final alert is generated 15 business days after the request. • SWICA alerts: The threshold for generating alerts increased to $750 per quarter or $250 per month. • PARIS alerts: Alerts are no longer generated when data matches previous records or when information is incomplete; Smart Alert Hierarchy now applies. • New Hire alerts: Alerts are suppressed when employer information has not changed; Smart Alert Hierarchy applies. • BENDEX alerts: Alerts are suppressed when SSA information has not changed; program-specific income limit alerts were retired; Smart Alert Hierarchy applies. • IEVS UCB and SDX alerts: Alerts no longer generate when changes are under $250 per month (up from $25). • IEVS BENDEX alerts: Alerts suppressed for changes under $250 per month (up from $49). • IRS Unearned Income alerts: Alerts suppressed when income differences are within $250 per month of existing records. ODM is continuing to evaluate additional alert-reduction opportunities. Confirmed upcoming system updates include: • Release 5.5 (anticipated June 12, 2026): Automation of verified-upon-receipt SDX interfaces, suppressing alerts after automatic reconciliation. • Release 5.6 (anticipated August 22, 2026): Updated thresholds for IRS Unearned Income alerts. Regarding automation, ODJFS explored using bots to process IEVS alerts. However, federal rules prohibit automation in IEVS processing for SNAP, and because IEVS alerts span multiple programs, automation cannot be applied solely for Medicaid. ODM will continue working with ODJFS to evaluate future options. ODM’s Technical Assistance, Compliance, and County Engagement teams regularly train and support county staff. ODJFS provides a web-based course, available year-round through the County Resources website, to ensure ongoing access despite frequent staffing changes. The training is being updated to be more interactive and modular. The next live annual training event is scheduled for October 2026. The Auditor of State noted that 833,232 of the 1,721,772 IEVS alerts issued during the audit period (48.4%) were not cleared within 45 days. Federal rules require agencies to develop and follow verification procedures (42 CFR 435.945), and state rule OAC 5160:1-1-04 requires agencies to take specific steps to determine eligibility within 45 days. However, clearing an alert in the Ohio Benefits system is not itself a federal or state requirement. ODM agrees counties must improve the administrative step of clearing alerts, but failure to clear an alert does not necessarily mean the information was not reviewed or acted upon in a timely manner. ODM will continue to emphasize the importance of completing this final step. Anticipated Completion Date for Corrective Action: January 2027 Contact Person Responsible for Corrective Action: Megan Powell Audit Remediation Manager 50 West Town Street, Suite 400, Columbus, Ohio 43215 614-752-3844 megan.powell@medicaid.ohio.gov
Corrective Action Plan: Medicaid and CHIP Eligibility The Ohio Department of Medicaid (ODM) agrees that accurate and timely eligibility determinations are essential to the integrity of the Medicaid program. Medicaid eligibility rules are complex. During the audit, AOS Auditors submit questions about...
Corrective Action Plan: Medicaid and CHIP Eligibility The Ohio Department of Medicaid (ODM) agrees that accurate and timely eligibility determinations are essential to the integrity of the Medicaid program. Medicaid eligibility rules are complex. During the audit, AOS Auditors submit questions about sampled cases to county departments (CDJFS) and to ODM for review. For future audits, the Department and the Auditor have agreed to meet before the audit concludes to review potential eligibility issues and ensure both teams understand the actions taken on each case. The Department does not agree with the finding that one of the sampled Medicaid recipients was improperly enrolled. In this case, the county agency did not receive reliable information about the individual’s income until October 2024—after the date the services were provided. The CDJFS discontinued services promptly once the information was reported. Under 42 CFR § 435.919, agencies must redetermine eligibility when they receive reliable information that may affect eligibility. Therefore, the individual was validly enrolled at the time services were received. The Department also disagrees with one CHIP-related finding where a child was placed in an incorrect aid category. The child was enrolled in the CHIP 1 category, while Auditors found the child was eligible for CHIP 2. Both categories provide the same federal match rate and the same benefits. The child remained eligible for Ohio’s CHIP program regardless of category. The administrative issues noted above are technical inaccuracies that require correction; however, they do not mean the individuals were ineligible for Medicaid. For example, if a CDJFS fails to upload employment documents into Ohio Benefits, this is a procedural error. If the person’s income still meets the program requirements, they remain eligible. It is important to emphasize that errors in documentation or processing do not