Corrective Action Plans

Finding 484192 (2023-043)

Material Weakness 2023

State of Montana

MT

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303

ALN: 84.027, 84.173, Corrective Action Plan: Special Education Allocation Errors - OPI - The Montana Office of Public Instruction is implementing a new software application for allocations. Until the application is in place, the current Excel allocation spreadsheet is being reviewed by program and...

ALN: 84.027, 84.173, Corrective Action Plan: Special Education Allocation Errors - OPI - The Montana Office of Public Instruction is implementing a new software application for allocations. Until the application is in place, the current Excel allocation spreadsheet is being reviewed by program and financial unit staff, who will confirm the accuracy of the data and formulas. Person(s) Responsible for Corrective Measures: April Grady, Chief Financial Officer, Montana Office of Public Instruction, Target Date: 07/01/2025

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Finding 484170 (2023-079)

Material Weakness 2023

State of Montana

MT

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

ALN: 10.551, 10.561, Corrective Action Plan: SOC Not Obtained and Reviewed - SNAP - DPHHS - The Montana Department of Public Health and Human Services made numerous unsuccessful attempts to obtain the Service Organization Controls (SOC) report from its vendor. The report had been difficult to obta...

ALN: 10.551, 10.561, Corrective Action Plan: SOC Not Obtained and Reviewed - SNAP - DPHHS - The Montana Department of Public Health and Human Services made numerous unsuccessful attempts to obtain the Service Organization Controls (SOC) report from its vendor. The report had been difficult to obtain since the vendor was acquired by another company. It is important to the department to preserve the vendor relationship until the contract expires in September 2025. The department is hopeful to implement corrective action with the vendor and is working through the contract issue with its legal staff. If the department cannot obtain SOC reports for future program years, it will develop alternative processes to obtain sufficient assurance. Person(s) Responsible for Corrective Measures: Chappell Smith, Administrator, Montana Department of Public Health and Human Services, Target Date: 12/31/2024

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Finding 484168 (2023-002)

Significant Deficiency 2023

State of Montana

MT

Reporting Cash Management Matching / Level of Effort / Earmarking § 200.302 § 200.303

ALN: 10.542, 10.551, 10.561, Corrective Action Plan: Inadequate Accounting Records - SNAP - P-EBT - DPHHS - The Montana Department of Public Health and Human Services conditionally concurs with this recommendation. Expenditures were tracked separately by program and records were adequate to trace ...

ALN: 10.542, 10.551, 10.561, Corrective Action Plan: Inadequate Accounting Records - SNAP - P-EBT - DPHHS - The Montana Department of Public Health and Human Services conditionally concurs with this recommendation. Expenditures were tracked separately by program and records were adequate to trace funds in accordance with federal regulations. The department will continue to improve its processes related to ensuring new federal program activity is not co-mingled with other programs, especially when closely related. Person(s) Responsible for Corrective Measures: Corinne Kyler, Administrator, Montana Department of Public Health and Human Services, Target Date: Completed

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Finding 484161 (2023-008)

Material Weakness 2023

State of Montana

MT

HUD Housing Programs Cash Management Matching / Level of Effort / Earmarking § 200.303

ALN: 14.195, 14.856, Corrective Action Plan: Inadequate Cash Management - Section 8 Project-Based - DOC - The Montana Department of Commerce has revised the Treasury State Agreement (TSA) to ensure payments to landlords are disbursed in accordance with the TSA. Person(s) Responsible for Correcti...

ALN: 14.195, 14.856, Corrective Action Plan: Inadequate Cash Management - Section 8 Project-Based - DOC - The Montana Department of Commerce has revised the Treasury State Agreement (TSA) to ensure payments to landlords are disbursed in accordance with the TSA. Person(s) Responsible for Corrective Measures: Ingrid Mallo, Chief Financial Officer, Montana Department of Commerce, Target Date: Completed

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Finding 481640 (2023-066)

Material Weakness 2023

State of Montana

MT

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

ALN: 93.775, 93.777, 93.778, Corrective Action Plan: Inadequate Medicaid ADP System Reviews - DPHHS - The Montana Department of Public Health and Human Services acknowledges that staff turnover contributed to the department's non-compliance. The department will reinstitute applicable controls. P...

