Corrective Action Plans

Finding 570035 (2024-003)

Material Weakness 2024

Passage Home

NC

Eligibility Material Weakness Internal Control / Segregation of Duties

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend that the Corporation establish and enforce a standardized process for completing and reviewing intake forms, provide training to staff on the importance of maintaining proper documentation and the pr...

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend that the Corporation establish and enforce a standardized process for completing and reviewing intake forms, provide training to staff on the importance of maintaining proper documentation and the procedures for completing and reviewing eligibility determinations, and implement periodic internal audits to ensure compliance with documentation requirements and to identify any areas needing improvement. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: In fiscal year 2025, Passage Home implemented new programmatic policies and procedures ensuring that a Program Manager or the Program Director reviews and approves (by signature) all new client enrollments prior to case manager assignment. The Program Director will conduct related training for all program staff and will administer quarterly client record audits (peer or supervisor review) to verify ongoing compliance. Name of the contact person responsible for corrective action: Karen Harshman Planned completion date for corrective action plan: 03/26/2025

View Audit 361326

Finding 570034 (2024-002)

Material Weakness 2024

Passage Home

NC

Material Weakness Internal Control / Segregation of Duties

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend that the Corporation establish and enforce a standardized process for completing and reviewing forms, provide training to staff on the importance of maintaining proper documentation and the procedure...

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend that the Corporation establish and enforce a standardized process for completing and reviewing forms, provide training to staff on the importance of maintaining proper documentation and the procedures for completing and reviewing compliance requirements, and implement periodic internal audits to ensure compliance with documentation requirements and to identify any areas needing improvement. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: During 2024, Passage Home experienced unprecedented change, including extensive staff turnover and extended vacancies in key positions. Of note, the entire leadership team transitioned out, the Supportive Services for Veteran Families Program Manager (SSVF) left, and 4 new SSVF program team members were onboarded within the year. Additionally, the finance department migrated to a new accounting system that ultimately proved to be unsatisfactory for the organization's needs. Management appreciates and agrees with the auditors' recommendations and has implemented and/or initiated the indicated operational adjustments. Name of the contact person responsible for corrective action: Karen Harshman Planned completion date for corrective action plan: 03/26/2025

View Audit 361326

Finding 569990 (2024-003)

Material Weakness 2024

Southeast Valley Community School District

IA

Internal Control / Segregation of Duties

SEE RESPONSE AND CORRECTIVE ACTION PLAN AT 2024-001

View Audit 361259

Finding 569989 (2024-001)

Material Weakness 2024

Van Buren Community Mental Health Authority

MI

Questioned Costs Internal Control / Segregation of Duties Procurement, Suspension & Debarment § 200.317 § 200.318 § 200.327

SINGLE AUDIT FOR THE YEAR ENDED SEPTEMBER 30, 2024 CORRECTIVE ACTION PLAN FEDERAL AWARD FINDINGS - Fiscal Year 2024 Finding Number: 2024-001 Procurement Assistance Listing Number: 93.696 Assistance Listing Title: Certified Community Behavioral Health Clinics N ame of Federal Agency: Substance Abuse...

SINGLE AUDIT FOR THE YEAR ENDED SEPTEMBER 30, 2024 CORRECTIVE ACTION PLAN FEDERAL AWARD FINDINGS - Fiscal Year 2024 Finding Number: 2024-001 Procurement Assistance Listing Number: 93.696 Assistance Listing Title: Certified Community Behavioral Health Clinics N ame of Federal Agency: Substance Abuse and Mental Health Services Administration Federal Award Identification Number: H79SM089299 Fiscal Year of Initial Finding: 2024 • Name of the contact person: Tina Boyer, CFO • Corrective Action Plan: Management agrees with this recommendation. VBCMH management will review and update policies and procedures to ensure that allfederal requirements are followed. Anticipated Completion Date: Fiscal Year 2025

View Audit 361252 Questioned Costs: $1

Finding 569970 (2024-003)

Significant Deficiency 2024

City of Marco Island

FL

Subrecipient Monitoring Cash Management Significant Deficiency § 200.302 § 200.303

DEPARTMENT OF HOMELAND SECURITY Disaster Grant Public Assistance (Presidentially Declared Disasters) - Assistance Listing No. 97.036 Recommendation: We recommend that the organization implement a review and approval process for all quarterly progress submissions. This should include: Training sta...

