Corrective Action Plans

Timeline: Implement the action plan as soon as possible, with a focus on immediate improvements in payroll tax compliance. Continuously monitor progress and make necessary adjustments.

View Audit 15012

Finding 11225 (2022-001)

Significant Deficiency 2022

Adults and Youth United Development Association. INC

TX

Material Weakness Reporting Internal Control / Segregation of Duties

Responsibility: Assign specific individuals or departments responsible for each action item in the plan, and establish clear lines of accountability.

View Audit 15012

Finding 11225 (2022-001)

Significant Deficiency 2022

Adults and Youth United Development Association. INC

TX

Material Weakness Reporting Internal Control / Segregation of Duties

Resources: Allocate the necessary resources, including personnel, technology, and training, to ensure the successful implementation of the action plan.

View Audit 15012

Finding 11225 (2022-001)

Significant Deficiency 2022

Adults and Youth United Development Association. INC

TX

Material Weakness Reporting Internal Control / Segregation of Duties

Constraints: Consider any budgetary or resource constraints when implementing the plan, and seek approval for additional resources if needed.

View Audit 15012

Finding 11225 (2022-001)

Significant Deficiency 2022

Adults and Youth United Development Association. INC

TX

Material Weakness Reporting Internal Control / Segregation of Duties

By following this action plan, AYUDA can improve its internal controls, ensure timely and accurate payroll tax payments, and reduce the risk of incurring significant penalties. It's essential to monitor progress and maintain a commitment to compliance with payroll tax regulations

View Audit 15012

Finding 11022 (2022-001)

Significant Deficiency 2022

New Opportunities, Inc. and Affiliates

CT

Internal Control / Segregation of Duties Questioned Costs Reporting

Finding No. 2022-001: Financial Reporting Assistance Listing Program Title and Number: All Federal Agency: All Pass-through Entity: All Description of Finding: In fiscal year 2022, the Organization 's accounting processes and internal controls over financial reporting did not meet timeliness standar...

Finding No. 2022-001: Financial Reporting Assistance Listing Program Title and Number: All Federal Agency: All Pass-through Entity: All Description of Finding: In fiscal year 2022, the Organization 's accounting processes and internal controls over financial reporting did not meet timeliness standards. As a result, the financial close process including the grant schedule was not completed within the standard period. Statement of Concurrence or Nonconcurrence: Management agrees with the auditors' findings. Corrective Action: Management identified the prior year occurrences as one time and will meet timelmess standards in subsequent fiscal years. Name of Contact Person: Mark E. Kovitch, CFO mkovitch@NewOppinc.org 203-575-4293 Projected Completion Date: July 31 , 2024

View Audit 14907

Finding 11006 (2022-002)

Material Weakness 2022

Housing Authority of Chelan County and the City of Wenatchee

WA

HUD Housing Programs Internal Control / Segregation of Duties Allowable Costs / Cost Principles

Finding ref number: 2022-002 Finding caption: The Housing Authority had inadequate internal controls for ensuring compliance with the Housing Quality Standards inspection requirements of its Section 8 Housing Assistance Payments Program. Name, address, and telephone of Authority contact person: Joan...

Finding ref number: 2022-002 Finding caption: The Housing Authority had inadequate internal controls for ensuring compliance with the Housing Quality Standards inspection requirements of its Section 8 Housing Assistance Payments Program. Name, address, and telephone of Authority contact person: Joanna Tepley, Finance Director 1555 S. Methow Street Wenatchee, WA 98801 Corrective action the auditee plans to take in response to the finding: For 2022, CCWHA resumed annual inspections of leased units assigning an inspection month to each property. We acknowledge that in this transition some units, due to tenant refusal and rescheduling were not inspected within the annual timeline as understood by the State Auditor’s Office. CCWHA has taken the following actions: 1) Timely Inspections: We have reviewed and revised our inspection scheduling procedures to ensure timely inspections for all leased units. This includes implementing a system to track and manage inspection deadlines and notifying tenants in advance to facilitate the process. 2) Documentation Enhancement: Our documentation procedures have been enhanced to maintain a comprehensive record of all inspections. This includes creating a centralized database to store digital inspection reports, dates, and any necessary follow-up actions, ensuring that we can readily demonstrate compliance with HQS requirements. 3) Staff Training: Housing Authority staff responsible for conducting inspections have undergone additional training to reinforce the importance of timely and thorough assessments. This training emphasizes the significance of complying with federal HQS standards and maintaining accurate records. 4) Quality Assurance Reviews: We have established a quality assurance review process to periodically assess our inspection procedures. This will involve internal reviews and, where appropriate, seeking external input to ensure the effectiveness and accuracy of our inspection processes. We understand the critical nature of complying with HQS requirements to maintain a safe and healthy living environment for our tenants. We are committed to continuously improving our inspection processes. Anticipated date to complete the corrective action: Complete and on-going