ALN: 93.775, 93.777, 93.778, Corrective Action Plan: Inadequate Medicaid ADP System Reviews - DPHHS - The Montana Department of Public Health and Human Services acknowledges that staff turnover contributed to the department's non-compliance. The department will reinstitute applicable controls. Person(s) Responsible for Corrective Measures: Shellie McCann, Medicaid Systems Administrator, Montana Department of Public Health and Human Services, Target Date: 09/30/2024

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Finding 481559 (2023-078)

Significant Deficiency 2023

State of Montana

MT

Questioned Costs Subrecipient Monitoring Matching / Level of Effort / Earmarking § 200.303

ALN: Various R&D, Corrective Action Plan: Grant Management Internal Controls - UM - The University of Montana - Missoula will train all new staff members and ensure sufficient staffing levels to manage the workload effectively. UM Missoula has also established a dedicated training position with...

ALN: Various R&D, Corrective Action Plan: Grant Management Internal Controls - UM - The University of Montana - Missoula will train all new staff members and ensure sufficient staffing levels to manage the workload effectively. UM Missoula has also established a dedicated training position within the Office of Sponsored Programs to ensure all employees have the training and resources needed to manage federal Research and Development Program awards in compliance with applicable federal statutes and regulations. The training position is currently posted and is waiting to be filled. Person(s) Responsible for Corrective Measures: Nicole Thompson, Director, Office of Sponsored Programs, University of Montana - Missoula, Target Date: 12/31/2024 9/30/2024

View Audit 317490 Questioned Costs: $1

Finding 481554 (2023-012)

Material Weakness 2023

State of Montana

MT

Questioned Costs Reporting Matching / Level of Effort / Earmarking § 200.303

ALN: 20.205, 20.219, 20.224, Corrective Action Plan: Noncompliant Certified Payrolls - MDT - The Montana Department of Transportation will enhance internal control over certified payrolls and contractor payment compliance by developing a process following 29 CFR 3.3 and 5.5 and Montana Code Annota...

ALN: 20.205, 20.219, 20.224, Corrective Action Plan: Noncompliant Certified Payrolls - MDT - The Montana Department of Transportation will enhance internal control over certified payrolls and contractor payment compliance by developing a process following 29 CFR 3.3 and 5.5 and Montana Code Annotated 28-2-2103. The process will include certified payroll submission requirements and a payment estimate withholding method. The process will be communicated to department personnel and contractors. Person(s) Responsible for Corrective Measures: Dustin Rouse, Chief Engineer, Montana Department of Transportation, Target Date: 12/31/2024

View Audit 317490 Questioned Costs: $1

Finding 481533 (2023-007)

Material Weakness 2023

State of Montana

MT

HUD Housing Programs Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303

ALN: 14.871, 14.879, Corrective Action Plan: Noncompliant Housing Assistance Waiting List Selections - DOC - The Montana Department of Commerce has implemented a tracking system to review applications potentially pulled out of order. The department has reviewed field agent permissions in the syste...

ALN: 14.871, 14.879, Corrective Action Plan: Noncompliant Housing Assistance Waiting List Selections - DOC - The Montana Department of Commerce has implemented a tracking system to review applications potentially pulled out of order. The department has reviewed field agent permissions in the system to ensure access is granted on an as-needed basis. The department has prepared procedures for the waiting list to further document the roles and responsibilities between the field agencies and the department. Person(s) Responsible for Corrective Measures: Ingrid Mallo, Chief Financial Officer, Montana Department of Commerce, Target Date: 06/24/2024

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Finding 481532 (2023-005)

Material Weakness 2023

State of Montana

MT

HUD Housing Programs Internal Control / Segregation of Duties Subrecipient Monitoring § 200.303

ALN: 14.871, 14.879, Corrective Action Plan: Untimely or Not Completed Housing Assistance Inspections - DOC - The Montana Department of Commerce has developed inspection procedures, provided training (and plans to continue to provide training) to field agents and contract managers, and established...