DEPARTMENT OF HOMELAND SECURITY Disaster Grant Public Assistance (Presidentially Declared Disasters) - Assistance Listing No. 97.036 Recommendation: We recommend that the organization implement a review and approval process for all quarterly progress submissions. This should include: Training staff on the importance of the review and approval process. Ensuring adequate staffing levels to handle the review process. Developing clear guidelins and procedures for the review and approval process. Regularly monitoring and auditing the review process to ensure compliance. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: The City will implement a review and approval process for all quarterly progress report submissions within it ERP (Enterprise Resource Planning) software system. The City will train its staff on the importance of the review and approval process. The City will ensure adequate staffing levels to handle the review process. The City will develop clear guidelines and procedures for the review and approval process. The City will regularly monitor and audit the reivew process to ensure compliance. Name(s) of the contact person(s) for corrective action: Guillermo Polanco. Planned completion date for corrective action plan: 09/30/2025

View Audit 361239

Finding 569938 (2024-003)

Material Weakness 2024

International Fresh Produce Association

DC

Cash Management Internal Control / Segregation of Duties

During the calendar year 2024 before the start of the audit process, Management did detect and correct 2 reimbursements received from the incorrect grant. These reimbursements are contained within the same payment portal as a similar grant from the same government agency. Management submitted a lett...

During the calendar year 2024 before the start of the audit process, Management did detect and correct 2 reimbursements received from the incorrect grant. These reimbursements are contained within the same payment portal as a similar grant from the same government agency. Management submitted a letter explanation to the U.S. Department of Agriculture (8/16/2024), confirmed receipt via email communications and the return of the funds via bank reconciliation charges showing the cleared funds (9/26/2024); This error was self-reported to the USDA and our audit partners. Since then, Management has implemented a process to separately identify the specific grant within the same program (TASC) utilizing the Federal Award Identification Number (TASC 2023- 02, TASC 2023-13 & TASC 2024-10 respectively) when submitting reimbursement requests

View Audit 361183

Finding 569935 (2024-005)

Material Weakness 2024

International Fresh Produce Association

DC

Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

The organization team has taken the action of setting up calendar reminders when all grant reports are due, and the information required to complete that report. Calendar notifications have also been made in the two weeks prior to the due date of all reporting requirements to serve as a reminder to ...

The organization team has taken the action of setting up calendar reminders when all grant reports are due, and the information required to complete that report. Calendar notifications have also been made in the two weeks prior to the due date of all reporting requirements to serve as a reminder to staff to compile the necessary information to submit reports in a timely manner.

View Audit 361183

Finding 569908 (2024-001)

Material Weakness 2024

Spanish Speaking Unity Council of Alameda County, Inc.

CA

Reporting Internal Control / Segregation of Duties

Finding Number: 2024-001 Management concurs with the finding. During FY2024, The Unity Council experienced significant transitions in its Finance/Accounting Department, including the sudden departure of the Controller and CFO. These changes resulted in delays to reconciliation and reporting processe...

Finding Number: 2024-001 Management concurs with the finding. During FY2024, The Unity Council experienced significant transitions in its Finance/Accounting Department, including the sudden departure of the Controller and CFO. These changes resulted in delays to reconciliation and reporting processes. At the beginning of FY2025, an Interim Chief Operating Officer was retained, who assisted with the FY2024 audit preparation, and key account reconciliations are resuming on a monthly or quarterly basis. Human Resource consultants were retained to assess the department structure and provide a framework to attract and retain highly skilled finance staff. An Executive Recruitment firm was retained to assist with recruitment of the CFO and Controller roles, expected to be filled by Fall 2025. A detailed monthly close checklist and supervisory review process are being developed and will be implemented with new leadership. In FY2026, the organization expects to have completed monthly financial statements internally, with adequate internal controls and account reconciliation review procedures in place. The corrective actions are being led by the Interim CFO and will continue with the incoming permanent CFO and Controller.

