Corrective Action Plans

Finding 526161 (2024-090)

Significant Deficiency 2024

VA

Student Financial Aid Reporting Subrecipient Monitoring

GMU Responsible Contact Person(s): Alethia Shipman, Director, Student Financial Aid Corrective Action Planned: George Mason will implement the following plan of action: - Management will enhance its communications relating to enrollment reporting in the Registrar and Financial Aid Offices. - Implem...

GMU Responsible Contact Person(s): Alethia Shipman, Director, Student Financial Aid Corrective Action Planned: George Mason will implement the following plan of action: - Management will enhance its communications relating to enrollment reporting in the Registrar and Financial Aid Offices. - Implement corrective actions to ensure that the University reports accurate and timely student enrollment status changes to the National Student Loan Data System. - Management will consider implementing a quality control review process to monitor the accuracy of campus and program-level batch submissions, such as implementing regularly scheduled self-audits of NSC data. Estimated Completion Date: 12/31/2025 NSU Responsible Contact Person(s): Carla L. Dailey, Director of Financial Aid Corrective Action Planned: The University has developed detailed procedures to improve reporting to NSLDS. These procedures include reviewing and updating Colleague system processing, designating staff members in both the Registrar and Financial Aid Offices to process, review and resolve reporting issues, and continued monitoring and verification of reports transmitted to NSLDS from the National Student Clearinghouse. Estimated Completion Date: 8/31/2025 NVCC Responsible Contact Person(s): Angelique Robinson, College Registrar Zina Jemison, Associate College Registrar Corrective Action Planned: Step 1: College Registrar (CR) and Associate College Registrar (ACR) will review National Student Loan Data System trainings, documentation, and initiate training sessions with appropriate NSLDS staff to answer any outstanding questions about the system. Step 2: CR and ACR will review important NSLDS deadlines and incorporate lessons learned from the trainings to set the tone for internal deadline processing changes so that the semi-automated graduation process can be performed in a faster manner. The CR and ACR will also determine which additional team members within the College Records Office will assist in the completion of record updating and reporting requirements within NSLDS, outlining the specific tasks that will need to be done by each participating member and the information system queries that will be used for internal auditing purposes. Step 3: CR and ACR will consult with Financial Aid staff to finalize new internal record adjustment processing deadlines to ensure that the changes in procedures are made in a timely manner and in support of Financial Aid processes. Estimated Completion Date: 6/30/2025 ODU Responsible Contact Person(s): Carrie John, University Registrar Corrective Action Planned: The University is taking corrective action to ensure accurate and timely reporting of student enrollment changes to NSLDS. Corrective actions include enhancing procedures, providing additional training, and improving internal reviews. Estimated Completion Date: 6/30/2026 RU Responsible Contact Person(s): Katie Piper, Registrar Corrective Action Planned: The Registrar's Office has met and completed initial planning and timelines to address procedural changes needed to report the loan data timely. Estimated Completion Date: 12/31/2025 UVA Responsible Contact Person(s): Steve Kimata, Associate Vice President for Enrollment and University Registrar Corrective Action Planned: The University will implement additional controls to ensure the accuracy and timeliness of enrollment data reported to NSLDS. This includes working collaboratively with Student Financial Services and Information Technology Services to monitor and report late withdrawals, review and update the information system process for creating enrollment files, and implement a quality control review to check student status change batches for accuracy and timeliness. Estimated Completion Date: 6/30/2025 VSU Responsible Contact Person(s): Nedra Jones, University Registrar Corrective Action Planned: 1) VSU has implemented an automated alert system to notify staff of upcoming reporting deadlines, cross-referenced information system data with the SCHEV Degree Inventory Report, and are actively collaborating with SCHEV to resolve discrepancies. These items are complete. 2) Additionally, VSU is in the process of implementing the following additional corrective actions: A.) A comprehensive review of current enrollment reporting processes; B.) Closer collaboration with VSU third-party service provider to streamline and improve the enrollment reporting; C.) Designating an individual within the Registrar's Office to oversee National Student Clearinghouse (NSC) and NSLDS reporting duties; and D.) establishing a quality control process to include monthly random sample audits of enrollment data. Additionally, VSU will reconcile student addresses between the information system and NSLDS for Federal Direct Loan borrowers. Estimated Completion Date: 12/31/2025

