Corrective Action Plans

Finding 1176499 (2025-009)

Material Weakness 2025

WV

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

2025-009 REPORTING SIGNIFICANT DEFICIENCY IN INTERNAL CONTROL OVER COMPLIANCE, OTHER MATTERS OFFICE OF THE GOVERNOR (GO) Assistance Listing Number: 21.027 The GO fully believes that its documentation and support for obligations and expenditures incurred under its SLFRF funding is available and appro...

2025-009 REPORTING SIGNIFICANT DEFICIENCY IN INTERNAL CONTROL OVER COMPLIANCE, OTHER MATTERS OFFICE OF THE GOVERNOR (GO) Assistance Listing Number: 21.027 The GO fully believes that its documentation and support for obligations and expenditures incurred under its SLFRF funding is available and appropriate to support all items, though recognizes there were challenges and delays in its ability to provide the information to our auditors due to miscommunications and need to coordinate across multiple agencies. That said, the GO recognizes that certain errors were noted in the amounts reported in the quarterly expenditure reports and is committed to enhancing its processes going forward. In particular, as the new administration has had a chance to become more familiar with the reporting processes and its relationship with the third-party firm responsible for assisting the State’s creation and submission of its expenditure reporting. In particular, the GO will ensure that each quarterly expenditure report includes a clearly defined project schedule that allows ample time for the full review and confirmation of information and data included prior to the report’s due date. Additionally, the third-party firm has added additional resources to support the reporting periods and developed new templates to better track and summarize the information aggregated across all agencies spending SLFRF funds to better enable review and identification of any errors or questions.

View Audit 390319

Finding 1176498 (2025-008)

Material Weakness 2025

State of West Virginia

WV

Special Tests & Provisions Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

2025-008 SPECIAL TESTS AND PROVISIONS: UI PROGRAM INTEGRITY - OVERPAYMENTS SIGNIFICANT DEFICIENCY IN INTERNAL CONTROL OVER COMPLIANCE, OTHER MATTERS WORKFORCE WEST VIRGINIA (WFWV) Assistance Listing Number: 17.225 The overpayment in question was caused by an appeal decision made by an Administrative...

2025-008 SPECIAL TESTS AND PROVISIONS: UI PROGRAM INTEGRITY - OVERPAYMENTS SIGNIFICANT DEFICIENCY IN INTERNAL CONTROL OVER COMPLIANCE, OTHER MATTERS WORKFORCE WEST VIRGINIA (WFWV) Assistance Listing Number: 17.225 The overpayment in question was caused by an appeal decision made by an Administrative Law Judge (ALJ). The overpayment was established and coded correctly based on the ALJ decision in September 2024, even though an overpayment memo was not available. In October 2024, the Benefit Payment Control Overpayment Policy was revised to include instructions to create overpayment memos for all lower and higher authority appeal decisions which result in an overpayment of benefits. Benefit & Technical Support unit staff, who process appeal decisions, were made aware of the requirement.

View Audit 390319

Finding 1176497 (2025-007)

Material Weakness 2025

State of West Virginia

WV

Special Tests & Provisions Material Weakness Matching / Level of Effort / Earmarking § 200.303

2025-007 SPECIAL TESTS AND PROVISIONS: UI BENEFIT PAYMENT WORKFORCE WEST VIRGINIA (WFWV) Assistance Listing Number: 17.225 WFWV acknowledges and agrees with the finding that Benefit Accuracy Measurement (BAM) cases were not reviewed and closed within the time limits established by ET Handbook No. 39...

2025-007 SPECIAL TESTS AND PROVISIONS: UI BENEFIT PAYMENT WORKFORCE WEST VIRGINIA (WFWV) Assistance Listing Number: 17.225 WFWV acknowledges and agrees with the finding that Benefit Accuracy Measurement (BAM) cases were not reviewed and closed within the time limits established by ET Handbook No. 395. During the performance year, the BAM team faced significant staffing challenges, which delayed the timely completion of audits and restricted the availability of personnel for reviewing completed cases. To address this issue, WFWV has implemented the following corrective measures: 1. Trained a support staff member in November 2024 to assist BAM analysts with administrative tasks, including setting up new case files, issuing second and third requests for information, and calculating wages based on employer-provided verification forms. This support enables analysts to dedicate more time to core investigative work. 2. Hired an additional BAM analyst in November 2025 to reduce management’s workload in completing audits, allowing them to prioritize the review of completed cases. Furthermore, as of January 2026, management and the BAM support staff now use a shared redesigned spreadsheet to track the progress of assigned cases. This tool provides real-time visibility into case statuses, ensuring more effective monitoring of completion timeliness and preventing future delays.

