Corrective Action Plans

Finding 502738 (2023-007)

Significant Deficiency 2023

Martin University

IN

Questioned Costs Eligibility Significant Deficiency § 200.303

United States Department of Education 2023-007 Student Financial Aid Cluster – Assistance Listing No. 84.063 Condition: Students were disbursed Pell funds inaccurately. Auditors’ Recommendation: We recommend the University implement policies to review all student award packages at the start of the ...

United States Department of Education 2023-007 Student Financial Aid Cluster – Assistance Listing No. 84.063 Condition: Students were disbursed Pell funds inaccurately. Auditors’ Recommendation: We recommend the University implement policies to review all student award packages at the start of the academic year to ensure no over and under awards exist. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Summer 2023 Martin University’s main power source was struck by lightning. This caused all Summer processing, that had not yet been backed up on our servers, to be deleted from the system. All transactions that took place at that time had to be manually re-entered. During that manual process, there appears to be a human error in inputting the dates. SIS dates will be corrected to original and actual COD disbursement dates. Name(s) of the contact person(s) responsible for corrective action: Qiana Hall, Associate VP of Enrollment Services Planned completion date for corrective action plan: November 30, 2024

View Audit 324814 Questioned Costs: $1

Finding 502724 (2023-008)

Significant Deficiency 2023

Martin University

IN

Special Tests & Provisions Student Financial Aid Subrecipient Monitoring § 200.303

United States Department of Education 2023-008 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financ...

United States Department of Education 2023-008 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: Under an institution’s Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Auditors’ Recommendation: We recommend the University engage a third party or perform the risk assessment for the two areas required by the Gramm-Leach-Bliley Act that have not been completed and documented and ensure that there are documented safeguards for identified risks. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The University has implemented a new SIS and Financial Aid processing system. The new systems are Jenzebar products and are fully compliant. Name(s) of the contact person(s) responsible for corrective action: Qiana Hall, Associate VP of Enrollment Services Planned completion date for corrective action plan: June 30, 2024

View Audit 324814

Finding 502723 (2023-006)

Significant Deficiency 2023

Martin University

IN

Student Financial Aid Reporting Significant Deficiency § 200.303

United States Department of Education 2023-006 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: Students tested in the Common Origination and Disbursement (COD) reporting were not properly reported based upon University documents, including disburseme...

United States Department of Education 2023-006 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: Students tested in the Common Origination and Disbursement (COD) reporting were not properly reported based upon University documents, including disbursement dates and applied dates. Auditors’ Recommendation: We recommend that the entity strengthen its internal controls to ensure that all disbursement dates are reported to COD accurately and timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The previous SIS was subject to frequent interruptions which prevent timely data exchange with COD. Beginning with the 2024-2025 award year a new financial aid processing system was implemented. The new processing system is a more secure environment and hosted by Jenzabar for added compliance assurance. Name(s) of the contact person(s) responsible for corrective action: Qiana Hall, Associate VP of Enrollment Services Planned completion date for corrective action plan: June 30, 2024

View Audit 324814

Finding 502722 (2023-005)

Significant Deficiency 2023

Martin University

IN

Matching / Level of Effort / Earmarking Special Tests & Provisions Student Financial Aid § 200.303

United States Department of Education 2023-005 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: The University is not reporting student information to the Clearinghouse. Students tested did not have their enrollment status properly reported to the Cle...

United States Department of Education 2023-005 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: The University is not reporting student information to the Clearinghouse. Students tested did not have their enrollment status properly reported to the Clearinghouse. Auditors’ Recommendation: We recommend that the entity strengthen its internal controls to ensure that all enrollment records are reported correctly and within the required time frame. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The university uses HEAG Consultant Group for enrollment reporting to NSLDS. HEAG has been made aware of these findings and corrective actions have been requested. Name(s) of the contact person(s) responsible for corrective action: Qiana Hall, Associate VP of Enrollment Services Planned completion date for corrective action plan: November 30, 2024

View Audit 324814

Finding 502721 (2023-004)

Significant Deficiency 2023

Martin University

IN

Student Financial Aid Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

United States Department of Education 2023-004 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: Student checks related to student refunds of Title IV federal financial aid was outstanding more than 240 days as of June 30, 2023. Auditors’ Recommendatio...