View Audit 361160

Finding 569899 (2024-007)

Material Weakness 2024

Kings Mountain Housing Authority

NC

Internal Control / Segregation of Duties

Name of Contact Person: Veronica Williams, Interim Executive DirectorCorrective Action: Currently, the Authority is tracking all utility consumption for future OpFund application.Proposed Completion Date: Immediately

View Audit 361147

Finding 569896 (2024-004)

Material Weakness 2024

Kings Mountain Housing Authority

NC

Internal Control / Segregation of Duties

Name of Contact Person: Veronica Williams, Interim Executive DirectorCorrective Action: Management will insure that all insurance policies are up to date and the fidelity bonding will be increased to the appropriate levels.Proposed Completion Date: Immediately

View Audit 361147

Finding 569895 (2024-003)

Material Weakness 2024

Kings Mountain Housing Authority

NC

HUD Housing Programs Internal Control / Segregation of Duties

Name of Contact Person: Veronica Williams, Interim Executive DirectorCorrective Action: A budget for FYE 9/30/25 was approved by the Board in their October 2024 meeting.Proposed Completion Date: Immediately

View Audit 361147

Finding 569894 (2024-002)

Material Weakness 2024

Kings Mountain Housing Authority

NC

Internal Control / Segregation of Duties

Name of Contact Person:Veronica Williams, Interim Executive DirectorCorrective Action: KMHA’s Board has approved new written policies and procedures and are in place now.Appropriate staff have begun taking proper safeguards for deposits and bank reconciliations to ensure proper accountability. Bank ...

Name of Contact Person:Veronica Williams, Interim Executive DirectorCorrective Action: KMHA’s Board has approved new written policies and procedures and are in place now.Appropriate staff have begun taking proper safeguards for deposits and bank reconciliations to ensure proper accountability. Bank statements will be provided directly to the Fee Accountant monthly. The reconciliation of all bank accounts in a timely manner is a key component of good controls over cash. The reconciliation of the bank balance with the book balance (i.e., general ledger) is necessary to ensure that:All receipts and disbursements are recorded, which is an essential process for ensuring complete and accurate monthly financial statements;Checks are clearing the bank in a reasonable timeframe;Items reconciled are appropriate and are being recorded;Fraudulent claims can be discovered and investigated; andReconciled cash balance agrees to the general ledger cash balance.Each bank account will be reconciled by the fee accountant returned.This documentation will be made available to the Authority’s auditorProposed Completion Date: Immediately

View Audit 361147

Finding 569872 (2024-002)

Significant Deficiency 2024

Marion County

SC

Reporting Internal Control / Segregation of Duties

Council and Administration will continue to use supervisory reviews such as monitoring financial statements and budget reports, and segregate duties where cost beneficial to do so.

View Audit 361144

Finding 569855 (2024-001)

Material Weakness 2024

Impact Community Action Partnership, Inc.

IA

Cash Management Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Management’s Response: Management agrees with the finding. Contact Person Responsible for Corrective Action: Anne Bacon, CEO Corrective Action Plan: The auditor finding concludes that the cause of the finding is: “Rapid growth of new funding without a corresponding increase in fiscal personnel, comb...

Management’s Response: Management agrees with the finding. Contact Person Responsible for Corrective Action: Anne Bacon, CEO Corrective Action Plan: The auditor finding concludes that the cause of the finding is: “Rapid growth of new funding without a corresponding increase in fiscal personnel, combined with the replacement of the CFO resulted in significant delays in reconciliations and preparing for the September 30, 2024 audit..” In order to address these causes, IMPACT Community Action Partnership will follow a rectifying course of action. 1. Establish a Reconciliation Schedule: A monthly reconciliation calendar will be implemented, assigning specific due dates for reconciling each of the following accounts: o Cash o Grant revenue and receivables o Prepaid expenses o Accounts payable o Accrued liabilities o Receivable advances Anticipated completion date: July 15, 2025 2. Assign Responsibilities: The Controller will be responsible for completing and reviewing all reconciliations monthly. The Chief Operating Officer will provide a second-level review and sign-off and will provide weekly verbal updates to the Chief Executive Officer beginning in August, 2025 3. Document Procedures: Standard Operating Procedures (SOPs) will be created or updated for each account reconciliation process, including templates and documentation requirements and entered into the Whale software. Anticipated completion date: August 30, 2025 4. Training: All finance staff involved in reconciliations will receive training on reconciliation standards, documentation. Anticipated completion date: September 30, 2025 5. Monitoring and Reporting: A reconciliation checklist and status report will be submitted to the board of directors each month for accountability beginning in August, 2025

View Audit 361122

Finding 569850 (2024-003)

Significant Deficiency 2024

Catholic Charities of the Diocese of Agana Dba Catholic Social Service

GU

Internal Control / Segregation of Duties Procurement, Suspension & Debarment

- CSS will revisit the existing forms and procedure to streamline approvals and minimize redundant approvals by the same individual/ authority while maintaining sound internal control. Orientation with program staff will be conducted.

