Corrective Action Plans

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The Council agrees with finding 2025-003 and will follow its policy to report direct costs and appropriate cost allocations in expense-based programs.
The Council agrees with finding 2025-003 and will follow its policy to report direct costs and appropriate cost allocations in expense-based programs.
Finding Number: 2025-001 Name of Contact Person: Harold Langowski, City Clerk-Treasurer Corrective Action Planned: Clerk-Treasurer will attempt to monitor transactions and structure the duties of office personnel to help ensure as much segregation of duties as possible within the City’s staffing lim...
Finding Number: 2025-001 Name of Contact Person: Harold Langowski, City Clerk-Treasurer Corrective Action Planned: Clerk-Treasurer will attempt to monitor transactions and structure the duties of office personnel to help ensure as much segregation of duties as possible within the City’s staffing limitations and funding constraints. Anticipated Completion Date: Management has been monitoring transactions and reviewing the duties of office personnel on an ongoing basis.
CORRECTIVE ACTION PLAN -For FY 2025 Audit Finding FINDING: 2025-001-ALN 14.871 & 14.879: U.S. Department of Housing and Urban Development’s (HUD’s) Section 8 Housing Choice Voucher (HCV) Program & Housing Quality Standards Inspection/HQS Enforcement CRITERIA: 24 CFR 982.405 & 983.103 require units l...
CORRECTIVE ACTION PLAN -For FY 2025 Audit Finding FINDING: 2025-001-ALN 14.871 & 14.879: U.S. Department of Housing and Urban Development’s (HUD’s) Section 8 Housing Choice Voucher (HCV) Program & Housing Quality Standards Inspection/HQS Enforcement CRITERIA: 24 CFR 982.405 & 983.103 require units leased, under the HCV Program, to be inspected at least biennially to determine if the unit meets Housing Quality Standards (HQS) and the PHA must conduct quality control re-inspections. CONDITION: During the audit, three (3) failed HQS inspections, with life threatening issues as defined by the WVHA’s Administrative Plan, was found that did not receive a pass in conformance with the Criteria noted above and no HAP abatement process was enforced. Additionally, two (2) HCV units were found to have not been inspected at least biennially. PLAN FOR CORRECTION: Inspection Protocols- With the limitation of time imposed by the 24-hour remedy period, staff were calling and/or emailing the landlords as soon as they noted a Life, Health & Safety deficiency. Inspection staff have been informed that all Life Health and Safety deficiencies will immediately trigger a letter to the landlord (with a copy to the HCV caseworker) stating that Housing Assistance Payments will be placed in abatement and the HCV caseworkers will perform such abatement action as soon as the 24-hour period has elapsed (unless informed by the inspector that the property has subsequently corrected the deficiencies). Documentation- Physical inspection records will be provided to each HCV caseworker and be added to the tenant household’s HCV file within 24 hours of the inspection. HCV caseworkers are required to ensure all inspection documentation is properly located within each HCV file and such documentation is in accordance with the program’s rules and regulations. CONTACTS FOR PLAN: Cheryl Slagle – Housing Programs Manager Ph. (503) 623-8387 Ext. 328 cslagle@wvpha.org Christian Edelblute - Executive Director Ph. (503) 623-8387 Ext. 314 cedelblute@wvpha.org
2025-002 Material Audit Adjustment Corrective Action Planned: The material misstatements detected as a result of audit procedures were corrected by management. The Authority will review all adjusting entries posted and make all such necessary adjustments in the future. The Executive Director will co...
2025-002 Material Audit Adjustment Corrective Action Planned: The material misstatements detected as a result of audit procedures were corrected by management. The Authority will review all adjusting entries posted and make all such necessary adjustments in the future. The Executive Director will continue to monitor all financial activity and adjust account balances as needed throughout the year and at year-end to prevent misstatements from occurring. Completion Date: December 31, 2026
Corrective Action Planned: Due to the Authority's size, it is cost-prohibitive and impractical to achieve the ideal level of segregation of duties. The Authority has implemented as many controls and segregation of duties as practically possible for an organization of this size. Completion Date: Ongo...