United States Department of Education 2023-004 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: Student checks related to student refunds of Title IV federal financial aid was outstanding more than 240 days as of June 30, 2023. Auditors’ Recommendation: We recommend that the University review its procedures related to outstanding student refund checks to ensure they are being returned to the Department of Education after 240 days. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The University engaged an external consultant in June 2023, hired a new staff accountant in September 2023 and a CFO in November 2023. The University is implementing financial internal controls policies and processes to improve the financial statements preparation and preparation of the schedule of expenditures and federal awards and ensure compliance with the DOE. This includes procedures related to outstanding student refund checks over 240 days. Name(s) of the contact person(s) responsible for corrective action: E. ZeNai Savage, CPA, CFO and Executive VP of Finance and Administration

View Audit 324814

Finding 502720 (2023-003)

Significant Deficiency 2023

Martin University

IN

Internal Control / Segregation of Duties Student Financial Aid Reporting § 200.303

United States Department of Education 2023-003 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: The University submitted inaccurate data in its annual FISAP report. Auditors’ Recommendation: We recommend the applicable campus revise procedures to ens...

United States Department of Education 2023-003 Student Financial Aid Cluster – Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Condition: The University submitted inaccurate data in its annual FISAP report. Auditors’ Recommendation: We recommend the applicable campus revise procedures to ensure that the record retention requirements are met and supporting documentation agrees to the FISAP, including a supervisory review by someone other than the preparer. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Unduplicated Recipients for Ungrad/Dependent with salary range of $1000,000 and over was reported as one but should have been two. Completed FISAP reports are sent to the CFO for additional review prior to submission. Name(s) of the contact person(s) responsible for corrective action: Qiana Hall, Associate VP of Enrollment Services Planned completion date for corrective action plan: June 30, 2024

View Audit 324814

Finding 502699 (2023-001)

Material Weakness 2023

Housing Authority of the City of Annapolis

MD

Questioned Costs HUD Housing Programs Matching / Level of Effort / Earmarking

Finding 2023-001 Federal Program Funds Utilized for Non-Federal Programs Recommendation: The Authority should locate additional sources of non-federal funds or reduce costs sufficiently so that the program can have enough cash to cover ongoing operations. Explanation of disagreement with audit findi...

Finding 2023-001 Federal Program Funds Utilized for Non-Federal Programs Recommendation: The Authority should locate additional sources of non-federal funds or reduce costs sufficiently so that the program can have enough cash to cover ongoing operations. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Authority has reevaluated its cost allocation plan, and restructured various department to better align staffing. This process helps ensure the COCC and funds are being properly charged for actual costs incurred. The Authority is also redeveloping its entire portfolio. This process had been and will continue to bring in developer and management fees to the COCC to help reduce the due to/due from activity. Name(s) of the contact person(s) responsible for corrective action: Cia Cook, Deputy Executive Director & CFO Planned completion date for corrective action plan: June 30, 2025

View Audit 324736 Questioned Costs: $1

Finding 502631 (2023-007)

Significant Deficiency 2023

Promise Healthcare Nfp

IL

Reporting Internal Control / Segregation of Duties Significant Deficiency § 200.329

Action taken in response to finding: 1. Develop documentation procedures: In Progress a. Establish a standardized procedure for documenting the preparation and review of Federal Financial Reports. 2. Select appropriate party for independent review: Complete ...

Action taken in response to finding: 1. Develop documentation procedures: In Progress a. Establish a standardized procedure for documenting the preparation and review of Federal Financial Reports. 2. Select appropriate party for independent review: Complete 3. Store and maintain documentation in a shared location for future audit and review: Complete Name of the contact person responsible for corrective action: Keith Flores, CFO Planned completion date for corrective action plan: End of 2024

View Audit 324609

Finding 502630 (2023-006)

Significant Deficiency 2023

Promise Healthcare Nfp

IL

Allowable Costs / Cost Principles Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

Action taken in response to finding: 1. Move all purchase and invoice approvals to Intacct: Complete 2. Establish approval matrix in accordance with delegation of authority: In progress Name of the contact person responsible for corrective action: Keith Flores, CFO Planned completion date for correc...

Action taken in response to finding: 1. Move all purchase and invoice approvals to Intacct: Complete 2. Establish approval matrix in accordance with delegation of authority: In progress Name of the contact person responsible for corrective action: Keith Flores, CFO Planned completion date for corrective action plan: End of 2024

View Audit 324609

Finding 502627 (2023-004)

Material Weakness 2023

Promise Healthcare Nfp

IL

Questioned Costs Procurement, Suspension & Debarment Subrecipient Monitoring § 200.317 § 200.320

Action taken in response to finding: 1. Review Current Procurement Policy: in progress a. Conduct a comprehensive review of Promise Healthcare’s existing procurement policy. b. Identify and revise and discrepancies or non-compliance with the requirements of the Uniform Guidance. c. Integrate industr...