View Audit 345214

Finding 526136 (2024-096)

Significant Deficiency 2024

Commonwealth of Virginia

VA

Student Financial Aid Reporting Significant Deficiency

Responsible Contact Person(s): Brad Barnett, Director, University Scholarships and Financial Aid Corrective Action Planned: Implement a "direct loan posting date audit report procedure," which outlines how posting dates in the management application are compared to posting dates in the system. Also ...

Responsible Contact Person(s): Brad Barnett, Director, University Scholarships and Financial Aid Corrective Action Planned: Implement a "direct loan posting date audit report procedure," which outlines how posting dates in the management application are compared to posting dates in the system. Also add a checklist item to the monthly reconciliation to confirm the new procedure is being followed. Estimated Completion Date: 4/1/2025

View Audit 345214

Finding 526133 (2024-093)

Significant Deficiency 2024

Commonwealth of Virginia

VA

Student Financial Aid Reporting Significant Deficiency

NSU Responsible Contact Person(s): Carla L. Dailey, Director of Financial Aid Corrective Action Planned: NSU Financial Aid Office will ensure that the unearned funds for students will be sent to COD timely. NSU will ensure that all files are submitted timely so that this will not be a future issue....

NSU Responsible Contact Person(s): Carla L. Dailey, Director of Financial Aid Corrective Action Planned: NSU Financial Aid Office will ensure that the unearned funds for students will be sent to COD timely. NSU will ensure that all files are submitted timely so that this will not be a future issue. A reinforcement of procedures for exporting disbursements and staff training will be maintained as well as ensuring that a back-up staff member is in place. Estimated Completion Date: 8/31/2025 NVCC Responsible Contact Person(s): Sherika Charity, Director of Financial Aid Linsha Xie, Controller Corrective Action Planned: Step 1: Establish clear and documented communication protocols between the Financial Aid Office and the Controller's Office regarding student withdrawals and the return of unearned Title IV funds. This will include designated points of contact in each office, a standardized process for the Financial Aid Office to notify the Controller's Office of requiring a return of Title IV funds, confirming the return by the Controller’s Office, and regular meetings between the two offices to review procedures and address any issues. Step 2: Develop a written policy and procedure. This will include step-by-step instructions for processing the return of funds, including required documentation and timelines, Clear delineation of responsibilities between the Financial Aid Office and the Controller's Office, and contingency plans for staff turnover or absences. Step 3: Conduct periodic reviews and reconciliation of returned Title IV funds to ensure accuracy and timeliness. This will include reconciling returned funds with ED records and identifying any discrepancies or delays in the return of unearned funds. Estimated Completion Date: 6/30/2025 ODU Responsible Contact Person(s): Vera Riddick, Director of Financial Aid Corrective Action Planned: The University is taking corrective action to improve processes to ensure data accuracy and compliance with reporting requirements. Corrective actions include utilizing system functionality and enhancing Office of Student Financial Aid procedures. Differences totaling $325 that were identified during the audit have been returned to the Department of Education. Estimated Completion Date: 12/31/2025

View Audit 345214

Finding 526132 (2024-092)

Significant Deficiency 2024

Commonwealth of Virginia

VA

Student Financial Aid Special Tests & Provisions Significant Deficiency

NSU Responsible Contact Person(s): Carla L. Dailey, Director of Financial Aid Corrective Action Planned: NSU Financial Aid Office has created a Certification Form of Countable Days in a Semester that is required to be signed off by the Director of Financial Aid, Associate Director of Financial Aid (...