Corrective Action Planned: Due to the Authority's size, it is cost-prohibitive and impractical to achieve the ideal level of segregation of duties. The Authority has implemented as many controls and segregation of duties as practically possible for an organization of this size. Completion Date: Ongoing
Management has established standardized filing procedures for both electronic and hard-copy records, requiring supporting documentation for all reeipts, disbursements, journal entries, payroll transactions, procurement activities, grant expenditures, and bank reconiciliations. LSHA updated it's writ...
Management has established standardized filing procedures for both electronic and hard-copy records, requiring supporting documentation for all reeipts, disbursements, journal entries, payroll transactions, procurement activities, grant expenditures, and bank reconiciliations. LSHA updated it's written records retention policy that complies with applicable HUD regulations, federal record retention requirements, and the LSHA's internal policies. Finance staff have received training on documentation standards, file maintenance, and record retention requirements.
Management has strengthened its recordkeeping practices to ensure that all revenues are fully supported by appropriate source documentation and are readily available for audit, monitoring, and financial reporting purposes. The Finance Director has conducted a review of current revenue documentation ...
Management has strengthened its recordkeeping practices to ensure that all revenues are fully supported by appropriate source documentation and are readily available for audit, monitoring, and financial reporting purposes. The Finance Director has conducted a review of current revenue documentation procedures to identify any gaps in record retention and establish standardized filing requirements for all revenue sources, including tenant rent, HUD operating subsidies, Capital Fund reimbursements, Housing Assistance Payments (HAP), administrative fees, miscellaneous income, grant revenues, and other receipts. Where documentation is incomplete, management has made reasonable efforts to obtain or recreate supporting records from available internal and external sources.
A review of financials determined that due to fraud bank accounts were closed and not correctly documented in the financials leading to a misstatement of assets. All accounts have been reviewed and adjusting entries made to correct prior deficienceis. LSHA has strengthened internal controls to preve...
A review of financials determined that due to fraud bank accounts were closed and not correctly documented in the financials leading to a misstatement of assets. All accounts have been reviewed and adjusting entries made to correct prior deficienceis. LSHA has strengthened internal controls to prevent future discrepencies and has implemented a formal cash reconciliation procedure requiring all bank accounts to be reconciled following the end of each month. Each reconiciliation includes verification that the adjusted bank balance agrees to the general ledger cash balance, documentation of all outstanding reconciling items, and timely resolution of any differences identified.
1. Leave Balance Documentation and Vacation Payout Controls • All leave payout requests, including unused vacation at separation or year-end, must be supported by a complete leave history report from the District's leave tracking system, showing accrual, usage, and available balance. No payout will ...
1. Leave Balance Documentation and Vacation Payout Controls • All leave payout requests, including unused vacation at separation or year-end, must be supported by a complete leave history report from the District's leave tracking system, showing accrual, usage, and available balance. No payout will be processed without this documentation on file. • The Human Resources department will reconcile all employee leave balances monthly. Year-end balances will be certified by the Finance Director before any separation payout is calculated. 2. Additional Pay Authorization • All extra-duty pay, stipends, and additional compensation require an approved board resolution before payroll is processed. Payroll staff are instructed to reject any additional pay without complete documentation. • AMS Impact Group will perform a line-by-line review of each payroll run to verify every additional pay item has an approved authorization on file prior to disbursement. 3. Non-Payroll Expenditure Documentation • A pre-payment documentation checklist has been implemented for all non-payroll transactions. Payments will not be processed without an approved purchase order, vendor invoice, and receiving confirmation attached. • The Finance Director will conduct monthly spot-check reviews of non-payroll transactions to verify documentation completeness. Any gaps identified will be corrected within 30 days. 4. Receipt and Revenue Documentation • The District is establishing a standardized receipting procedure for all cash and check receipts. All incoming revenue will be recorded on a pre-numbered receipt, reconciled to deposit records, and reviewed by the Finance Director on a monthly basis. 5. Accountability and Oversight • AMS Impact Group will perform periodic internal reviews of financial documentation to identify gaps before year-end and provide corrective guidance to District staff.