Action taken in response to finding: 1. Review Current Procurement Policy: in progress a. Conduct a comprehensive review of Promise Healthcare’s existing procurement policy. b. Identify and revise and discrepancies or non-compliance with the requirements of the Uniform Guidance. c. Integrate industry best practices into revised policy to enhance compliance and efficiency 2. Training and Education: to start a. Provide training sessions for staff authorized to purchase along with relevant personnel on the revised procurement policy and procedures and raise awareness of the requirements of the Uniform Guidance and implications of non-compliance. b. Establish training on documentation standards for procurement activities including requisitions, solicitations, evaluations and contract awards. c. Establish training and procedure for retention of procurement-related documentation 3. Internal Controls and oversight: to start a. Implement mechanisms for monitoring and oversight to ensure compliance with the procurement policy. b. Conduct periodic internal audits to assess adherence to procurement procedures and identify areas for improvement or corrective action Name of the contact person responsible for corrective action: Keith Flores, CFO Planned completion date for corrective action plan: Winter 2025

View Audit 324609 Questioned Costs: $1

Finding 502624 (2023-003)

Material Weakness 2023

Promise Healthcare Nfp

IL

Questioned Costs Internal Control / Segregation of Duties Allowable Costs / Cost Principles § 200.303

Action taken in response to finding: 1. Create a grant matrix to track employee grant allocations in one file: Complete 2. Utilize the matrix to apply allocation to each employee on every payroll occurrence: In Progress 3. Review the matrix with grant project managers monthly to ensure accuracy and ...

Action taken in response to finding: 1. Create a grant matrix to track employee grant allocations in one file: Complete 2. Utilize the matrix to apply allocation to each employee on every payroll occurrence: In Progress 3. Review the matrix with grant project managers monthly to ensure accuracy and capture changes: In Progress 4. Maintain records of for each payroll of grant matrix application: In progress Name of the contact person responsible for corrective action: Keith Flores, CFO Planned completion date for corrective action plan: End of 2024

View Audit 324609 Questioned Costs: $1

Finding 502571 (2023-001)

Significant Deficiency 2023

Okanogan Behavioral Healthcare

WA

Allowable Costs / Cost Principles Period of Performance Significant Deficiency

Action taken in response to finding: The Finance team corrected their processes to ensure proper recording of payroll costs during the time of the FY22 Audit procedures; however, the changes were made to subsequent months and previously submitted months were not retroactively corrected. Additionall...

Action taken in response to finding: The Finance team corrected their processes to ensure proper recording of payroll costs during the time of the FY22 Audit procedures; however, the changes were made to subsequent months and previously submitted months were not retroactively corrected. Additionally, the OBHC team is currently working with the HCA in restructuring the rate schedule to incorporate the payroll costs into the direct service rates for the SOR/SABG grants. This effectively removes this issue going forward in FY25 once approved by the HCA. Name(s) of the contact person(s) responsible for corrective action: Carrie Anthony Planned completion date for corrective action plan: Sep 2023 & New rates: Sep 30, 2024

View Audit 324580

Finding 502566 (2023-001)

Material Weakness 2023

New York College of Traditional Chinese Medicine

NY

Reporting Special Tests & Provisions Student Financial Aid

Finding 2023-001: Inaccurate and Untimely Enrollment Status Reporting Comments on Finding and Recommendation(s): Statement of Concurrence: We concur with the finding of inaccurate and untimely reporting of enrollment status. The issue was due to human error from a previous employee who has been term...