View Audit 14894

Finding 10939 (2022-004)

Significant Deficiency 2022

Puerto Rico Department of Economic Development and Commerce

PR

Procurement, Suspension & Debarment Subrecipient Monitoring Matching / Level of Effort / Earmarking

Findings and Questioned Costs Relating to Federal Awards: Federal Funding Accountability and Transparency Act (FFATA), Reporting DEDC’s Finance Department with the assistance of the Human Resources Department submitted the FFATA Reports that were not filed in previous years, in order to get curre...

Findings and Questioned Costs Relating to Federal Awards: Federal Funding Accountability and Transparency Act (FFATA), Reporting DEDC’s Finance Department with the assistance of the Human Resources Department submitted the FFATA Reports that were not filed in previous years, in order to get current in the FFATA reporting requirements during the month of September 2022. Thereafter, DEDC has been able to submit FFATA reports as required. In DEDC Reporting SOP, the submission deadlines have been established, as well as the personnel responsible for its completion. To fully mitigate the finding, an SOP related solely to FFATA reports was prepared and implemented, including the following details: parties responsible for preparing and submitting reports, management oversight in the process and the process to ensure timely submission as per requirements. The SOP details responsible parties with proper segregation of duties for preparation and review and DEDC’s oversight to ascertain quality and timeliness of submittals. The SOP was shared with Finance and Programmatic resources and a training session was provided to all parties involved in the procedure. These activities were completed during the month of May 2023, which should significantly enhance controls for subsequent periods.

View Audit 14757

Finding 10921 (2022-003)

Material Weakness 2022

Workforce Development Board of Southeast Missouri

MO

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Refer to finding 2022-001 for the views of responsible officials and planned corrective actions.

View Audit 14749

Finding 10921 (2022-003)

Material Weakness 2022

Workforce Development Board of Southeast Missouri

MO

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Views of Responsible Officials and Planned Corrective Actions: The Organization agrees with the finding. Unfortunate circumstances existed prior to the departure of two key employees within the Organization that significantly impacted the daily financial reporting and processing capabilities of th...

Views of Responsible Officials and Planned Corrective Actions: The Organization agrees with the finding. Unfortunate circumstances existed prior to the departure of two key employees within the Organization that significantly impacted the daily financial reporting and processing capabilities of the Organization. The Organization however, made a concerted effort to ensure that it met Federal program reporting compliance standards. Subsequent Federal program monitoring procedures for programs during the fiscal year ended June 30, 2022 were conducted with the Organization successfully passing. The Organization subsequently has changed their financial reporting and processing procedures that has improved the overall internal control over financial reporting and compliance. Additionally, effective October 1, 2022, the Organization became a 100% pass thru agent of all Federal programs and thereby significantly reducing the financial reporting and processing requirements.

View Audit 14749

Finding 10916 (2022-002)

Significant Deficiency 2022

MacOn-Bibb County

GA

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

2022 – 002 Community Development Block Grant (CDBG) – Assistance Listing 14.218 – Reporting – Federal Funding Accountability and Transparency Act (FFATA) Name of Contact Person Responsible for Corrective Action Plan: Christy Iuliucci, Finance Director Corrective Action Plan: Management will implemen...

2022 – 002 Community Development Block Grant (CDBG) – Assistance Listing 14.218 – Reporting – Federal Funding Accountability and Transparency Act (FFATA) Name of Contact Person Responsible for Corrective Action Plan: Christy Iuliucci, Finance Director Corrective Action Plan: Management will implement a process to ensure all required reports are submitted as required in a timely manner. Anticipated Completion Date: Fiscal year 2023

View Audit 14726

Finding 10838 (2022-007)

Material Weakness 2022

City of Santa Fe

NM

Questioned Costs Procurement, Suspension & Debarment Allowable Costs / Cost Principles

Recommendation: We recommend the City strengthen the controls in place to provide assurance that proper review occurs with someone knowledgeable with the grant and retain backup documentation to support amounts charged to grant. Action Taken: The City agrees with this ﬁnding. In September of 2022, ...