necessarily mean ineligible individuals received benefits. Dates of Death and Ohio Medicaid The Department agrees with the Auditor’s concern about services being billed after an individual’s date of death. However, a portion of the 13,159 payments cited—totaling $2.5 million and covering 2,165 deceased individuals—were either allowable under policy or have already been recouped. For example, monthly rental charges for durable medical equipment (DME) may be billed after the date of death if the equipment was delivered earlier. Under OAC 5160-10-01(C)(16)(e), a monthly rental payment covers the entire month. If the Auditor’s sample reflects the larger population, roughly two-thirds of the payments identified were appropriate. Presenting the full $2.5 million without this context may be misleading to readers unfamiliar with common billing practices and applicable rules. The Department has been actively addressing the issues that lead to improper payments after the date of death throughout SFY 2025. The Department updated its use of death certificate data from the Ohio Department of Health (ODH), which required a revised data-use agreement and new automation. The updated interagency agreement took effect May 6, 2025, and a bot was deployed on July 25, 2025 to automatically verify dates of death and discontinue Medicaid coverage. This change shifts work away from county caseworkers, reduces system alerts, and prevents additional payments. The average delay between date of death and this automated update is now 57 days, compared to an average 142-day delay when relying on the federal master death file. This new approach both reduces workload and speeds up eligibility updates. The Department is also testing a process to automatically identify and recover fee-for-service (FFS) claims paid after the verified date of death. Providers will be notified of these claims so they can be reprocessed or recouped. While automation is being developed, ODM is also implementing a manual process to ensure recovery moves forward. Managed care capitation payments are already automatically recouped and are not part of this process. During the SFY 2025 audit, the Auditor did not identify any managed care capitation payments made for months after an individual's death, indicating that the corrective actions implemented are effective. For point-of-sale pharmacy claims, the Single Pharmacy Benefit Manager (SPBM) has implemented a review process to identify claims paid more than one day after a member's date of death. As of July 1, 2025, these claims are being reversed and recouped. Many such claims were the result of automatic prescription refills. To address this, ODM and the SPBM issued a memo to all Medicaid pharmacy providers on March 24, 2025, reminding them that automatic refills are not permitted for Ohio Medicaid members. Refills must be initiated by a prescriber, member, or authorized agent. Claims found to be automatic refills may be subject to recoupment. The Department will continue to verify recipient eligibility, ensure information in Ohio Benefits is accurate, and confirm that eligibility decisions are fully supported and completed on time. The Department’s Medicaid Eligibility Quality Control (MEQC) team conducts ongoing reviews of approved, denied, and discontinued cases to ensure accuracy. When the MEQC team identifies an error or technical issue, the responsible party must provide a root-cause analysis and corrective action plan. MEQC also partners with the Department’s County Technical Assistance and County Engagement teams to ensure training addresses recurring issues. The Department agrees with the Auditor’s recommendation to continue working with state and county agencies to strengthen processes, procedures, and system programming related to eligibility, including improvements to the Ohio Benefits system. The department meets with the Department of Job and Family Services and the Department of Children and Youth regularly to discuss policy changes, assess impacts, and identify alignment opportunities. All agencies also participate in system meetings to review issues, plan enhancements, and ensure updates do not negatively affect other programs. The Department will pursue full reimbursement of all claims improperly paid for services after an individual’s date of death. FFS claims have been referred to the Bureau of Program Integrity’s Surveillance Utilization Review Section (SURS) for review and recoupment. SPBM pharmacy claims will be reviewed and recouped through the established SPBM process. Anticipated Completion Date for Corrective Action: December 2026 Contact Person Responsible for Corrective Action: Name: Megan Powell Title: Audit Remediation Manager Address: 50 West Town Street, Suite 400, Columbus, Ohio 43215 Phone Number: 614-752-3844 E-Mail Address: megan.powell@medicaid.ohio.gov
Corrective Action Plan: The Department will re-evaluate and strengthen existing internal control procedures or implement additional procedures, as necessary, to provide reasonable assurance that the financial information and/or performance data being reported to the federal government is accurate an...