View Audit 361119

Finding 569849 (2024-002)

Significant Deficiency 2024

Catholic Charities of the Diocese of Agana Dba Catholic Social Service

GU

Subrecipient Monitoring Internal Control / Segregation of Duties

- Review existing CSS personnel procedure 4.1 to streamline and improve efficiency of payroll process. '- Develop written procedure on payroll documentation on timesheets, leave request forms, and overtime work as incurred including review requirements and timelines. '- Review and discuss proposed r...

- Review existing CSS personnel procedure 4.1 to streamline and improve efficiency of payroll process. '- Develop written procedure on payroll documentation on timesheets, leave request forms, and overtime work as incurred including review requirements and timelines. '- Review and discuss proposed revisions during management meeting to address issues and concerns. '- Finalize policy/procedure and distribute to management staff. Coordinate orientation of policy to program staff directly involved with payroll.

View Audit 361119

Finding 569828 (2024-003)

Material Weakness 2024

Jacksonville Housing Authority

FL

HUD Housing Programs Eligibility Internal Control / Segregation of Duties

The Jacksonville Housing Authority’s (JHA) Housing Choice Voucher (HCV) program is the largest rental assistance program in the City of Jacksonville. Through the Annual Contributions Contract (ACC), the program receives over $90M from the United States Department of Housing and Urban Development (HU...

The Jacksonville Housing Authority’s (JHA) Housing Choice Voucher (HCV) program is the largest rental assistance program in the City of Jacksonville. Through the Annual Contributions Contract (ACC), the program receives over $90M from the United States Department of Housing and Urban Development (HUD) and assist over 7,700 families each year. The ACC requires JHA to comply with federal regulations and HUD guidelines, as amended from time to time. Audit Findings Berman Hopkins Wright & LaHam, CPAs and Associates, LLP conducted the recent FY2024 JHA Audit (Period: October 1, 2023 – September 30, 2024) and identified continued material weakness findings within the JHA Housing Choice Voucher (HCV) program including but not limited to: Material Weaknesses in Internal Controls, Material Weaknesses in Non-Compliance and Material Weaknesses in the Housing Quality Standards (HQS) Inspection process. Berman Hopkins Wright & LaHam, CPAs and Associates, LLP previously conducted JHA’s FY2023 audit (Period: October 1, 2022 – September 30, 2023) and FY2022 audit (Period: October 1, 2021 – September 30, 2022) which disclosed consecutive historical material weaknesses in JHAs internal controls and noncompliance of the Housing Choice Voucher (HCV) program. Under new CEO leadership at JHA, a request to the JHA Board of Commissioners is in place for a vote on Friday, June 27, 2025, to authorize the following action of Nan McKay & Associates to Administer, Manage and Operate the JHA Housing Choice Voucher Program for an effective date of Monday July 7, 2025. Pending Resolution: AUTHORIZE THE AWARD OF THE MIAMI-DADE HOUSING & COMMUNITY DEVELOPMENT PIGGYBACK CONTRACT IN THE NOT-TO-EXCEED AMOUNT OF 72% OF THE ADMINISTRATIVE FEES CONCURRENT WITH THE EXISTING CONTRACT TERMS TO NAM MCKAY AND ASSOCIATES, FOR HOUSING CHOICE VOUCHER MANAGEMENT AND OPERATIONS. As evidenced by the increase in overall HCV audit findings, loss of federal revenues, inability to correctly serve existing and future HCV program participants, noncompliance on both a local and federal level for section 8 program funding for the administration and operations of the HCV program, immediate action is requested to authorize Nan McKay & Associates to administer and operate JHA’s HCV program immediately. Combined with a plethora of likely compliance issues and deteriorated financial condition, these concerns pose a significant threat to both the immediate and long-term success of Jacksonville’s HCV program. Responsible: Nan McKay & Associates POINT OF CONTACT: Steven Rosario, Sr. Director EMAIL: srosario@nanmckay.com JHA POC: Roslyn Phillips, Interim COO EMAIL: RPHILLIPS@JAXHA.ORG