Recommendation: We recommend the City strengthen the controls in place to provide assurance that proper review occurs with someone knowledgeable with the grant and retain backup documentation to support amounts charged to grant. Action Taken: The City agrees with this ﬁnding. In September of 2022, the City hired a highly qualiﬁed Grants Manager who has been continuously working with City Departments that receive grant funding to raise awareness of requirements such as the need to ensure that grant-funded transactions are appropriately reviewed and approved by someone knowledgeable with the grant. Key vacancies and personnel changes at the Airport during FY22 resulted in insuﬃcient staﬃng to allow for robust internal controls and separation of duties. During FY24 the Finance Director and the Grants Manager will work with the Airport team to develop a procedure to document controls performed to review and approve grant-funded transactions. In FY24 the Grants Manager will provide Uniform Guidance training to City staﬀ which will include allowable costs and internal controls. Anticipated Completion Date: June 30, 2024 Responsible Official: Emily Oster-Finance Director, James Harris-Airport Manager, Airport Operations Manager (in‐process of hiring), Cheryl James-Grants Manager

View Audit 14498 Questioned Costs: $1

Finding 10802 (2022-007)

Material Weakness 2022

City of Muskegon Heights

MI

Questioned Costs Allowable Costs / Cost Principles Cash Management

2022-007 – Reporting (Repeat Finding) Auditor Description of Condition and Effect. The City has not performed all of the required Coronavirus State and Local Fiscal Recovery Funds expenditure reporting. Specifically, the Project and Expenditure reports have either not been submitted as required, or ...

2022-007 – Reporting (Repeat Finding) Auditor Description of Condition and Effect. The City has not performed all of the required Coronavirus State and Local Fiscal Recovery Funds expenditure reporting. Specifically, the Project and Expenditure reports have either not been submitted as required, or material errors were noted in the reports submitted. As a result of this condition, the City did not comply completely with the reporting requirements of the Coronavirus State and Local Fiscal Recovery Funds grant. Auditor Recommendation. We recommend that the City contact the appliable federal agency to address technical issues with the online grant reporting portal and perform required reporting, making corrections as needed related to any previously filed reports in error. Corrective Action. City staff has accessed these reports and attempted to submit all required reports. Ongoing reports have been submitted on time. Assistance will be sought with federal agencies as necessary.Responsible Person. City ManagerAnticipated Completion Date. June 30, 2024

View Audit 14452

Finding 10801 (2022-006)

Significant Deficiency 2022

City of Muskegon Heights

MI

Procurement, Suspension & Debarment Internal Control / Segregation of Duties

2022-006 – Procurement, Suspension and Debarment (Repeat Finding) Auditor Description of Condition and Effect. The City did not verify that any of their vendors over $25,000 were not suspended or debarred from doing business with the City. As a result of this condition, the City was exposed to the ...

2022-006 – Procurement, Suspension and Debarment (Repeat Finding) Auditor Description of Condition and Effect. The City did not verify that any of their vendors over $25,000 were not suspended or debarred from doing business with the City. As a result of this condition, the City was exposed to the risk that disbursements of federal awards would be made to vendors suspended or debarred by the federal government. Auditor Recommendation. We recommend that the City verify that all of their vendors over $25,000 spent with federal funds were not suspended or debarred. Corrective Action. The City will maintain a schedule of dates checked for debarment. Responsible Person. Assistant Finance Director / Director of Planning and Community Development Anticipated Completion Date. June 30, 2024

View Audit 14452

Finding 10684 (2022-003)

Significant Deficiency 2022

Neighborhood Health Association of Toledo, Inc.

OH

Procurement, Suspension & Debarment Internal Control / Segregation of Duties

Recommendation: We recommend that management monitors and trains the staff involved in the suspension and debarment process on an annual basis to ensure all parties are following the Association’s policy and process. Explanation of disagreement with audit finding: There is no disagreement with the a...