Corrective Action Plan: The Department will re-evaluate and strengthen existing internal control procedures or implement additional procedures, as necessary, to provide reasonable assurance that the financial information and/or performance data being reported to the federal government is accurate and traces to supporting documentation. Anticipated Completion Date for Corrective Action: May 2026 Contact Person Responsible for Corrective Action: Name: Sherita Montgomery Title: Financial Manager of Accounting & Reporting Address: 77 S. High Street, Columbus, Ohio Phone Number: 614-466-5938 E-Mail Address: sherita.montgomery@development.ohio.gov
Corrective Action Plan: The Department evaluated and strengthened internal controls over its reporting process to reasonably ensure the information presented in the quarterly Performance and Expenditure Reports will be current, accurate, complete, and agree with support prior to submission to the Oh...
Corrective Action Plan: The Department evaluated and strengthened internal controls over its reporting process to reasonably ensure the information presented in the quarterly Performance and Expenditure Reports will be current, accurate, complete, and agree with support prior to submission to the Ohio Office of Budget and Management. The procedures will be periodically monitored to ensure they are working as intended. The Department cross trained employees so in the event of turnover or extended leave, the reporting process can continue without disruption or delays. Anticipated Completion Date for Corrective Action: Completed April 2025 Contact Person Responsible for Corrective Action: Name: Thomas Fitz Gibbon Title: Deputy Chief, Office of Division Support Address: 77 South High Street, Columbus, Ohio 43220 Phone Number: 614-466-0043 E-Mail Address: thomas.fitzgibbon@development.ohio.gov
Corrective Action Plan: For Benefits Adjudication: Standard procedures for verifying claimant eligibility for unemployment benefits remain in place. Adjudication staff have been reminded to double-check start dates and eligibility documentation to prevent the recurrence of similar errors. For Benefi...
Corrective Action Plan: For Benefits Adjudication: Standard procedures for verifying claimant eligibility for unemployment benefits remain in place. Adjudication staff have been reminded to double-check start dates and eligibility documentation to prevent the recurrence of similar errors. For Benefit Payment Control (BPC): The Department remains committed to strengthening accountability and proactively identifying any potential training gaps within the team. To support this effort, the Department has recently implemented monthly random case reviews conducted by supervisors, followed by individualized email feedback to staff to reinforce expectations and provide timely coaching. Additionally, supervisors are now required to track all audits and document follow up actions to ensure consistent monitoring and early identification of any emerging trends. These measures are intended to enhance quality assurance, support staff development, and maintain the high standards expected within the Department. Anticipated Completion Date for Corrective Action: Completed February 2026 Contact Person Responsible for Corrective Action: For Benefits Adjudication: Name: Traci A. Brown Title: Assistant Deputy Director - Benefits Adjudication Address: 30 East Board Street, Columbus, Ohio 43215 Phone Number: 614-387-3647 E-Mail Address: Traci.Brown@jfs.ohio.gov For Benefit Payment Control (BPC): Name: BJ Knutson-Cruset Title: Bureau Chief Address: 6680 Poe Ave, Dayton, Ohio 45414 Phone Number: 937-264-5742 E-Mail Address: bj.knutson-cruset@jfs.ohio.gov
Corrective Action Plan: The Ohio Department of Natural Resources has timely entered all awarded subrecipient agreements into SAM.gov as of September 2025 and implemented a new automated tracking/reminder process through a newly built grant SharePoint tracker. Going forward, subrecipient information ...
Corrective Action Plan: The Ohio Department of Natural Resources has timely entered all awarded subrecipient agreements into SAM.gov as of September 2025 and implemented a new automated tracking/reminder process through a newly built grant SharePoint tracker. Going forward, subrecipient information will be entered into SAM.gov by the end of the month following the month in which the award was issued. Anticipated Completion Date for Corrective Action: Completed September 2025 Contact Person Responsible for Corrective Action: Name: Jennifer Woodman Title: Assistant Chief, Division of Mineral Resources Management Address: 2045 Morse Rd, Building H2, Columbus, Ohio 43229 Phone Number: (614) 265-1094 E-Mail Address: JenniferE.Woodman@dnr.ohio.gov
Corrective Action Plan: The Department is a partnering agency for this program and does not manage the disbursement of funds. However, as a partnering agency for the program, the Department will continue updating its internal controls over the Summer Electronic Benefits Transfer (EBT) program’s elig...