View Audit 390319

Finding 1176495 (2025-006)

Material Weakness 2025

State of West Virginia

WV

Procurement, Suspension & Debarment Subrecipient Monitoring Reporting § 200.303

2025-006 REPORTING – FEDERAL FUNDING ACCOUNTABILITY AND TRANSPARENCY ACT (FFATA) DEPARTMENT OF ENVIRONMENTAL PROTECTION (DEP) Assistance Listing Number: 15.252 The finding states that the DEP did not report subaward information in accordance with reporting requirements. Specifically, two reports sel...

2025-006 REPORTING – FEDERAL FUNDING ACCOUNTABILITY AND TRANSPARENCY ACT (FFATA) DEPARTMENT OF ENVIRONMENTAL PROTECTION (DEP) Assistance Listing Number: 15.252 The finding states that the DEP did not report subaward information in accordance with reporting requirements. Specifically, two reports selected for testing were not reported in a timely manner. Based on the previous year’s finding, DEP implemented standard operating procedures on January 24, 2024, to ensure compliance with the FFATA reporting requirements. DEP concurs that the two reports found to be in noncompliance were, in fact, submitted after the required deadline. This oversight was primarily due to the understaffing of the Sub Grants Unit at the time these reports were to be submitted. DEP currently has sufficient standard operating procedures to ensure compliance with FFATA reporting. DEP will temporarily reassign staff responsibilities to ensure reporting compliance timelines are met until the current vacancy in the Sub Grants Unit can be filled to provide additional support to the existing staff.

View Audit 390319

Finding 1176493 (2025-005)

Material Weakness 2025

State of West Virginia

WV

Procurement, Suspension & Debarment Subrecipient Monitoring Material Weakness § 200.303

2025-005 REPORTING – FEDERAL FUNDING ACCOUNTABILITY AND TRANSPARENCY ACT (FFATA) DEPARTMENT OF EDUCATION (DOE) Assistance Listing Numbers: 10.553/10.555/10.556/10.559/10.582 During FY 2025, the FFATA reporting system changed from the FSRS site to SAM.gov. Many transactions that were originally enter...

2025-005 REPORTING – FEDERAL FUNDING ACCOUNTABILITY AND TRANSPARENCY ACT (FFATA) DEPARTMENT OF EDUCATION (DOE) Assistance Listing Numbers: 10.553/10.555/10.556/10.559/10.582 During FY 2025, the FFATA reporting system changed from the FSRS site to SAM.gov. Many transactions that were originally entered into the FSRS site did not transfer over and had to be re-entered into SAM.gov, making those entries appear late. In addition, we had trouble getting the SAM.gov site to accept our FFATA entries. DOE worked with SAM.gov customer support to eventually get the issues resolved, but this also resulted in late reporting. Subsequent to the systematic issues being resolved, all FFATA reports have been completed timely and will continue to be reported timely going forward.

View Audit 390319

Finding 1176462 (2025-002)

Material Weakness 2025

The Corporation of Haverford College

PA

Student Financial Aid Reporting Significant Deficiency

Common Origination and Disbursement (COD) Reporting Recommendation: We recommend the College evaluate its policies and procedures around reporting to the COD to ensure that information is reported accurately. Explanation of disagreement with audit finding: There is no disagreement with the audit fin...

Common Origination and Disbursement (COD) Reporting Recommendation: We recommend the College evaluate its policies and procedures around reporting to the COD to ensure that information is reported accurately. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to the finding: A PELL reconciliation report will be pulled monthly to check that the disbursement dates/amounts on COD match the disbursement dates/amounts on PowerFAIDS and Bionic. Name of the contact person responsible for corrective action: Shannon Braccili, Associate Director of Financial Aid Planned completion date for corrective action plan: Effective starting August 2025 with the first Fall 2025 PELL disbursement and continuing through the end of the academic year. This procedure will continue to be followed in subsequent academic years.