ALN: 14.871, 14.879, Corrective Action Plan: Untimely or Not Completed Housing Assistance Inspections - DOC - The Montana Department of Commerce has developed inspection procedures, provided training (and plans to continue to provide training) to field agents and contract managers, and established software to track inspections. The department has also revised field agency contracts to clearly define inspection requirements and to include compliance incentives. Person(s) Responsible for Corrective Measures: Ingrid Mallo, Chief Financial Officer, Montana Department of Commerce, Target Date: Completed

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Finding 481531 (2023-006)

Material Weakness 2023

State of Montana

MT

HUD Housing Programs Internal Control / Segregation of Duties Eligibility § 200.303

ALN: 14.195, 14.856, 14.871, 14.879, Corrective Action Plan: Inadequate Baseline Security Controls - Housing Assistance Payment System - DOC - The Montana Department of Commerce has updated password requirements to comply with statewide policies. The passwords are now sent through encrypted emails...

ALN: 14.195, 14.856, 14.871, 14.879, Corrective Action Plan: Inadequate Baseline Security Controls - Housing Assistance Payment System - DOC - The Montana Department of Commerce has updated password requirements to comply with statewide policies. The passwords are now sent through encrypted emails and users are required to change their passwords upon initial login. The department has also developed a process to conduct and document access reviews. Additionally, the department has developed a change control policy to address roles, responsibilities, and configuration management processes as well as procedures to adequately document the department’s understanding of change impact to the system. The department has provided training and support to the backup user access manager. Person(s) Responsible for Corrective Measures: Ingrid Mallo, Chief Financial Officer, Montana Department of Commerce, Target Date: 06/24/2024

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Finding 481530 (2023-004)

Material Weakness 2023

State of Montana

MT

HUD Housing Programs Matching / Level of Effort / Earmarking Reporting § 200.303

ALN: 14.871, 14.879, Corrective Action Plan: Inaccurate Voucher Management System Reports - Emergency Housing Voucher Program - DOC - The Montana Department of Commerce has developed procedures to ensure accurate and complete monthly reports. Person(s) Responsible for Corrective Measures: Ingri...

ALN: 14.871, 14.879, Corrective Action Plan: Inaccurate Voucher Management System Reports - Emergency Housing Voucher Program - DOC - The Montana Department of Commerce has developed procedures to ensure accurate and complete monthly reports. Person(s) Responsible for Corrective Measures: Ingrid Mallo, Chief Financial Officer, Montana Department of Commerce, Target Date: Completed

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Finding 481477 (2023-061)

Material Weakness 2023

State of Montana

MT

Matching / Level of Effort / Earmarking § 200.303

ALN: 93.575, 93.596, Corrective Action Plan: Noncompliant Federal Reporting - CCDF - PHHS - The Montana Department of Public Health and Human Services, Child Care and Development Fund programs will enhance internal controls over ACF-696 reporting. The department will review accounting activities a...

ALN: 93.575, 93.596, Corrective Action Plan: Noncompliant Federal Reporting - CCDF - PHHS - The Montana Department of Public Health and Human Services, Child Care and Development Fund programs will enhance internal controls over ACF-696 reporting. The department will review accounting activities and accounting chartfield data to identify areas for improvement as relating to federal reporting. In addition, the department intends to implement detective and monitoring controls to ensure compliance. Person(s) Responsible for Corrective Measures: Tracy Moseman, Administrator, Montana Department of Public Health and Human Services, Target Date: 12/31/2024

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Finding 481476 (2023-062)

None 2023

State of Montana

MT

Questioned Costs Period of Performance Subrecipient Monitoring

ALN: 93.575, 93.596, Corrective Action Plan: Expenditures Not Within Obligation Period - CCDF - PHHS - The Montana Department of Public Health and Human Services, Child Care and Development Fund programs will improve internal controls to ensure federal funds are used in the correct obligation peri...