Corrective Action Plan: The Department is a partnering agency for this program and does not manage the disbursement of funds. However, as a partnering agency for the program, the Department will continue updating its internal controls over the Summer Electronic Benefits Transfer (EBT) program’s eligibility determinations to ensure only eligible students are receiving benefits. These procedures will include regular communication to school districts, expanded data fields, school submission of a single combined enrollment and benefits file, and additional verification of the accuracy and completeness of the student data submitted by the districts to ensure only eligible students are approved to receive benefits. Since the questioned costs were isolated to calendar year 2024, and the Department has taken steps to correct the issue, this issue should not reoccur. The Department will work with Job and Family Services (JFS) to resolve the identified questioned costs. If needed, this will include evaluating the projected questionable costs to determine the actual amount that may have been disbursed to ineligible students and assisting JFS efforts to address those disbursements. Anticipated Completion Date for Corrective Action: May 2026 Contact Person Responsible for Corrective Action: Name: Corey Fronk Title: Administrator of Audits and Risk Management Address: 25 S. Front Street, 7th Floor; Columbus, OH 43215 Phone Number: (614) 644-7812 E-Mail Address: Corey.Fronk@education.ohio.gov
CSLRF Reporting - Revenue Replacement Recommendation: We recommend that the Town enhance its internal controls over CSLRF reporting to ensure that amounts reported as revenue replacement are accurately identified, supported, and reconciled to the underlying accounting records prior to submission of ...
CSLRF Reporting - Revenue Replacement Recommendation: We recommend that the Town enhance its internal controls over CSLRF reporting to ensure that amounts reported as revenue replacement are accurately identified, supported, and reconciled to the underlying accounting records prior to submission of required federal reports. This should include implementing a formal reconciliation 9rocess between the general ledger and CSLRF reporting schedules, along with documented review and approval procedures to ensure accuracy and proper classification. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management agrees with the finding and will strengthen internal controls over CSLRF reporting related to revenue replacement. The Town will implement a formal reconciliation process between the general ledger and CSLRF reporting schedules prior to submission of required federal reports. This process will include documented review and approval procedures to ensure that expenditures designated as revenue replacement are accurately identified, properly classified, allowable, and supported by underlying accounting records. Management will also perform periodic monitoring to ensure that these controls are consistently applied and operating as designed. Name of the contact person responsible for corrective action: Tyler Home. Director of Finance. Planned completion date for corrective action plan: March 3 I . 2026
FINDING 2025-002 (Auditor Assigned Reference Number) Finding Subject: TRIO - Reporting Contact Person Responsible for Corrective Action: Stacy Atkinson, Indianapolis Chancelor John Gipson, Lake County Chancelor Chad Bolser, Richmond Chancelor Jeffrey Scott, Muncie Chancelor Contact Phone Numbers and...
FINDING 2025-002 (Auditor Assigned Reference Number) Finding Subject: TRIO - Reporting Contact Person Responsible for Corrective Action: Stacy Atkinson, Indianapolis Chancelor John Gipson, Lake County Chancelor Chad Bolser, Richmond Chancelor Jeffrey Scott, Muncie Chancelor Contact Phone Numbers and Email Addresses: 317-921-4800 ext. 085745 and satkinson17@ivytech.edu 812-297-3252 and jgipson33@ivytech.edu 765-966-2656 ext. 092345 and cmbolser@ivytech.edu 765-506-1942 and jdscott@ivytech.edu Views of Responsible Officials: We concur with the findings. Description of Corrective Action Plan: The College will ensure that each affected campus develops and implements a plan that includes internal controls to mitigate risks and ensure compliance. Campuses will be expected to conduct internal reviews of annual performance reports and maintain proper documentation of any identified corrections. Anticipated Completion Date: June 30, 2026
FINDING 2025-001 (Auditor Assigned Reference Number) Finding Subject: TRIO - Eligibility Contact Persons Responsible for Corrective Action: John Gipson, Lake County Chancellor Contact Phone Number and Email Address: 812-297-3252 and jgipson33@ivytech.edu Views of Responsible Officials: We concur wit...