View Audit 361093

Finding 569825 (2024-001)

Material Weakness 2024

Jacksonville Housing Authority

FL

HUD Housing Programs Eligibility Internal Control / Segregation of Duties

The Jacksonville Housing Authority’s (JHA) Housing Choice Voucher (HCV) program is the largest rental assistance program in the City of Jacksonville. Through the Annual Contributions Development (HUD) and assist over 7,700 families each year. The ACC requires JHA to comply with federal regulations a...

The Jacksonville Housing Authority’s (JHA) Housing Choice Voucher (HCV) program is the largest rental assistance program in the City of Jacksonville. Through the Annual Contributions Development (HUD) and assist over 7,700 families each year. The ACC requires JHA to comply with federal regulations and HUD guidelines, as amended from time to time. Audit Findings Berman Hopkins Wright & LaHam, CPAs and Associates, LLP conducted the recent FY2024 JHA Audit (Period: October 1, 2023 – September 30, 2024) and identified continued material weakness findings within the JHA Housing Choice Voucher (HCV) program including but not limited to: Material Weaknesses in Internal Controls, Material Weaknesses in Non-Compliance and Material Weaknesses in the Housing Quality Standards (HQS) Inspection process. Berman Hopkins Wright & LaHam, CPAs and Associates, LLP previously conducted JHA’s FY2023 audit (Period: October 1, 2022 – September 30, 2023) and FY2022 audit (Period: October 1, 2021 – September 30, 2022) which disclosed consecutive historical material weaknesses in JHAs internal controls and noncompliance of the Housing Choice Voucher (HCV) program. Under new CEO leadership at JHA, a request to the JHA Board of Commissioners is in place for a vote on Friday, June 27, 2025, to authorize the following action of Nan McKay & Associates to Administer, Manage and Operate the JHA Housing Choice Voucher Program for an effective date of Monday July 7, 2025. Pending Resolution: AUTHORIZE THE AWARD OF THE MIAMI-DADE HOUSING & COMMUNITY DEVELOPMENT PIGGYBACK CONTRACT IN THE NOT-TO-EXCEED AMOUNT OF 72% OF THE ADMINISTRATIVE FEES CONCURRENT WITH THE EXISTING CONTRACT TERMS TO NAM MCKAY AND ASSOCIATES, FOR HOUSING CHOICE VOUCHER MANAGEMENT AND OPERATIONS. As evidenced by the increase in overall HCV audit findings, loss of federal revenues, inability to correctly serve existing and future HCV program participants, noncompliance on both a local and federal level for section 8 program funding for the administration and operations of the HCV program, immediate action is requested to authorize Nan McKay & Associates to administer and operate JHA’s HCV program. Combined with a plethora of likely compliance issues and deteriorated financial condition, these concerns pose a significant threat to both the immediate and long-term success of Jacksonville’s HCV program.

View Audit 361093

Finding 569824 (2024-002)

Material Weakness 2024

Jacksonville Housing Authority

FL

HUD Housing Programs Eligibility Internal Control / Segregation of Duties

Berman Hopkins Wright & LaHam, CPAs and Associates, LLP recently identified in the FY2024 JHA Audit (Period: October 1, 2023 – September 30, 2024) material weakness findings and noncompliance findings for the JHA Public Housing Program. Please note that the JHA’s Public Housing Program was not teste...