ALN: 93.575, 93.596, Corrective Action Plan: Expenditures Not Within Obligation Period - CCDF - PHHS - The Montana Department of Public Health and Human Services, Child Care and Development Fund programs will improve internal controls to ensure federal funds are used in the correct obligation period. Significant improvements were made in state fiscal year 2023. Additional controls were developed to ensure inactivation of cost centers to prevent payroll or other expenses to post beyond the first year of the grant. Guidelines were created to provide additional time and review of the ACF-696 reports prior to submission. The department has identified set-aside costs for grant funds that are allowable and will offset portions of the questioned costs. Person(s) Responsible for Corrective Measures: Tracy Moseman, Administrator, Montana Department of Public Health and Human Services, Target Date: Completed

View Audit 317490 Questioned Costs: $1

Finding 481473 (2023-064)

Material Weakness 2023

State of Montana

MT

Questioned Costs Subrecipient Monitoring Matching / Level of Effort / Earmarking § 200.303

ALN: 93.575, 93.596, Corrective Action Plan: Inadequate Documentation of Recipient Eligibility - CCDF - DPHHS - The Montana Department of Public Health and Human Services, Child Care and Development Fund programs are continuing to review questioned costs per the guidance received from Office of Ch...

ALN: 93.575, 93.596, Corrective Action Plan: Inadequate Documentation of Recipient Eligibility - CCDF - DPHHS - The Montana Department of Public Health and Human Services, Child Care and Development Fund programs are continuing to review questioned costs per the guidance received from Office of Child Care (OCC). The department documents the extent to which families receiving the 2021 Coronavirus Response and Relief Supplemental Appropriations Act (CRRSA) funded subsidies were eligible, including income-eligible or essential workers. The department additionally documents the extent to which providers who served families met applicable health and safety requirements. Program staff will enhance controls and training and will work with federal partners to ensure funding is in alignment with applicable terms and conditions. Person(s) Responsible for Corrective Measures: Tracy Moseman, Administrator, Montana Department of Public Health and Human Services, Target Date: 12/31/2024

View Audit 317490 Questioned Costs: $1

Finding 481472 (2023-060)

Material Weakness 2023

State of Montana

MT

Subrecipient Monitoring Matching / Level of Effort / Earmarking Eligibility § 200.303 § 200.334

ALN: 93.575, 93.596, Corrective Action Plan: Inadequate Subrecipient Monitoring - CCDF - DPHHS - The Montana Department of Public Health and Human Services, Child Care and Development Fund programs will develop monitoring procedures to coordinate state plan requirements with contract requirements ...

ALN: 93.575, 93.596, Corrective Action Plan: Inadequate Subrecipient Monitoring - CCDF - DPHHS - The Montana Department of Public Health and Human Services, Child Care and Development Fund programs will develop monitoring procedures to coordinate state plan requirements with contract requirements and make amendments to contracts when State Plan changes. Person(s) Responsible for Corrective Measures: Tracy Moseman, Administrator, Montana Department of Public Health and Human Services, Target Date: 12/31/2024

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Finding 481470 (2023-063)

Significant Deficiency 2023

State of Montana

MT

Questioned Costs Subrecipient Monitoring Matching / Level of Effort / Earmarking § 200.303

ALN: 93.575, 93.596, Corrective Action Plan: Inadequate Obligations - ARPA Stabilization - DPHHS - The Montana Department of Public Health and Human Services does not concur with finding 2023-063. The department obligated all funds and then reallocated the surplus to providers that had not recei...

ALN: 93.575, 93.596, Corrective Action Plan: Inadequate Obligations - ARPA Stabilization - DPHHS - The Montana Department of Public Health and Human Services does not concur with finding 2023-063. The department obligated all funds and then reallocated the surplus to providers that had not received prior stabilization funds. Providers that received reallotted funds were required to provide email confirmation of their express intent to receive and utilize unliquidated funds prior to 09/30/2022, thereby meeting the intent of the obligation as defined in 45 CFR 75.2. The email from the department stated funding amounts will be determined based on other Montana providers by size. Child care providers responded to the email confirming they agreed to accept the funds. Once the providers confirmed they agreed to accept funds, the department had a valid obligation, and therefore did not request the waiver offered by our federal cognizant to extend the obligation period from Administration for Children and Families (ACF). The waiver was extended to all states in recognition of the difficulty states were experiencing meeting the obligation criteria. The desert payment amounts were based on a formula using the total previously obligated unliquidated grant funds and the size of the provider. In November 2022, letters were sent to providers outlining their portion of the previously obligated allotment. Person(s) Responsible for Corrective Measures: Tracy Moseman, Administrator, Montana Department of Public Health and Human Services, Target Date: N/A