FINDING 2025-001 (Auditor Assigned Reference Number) Finding Subject: TRIO - Eligibility Contact Persons Responsible for Corrective Action: John Gipson, Lake County Chancellor Contact Phone Number and Email Address: 812-297-3252 and jgipson33@ivytech.edu Views of Responsible Officials: We concur with the findings. Description of Corrective Action Plan: The College will ensure that each affected campus develops and implements a plan that incorporates internal controls to mitigate risk and ensure compliance with applicable requirements. Campus Project Directors will be responsible for maintaining complete and accurate documentation, including required dual signatures. Anticipated Completion Date: June 30, 2026
Student Financial Assistance Cluster – Assistance Listing Numbers 84.007, 84.033, 84.038, 84.063, 84.268 Recommendation: The University should review the procedures surrounding the verification process to ensure all necessary support and documentation is obtained and retained in the student files. E...
Student Financial Assistance Cluster – Assistance Listing Numbers 84.007, 84.033, 84.038, 84.063, 84.268 Recommendation: The University should review the procedures surrounding the verification process to ensure all necessary support and documentation is obtained and retained in the student files. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: When students are selected for verification; requirements are auto populated to RRAAREQ and prevent disbursement of federal aid. Once all requirements have been received, reviewed, and documented, the requirements are satisfied and aid is disbursed. For this specific account - a SEPID requirement was placed 7/30/24 - the student completed the form and staff satisfied the requirement on 01/21/25 - the aid was paid on 1/22/25. Subsequent verification requirements were received on new ISIR records on 2/25/25 and additional requirements were added to the student record. The later verification requirements were not completed because all aid was already disbursed prior to the new ISIR records. Going forward, staff will ensure the SIS is configured correctly to prevent disbursement of funds with outstanding verification requirements and pull back any disbursements previously made until verification is completed Name(s) of the contact person(s) responsible for corrective action: Elizabeth Stevens, Director, Student Financial Services, University of New Hampshire Planned completion date for corrective action plan: July 1, 2026
Student Financial Assistance Cluster – Assistance Listing Numbers 84.007, 84.033, 84.038, 84.063, 84.268 Recommendation: We recommend the University review its SAP policies to ensure they met the minimum requirements and that they are fully implemented. Explanation of disagreement with audit finding...
Student Financial Assistance Cluster – Assistance Listing Numbers 84.007, 84.033, 84.038, 84.063, 84.268 Recommendation: We recommend the University review its SAP policies to ensure they met the minimum requirements and that they are fully implemented. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Historically the Graduate School was responsible for reviewing SAP and notifying Student Financial Services (SFS) if students needed to be warned or suspended. Going forward, SFS will begin reviewing graduate students for SAP to ensure accurate and timely notifications are in place. Additionally, SFS is reviewing the current logic to ensure GPA is accurately reviewed in the baseline SAP process. Student Financial Services 11 Garrison Avenue - Stoke Hall Durham, NH 03824 Name(s) of the contact person(s) responsible for corrective action: Elizabeth Stevens, Director, Student Financial Services, University of New Hampshire Planned completion date for corrective action plan: July 1, 2026
Student Financial Assistance Cluster – Assistance Listing Numbers 84.007, 84.033, 84.038, 84.063, 84.268 Recommendation: We recommend the college review its reporting procedures to ensure that awarding is within the need calculation. Explanation of disagreement with audit finding: There is no disagr...
Student Financial Assistance Cluster – Assistance Listing Numbers 84.007, 84.033, 84.038, 84.063, 84.268 Recommendation: We recommend the college review its reporting procedures to ensure that awarding is within the need calculation. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Keene State College KSC has reviewed student in question and has identified the scholarship award that caused the student information system to award a higher subsidized loan to the student. We have reviewed the packaging policy and made updates so the scholarship in question will now allow the correct sub/unsub loan to be awarded based on the student’s financial need eligibility. University of New Hampshire The University of New Hampshire’s accounts affected were updated 11/25/2025 to reflect the full subsidized loan amount. Error on loan swap was due to a new employee in training with limited resources. Since this occurred, the office policy and procedure manual and staff documentation have been updated to ensure this is not repeated in future years. Name(s) of the contact person(s) responsible for corrective action: Cathy Mullins, Director of Financial Aid and Scholarships, Keene State College Elizabeth Stevens, Director, Student Financial Services, University of New Hampshire Planned completion date for corrective action plan: March 10, 2026
Student Financial Assistance Cluster – Assistance Listing Numbers 84.007, 84.033, 84.038, 84.063, 84.268 Recommendation: We recommend that the College put a process in place to refund student credit balances that arose from federal funds within 14 days. Explanation of disagreement with audit finding...