View Audit 390280

Finding 1176461 (2025-001)

Material Weakness 2025

The Corporation of Haverford College

PA

Student Financial Aid Reporting Significant Deficiency

U.S. Department of Education National Student Loan Data Systems (NSLDS) Enrollment Reporting - Federal Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Recommendation: We recommend the College review its policies and procedures on reporting of enrollment status changes to NSLDS to ensure that a...

U.S. Department of Education National Student Loan Data Systems (NSLDS) Enrollment Reporting - Federal Assistance Listing No. 84.007, 84.033, 84.063, 84.268 Recommendation: We recommend the College review its policies and procedures on reporting of enrollment status changes to NSLDS to ensure that all status changes are being reported accurately to be in compliance with regulations. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: An investigation that uncovered a National Student Clearinghouse enrollment transmission proofing error related to program-level effective date for graduated students. Name of the contact person responsible for corrective action: James Keane, Registrar Planned Corrective Action Plan: The Registrar's Office will ensure that the program level effective date for graduates is accurate prior to submission. The Registrar will also partner with IITS to ensure that the program-level effective date for graduates is generated in the submission file as expected. Planned completion date for corrective action plan: May 2026, prior to the June 2026 submission date.

View Audit 390280

Finding 1176448 (2025-002)

Material Weakness 2025

Board of Child Care of the United Methodist Church, Inc.

MD

Allowable Costs / Cost Principles Subrecipient Monitoring Matching / Level of Effort / Earmarking § 200.430

Views of Responsible Officials: Management acknowledges the findings related to Payroll Allocation, and Training & Compliance, as outlined in the recent audit report. We appreciate the recommendations provided and are committed to implementing corrective actions to strengthen compliance, improve pay...

Views of Responsible Officials: Management acknowledges the findings related to Payroll Allocation, and Training & Compliance, as outlined in the recent audit report. We appreciate the recommendations provided and are committed to implementing corrective actions to strengthen compliance, improve payroll allocation accuracy, and enhance staff knowledge of grant management requirements.

View Audit 390264

Finding 1176364 (2025-002)

Material Weakness 2025

Volunteers of America Colorado Branch

CO

Reporting Internal Control / Segregation of Duties Subrecipient Monitoring § 200.303

Condition: The Organization lacked adequate controls to ensure reviews were performed by a different individual than the one responsible for preparing monthly financial reporting, calculations of per-unit activity, and requests for reimbursement. Planned Corrective Action: 1. Standardization of Fina...

Condition: The Organization lacked adequate controls to ensure reviews were performed by a different individual than the one responsible for preparing monthly financial reporting, calculations of per-unit activity, and requests for reimbursement. Planned Corrective Action: 1. Standardization of Financial Reporting Workflow: A formal segregation of duties for all federal and pass-through reimbursement requests and financial reports has been implemented. Effective immediately, the individual responsible for accumulating cost data and calculating per-unit activity (preparer) is prohibited from being the reviewer. 2. Implementation of Approval Process: All reports must now be submitted by the preparer to the designated reviewer for approval via email prior to submission. An approval response from the reviewer is required prior to submission to the awarding agency. 3. Staff Training: All grants management and accounting personnel have been briefed on the requirements of 2 CFR 200.303, specifically regarding the necessity of documented internal controls to provide reasonable assurance of compliance. Contact person responsible for corrective action: Erin Nordmann (Controller) Chiyoko Yokota (Chief Financial Officer) Anticipated Completion Date: Fully Corrected

View Audit 390182

Finding 1176346 (2025-001)

Material Weakness 2025

Communidad Del Retiro (a Project of the Municipality of San Juan)

PR

Matching / Level of Effort / Earmarking Material Weakness

Recommendation The Municipality must establish and implement a documented reconciliation process between the MIP and ORACLE accounting systems to ensure the accuracy and reliability of financial information used for federal compliance purposes. In addition, implement oversight procedures and periodi...

Recommendation The Municipality must establish and implement a documented reconciliation process between the MIP and ORACLE accounting systems to ensure the accuracy and reliability of financial information used for federal compliance purposes. In addition, implement oversight procedures and periodic monitoring to review and verify the WIOA expenditures to ensure they comply with the earmarking percentage limitations. View of responsible officials Management concurs with the findings as presented and notes that all corrective measures are already substantially implemented. The Municipality remains fully committed to maintaining strong internal controls and continuous improvement in federal grant administration. Responsible official Ana Maria Delgado WIOA Program Fiscal Agent Estimated completion date June 30, 2026

View Audit 390167

Finding 1176205 (2025-003)

Material Weakness 2025

El Camino Community College District

CA

Student Financial Aid Matching / Level of Effort / Earmarking

Recommendation: We recommend the District continue to enhance and consistently apply R2T4 procedures by providing ongoing training to staff responsible for R2T4 calculations and by continuing with additional reviews and quality control measures to ensure accuracy and compliance. Action taken in resp...