Berman Hopkins Wright & LaHam, CPAs and Associates, LLP recently identified in the FY2024 JHA Audit (Period: October 1, 2023 – September 30, 2024) material weakness findings and noncompliance findings for the JHA Public Housing Program. Please note that the JHA’s Public Housing Program was not tested by the auditors in previous years. Note: JHA will have a finding in FY2025 due to existing months of the public housing program operations that have already commenced for the periods: October 1, 2024 – June 27, 2025. The audit period will end for FY2025 September 30, 2025. JHA will quickly evaluate each PH employee, train, hire skilled employees and streamline organizational inefficiencies, while implementing new internal process controls to address the findings identified in the FY2024 audit report for the Public Housing program. An evaluation of the current employee role structure and staff qualifications will commence July 2025. The entire public housing department will be assessed to ensure that JHA is efficient, productive, utilizes the technology system of record Yardi V7 to adhere to compliance, and works in a collaborative matter to better serve all existing a potential future client of the agency. The Public Housing organizational re-org will be implemented no later than September 1, 2025. Responsible: Jacksonville Housing Authority JHA POC: William Mitchell (a.k.a.Daniel/Danny), Deputy Chief EMAIL: dmitchell@jaxha.org JHA POC: Roslyn Phillips, Interim COO EMAIL: RPHILLIPS@JAXHA.ORG

View Audit 361093

Finding 569819 (2024-003)

Material Weakness 2024

Navajo Housing Authority

AZ

Eligibility Material Weakness Internal Control / Segregation of Duties

Management Response: We will regularly review the recertification process to determine areas of weakness. We have created a standard re-certification plan, check list, and a monitor log and will routinely review the Authority’s Policy to ensure proper required eligibility documentations are provided...

Management Response: We will regularly review the recertification process to determine areas of weakness. We have created a standard re-certification plan, check list, and a monitor log and will routinely review the Authority’s Policy to ensure proper required eligibility documentations are provided and placed in the client file. We will review clients’ files monthly with the results of these reviews being forwarded to the Housing Management Division Director and, if deficiencies are found, they will be corrected immediately. Deficiencies will also be tracked to determine if additional staff training is needed. The Housing Directors are charged with the responsibility of ensuring proper documentation of Public Rental and Homeownership folders at the time of move in, during the Annual Inspection and Annual/Interim Recertification process. Anticipated Completion Date: September 30, 2025 Responsible Party:  Housing Management Division - Division Director  Housing Management Office - Housing Directors  Housing Management Office - Housing Specialists  Housing Management Office - Housing Technicians  Housing Management Office - Administrative Assistants/Specialists

View Audit 361089

Finding 569794 (2024-065)

Significant Deficiency 2024

State of Alaska

AK

Special Tests & Provisions Subrecipient Monitoring Significant Deficiency

Finding: 2024-065 - The State developed a sufficient state plan outlining appropriate procedures for ensuring child care providers serving children who receive subsidies are compliant with relevant health and safety requirements. However, one of 27 selections lacked documentation to adequately suppo...

Finding: 2024-065 - The State developed a sufficient state plan outlining appropriate procedures for ensuring child care providers serving children who receive subsidies are compliant with relevant health and safety requirements. However, one of 27 selections lacked documentation to adequately support that all controls, as outlined in the state plan, were fully followed. Questioned Costs: None Assistance Listing Number: 93.575, 93.596 Assistance Listing Title: CCDF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): The Division of Public Assistance Child Care Program Office will provide coaching to staff who monitor health and safety requirements to ensure proper and complete documentation exists to show all controls were fully followed. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2025. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087

Finding 569793 (2024-064)

Significant Deficiency 2024

State of Alaska

AK

Procurement, Suspension & Debarment Subrecipient Monitoring Reporting

Finding: 2024-064 - Five of five ACF-696 quarterly reports and three of five FFATA reports selected for testing were submitted after the required due dates. Questioned Costs: None Assistance Listing Number: 93.575, 93.596 Assistance Listing Title: CCDF Views of Responsible Officials (state wheth...

Finding: 2024-064 - Five of five ACF-696 quarterly reports and three of five FFATA reports selected for testing were submitted after the required due dates. Questioned Costs: None Assistance Listing Number: 93.575, 93.596 Assistance Listing Title: CCDF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): Division of Public Assistance (DPA) staff in partnership with the Division of Finance and Management Services (FMS) will update procedures to streamline ACF-696 quarterly reporting. DPA will enhance financial accounting structure, which should also reduce time spent compiling data and result in more timely submissions. For FFATA, the applicable FMS staff experienced turnover affecting timely submission of reports. New staff will be trained in the procedures and requirements so FFATA reporting can occur in a timely manner. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2025. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087

Finding 569791 (2024-025)

Significant Deficiency 2024

State of Alaska

AK

Cash Management Internal Control / Segregation of Duties

Finding: 2024-025 - DOR staff processed an FY 24 Child Support Services (CSS) federal cash draw that was inadequately supported at the time of the draw. Questioned Costs: None Assistance Listing Number: 93.563 Assistance Listing Title: CSS Views of Responsible Officials (state whether your ag...