NSU Responsible Contact Person(s): Carla L. Dailey, Director of Financial Aid Corrective Action Planned: NSU Financial Aid Office has created a Certification Form of Countable Days in a Semester that is required to be signed off by the Director of Financial Aid, Associate Director of Financial Aid (Return of TIV Coordinator) and the University Registrar prior to the start of each semester. This process will be included in the annual financial aid set up process. Estimated Completion Date: 8/31/2025 NVCC Responsible Contact Person(s): Sherika Charity, Director of Financial Aid Corrective Action Planned: Step 1: Ensure proper setup of academic and holiday calendars in the information system. This will include the Director of Financial Aid working closely with the Policy Planning Specialist to ensure the academic calendar and holiday calendars are set up properly in the information system to account for all breaks. Step 2: Improved communications during calendar and information system setups. This will include regular scheduled meetings between the Policy Planning Specialist, Associate Director of Financial Aid Information Systems, and the Director of Financial Aid to review the academic and holiday calendar setups in the information system. Make any appropriate updates to the academic calendar and financial aid setups in the information system. Step 3: Run VCCS Custom R2T4 Report and perform R2T4 calculations/adjustments based on the R2T4 policies and procedures. Estimated Completion Date: 6/30/2025

View Audit 345214

Finding 526130 (2024-089)

Significant Deficiency 2024

Commonwealth of Virginia

VA

Internal Control / Segregation of Duties Subrecipient Monitoring Significant Deficiency § 200.303

Responsible Contact Person(s): Sherika Charity, Director of Financial Aid Lisa Boyko, Associate Director of Financial Aid Corrective Action Planned: Step 1: Develop a timeline to review information system Access for college financial aid staff and non-financial aid staff with financial aid access. ...

Responsible Contact Person(s): Sherika Charity, Director of Financial Aid Lisa Boyko, Associate Director of Financial Aid Corrective Action Planned: Step 1: Develop a timeline to review information system Access for college financial aid staff and non-financial aid staff with financial aid access. This will include the Director of Financial Aid and the Associate Director of Financial Aid Information Systems who will set scheduled meetings to conduct periodic reviews of the information system Access each semester using a designated report. Step 2: The Associate Director of Financial Aid Information Systems will create a repository to store the designated reports, which will be accessible by the Director of Financial Aid. Step 3: The Director of Financial Aid and the Associate Director of Financial Aid Information Systems will review access. If changes are needed, the appropriate IT forms will be submitted to have staff members access updated appropriately. Estimated Completion Date: 6/30/2025

View Audit 345214

Finding 526123 (2024-010)

Significant Deficiency 2024

Commonwealth of Virginia

VA

Internal Control / Segregation of Duties Reporting Significant Deficiency § 200.303

Responsible Contact Person(s): Kevin Platea, Chief Information Officer Corrective Action Planned: DSS has 15 plus applications that are in active oversight, IT Business Administration is in receipt of the required SOC 2, Type 2 reports. However, additional requirements to capture the SOC 1, Type 2 ...

Responsible Contact Person(s): Kevin Platea, Chief Information Officer Corrective Action Planned: DSS has 15 plus applications that are in active oversight, IT Business Administration is in receipt of the required SOC 2, Type 2 reports. However, additional requirements to capture the SOC 1, Type 2 reports has not yet been accomplished. Estimated Completion Date: 12/31/2025

View Audit 345214

Finding 526117 (2024-003)

Material Weakness 2024

Frontier School Corporation

IN

Questioned Costs School Nutrition Programs Internal Control / Segregation of Duties § 200.303

Context: We noted that for two claims in a sample of four, the Food Service Director prepared the reimbursement claim without a secondary, documented review to ensure the accuracy of the reimbursement claim. Additionally, the number of meals claimed on two of the four claims sampled did not agree...