Recommendation: We recommend the District continue to enhance and consistently apply R2T4 procedures by providing ongoing training to staff responsible for R2T4 calculations and by continuing with additional reviews and quality control measures to ensure accuracy and compliance. Action taken in response to finding: The District acknowledges the importance of compliance with Return to Title IV (R2T4) requirements. The repeat finding cited in the subsequent audit relates to files processed prior to implementation of the corrective action plan. Since implementation, the District has not identified any new R2T4 errors or compliance issues. Action taken in response to finding: 1. Prior-Year File Remediation • Recalculated R2T4 amounts for affected students. • Returned required funds to the U.S. Department of Education. 2. Oversight and Review Controls • Engaged a NASFAA-certified consultant to review all R2T4 calculations during the 2024–2025 aid year. • Implemented secondary internal review of all R2T4 calculations. 3. Training and Staffing Enhancements • Completed department-wide and R2T4-specific training. • R2T4 staff completed NASFAA R2T4 course series. • An additional Accounting Officer position was added to support R2T4 processing and reconciliation with appropriate system access. 4. Process Improvements • Transitioned to the Department of Education’s R2T4 worksheet in COD. • Established formal coordination with Academic Affairs and the Registrar. • Updated R2T4 training and job aids. 5. Ongoing Monitoring • Management performs periodic internal reviews of R2T4 files. • The District continues to evaluate system and reporting enhancements. Conclusion Although the audit included R2T4 files processed prior to corrective action implementation, the District’s actions have been effective. No new R2T4 issues have been identified since implementation, and controls are in place to ensure ongoing compliance. Name of the contact person responsible for corrective action: David Brown, Acting Director of Financial Aid & Basic Needs Planned completion date for corrective action plan: June 30, 2026

View Audit 390070

Finding 1176191 (2025-001)

Material Weakness 2025

Illinois Finance Authority

IL

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

Corrective Action Plan Single Audit Finding 2025-001: Internal Controls over Allowable Costs/Activities Plan: The IFA acknowledges the importance of internal controls and appropriate segregation of duties ensuring the review and approval process for Authority financial transactions (i.e., expenditur...

Corrective Action Plan Single Audit Finding 2025-001: Internal Controls over Allowable Costs/Activities Plan: The IFA acknowledges the importance of internal controls and appropriate segregation of duties ensuring the review and approval process for Authority financial transactions (i.e., expenditures applied to corresponding grants are allowable; month-end financial entries; etc.). With recent staff additions, IFA has enhanced its internal control environment by implementing a review/authorization process to ensure the preparation and approval of journal entries (i.e., month-end, etc.) occurs in accordance of established internal controls and appropriate segregation of duties (e.g., month-end journal entries prepared by the IFA SVP-FA are reviewed and approved by the IFA Chief Operating Officer, or appropriate designee). Since manual or adjusting journal entries are information processing activities that carry higher risk, a review of journal entries after posting serve as acceptable verification control in accordance with the United States Government Accountability Office Standards for Internal Control in the Federal Government that helps ensure transactions are appropriate. These post-entry reviews represent an acceptable form of management oversight (Principle 16) and serve as an acceptable validation check (Principle 10) to confirm that entries align with supporting documentation, reconcile with expectations, and aligned with organizational directives. Month Implemented: November 2025 IFA Contact: Ms. Ximena Granda SVP – Finance & Administration xgranda@il-fa.com Office (312) 651-1362

View Audit 390009

Finding 1175927 (2025-002)

Material Weakness 2025

BOYS AND GIRLS CLUBS OF KING COUNTY

WA

Allowable Costs / Cost Principles Subrecipient Monitoring Period of Performance

Contact Person(s): Sandy Fabre, CFO Explanation and specific reasons for disagreement with the audit finding or that corrective action is not required (if applicable): No disagreement Corrective action planned: Management will complete a two-step review process to ensure expenses are being validated...