Finding: 2024-025 - DOR staff processed an FY 24 Child Support Services (CSS) federal cash draw that was inadequately supported at the time of the draw. Questioned Costs: None Assistance Listing Number: 93.563 Assistance Listing Title: CSS Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The Department of Revenue agrees with this finding. Corrective Action (corrective action planned): DOR management has implemented additional controls to ensure the completeness and accuracy of cash draws, including the preparation of more frequent expense reconciliations to ensure that the expenditure amounts recorded in IRIS match what is reported on the quarterly financial report (form 396). This step additionally ensures that the net federal share of expenditures matches the amount of receivables generated in IRIS. DOR’s finance officer will also take a more active role in the review process, ensuring cash draws are accurate and complete. Completion Date (list anticipated completion date): Implementation of the plan has begun. Final procedure testing and evaluation to be completed by December 31, 2025, based on the current Federal award being closed out. Agency Contact (name of person responsible for corrective action): Robert Doremus

View Audit 361087

Finding 569788 (2024-060)

Material Weakness 2024

State of Alaska

AK

Subrecipient Monitoring Internal Control / Segregation of Duties Material Weakness

Finding: 2024-060 - No Federal Funding and Transparency Act (FFATA) reports were submitted during the audit period of July 1, 2023 through June 30, 2024. Additionally, the State could not provide evidence that the FFY 23 ACF-204 annual report was completed or submitted to the federal agency. Questi...

Finding: 2024-060 - No Federal Funding and Transparency Act (FFATA) reports were submitted during the audit period of July 1, 2023 through June 30, 2024. Additionally, the State could not provide evidence that the FFY 23 ACF-204 annual report was completed or submitted to the federal agency. Questioned Costs: None Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): Division of Public Assistance will compile comprehensive procedures. Staff will be trained on the ACF-204 reporting process to ensure both accurate and timely reporting in future fiscal years. For FFATA, the Division of Shared Services will implement procedures in FY2025 to coordinate workflow of necessary information within and between agencies so that FFATA reporting can occur in a timely manner. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2026. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087

Finding 569783 (2024-028)

Material Weakness 2024

State of Alaska

AK

Subrecipient Monitoring Internal Control / Segregation of Duties § 200.303

Finding: 2024-028 - The Elementary and Secondary School Emergency Relief fund annual report filed by DEED in May 2024 was submitted with incomplete subrecipient expenditure data for key line item 3b.1. Questioned Costs: None Assistance Listing Number: 84.425 Assistance Listing Title: Education St...

Finding: 2024-028 - The Elementary and Secondary School Emergency Relief fund annual report filed by DEED in May 2024 was submitted with incomplete subrecipient expenditure data for key line item 3b.1. Questioned Costs: None Assistance Listing Number: 84.425 Assistance Listing Title: Education Stabilization Fund - COVID- 19 Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department partially disagrees with Finding 2024-028. While it is true that the department did initially report zeros in the LEA portion of ESSER III reporting it is untrue that the effect was a reduction in transparency or impaired the federal agency’s oversight ability. No ESSER annual reporting can be submitted if all entered answers do not conform to implemented data validations requirements. Relevant in this instance is that if district level data reported does not match, to the penny, between different reporting categories, data validation errors occur. Including zeros, when accurate data conforming to data validation checks was not able to be entered, allowed the department to enter the data accurately during the first reporting reopen period. Had the department not entered zeros, data validation errors would have prevented the department from submitting the entire FY2023 ESSER annual report. If no report had been entered as of the initial due date the department would not have been allowed to submit any report at all, which would be less accurate than temporary partial inaccuracy. Corrective Action (corrective action planned): ESSER III reporting was corrected during the first reopen period for the FY2023 ESSER annual report in September of 2024 after additional consultation with districts and review of available data. Completion Date (list anticipated completion date): 9/26/24 Agency Contact (name of person responsible for corrective action): Deborah Riddle, Division Operations Manager, Division of Innovation & Education Excellence

View Audit 361087

Corrective Action Plans

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