Finding 2023-001: Inaccurate and Untimely Enrollment Status Reporting Comments on Finding and Recommendation(s): Statement of Concurrence: We concur with the finding of inaccurate and untimely reporting of enrollment status. The issue was due to human error from a previous employee who has been terminated as well as a misunderstanding of the policy. The transition period following the termination further compounded these issues. Actions Taken or Planned: 1. New Hire: We have already hired a new member for Financial Aid position since April 2023. This individual is responsible for ensuring the accuracy and timeliness of enrollment status reporting moving forward. 2. Staff Training: • All relevant personnel, including the newly hired staff, have been scheduled for ongoing training on financial aid compliance and the reporting process. • We will ensure that each employee is proficient in using the reporting systems (e.g., NSLDS, COD) and understands the required timelines for submission. 3. Process Review and Improvement: We are reviewing our existing processes to identify gaps and inefficiencies in the current reporting system. Once identified, these processes will be updated to ensure better data accuracy and timeliness. 4. Ongoing Monitoring and Compliance Audits: We will establish regular internal audits and monitoring protocols to ensure continuous compliance with reporting standards. Completion Date: Ongoing Dong-Hua Yang MD, PhD Title: Administrative Dean

View Audit 324573

Finding 502476 (2023-001)

Material Weakness 2023

United Piedmont Center for Educational Excellence, INC

NC

Cash Management Subrecipient Monitoring Matching / Level of Effort / Earmarking § 200.305

To address these issues - UPCEE has hired a new Contract Manager (that comes highly recommended and has worked successfully with other TRIO programs) who will continue to do the following: • Oversee office management processes, budgets, and enhance our current way of working with federal timelines....

To address these issues - UPCEE has hired a new Contract Manager (that comes highly recommended and has worked successfully with other TRIO programs) who will continue to do the following: • Oversee office management processes, budgets, and enhance our current way of working with federal timelines. • Ensure billings are kept timely and entered in the financial system for QuickBooks Online and now updates data entry after each completed month. These changes allow for the immediate completion and availability of data to be used for 990 completion and audit processing. • Work in tandem with the UPCEE Executive Director to ensure these tasks are done. With the implementation of these new processes, UPCEE feels very confident that this will prevent any further need for risk management.

View Audit 324484

Finding 502397 (2023-003)

Significant Deficiency 2023

Pacific States Marine Fisheries Commission

OR

Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.303 § 200.329

Timely Performance Reporting for Pacific Fisheries Data Program, 11.437; and Bipartisan Budget Act of 2018 (Disaster Relief Program), 11.022 Recommendation: CLA recommends for the Commission to implement stronger internal monitoring to ensure reports are completed by program managers and submitted ...

Timely Performance Reporting for Pacific Fisheries Data Program, 11.437; and Bipartisan Budget Act of 2018 (Disaster Relief Program), 11.022 Recommendation: CLA recommends for the Commission to implement stronger internal monitoring to ensure reports are completed by program managers and submitted to the Grants Manager timely to ensure ample time for internal review and upload to the Federal Agency. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Commission will set an internal deadline at least one week prior to the external report due date. The Grant & Contract Specialist will coordinate with the Finance Officer to submit report timely in the event the Grant & Contract Specialist is absent. Name(s) of the contact person(s) responsible for corrective action: Michael Arredondo and Ngu Castro. Planned completion date for corrective action plan: October 15, 2023

View Audit 324412

Finding 502366 (2023-001)

Material Weakness 2023

City of Hughson

CA

Allowable Costs / Cost Principles Reporting Matching / Level of Effort / Earmarking

Future funding for the City of Hughson will be thoroughly vetted to determine if there are any federal funds included in the monies to be received. Each new source of funding will be documented as to the source of the funding and the restrictions on its use. A thorough review of these funds will be ...

Future funding for the City of Hughson will be thoroughly vetted to determine if there are any federal funds included in the monies to be received. Each new source of funding will be documented as to the source of the funding and the restrictions on its use. A thorough review of these funds will be made at year end to determine if the City has met the $750,000 threshold to request a single audit in a timely manner.

View Audit 324399

Finding 502354 (2023-002)

None 2023

Universal Technology College of Puerto Rico, INC

PR

Student Financial Aid Reporting Matching / Level of Effort / Earmarking

The Institution reinforced its internal control procedures to ensure that the student disbursement date agrees with COD disbursement date back in 2023 when last year’s finding was disclosed. This single discrepancy was caused by an identified human error that has been addressed.

View Audit 324396

Finding 502132 (2023-002)

Significant Deficiency 2023

Henry C. Nevins Home, Inc.

MA

HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

Recommendation: The organization should obtain the requisite fidelity bond coverage and monitor the coverage to ensure it is in compliance with HUD requirements. Action Taken: Fidelity bond coverage was increased accordingly.

View Audit 324360

Finding 502112 (2023-001)

Significant Deficiency 2023

Community Directions, Inc.