Student Financial Assistance Cluster – Assistance Listing Numbers 84.007, 84.033, 84.038, 84.063, 84.268 Recommendation: We recommend that the College put a process in place to refund student credit balances that arose from federal funds within 14 days. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: This repeat finding was partially due to the implementation of Workday, the adjustments of aid to individual student records, and a shortage of staff. We have hired an additional staff member and trained additional staff to help with federal refunds during the demanding time of the term. Name(s) of the contact person(s) responsible for corrective action: Cathy Mullins, Director of Financial Aid and Scholarships. Keene State College Planned completion date for corrective action plan: July 1, 2026
U.S. Department of Housing and Urban Development 2025-002 AL# 14.267 – Continuum of Care Program Recommendation: We recommend that the Organization continue with the internal controls established later in the year and ensure that Rent Reasonableness testing is documented including the file review. A...
U.S. Department of Housing and Urban Development 2025-002 AL# 14.267 – Continuum of Care Program Recommendation: We recommend that the Organization continue with the internal controls established later in the year and ensure that Rent Reasonableness testing is documented including the file review. Additionally, as there have been recent revisions to the Uniform Grant Guidance (2 CFR 200) that now require documented internal controls over compliance, we also recommend that a specific policy be established for Rent Reasonableness to give clear directives of how the Organization determines rent reasonableness, how it is documented, and retained, ensuring there is current documentation of the internal controls over compliance. Explanation of disagreement with audit findings: there is no disagreement with the audit findings. Action taken in response to finding: Bradley Angle will continue with our rent reasonableness review and approval process for each of our participants when they are searching for their next home. Action Plan: Codify the review and approval process for documentation of rent reasonableness and share with all staff interacting with participants working to secure an apartment. Name(s) of the contact people responsible for correction action: Margot Martin, CEO & Liliana McDonald, Senior Housing Program Manager & Tiffany Thomas-Guice, Programs and Services Director Plan completion date for corrective action plan: May 15, 2026
National Student Loan Database System (NSLDS) Enrollment Reporting Recommendation: We recommend the College reevaluate their procedures and review policies surrounding reporting status changes to NSLDS to ensure timely and accurate reporting. Explanation of disagreement with audit finding: There is ...
National Student Loan Database System (NSLDS) Enrollment Reporting Recommendation: We recommend the College reevaluate their procedures and review policies surrounding reporting status changes to NSLDS to ensure timely and accurate reporting. Explanation of disagreement with audit finding: There is no disagreement with the auditfinding. Action taken in response to finding: The Registrar will re-evaluate policies, procedures and training materials to ensure timely and accurate reporting. Name(s) of the contact person(s) responsible for corrective action: Michele Peterson Planned completion date for corrective action plan: 03/31/26 If
Finding #2025-003 - Rent Reasonableness Criteria: HUD requires that recipients ensure that rent is reasonable compared to similar unassisted units and maintain documentation supporting the determination; rent paid with CoC leasing funds·may not exceed Fair Market Rent (FMR); and rent reasonableness ...
Finding #2025-003 - Rent Reasonableness Criteria: HUD requires that recipients ensure that rent is reasonable compared to similar unassisted units and maintain documentation supporting the determination; rent paid with CoC leasing funds·may not exceed Fair Market Rent (FMR); and rent reasonableness determinations must be completed before providing assistance. Condition: During testing of rent reasonableness controls and documentation, the following exceptions were identified: • 4 of 4 rent reasonableness determinations lacked evidence of an independent review and approval. • There were 8 instances (2 units x 4 months) where rents exceeded HUD FMR limits. • 3 of 20 rent reasonableness determinations were not completed prior to the lease start date. Questioned Costs: $392. Cause: The Organization did not have sufficiently defined or consistently followed procedures for documenting independent review of rent reasonableness determinations, verifying rents against applicable FMR limits before authorizing payments, and ensuring determinations were complete prior to lease start dates. Effect: Units are approved and paid at non-compliant rent levels, federal funds are used for rents above allowable limits, and documentation does not meet HUD standards, potentially leading to questioned costs, required repayment, and findings in future monitoring or audits. Recommendation: We recommend that management establish a mandatory review and approval step for all rent reasonableness forms, require staff to verify current FMR limits before approving leasing amounts, and require rent reasonableness completion before any lease start date or payment authorization. Response: HALO's management concurs with this finding. HALO management will implement procedures to ensure compliance with rent reasonableness and FMR limits and train staff on those procedures. HALO will replace the current Rent Reasonableness form with the one on the HUD Exchange. Contact Person: Yvonne MacDonald Hames Anticipated Completion: June 30, 2026
Finding #2025-002 - Wage Allocations Criteria: Wages should be allocated to federal and state programs on the basis of time spent in each program. Condition: 1 out of 40 payroll transactions reviewed had differences between the wages that were charged to the grant and the wages that should have been...