View Audit 317490 Questioned Costs: $1

Finding 481450 (2023-002)

None 2023

Nasmhpd Research Institute, Inc.

VA

Subrecipient Monitoring Cash Management Matching / Level of Effort / Earmarking § 200.1 § 200.305

Corrective Action Plan: The Institute implemented the recommendations in the fourth quarter of fiscal year 2024.

View Audit 317483

Finding 481441 (2023-002)

Material Weakness 2023

Mena School District

AR

Equipment & Real Property Management Internal Control / Segregation of Duties Special Tests & Provisions § 200.311 § 200.326

● The superintendent was provided with a statement of liability coverage from the company's insurer, which was assumed to suffice as a performance bond, but going forward, only proper performance bonds will be accepted. The District has properly recorded the assets obtained through these funds....

● The superintendent was provided with a statement of liability coverage from the company's insurer, which was assumed to suffice as a performance bond, but going forward, only proper performance bonds will be accepted. The District has properly recorded the assets obtained through these funds. The Arkansas Division of Elementary and Secondary Education (DESE) has been consulted regarding the documentation of Davis-Bacon wages, and the District will require weekly wage reports from future contractors when federal funds are used for construction projects. The District will also ensure that all future capital improvement projects adhere to federal and state requirements, including obtaining appropriate performance bonds and incorporating prevailing wage rate provisions in contracts. Additionally, the Capital Assets Clerk will receive specific training on the proper documentation and recording of capital improvements and equipment. Anticipated Completion Date: July 1, 2024.

View Audit 317473

Finding 481428 (2023-001)

Material Weakness 2023

Knox County

NE

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

FINDING 2023-001 Finding Subject: COVID19- Coronavirus State and Local Fiscal Recovery Funds – Internal Controls Summary of Finding: The County had not properly designed or implemented a system of internal controls. A single employee received all accounts payable vouchers for expenditures from the S...

FINDING 2023-001 Finding Subject: COVID19- Coronavirus State and Local Fiscal Recovery Funds – Internal Controls Summary of Finding: The County had not properly designed or implemented a system of internal controls. A single employee received all accounts payable vouchers for expenditures from the SLFRF award. The employee was to review and approve the accounts payable voucher to ensure all expenditures were for allowable activities, allowable costs, and were within the period of performance prior to issuing payment from the SLFRF fund. Of the sixty accounts payable vouchers tested during the audit period, four were not properly reviewed or approved by the single employee responsible for implementing the control. Contact Person Responsible for Corrective Action: Lisa Clark/Benock Contact Phone Number and Email Address: 812-885-2502, lcbenock@knoxcounty.in.gov Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The Auditors Office Accounts Payable Clerk will review the claim voucher to be sure it is properly itemized with fund number on which it is drawn and the appropriation account to be charged. The claim will be reviewed by another Auditor staff member. The claim approval will be filed with consideration by the board of County Commissioners. Anticipated Completion Date: Immediately

View Audit 317444

Finding 481362 (2023-002)

Significant Deficiency 2023

Community Action of Napa Valley

CA

Procurement, Suspension & Debarment Reporting Significant Deficiency

Views of Responsible Officials and Corrective Actions: Community Action of Napa Valley records all accounting records. This year was unique due to a big capital purchase. We sent the journal entries to the auditor to review before posting in the GL. We were missing entries due to lack of support we ...