Context: We noted that for two claims in a sample of four, the Food Service Director prepared the reimbursement claim without a secondary, documented review to ensure the accuracy of the reimbursement claim. Additionally, the number of meals claimed on two of the four claims sampled did not agree to the supporting meal system reports. There was a gross overstatement of meals claimed of $349 and a gross understatement of meals claimed of $161 resulting in a net over reimbursement amount of $188. Contact Person Responsible for Corrective Action: Steve Boulanger, Food Service Director Contact Phone Number: 765-240-2372 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: As of February 2024, the Food Service Director prepares the claim for reimbursement, and the Corporation Treasurer double checks all numbers and signs the claim. Anticipated Completion Date: 02/01/2024

View Audit 345211 Questioned Costs: $1

Finding 526114 (2024-002)

Material Weakness 2024

Frontier School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Eligibility § 200.303

Context: During testing over controls for eligibility, we noted there was no formal, secondary review for the applications entered in the food service software determining eligibility. Additionally, there was no documented annual review by School Corporation personnel of the income eligibility guide...

Context: During testing over controls for eligibility, we noted there was no formal, secondary review for the applications entered in the food service software determining eligibility. Additionally, there was no documented annual review by School Corporation personnel of the income eligibility guidelines used by the food service software. Contact Person Responsible for Corrective Action: Steve Boulanger, Food Service Director Contact Phone Number: 765-240-2372 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: As of February 2024, our new Food Service Director has implemented a second check of all applications by the High School ECA Treasurer. Additionally, the Food Service Director will print the USDA income parameters after July 1st, compare it to the income guidelines in our nutrition software, and have the High School ECA Treasurer double check the numbers as well. Both employees will sign off on the form, and it will be filed for audit purposes. Anticipated Completion Date: 07/01/2025

View Audit 345211

Finding 526003 (2024-004)

Material Weakness 2024

Weld County School District Re-8

CO

Subrecipient Monitoring Allowable Costs / Cost Principles Eligibility § 200.303

Child Nutrition Cluster – Assistance Listing No. 10.553, 10.555 and 10.559 Recommendation: We recommend the District retain all direct certification reports from the State and for the District to review applications submitted electronically through food service system to determine correct eligibili...

Child Nutrition Cluster – Assistance Listing No. 10.553, 10.555 and 10.559 Recommendation: We recommend the District retain all direct certification reports from the State and for the District to review applications submitted electronically through food service system to determine correct eligibility determination is made. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Direct Cert files received from the State starting in August 2024 will be kept on the Food Service Google drive. Names of the contact persons responsible for corrective action: Wesley Haselhorst and Dawn Koshio Planned completion date for corrective action plan: June 30, 2025

View Audit 345145

Finding 525985 (2024-002)

None 2024

City of St Petersburg, Florida

FL

Internal Control / Segregation of Duties Special Tests & Provisions Matching / Level of Effort / Earmarking

No corrective action plan is required.

View Audit 345139

Finding 525976 (2024-002)

None 2024

Converse University

SC

Student Financial Aid Subrecipient Monitoring Reporting

Compliance Requirement Finding: Special Test and Provisions – Enrollment Reporting The University had not reported changes of the sampled graduated or withdrawn students to the National Student Loan Data System (“NSLDS”) as required under the Uniform Grant Guidance for the year ended June 30, 2024, ...

Compliance Requirement Finding: Special Test and Provisions – Enrollment Reporting The University had not reported changes of the sampled graduated or withdrawn students to the National Student Loan Data System (“NSLDS”) as required under the Uniform Grant Guidance for the year ended June 30, 2024, accurately or timely. Student Financial Aid Cluster, Assistance Listing # 84.007, 84.033, 84.038, 84.063, 84.268 Corrective Action Plan The finding was due to a lack of a process to correctly backdate administrative withdrawals when a student receives a "W" grade after the withdrawal deadline. This inconsistency led to inaccurate reporting to the National Student Loan Data System (NSLDS) and the academic file. To address this, management has collaborated with the Offices of Campus Technology, Student Financial Services, and the Registrar and has developed and implemented better procedures for handling administrative withdrawals. These procedures will ensure: • Consistent reporting of withdrawal dates to NSLDS. • Ensuring that withdrawal dates are recorded uniformly in both the Registrar’s office and Student Financial Services. • Accurate assignment of "W" grades according to the academic calendar. These new procedures were implemented in the beginning of 2024. The Registrar’s office will continue to submit regular enrollment reports to NSLDS, promptly reporting any changes to student enrollment as required. The Office of the Registrar will be responsible for implementing the corrective action plan, under the supervision of the University Registrar and Director of Institutional Research and Effectiveness. Shannon Bishop Shannon.bishop@converse.edu University Registrar