Finding #2025-002 - Wage Allocations Criteria: Wages should be allocated to federal and state programs on the basis of time spent in each program. Condition: 1 out of 40 payroll transactions reviewed had differences between the wages that were charged to the grant and the wages that should have been charged to the grant based on the number of hours worked. Questioned Costs: $1,540. Cause: Payroll software coded manager time as admin time instead of the specific grant funding code. Effect: Wages could be charged to the wrong federal awards and not detected and corrected. Recommendation: We recommend that management review payroll software inputs and outputs for accuracy prior to completing grant claims. Response: HALO's management concurs with this finding. HALO's processes will include a review of payroll software inputs and outputs to ensure hours and wages are accurately allocated. Contact Person: Yvonne MacDonald Hames Anticipated Completion: June 30, 2026
FINDINGS – MAJOR FEDERAL AWARD PROGRAMS AUDIT S3800-010: Finding Reference Number 2025-001 S3800-030: Statement of Condition: Management designed Control Activities to ensure compliance with the Eligibility requirement with respect to tenant eligibility. Those Control Activities include verification...
FINDINGS – MAJOR FEDERAL AWARD PROGRAMS AUDIT S3800-010: Finding Reference Number 2025-001 S3800-030: Statement of Condition: Management designed Control Activities to ensure compliance with the Eligibility requirement with respect to tenant eligibility. Those Control Activities include verification and review of tenant files by an independent contractor prior to finalization of tenant income certifications and new tenant move-in files. However, during our testing, we noted four (4) move-in files out of four (4) move-in files tested where tenants were approved for move-in prior to review and approval by the independent contractor, circumventing the control. In addition, there was no evidence of approvals of tenant income certifications in the tenant files prior to billing of rental assistance for eleven (11) out of twelve (12) tenant files tested. S3800-080: Auditor Recommendation: We recommend that the client immediately implement corrective actions to ensure compliance with internal control procedures. Specifically: 1. The compliance specialist should be required to wait for proper approval of tenant eligibility files before processing them. 2. Review and reinforce the approval process through additional training for staff to ensure they understand the critical importance of obtaining necessary approvals before proceeding. 3. Implement stronger oversight and monitoring mechanisms to ensure that files are not processed before approval. S3800-045: Actions Taken or to be Taken: Management has reviewed the policies and procedures with the property manager, who also serves as the compliance specialist. The property manager was instructed that no tenants are to be granted occupancy and no billing of rental assistance based on certifications should be billed until the file has been approved by the independent contractor conducting the compliance review.
Finding 2025-003, Timesheet - Timekeeping (Assistance Listing 16.575 and 93.958) Persons Responsible: Irene Math, Chief Financial Officer; Shannon Van loon, Chief Operating Officer Comment: Per 2 CFR § 200.430 requires that the distribution of salary and wages charged to federal awards be based on a...