Contact Person(s): Sandy Fabre, CFO Explanation and specific reasons for disagreement with the audit finding or that corrective action is not required (if applicable): No disagreement Corrective action planned: Management will complete a two-step review process to ensure expenses are being validated correctly. Additionally, a selective self-audit program will be developed to verify that recordkeeping is complete and effective. Anticipated completion date: 05/01/2026

View Audit 389897

Finding 1175895 (2025-001)

Material Weakness 2025

Worksystems, INC

OR

Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.303

02/09/2026 Worksystems, Inc respectfully submits the following corrective action plan for the year ending June 30, 2025. Audit: July 01, 2024 – June 30, 2025 The findings from the schedule of findings and questioned cost are discussed below. The findings are numbered with the number assigned in the ...

02/09/2026 Worksystems, Inc respectfully submits the following corrective action plan for the year ending June 30, 2025. Audit: July 01, 2024 – June 30, 2025 The findings from the schedule of findings and questioned cost are discussed below. The findings are numbered with the number assigned in the schedule. FINDING - FEDERAL AWARD PROGRAMS AUDITS U.S. Department Labor (pass through from the Oregon Higher Education Coordinating Commission) 2025-001 WIOA Cluster – Assistance Listing #17.258, 17.259, 17.278 Recommendation: The Organization should establish written policies and procedures regarding monitoring of the maximum earmark percentage allowed. Explanation of disagreement with audit findings: There is no disagreement with the audit finding. Action taken in response to finding: Fiscal management promptly developed a report to monitor WIOA administrative expenditures to ensure compliance with applicable earmarking requirements. It was recently used to confirm compliance during the quarterly FSR reporting cycle. Fiscal management has also incorporated the review of this report into the monthly close process. Action Plan: Fiscal management is currently reviewing and updating existing process documentation, calculation templates, and journal entry import procedures related to cost pool allocations to WIOA funds. These procedures will be revised as necessary and will incorporate the validation report and related control activities. Upon completion, fiscal staff will be retrained on the updated procedures to ensure consistent application and understanding. In addition, fiscal management will perform a review of current program year allocations to WIOA funds to confirm continued compliance with administrative cost limitations. Name(s) of the contact people responsible for correction action: Andrew L Fitch, CFO afitch@worksystems.org 503-478-7357. Plan completion date for corrective action plan: 03/31/2026

View Audit 389877

Finding 1175859 (2025-002)

Material Weakness 2025

Mountain Area Regional Transit Authority

CA

Equipment & Real Property Management Matching / Level of Effort / Earmarking § 200.302 § 200.303 § 200.305 § 200.313

Corrective Actions Taken or Planned: MARTA has grown substantially in the last several years. This progress includes identifying areas that need to be updated or developing new processes and documentation. MARTA has an Asset Inventory Policy and Procedures in which the purpose is to ensure that fixe...

Corrective Actions Taken or Planned: MARTA has grown substantially in the last several years. This progress includes identifying areas that need to be updated or developing new processes and documentation. MARTA has an Asset Inventory Policy and Procedures in which the purpose is to ensure that fixed assets are properly accounted for, identified, and tracked. MARTA also has Cash Handling Policy and Procedures which addresses safeguarding public funds and maximizing the available resources. This is designed to reduce the risks associated with the collection, receipts storage and reporting of cash transactions and to safeguard and maintain the security and integrity of MARTA's fiscal assets. MARTA will review and update these policies and/or create new policies to make sure that they are compliant with the Uniform Guidance. Personnel responsible: Sandy Benson, General Manager Anticipated completion date: October 2026

View Audit 389823

Finding 1175858 (2025-001)

Material Weakness 2025

Mountain Area Regional Transit Authority

CA

Procurement, Suspension & Debarment Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking

Corrective Actions Taken or Planned: MARTA recognizes the importance of ensuring all expenses are approved before they are incurred. To address this finding, MARTA is updating its internal procurement rules to clearly state that a purchase order must be signed prior to ordering any items or initiati...