Recommendation: We recommend that management monitors and trains the staff involved in the suspension and debarment process on an annual basis to ensure all parties are following the Association’s policy and process. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: We agreed with the above comment and the Association will conduct annual training with the finance department to ensure that all members are educated on the required policies for compliance. Name of the contact person responsible for corrective action: Doni Miller, President & Chief Executive Officer Planned completion date for corrective action plan: 2023

View Audit 14360

Finding 10683 (2022-002)

Significant Deficiency 2022

Neighborhood Health Association of Toledo, Inc.

OH

Questioned Costs Special Tests & Provisions HUD Housing Programs

Recommendation: We recommend that management continue to work and educate front desk and intake staff on the importance of the required patient application documentation so that the required support is filed before applying a sliding fee discount to a patient account. In addition, we suggest that ma...

Recommendation: We recommend that management continue to work and educate front desk and intake staff on the importance of the required patient application documentation so that the required support is filed before applying a sliding fee discount to a patient account. In addition, we suggest that management establish a policy to perform regular monitoring of a sample of patient file sliding fee applications to ensure the sliding fees are applied correctly. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: We agreed with the above comment, and we are working with our intake and finance staff to ensure all documentation is maintained on file and scanned into the EMR system to maintain the required supporting documentation. During 2023 we have implemented a system of monitoring sliding fees applied to patient accounts. Name of the contact person responsible for corrective action: Doni Miller, President & Chief Executive Officer Planned completion date for corrective action plan: 2023

View Audit 14360

Finding 10647 (2022-002)

None 2022

World Link INC

IA

Eligibility Reporting Internal Control / Segregation of Duties

Compliance: Finding 2022-002 – U.S. Department of State - Citizen Exchanges – CFDA No. 19.415 See finding 2022-001 for action taken.

View Audit 14322

Finding 10638 (2022-001)

Material Weakness 2022

World Link INC

IA

Reporting Internal Control / Segregation of Duties

Internal Control Over Compliance: Material Weakness Finding 2022-001 – Timely Completion of Audit and Data Collection Form (DCF) Recommendation: Internal controls should be in place that provide reasonable assurance that the audit is engaged and completed timely and submitted to the Federal Aud...

Internal Control Over Compliance: Material Weakness Finding 2022-001 – Timely Completion of Audit and Data Collection Form (DCF) Recommendation: Internal controls should be in place that provide reasonable assurance that the audit is engaged and completed timely and submitted to the Federal Audit Clearinghouse (now FAC.gov) by the applicable deadline (sooner of 30 days from completion of audit or 9 months from year-end). Action Taken: Management of World Link will engage the audit earlier and provide supporting documentation to the auditors based on the agreed-upon schedule for the 2023 audit to facilitate timely completion and submission of the data collection form. Completion Date: September 30, 2024

View Audit 14322

Finding 10627 (2022-005)

Significant Deficiency 2022

The Food Trust

PA

Cash Management Allowable Costs / Cost Principles Internal Control / Segregation of Duties

DEPARTMENT OF AGRICULTURE 2022-005 Food Insecurity Nutrition Incentive Grants Program – Assistance Listing No. 10.331 Recommendation: We recommend The Food Trust establish a system of checks and balances that includes a separation of duties. This means that different individuals should be responsib...

DEPARTMENT OF AGRICULTURE 2022-005 Food Insecurity Nutrition Incentive Grants Program – Assistance Listing No. 10.331 Recommendation: We recommend The Food Trust establish a system of checks and balances that includes a separation of duties. This means that different individuals should be responsible for preparing and requesting the draw of funds, and there should be a clear approval process in place. In addition, it is important to establish a clear process and timeline for performing draws. This may involve regular monitoring of expenditures, timely submission of draw requests, and efficient processing of those requests. By implementing proper segregation of duties, requiring approval from another individual and implementing a timely draw process, the organization can enhance internal controls, reduce the risk of fraud, and ensure the accuracy and integrity of the fund draw process, and can better manage its cash flow, meet its financial obligations, and maintain the smooth operation of the program. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Organization had no internal finance staff from October 2020 through July 2021, and was not fully staffed until March 2023. Having adequate staffing levels within the department allows for the proper segregation of duties and internal controls. In addition, the department now has the capacity to perform these draws on a timely basis. Name(s) of the contact person(s) responsible for corrective action: Regine Metellus, Vice President of Finance Planned completion date for corrective action plan: This matter has been corrected since July 2023. If the oversight agency has questions regarding this plan, please call Regine Metellus, Vice President of Finance at 215‐575‐0444 ext. 163.