LA

HUD Housing Programs Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

FINDING #2023-001 SURPLUS CASH Condition: At December 31, 2022 the Entity had surplus cash totaling $9,162, due to Home Funds. Park Ridge Apartments, Phase 3 had surplus cash in the amount of $4,000. Park Ridge Apartments, Phase 4 had surplus cash in the amount of $2,077. Park Ridge Apartments, P...

FINDING #2023-001 SURPLUS CASH Condition: At December 31, 2022 the Entity had surplus cash totaling $9,162, due to Home Funds. Park Ridge Apartments, Phase 3 had surplus cash in the amount of $4,000. Park Ridge Apartments, Phase 4 had surplus cash in the amount of $2,077. Park Ridge Apartments, Phase 5 had surplus cash in the amount of $1,379. Parsk Ridge Apartments, Phase 6 had surplus cash in the amount of $1,706. The Entity did not make any payments on the loan as required by the loan agreement. Recommendation: The management agent should compute an estimate of surplus cash for the fiscal year upon completion of that period. In the event that surplus cash exists at the completion of the fiscal period, the management agent should make an installment payment on the HOME note. Views of Responsible Officials and Planned Corrective Action: The management agent agrees with the finding and the auditor’s recommendations have been adopted. Surplus cash will be calculated upon the completion of an annual fiscal period. If it is concluded that surplus cash exists at the end of the annual fiscal period, an installment payment will be made on the loan.

View Audit 324336

Finding 501996 (2023-005)

Material Weakness 2023

Cleveland Urban Minority Alcoholism Outreach Project, Inc.

OH

Cash Management Internal Control / Segregation of Duties Material Weakness § 200.305

As part of the on-boarding process with the virtual accountant, Cleveland UMADAOP will document its financial procedures to ensure consistent execution of financial activities.

View Audit 324194

Finding 501992 (2023-001)

Material Weakness 2023

Cleveland Urban Minority Alcoholism Outreach Project, Inc.

OH

Material Weakness Reporting Matching / Level of Effort / Earmarking § 200.512

1. A master calendar with key due dates will be prepared for each program as well as the overall organization 2. Weekly meetings will be held with Program Directors with a standard agenda item of upcoming due dates within the subsequent four weeks. 3. During these meetings, Directors will be require...

1. A master calendar with key due dates will be prepared for each program as well as the overall organization 2. Weekly meetings will be held with Program Directors with a standard agenda item of upcoming due dates within the subsequent four weeks. 3. During these meetings, Directors will be required to provide status updates and draft submissions when applicable. 4. Once a quarter, a federal compliancerequirement will be selected to have a deep dive review. 5. An HQ Administrative Assistant will be hired to monitor compliance and will prepare a monthly report for the Executive Director’s review

View Audit 324194

Finding 501945 (2023-007)

Significant Deficiency 2023

Delaware County Community College

PA

Cash Management Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking § 200.303

Federal Program COVID-19 Education Stabilization Fund (ALN 84.425 C, F, & M) and Student Financial Assistance Cluster (ALN 84.033, 84.063, and 84.268) Condition The College did not locate evidence that the lost revenue calculation was performed before drawdown was completed in the G5 system. Evide...

Federal Program COVID-19 Education Stabilization Fund (ALN 84.425 C, F, & M) and Student Financial Assistance Cluster (ALN 84.033, 84.063, and 84.268) Condition The College did not locate evidence that the lost revenue calculation was performed before drawdown was completed in the G5 system. Evidence of approval to drawdown funds form the G5 system was also not located by management. Cause Turnover within the accounting office and lack of proper oversight from management led to the lack of evidence to support the timing of drawdowns reported to be located and provided to the auditor. Recommendation The College should revisit its internal control procedures to ensure that direct and material compliance requirement are being followed and controls are implemented to ensure the processes are followed and assign accountability for completion. The procedures should be documented to allow new employees an understanding of the grant requirements and how they are fulfilled. Management Response We agree with the auditor's comments. The College is actively recruiting to fill critical vacancies. Procedures for documenting approvals and drawdowns in the G5 system are currently being reviewed. Documentation of procedures for drawdowns and monthly cash reconciliation will be implemented by the end of FY 2025.

View Audit 324121

Finding 501927 (2023-002)

Material Weakness 2023

Garfield County School District

UT

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Special Tests & Provisions § 200.326

Auditee Response: Management of the District has reviewed the processes and internal controls related to construction contracts and have implemented changes to ensure that the Wage Rate Requirements are adhered to when applicable. Corrective Action Plan: (1) Any contracts over $2,000 will include th...