Recommendation: Management should strengthen its tenant file review and monitoring procedures to ensure that reasonable rent determinations and utility allowance calculations are completed, documented, and reviewed in accordance with the Housing Authority’s policies and applicable program requiremen...
Recommendation: Management should strengthen its tenant file review and monitoring procedures to ensure that reasonable rent determinations and utility allowance calculations are completed, documented, and reviewed in accordance with the Housing Authority’s policies and applicable program requirements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to the finding: The Authority will address the identified deficiencies and prevent recurrence by strengthening file review procedures, enhancing staff training, and improving internal controls. A standardized quality control process will be implemented to ensure required tenant file elements are accurate, complete, and properly reviewed prior to approval, along with periodic monitoring to identify and correct errors in a timely manner. Staff will receive targeted and refresher training to reinforce key requirements, calculations, and documentation standards. Additionally, the Authority will evaluate opportunities to improve system controls to reduce the likelihood of errors or missed steps. Name(s) of the contact person(s) responsible for corrective action: Lowel Krueger, Executive Director. Planned completion date for corrective action plan: December 31, 2025.
Management Response: Management agrees with the finding and is committed to strengthening internal controls over financial reporting. We have discussed updating what we can complete in house to improve documentation, reconciliations and staff training. We use an outside accounting firm to provide ac...
Management Response: Management agrees with the finding and is committed to strengthening internal controls over financial reporting. We have discussed updating what we can complete in house to improve documentation, reconciliations and staff training. We use an outside accounting firm to provide accounting oversight and financial reporting, the firm provides technical expertise, reviews financial records for accuracy and completeness, assists with financial preparation and offers guidance on compliance with applicable accounting standards and regulatory requirements. Anticipated Completion Date: Immediately upon the start of the new Fiscal Year on July 1. Management anticipates full implementation by June 30, 2027. Responsible Party: Business Manager, Accounting Tech and the outside Accounting Firm.
Management has established a documentation tracking system to ensure that all stages of the monthly reporting process including preparation, review, approval, and submission are properly documented and retained.
Management has established a documentation tracking system to ensure that all stages of the monthly reporting process including preparation, review, approval, and submission are properly documented and retained.
Management has implemented a comprehensive continuing education program for employees who work on the SSVF program. Monthly internal audits are conducted by the Program leadership team to monitor compliance with funder guidelines.
Management has implemented a comprehensive continuing education program for employees who work on the SSVF program. Monthly internal audits are conducted by the Program leadership team to monitor compliance with funder guidelines.
Management will coordinate with external auditors to ensure timely completion of the audit and to ensure compliance with 2 CFR 200.512 requirements.
Management will coordinate with external auditors to ensure timely completion of the audit and to ensure compliance with 2 CFR 200.512 requirements.
Reporting – Assistance Listing No. 93.224/93.527 Recommendation: We recommend the Organization perform a final review of amounts entered within the UDS report, as compared to the supporting schedules, prior to submission. Explanation of disagreement with audit finding: There is no disagreement with ...