View Audit 345135

Finding 525914 (2024-001)

Significant Deficiency 2024

Indian Center Housing Corporation

NE

Questioned Costs Internal Control / Segregation of Duties Student Financial Aid

The corrective action plan for the internal controls over expenses paid (2024-001), is summarized as follows: Corrective Action Planned: The Center will review and update its procedures to ensure the proper payment of allowable expenses. Anticipated Completion Date: December 31, 2024. Responsible: M...

The corrective action plan for the internal controls over expenses paid (2024-001), is summarized as follows: Corrective Action Planned: The Center will review and update its procedures to ensure the proper payment of allowable expenses. Anticipated Completion Date: December 31, 2024. Responsible: Management and Board of Directors.

View Audit 345073 Questioned Costs: $1

Finding 525859 (2024-003)

None 2024

Alliance for African Assistance, Inc.

CA

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking § 200.305

1 We have decided not to withdraw funds from the payment management service until the available funds are used, and moving forward, we will be keen on withdrawing funds using the cost-reimbursement method. 2 We have developed federal funds withdrawal and spending monitoring spreadsheets. We will...

1 We have decided not to withdraw funds from the payment management service until the available funds are used, and moving forward, we will be keen on withdrawing funds using the cost-reimbursement method. 2 We have developed federal funds withdrawal and spending monitoring spreadsheets. We will use this tool to control the balance of funds to make sure that optimum amount of money is maintained.

View Audit 345003

Finding 525798 (2024-005)

Material Weakness 2024

Madison Consolidated Schools

IN

Subrecipient Monitoring Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303 § 200.334

FINDING 2024-005 Finding Subject: Title I - Eligibility Summary of Finding: The October 1 Real Time report could not be presented for audit for 2021-2022, which would have been used to pull in enrollment and poverty information for the 2022-2023 grant. As such, we were unable to verify the amounts r...

FINDING 2024-005 Finding Subject: Title I - Eligibility Summary of Finding: The October 1 Real Time report could not be presented for audit for 2021-2022, which would have been used to pull in enrollment and poverty information for the 2022-2023 grant. As such, we were unable to verify the amounts reported in the grant application. Additionally, we were unable to verify if the correct socioeconomic status was properly reported for any of the students. Additionally, we were unable to verify nonpublic enrollment and poverty data included on the Title I application. Contact Person Responsible for Corrective Action: Janet McCreary Contact Phone Number and Email Address: 812-274-8001 jmccreary@madison.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Due to the timing of the prior audit and the nature of the Real-Time report, this portion of the finding was not able to be completed timely for FY23’s grant. Beginning in FY24, The Data Management Specialist will save all reports submitted to the DOE. This will ensure that supporting documentation is kept that will be used determine Eligibility for Title I. Additionally, for the nonpublic enrollment and poverty data, the grants specialist meets with non-public partners to review enrollment information and verify the student population that encumbers funding. The data management specialist for MCS verifies all enrollment information and poverty identification in concert with the nutrition manager of MCS, building administrators, and the central office administration to verify all data reported to the state. Anticipated Completion Date: 6/30/2025

View Audit 344970

Finding 525796 (2024-004)

Material Weakness 2024

Madison Consolidated Schools

IN

Special Tests & Provisions Subrecipient Monitoring Material Weakness § 200.303

FINDING 2024-004 Finding Subject: Title I - Special Tests and Provisions - Assessment System Security Summary of Finding: The School Corporation had a process to provide assessment system security training and to ensure each employee that attended training signed the agreement indicating training wa...