Views of Responsible Officials and Corrective Actions: Community Action of Napa Valley records all accounting records. This year was unique due to a big capital purchase. We sent the journal entries to the auditor to review before posting in the GL. We were missing entries due to lack of support we received from the auditor during her departure from the organization. We have a process for year end closing to make sure all the entries are sufficiently entered.

View Audit 317399

Finding 481317 (2023-007)

Material Weakness 2023

Mesa County, Colorado

CO

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

The County concurs with this finding and will be working to enhance documentation of the review of the Adoption Assistance eligibility determinations.

View Audit 317385

Finding 481316 (2023-006)

Material Weakness 2023

Mesa County, Colorado

CO

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

The County concurs with this finding and will be working to enhance documentation of the review of the IV-E eligibility determinations.

View Audit 317385

Finding 481313 (2023-004)

Material Weakness 2023

Mesa County, Colorado

CO

Subrecipient Monitoring Reporting Matching / Level of Effort / Earmarking

The County concurs with this finding and is refining procedures ensuring all reports, reviews, and communications are performed, reviewed, completed, and documented in a timely and accurate manner.

View Audit 317385

Finding 481279 (2023-005)

Significant Deficiency 2023

Albion College

MI

Student Financial Aid Reporting Significant Deficiency

Condition: Changes in a student’s status are required to be reported to the NationalStudent Loan Data System (NSLDS) within 30 days of the change or included in a student status confirmation report sent to the NSLDS within 60 days of the status change (Pell, 34 CFR Section 690.83(b); Direct Loan, 34...

Condition: Changes in a student’s status are required to be reported to the NationalStudent Loan Data System (NSLDS) within 30 days of the change or included in a student status confirmation report sent to the NSLDS within 60 days of the status change (Pell, 34 CFR Section 690.83(b); Direct Loan, 34 CFR Section 685.309(b)). Planned Corrective Action: The Registrar’s office in conjunction with the Financial Aid office will implement controls to ensure accurate and timely reporting to NSLDS for student enrollment status. The current cause of the untimely reporting is due to students missing social security numbers with our database which does not allow them to match to existing student in NSLDS. A report is being created through Argos (reporting software) that will be run on a monthly basis to be sure all students have the proper information needed for enrollment reporting. This report is being created through the registrar’s office and will work in conjunction with financial aid to get these records updated according with the accurate SS# for the students. Enrollment reporting is done through National Student Clearinghouse which returns error reports for a multitude of different reason one being SS#. The Assistant Registrar handles all enrollment reporting on a monthly basis. After each monthly submission the Registrar will be cross referencing the error reports to be sure that all necessary errors have been corrected and cleared. The Assistant Registrar will also be doing an analysis on the Argos report that pulls all data for the enrollment reporting submission to be sure that all data fields are still correct due to system changes on a consistent basis. Contact person responsible for corrective action: Drew Dunham, Registrar and Trevor Markovich, Financial Aid Director Anticipated Completion Date: August 1, 2024

View Audit 317350

Finding 481258 (2023-013)

Material Weakness 2023

District of Columbia Housing Authority

MD

HUD Housing Programs Material Weakness Reporting

Housing Voucher Cluster – Assistance Listing Nos. 14.871/14.879 Recommendation: We recommend the Authority implements controls to ensure that recertifications are uploaded to PIC in accordance with reporting requirements. Explanation of disagreement with audit finding: There is no disagreement wit...

Housing Voucher Cluster – Assistance Listing Nos. 14.871/14.879 Recommendation: We recommend the Authority implements controls to ensure that recertifications are uploaded to PIC in accordance with reporting requirements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken or planned in response to finding: The HCVP shall recruit and hire a dedicated Data Analyst to oversee the PIC entries and to ensure that recertifications are uploaded in accordance with reporting requirements. The PIC uploads will be quality-controlled monthly by HCVP and quarterly by the Office of Audit and Compliance. The OAC will conduct monthly checks to ensure that the uploads are done to facilitate the required reporting. Name of the contact person responsible for corrective action: Khaliah Payne. Planned completion date for corrective action plan: 9/30/24.

View Audit 317348

Corrective Action Plans

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