Reporting – Assistance Listing No. 93.224/93.527 Recommendation: We recommend the Organization perform a final review of amounts entered within the UDS report, as compared to the supporting schedules, prior to submission. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: • Update UDS procedure to pull detail reports on all numbers reported in the UDS. • Add to the UDS procedure a review of detail reports to tie them to UDS report • Add a sign off to UDS report as part of final review that detail reports were pulled and verified. Name of the contact person responsible for corrective action: Keith Flores, CFO Planned completion date for corrective action plan: July 2026
We will improve our internal control procedures related to record keeping and adjustments in order to ensure compliance with the March 31 federal requirement. Implementation Date: During the 2026-2027 fiscal year. Responsible Person: Mrs. Yadira Pereira Nieves Finance Director
We will improve our internal control procedures related to record keeping and adjustments in order to ensure compliance with the March 31 federal requirement. Implementation Date: During the 2026-2027 fiscal year. Responsible Person: Mrs. Yadira Pereira Nieves Finance Director
Finding 1222772 (2025-001)
Material Weakness 2025
Segregation of Duties
Segregation of Duties
Finding 1222772 (2025-001)
Material Weakness 2025
Recommendation: While we recognize the City’s office staff is not large enough to permit an adequate segregation of duties in all respects for an effective internal control structure, it is important that the City be aware of this condition and look for opportunities to improve segregation of duties...
Recommendation: While we recognize the City’s office staff is not large enough to permit an adequate segregation of duties in all respects for an effective internal control structure, it is important that the City be aware of this condition and look for opportunities to improve segregation of duties or add mitigating controls to prevent material misstatement of the financial statements.
Finding 1222772 (2025-001)
Material Weakness 2025
Management’s Response and Actions Planned: The City’s management is aware of this condition and believes that it is not economically feasible to attain the ideal segregation of duties. Management attempts to mitigate the associated risks by doing the following:
Management’s Response and Actions Planned: The City’s management is aware of this condition and believes that it is not economically feasible to attain the ideal segregation of duties. Management attempts to mitigate the associated risks by doing the following:
Finding 1222772 (2025-001)
Material Weakness 2025
1. Identifies areas where the lack of segregation of duties exists and where there are higher risks of errors or fraud occurring.
1. Identifies areas where the lack of segregation of duties exists and where there are higher risks of errors or fraud occurring.
Finding 1222772 (2025-001)
Material Weakness 2025
2. Implements limited segregation to the extent possible to reduce risks without impairing efficiency.
2. Implements limited segregation to the extent possible to reduce risks without impairing efficiency.
Finding 1222772 (2025-001)
Material Weakness 2025
3. Uses the knowledge that management and the Board of Directors have of operations by having them review certain accounting records and reports.
3. Uses the knowledge that management and the Board of Directors have of operations by having them review certain accounting records and reports.
Finding 1222772 (2025-001)
Material Weakness 2025
Monitors the effectiveness of the above actions and makes changes as considered appropriate.
Monitors the effectiveness of the above actions and makes changes as considered appropriate.
Condition – The data collection form was not submitted within the required time as required by 2 CFR 200.512 for the year ended June 30, 2025. Planned Corrective Action – The Agency will take all reasonable measures to work with the new auditors to complete the audit process and submit the data coll...
Condition – The data collection form was not submitted within the required time as required by 2 CFR 200.512 for the year ended June 30, 2025. Planned Corrective Action – The Agency will take all reasonable measures to work with the new auditors to complete the audit process and submit the data collection report within the required time period. Anticipated Date of Correction – The 2026 data collection form for the year ended June 30, 2026, will be issued to GSA within the required deadline of the earlier of thirty days after issuance of the 2026 audit or prior to March 31, 2027. Point of Contact: James Williams, Fiscal Officer/Program Director
1. Proposed Corrective Action: Our agency will migrate all time sheets to digital, which will be input and tracked by the employee and submitted each payroll. That timesheet will then be reviewed and approved by the Director of Operations before payroll is disbursed. Digital timesheets will be avail...
1. Proposed Corrective Action: Our agency will migrate all time sheets to digital, which will be input and tracked by the employee and submitted each payroll. That timesheet will then be reviewed and approved by the Director of Operations before payroll is disbursed. Digital timesheets will be available on demand going forward. 2. Timeline for Implementation: This process has already been completed.
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