Auditee Response: Management of the District has reviewed the processes and internal controls related to construction contracts and have implemented changes to ensure that the Wage Rate Requirements are adhered to when applicable. Corrective Action Plan: (1) Any contracts over $2,000 will include the proper language that the contractor must comply with the Davis-Bacon Act. These contracts will be reviewed by Business Administrator and Superintendent before being signed and (2) Weekly certified reports will be obtained from contractor and reminders have been set up with both parties to ensure this happens timely. Person Responsible: Lane Mecham, Business Administrator Timeline: Management of the District will ensure all construction contracts using federal dollars will have the Davis-Bacon language in the contract – November 2023 Certified weekly payroll reports obtained from contractor – November 2023

View Audit 324105

Finding 501917 (2023-005)

Material Weakness 2023

Buckhead Christian Ministry, Inc.

GA

Questioned Costs Allowable Costs / Cost Principles Material Weakness § 200.303 § 200.430

We appreciate the auditor's identification of the material weakness in our internal controls over the documentation of approved pay rates related to our federal award. We understand the importance of maintaining adequate internal controls to prevent, detect, and correct misstatements on a timely bas...

We appreciate the auditor's identification of the material weakness in our internal controls over the documentation of approved pay rates related to our federal award. We understand the importance of maintaining adequate internal controls to prevent, detect, and correct misstatements on a timely basis. 1. Documentation Process: We will implement a documentation process to ensure that all employee pay rates related to our federal award are documented and approved by management. Specifically, we will: a. Assign responsibility for documenting and approving employee pay rates related to our federal award to a specific staff member. b. Establish a process for documenting and approving employee pay rates related to our federal award, including the use of a standardized form. c. Ensure that all employee pay rates related to our federal award are documented and approved before payroll is processed. d. Investigate and resolve any discrepancies identified during the documentation and approval process related to our federal award. e. Document the documentation and approval process related to our federal award and ensure that all documentation is maintained. 2. Internal Controls: We will strengthen our internal controls over the documentation of approved pay rates to ensure that misstatements are prevented, detected, and corrected on a timely basis. Specifically, we will: a. Establish a process for reviewing all employee pay rates by management. b. Ensure that all staff members responsible for documenting and approving employee pay rates are trained on the new process and the importance of maintaining adequate internal controls. c. Document the new process and internal controls in a written policy and procedure manual. 3. Personnel: We will ensure that personnel changes do not impact our internal controls over the documentation of approved pay rates. Specifically, we will: a. Cross-train staff members to ensure that there is adequate coverage for all employee pay rates. b. Establish a process for documenting and communicating changes in personnel responsibilities related to the documentation and approval of employee pay rates. We believe that these corrective actions will effectively address the material weakness identified by the auditor and strengthen our internal controls over the documentation of approved pay rates. We are committed to ensuring the accuracy and integrity of our financial reporting and maintaining the trust of our stakeholders. Person Responsible: Anthony Jayesingha Date Corrected: 7/31/2023

View Audit 324071 Questioned Costs: $1

Finding 501916 (2023-004)

Material Weakness 2023

Buckhead Christian Ministry, Inc.

GA

Allowable Costs / Cost Principles Material Weakness Period of Performance § 200.303 § 200.430

We appreciate the auditor's identification of the material weakness in our internal controls over the review of payroll registers for allowable costs and activities and period of performance related to our federal award. We understand the importance of maintaining effective internal controls to prov...

We appreciate the auditor's identification of the material weakness in our internal controls over the review of payroll registers for allowable costs and activities and period of performance related to our federal award. We understand the importance of maintaining effective internal controls to provide reasonable assurance that we are managing federal awards in compliance with statutes, regulations, and the terms and conditions of the award. Documentation Process: We will implement a documentation process to ensure that payroll registers are reviewed for accuracy by management on a timely basis and that the review is properly documented. Specifically, we will: 1. Assign responsibility for reviewing payroll registers for accuracy by management to a specific staff member. 2. Establish a process for reviewing payroll registers for accuracy by management, including the use of a standardized form. 3. Ensure that all payroll registers related to our federal award are reviewed for accuracy by management on a timely basis and that the review is properly documented. 4. Investigate and resolve any discrepancies identified during the review process related to our federal award. 5. Document the review process related to our federal award and ensure that all documentation is properly maintained. Person Responsible: Anthony Jayesingha Date Corrected: 7/31/2023

View Audit 324071

Corrective Action Plans

Filters