FINDING 2024-004 Finding Subject: Title I - Special Tests and Provisions - Assessment System Security Summary of Finding: The School Corporation had a process to provide assessment system security training and to ensure each employee that attended training signed the agreement indicating training was received. However, there was no process in place to ensure that all documentation of school employees being trained was retained for audit. As a result, some of the Indiana Testing and Security agreements were not able to be provided for review. Contact Person Responsible for Corrective Action: Janet McCreary Contact Phone Number and Email Address: 812-274-8001 jmccreary@madison.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: This was corrected in FY24. Our testing security coordinator now ensures that all training certifications are on file as required and monitors this via a spreadsheet. Anticipated Completion Date: Already completed.

View Audit 344970

Finding 525787 (2024-002)

None 2024

Marietta College

OH

Special Tests & Provisions Student Financial Aid Matching / Level of Effort / Earmarking

The College will examine the document destruction date on student related files related to federal compliance requirements to ensure accuracy of the document destruction date and accuracy of student files. Additionally, the College will closeout the Federal Perkins Loan Program in fiscal year 2025.

View Audit 344941

Finding 525786 (2024-003)

Significant Deficiency 2024

Bay Cove Human Services, Inc. & Affiliate

MA

Procurement, Suspension & Debarment Subrecipient Monitoring Significant Deficiency

Management agrees with the finding and is in the process of revising internal controls to address this issue.

View Audit 344938

Finding 525782 (2024-002)

Material Weakness 2024

Town of Merrimack

NH

Cash Management Internal Control / Segregation of Duties Material Weakness § 200.303

Audit Finding Reference: 2024-002 Management’s Response and Planned Corrective Action: We have developed a procedure of printing out all State of NH remittance advices. -Check bank receipts daily. -Print out the State of NH remittance advices. -Confirm Funds were received. -Book the receipt to U...

Audit Finding Reference: 2024-002 Management’s Response and Planned Corrective Action: We have developed a procedure of printing out all State of NH remittance advices. -Check bank receipts daily. -Print out the State of NH remittance advices. -Confirm Funds were received. -Book the receipt to Unifund. Name of Contact Person and Completion Date: Name 1: Paul Calabria Name 2: Xenia Simpson Anticipated Completion Date – February 25, 2025

View Audit 344936

Finding 525761 (2024-001)

Material Weakness 2024

South Vermillion Community School Corporation

IN

School Nutrition Programs Subrecipient Monitoring Cash Management § 200.202 § 200.211 § 200.301 § 200.303 § 200.328

FINDING 2024-001 Finding Subject: Child Nutrition Cluster - Reporting Summary of Finding: There were no controls in place to ensure that the School Corporation complied with the reporting requirements. The reimbursement request reports were prepared and submitted by the Food Service Director without...

FINDING 2024-001 Finding Subject: Child Nutrition Cluster - Reporting Summary of Finding: There were no controls in place to ensure that the School Corporation complied with the reporting requirements. The reimbursement request reports were prepared and submitted by the Food Service Director without any oversight, review or approval process to ensure accuracy of the reports. There was no oversight to make sure that the number of meals served matched the report filed. The lack of internal controls was systemic throughout the audit period. Contact Person Responsible for Corrective Action: Amanda Myers Contact Phone Number and Email Address: 765-832-3551/amyers@svcs.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Amanda Myers, Food Services Director, will continue to receive the information for the monthly meals served from the cafeteria managers at each school. Once she enters the information, the HS cafeteria manager will review the numbers to ensure that the information was entered correctly. The reimbursement forms and information that was entered will be submitted to the finance department to ensure the reimbursement process is correctly receipted. Anticipated Completion Date: Immediate.

View Audit 344930

Finding 525750 (2024-004)

Significant Deficiency 2024

Iowa Grant School District

WI

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring

Finding #2024-004 – Education Stabilization Fund – ESSER II #84.425D and ESSER III #84.425U Federal Grantor – U.S. Department of Education Pass-through Award Number – 2022-252646-DPI-ESSERFII-163 and 2022-252646-DPI-ESSERFIII-165 Pass-through Entity – Wisconsin Department of Public Instruction Co...