View Audit 14285

Finding 10622 (2022-003)

Significant Deficiency 2022

The Food Trust

PA

Allowable Costs / Cost Principles Questioned Costs Internal Control / Segregation of Duties

DEPARTMENT OF AGRICULTURE 2022‐003 Food Insecurity Nutrition Incentive Grants Program – Assistance Listing No. 10.331 Recommendation: Management should review its practices to ensure there are adequate review controls in place so only allowable costs are allocated to federal programs. In addition, ...

DEPARTMENT OF AGRICULTURE 2022‐003 Food Insecurity Nutrition Incentive Grants Program – Assistance Listing No. 10.331 Recommendation: Management should review its practices to ensure there are adequate review controls in place so only allowable costs are allocated to federal programs. In addition, the funding received for the questioned costs should be remitted back to the funder by the organization. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Organization had no internal finance staff from October 2020 through July 2021, and was not fully staffed until March 2023. Having adequate staffing levels within the department allows for the proper review of transactions and helps to prevent errors of this nature. When this error was identified, the Organization contacted the funder to initiate the return of funds. The Organization recently received instructions from the funder and is processing the refund of $4,696. Name(s) of the contact person(s) responsible for corrective action: Regine Metellus, Vice President of Finance Planned completion date for corrective action plan: The planned corrective action will be completed by December 2023.

View Audit 14285 Questioned Costs: $1

Finding 10599 (2022-011)

Significant Deficiency 2022

Langston University

OK

Questioned Costs Reporting Significant Deficiency § 200.303

U.S. Department of Education 2022-011 COVID-19 Educational Stabilization Fund: HEERF Student Portion – Assistance Listing No. 84.425E HEERF Institutional Portion – Assistance Listing No. 84.425F Recommendation: We recommend the University implement procedures to ensure the information reported on th...

U.S. Department of Education 2022-011 COVID-19 Educational Stabilization Fund: HEERF Student Portion – Assistance Listing No. 84.425E HEERF Institutional Portion – Assistance Listing No. 84.425F Recommendation: We recommend the University implement procedures to ensure the information reported on the annual reports are complete and accurate. Action taken in response to finding: The University agrees with the finding and has developed the following corrective action plan. The University, if allowed by the U.S. Department of Education, will correct a previous entry in the HEERF prior year annual reporting. The University will obtain and retain support for all required disclosures at the time of reporting to verify accuracy and will document this review. Disclosure reports will be reviewed by someone independent of the preparer before they are filed, and the reviewer will reconcile the reports to supporting documentation to ensure accuracy and completeness. Name(s) of the contact person(s) responsible for corrective action: Robert Dixon, Director of Grants and Contracts Financial Administration at Oklahoma State University. Planned completion date for corrective action plan: January 2024

View Audit 14277

Finding 10563 (2022-018)

Material Weakness 2022

Langston University

OK

Questioned Costs Student Financial Aid Eligibility § 200.303

Student Financial Aid Cluster: Federal Supplemental Educational Opportunity Grant – Assistance Listing No. 84.007 Federal Work Study Program – Assistance Listing No. 84.033 Federal Pell Grant Program – Assistance Listing No. 84.063 Federal Direct Student Loans – Assistance Listing No. 84.268 Recomme...

Student Financial Aid Cluster: Federal Supplemental Educational Opportunity Grant – Assistance Listing No. 84.007 Federal Work Study Program – Assistance Listing No. 84.033 Federal Pell Grant Program – Assistance Listing No. 84.063 Federal Direct Student Loans – Assistance Listing No. 84.268 Recommendation: We recommend the University review internal control reports and implement review controls for work performed by third party servicers. Action taken in response to finding: The University agrees with the finding and has developed the following corrective action plan. The University is already utilizing Visual Compliance to assess all vendors for suspension and debarment but will obtain and document the review of the SOC 2 report for Visual Compliance annually. Name(s) of the contact person(s) responsible for corrective action: Scott Schlotthauer, Chief Procurement Officer at Oklahoma State University. Planned completion date for corrective action plan: December 2023

View Audit 14277

Corrective Action Plans

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