Finding 2025-003, Timesheet - Timekeeping (Assistance Listing 16.575 and 93.958) Persons Responsible: Irene Math, Chief Financial Officer; Shannon Van loon, Chief Operating Officer Comment: Per 2 CFR § 200.430 requires that the distribution of salary and wages charged to federal awards be based on actual employee activity as reflected in personal activity reports (timesheets), prepared after-the-fact, that include the total activity for which employees were compensated. Response: In January 2025, WJCS implemented an automated time and attendance system for staff to track time which integrates with the payroll and financial systems to ensure appropriate allocations to Federal awards. Prior to implementation of the new system weekly manual timesheets were used to track staff time and attendance on Federal contracts. However, these manual timesheets were not integrated into a standard agency-wide payroll processing system. The new system enhancements to payroll tracking will allow WJCS to completely and accurately allocate payroll costs to grants with fewer mechanical steps which increase the risk of miscalculations. Management will continue to monitor the automated timekeeping system through periodic supervisory reviews and payroll-to-grant allocation reconciliations to ensure ongoing compliance with 2 CFR §200.430. Estimated Completion Date: The agency-wide time and attendance system was implemented in January 2025.
SIGNIFICANT DEFICIENCY IN INTERNAL CONTROL OVER COMPLIANCE – U.S. DEPARTMENT OF AGRICULTURE, PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION, CHILD NUTRITION CLUSTER (ALN 10.553, 10.555, AND 10.556) 2025-003 Internal Control Over Compliance With Federal Suspension and Debarment Requirements Finding...
SIGNIFICANT DEFICIENCY IN INTERNAL CONTROL OVER COMPLIANCE – U.S. DEPARTMENT OF AGRICULTURE, PASSED THROUGH MINNESOTA DEPARTMENT OF EDUCATION, CHILD NUTRITION CLUSTER (ALN 10.553, 10.555, AND 10.556) 2025-003 Internal Control Over Compliance With Federal Suspension and Debarment Requirements Finding Summary 2 CFR § 180 and 2 CFR § 200.318-327 requires the District to establish and maintain effective internal control over compliance with requirements applicable to federal program expenditures, including suspension and debarment requirements applicable to the child nutrition cluster federal programs. During our audit, we noted the District did not have sufficient controls in place within its child nutrition cluster federal programs to ensure compliance with federal requirements related to assuring that the District was not contracting for goods or services with parties that are suspended or debarred, or whose principals are suspended or debarred from participating in contracts involving the expenditures of federal program funds. Corrective Action Plan Actions Planned – The District will review its policies and procedures relating to suspension and debarment for its federal programs to ensure compliance with the Uniform Guidance in the future, including maintaining appropriate documentation. Official Responsible – Dawn Duevel, Business Services Director. Planned Completion Date – June 30, 2026. Disagreement With or Explanation of Finding – The District agrees with this finding. Plan to Monitor – Dawn Duevel, Business Services Director, will assure appropriate internal controls and procedures are in place to ensure compliance with suspension and debarment requirements.
Assistance Listings number and program name: 14.195 Section 8 Project-Based Cluster (Project-Based Rental Assistance (PBRA)) Responsible Entity: Housing Authority of Maricopa County Contact Person(s): Gerald Minott, Executive Director, Housing Authority of Maricopa County. Anticipated completion dat...
Assistance Listings number and program name: 14.195 Section 8 Project-Based Cluster (Project-Based Rental Assistance (PBRA)) Responsible Entity: Housing Authority of Maricopa County Contact Person(s): Gerald Minott, Executive Director, Housing Authority of Maricopa County. Anticipated completion date: April 12, 2026 Concur: The Housing Authority of Maricopa County (HAMC) has set up automatic build in compliance alert in Yardi Voyager that will adopt HUD software requirement tools while also creating a compliance calendar for the fiscal year which should further assist in the prevention of late inspections and recertifications. Going forward the HAMC Compliance Department will be performing biannual internal monitoring tests of up to (25%) of files per site/property/program. As part of HAMC’s push to implement internal control best practices, HAMC will update its internal control policies on electronic income verification deadlines, inspection frequency, required documentation, correction of income verification steps, and file retention rules to provide better clarity. HAMC will also work with the HAMC HR Department staff to implement a zero-tolerance policy for incomplete files which will be reviewed on a yearly basis.
Views of Responsible Official: Management agrees with the finding. Management will develop an alert system for Program Directors to use in tracking their sub-awards and sub-contracted engagement values and related amendments. This system will create an alert when a contract value exceeds $30,000 pro...
Views of Responsible Official: Management agrees with the finding. Management will develop an alert system for Program Directors to use in tracking their sub-awards and sub-contracted engagement values and related amendments. This system will create an alert when a contract value exceeds $30,000 prompting the Program Director to file, or work with appropriate staff to file the FFATA.
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