Finding #2024-004 – Education Stabilization Fund – ESSER II #84.425D and ESSER III #84.425U Federal Grantor – U.S. Department of Education Pass-through Award Number – 2022-252646-DPI-ESSERFII-163 and 2022-252646-DPI-ESSERFIII-165 Pass-through Entity – Wisconsin Department of Public Instruction Condition: There was one Education Stabilization Fund construction project performed by a contractor. Grant expenditures for project totaled $348,177. There was not a prevailing wage clause in the contract and certified payrolls were not received. Criteria: Wage rate requirements apply to the Education Stabilization Fund when laborers and mechanics employed by contractors or subcontractors work on construction contracts more than $2,000. Laborers must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their contracts subject to wage rate requirements a provision that the contractor or subcontractor comply with those requirements and the DOL regulations. This includes a requirement for contractor or subcontractor t submit to the District weekly payrolls and a statement of compliance (certified payrolls). Cause: The District was not aware that wage rate requirements applied to the construction project until after it was completed. Effect: Potential reimbursement for costs that did not follow the wage rate requirements. Questioned Costs: $348,177 Recommendation: Establish controls to comply with wage rate requirements related to the Education Stabilization Fund. Response: Before bidding any future construction project more than $2,000, the request for bid and contract will include a prevailing wage rate clause. Certified payrolls will be received for any such contracts. Contact Person: Loras Winders Anticipated Completion: June 30, 2025

View Audit 344902 Questioned Costs: $1

Finding 525690 (2024-003)

Material Weakness 2024

East Washington School Corporation

IN

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Special Tests & Provisions § 200.303

FINDING 2024-003 Finding Subject: Covid-19 – Education Stabilization Fund – Special Tests and Provisions – Wage Rate Requirements Summary of Finding: This is a repeat finding form the immediately prior audit report. An effective internal control system, which would include segregation of duties, was...

FINDING 2024-003 Finding Subject: Covid-19 – Education Stabilization Fund – Special Tests and Provisions – Wage Rate Requirements Summary of Finding: This is a repeat finding form the immediately prior audit report. An effective internal control system, which would include segregation of duties, was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the Special Tests and Provisions – Wage Rate Requirements compliance requirement. The School Corporation had not designed, nor implemented a system of internal controls to ensure that the wage rate requirements were met for construction projects. Contact Person Responsible for Corrective Action: Joanna Trueblood, Treasurer Contact Phone Number and Email Address: 812-967-3926 ext.5790 | jtrueblood@ewsc.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: The Corporation Treasurer will ensure that any new construction contracts in excess of $2,000, which are financed by federal assistance funds, pay wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL) to their laborers and mechanics. The previously implemented corrective action plan failed due to lack of knowledge of utilizing federal assistance funds. It was believed the language addressing prevailing wage within the contract met the prevailing wage rate requirement. The Corporation will require all vendors of any new construction contracts to submit a copy of the payroll and statement of compliance to the entity for each week in which contract work is performed. Also, a Corporation checklist will be created for all construction projects financed by federal assistance funds to ensure all requirements are met.􀀃 Anticipated Completion Date: March, 2025

View Audit 344846

Finding 525682 (2024-004)

Material Weakness 2024

Flat Rock - Haw Creek School Corporation

IN

Internal Control / Segregation of Duties Material Weakness Reporting § 200.302 § 200.303 § 200.328

Context: The School Corporation was required to submit two Annual Data Reports to the Indiana Department of Education (IDOE) during the audit period to meet federal reporting requirements for ESSER grant awards. We noted that the ESSER I, ESSER II, and ESSER III amounts reported for the reports cov...

Context: The School Corporation was required to submit two Annual Data Reports to the Indiana Department of Education (IDOE) during the audit period to meet federal reporting requirements for ESSER grant awards. We noted that the ESSER I, ESSER II, and ESSER III amounts reported for the reports covering the FY22 time period ($3,000, $0 and $0, respectively) did not agree to the underlying expenditure records ($0, $207,168, and $104,885, respectively, for the period of July 1, 2021 through June 30, 2022). Additionally, we noted that the ESSER II, and ESSER III amounts reported for the reports covering the FY23 time period ($328,359 and $334,119, respectively) did not agree to the underlying expenditure records ($121,193 and $229,234, respectively, for the period of July 1, 2022 through June 30, 2023). Contact Person Responsible for Corrective Action: Melissa Dempsey Contact Phone Number: 812-546-2000 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The Business Manager and Assistant will jointly review all expenditures or fedral grant awards with in the fiscal year that are to be reported to ensure accuracy of reporting. Anticipated Completion Date: July 2025

View Audit 344796

Finding 525679 (2024-003)

Significant Deficiency 2024

Flat Rock - Haw Creek School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Cash Management § 200.303

Context: For one sponsor claim reimbursement in a sample of four claims, the Food Service Director prepared the sponsor claim reimbursement summary without a secondary, documented review before the submission of the claim to ensure the accuracy of the sponsor claim reimbursement summary. Contact P...

Context: For one sponsor claim reimbursement in a sample of four claims, the Food Service Director prepared the sponsor claim reimbursement summary without a secondary, documented review before the submission of the claim to ensure the accuracy of the sponsor claim reimbursement summary. Contact Person Responsible for Corrective Action: Melissa Dempsey Contact Phone Number: 812-546-2000 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: I have spoken to the Food Service Director to ensure that 2 individuals are signing off on all the claims. Anticipated Completion Date: 3/1/2025

View Audit 344796

Finding 525676 (2024-002)

Material Weakness 2024

Flat Rock - Haw Creek School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Eligibility § 200.303

Context: During testing over controls for eligibility, we noted there was no formal, secondary review for the applications entered in the food service software determining eligibility. Additionally, there was no documented annual review by School Corporation personnel of the income eligibility guid...

Context: During testing over controls for eligibility, we noted there was no formal, secondary review for the applications entered in the food service software determining eligibility. Additionally, there was no documented annual review by School Corporation personnel of the income eligibility guidelines used by the food service software. Contact Person Responsible for Corrective Action: Melissa Dempsey Contact Phone Number: 812-546-2000 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: I have spoken to the Food Service Director and she will begin printing the Skyward threshold guidelines and sign off on those/confirm they match the federal poverty guidelines. Anticipated Completion Date: August 2025

View Audit 344796

Finding 525652 (2024-001)

Material Weakness 2024

Lebanon Community School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Eligibility § 200.303

1. Corrective Action Step A. Strengthening Internal Controls Over Determination of Applications Demonstrating Questionable Eligibility The School Corporation will develop and implement a segregation of duties, ensuring that current individuals approve applications, perform Direct Certification check...

1. Corrective Action Step A. Strengthening Internal Controls Over Determination of Applications Demonstrating Questionable Eligibility The School Corporation will develop and implement a segregation of duties, ensuring that current individuals approve applications, perform Direct Certification checks, and conduct follow-up verifications of questionable applicatoins in a more directed manor. If an applicant provides a case number that does not appear on the Direct Certification list the School Corporation will: 1. Review the application based on standard income eligibility requirements, while confirming the application will remain subject to verification. 2. If $0 income is provided or the application is otherwise 'questionable' then the reviewing individual will add the following to the application comments field: reviewing individual name, reason for review request, to whom the application will be escalated. 3. Apply benefits to siblings, if appropriate. 4. Not complete the final step of marking the application as processed, rather leave it 'pending' and notify Director of School Nutrition of the need for this application to be reviewed. 5. Director of School Nutrition or designee will review and either confirm the DC status by downloading the certification or conduct follow-up verification. In either case, approved or verification for cause, the Director of School Nutrition or Designee will mark the application as processed. 6. If the verification for cause is not responded to in a timely manner, the status will revert to 'Paid' status as per 'verification for cause' guidelines. 2. Corrective Follow-Up and Reporting The School Corporation will review all applications from current year (FY 24-25) to identify any applications not subject to verification process. Management will report progress on implementing these corrective actions to the School Board and maintain records for review by auditors and state officials. 3. Anticipated Completion Date The review of current year (FY 24-25) applications will be completed March 21, 2025. The school board report will be completed April 11, 2025.

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