Corrective Actions Taken or Planned: MARTA recognizes the importance of ensuring all expenses are approved before they are incurred. To address this finding, MARTA is updating its internal procurement rules to clearly state that a purchase order must be signed prior to ordering any items or initiating any services. This measure will prevent the receipt of invoices for costs that have not been officially authorized. Additionally, MARTA is creating a formal backup approval plan. Under this plan, if the General Manager is unavailable, another designated leader will have the documented authority to approve purchases immediately, eliminating the need to wait for the General Manager’s return to complete the necessary paperwork. Finally, MARTA’s finance team will implement a new check-and-balance step in the payment process. Moving forward, the team will verify that the date on the approved purchase order comes before the date on the vendor's invoice. If the dates are out of sequence, the payment will be flagged for review. In addition, MARTA will conduct a training session for all department heads to reinforce that verbal orders are not permitted and that written authorization must always be obtained first. This plan is designed to ensure full compliance with federal grant requirements and prevent any future delays in the approval process. Personnel responsible: Sandra Benson, General Manager Anticipated completion date: October 2026

View Audit 389823

Finding 1175844 (2025-002)

Material Weakness 2025

Moffat County School District Re-1

CO

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

Compliance Requirement: Special Tests and Provisions Questioned Costs: None. Corrective Action: In February 2026, the District was notified that inadequate supporting documentation could not be located relating to the graduation cohort requirements specifically regarding student withdrawal forms and...

Compliance Requirement: Special Tests and Provisions Questioned Costs: None. Corrective Action: In February 2026, the District was notified that inadequate supporting documentation could not be located relating to the graduation cohort requirements specifically regarding student withdrawal forms and exit codes reported to the Colorado Department of Education (CDE). The lack of documentation was primarily attributable to significant staff turnover during Fiscal Years 2024 and 2025. This turnover resulted in inconsistencies in record retention practices and gaps in documentation management procedures associated with student withdrawal records and related reporting requirements. To address this issue, the District is implementing corrective measures to strengthen internal controls and ensure ongoing compliance. The District is actively developing and formalizing written procedures that clearly define documentation requirements, roles and responsibilities, and timelines related to student withdrawals and exit coding. All supporting documentation will be uploaded at the time of record creation into a centralized electronic system for each student. The District is also establishing a system of redundancy, including supervisory review and periodic internal checks, to ensure completeness, accuracy, and retention of required documentation. These controls are designed to prevent future documentation deficiencies and to ensure full compliance with state reporting requirements. The District is committed to maintaining accurate records and strengthening internal processes to support continued compliance requirements. Personnel Responsible for Corrective Action: Kathryn Sampson, Executive Director – Finance & Operations Anticipated Completion Date: February 2026

View Audit 389821

Finding 1175841 (2025-001)

Material Weakness 2025

Carroll Community College

MD

Matching / Level of Effort / Earmarking Student Financial Aid Period of Performance § 200.303

Condition: During testing of the enrollment reporting, we identified the following errors: 􀁸 The change in status was not reported at the program level. 􀁸 The program begin date reported to NSLDS does not match the program begin date per the college’s records. Recommendation: The College should eval...

Condition: During testing of the enrollment reporting, we identified the following errors: 􀁸 The change in status was not reported at the program level. 􀁸 The program begin date reported to NSLDS does not match the program begin date per the college’s records. Recommendation: The College should evaluate their procedures and policies related to reporting status changes and program begin dates to NSLDS and enhance as deemed necessary to ensure that accurate information is reported to NSLDS. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: We have researched the issue and found that it goes back to the June 2022 purging of the archive file within our student information system in order to get the NSC reports to pull from the system. We no longer purge the archive file, so these issues will only happen on some older records where students return to the college. Name(s) of the contact person(s) responsible for corrective action: Katrina Dumont, Institutional Effectiveness Planned completion date for corrective action plan: We will monitor the Spring 2026 NSC enrollment files to make sure the issue is not getting worse.

View Audit 389805

Finding 1175840 (2025-002)

Material Weakness 2025

Carroll Community College

MD

Student Financial Aid Reporting Matching / Level of Effort / Earmarking § 200.303

Condition: The College did not report certain Pell disbursements within 15 days to COD. Recommendation: We recommend the College ensure that a process is in place to report within 15 days, including a process to respond and report timely when there are student irregularities. Explanation of disagree...

Condition: The College did not report certain Pell disbursements within 15 days to COD. Recommendation: We recommend the College ensure that a process is in place to report within 15 days, including a process to respond and report timely when there are student irregularities. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. While we agree with the audit finding, we are not clear as to why the date was recorded by COD outside the disbursement window. Action taken in response to finding: We will maintain automated COD reporting through the Student Information System (SIS) and continuously refine processes based on audit results and regulatory changes. Name(s) of the contact person(s) responsible for corrective action: John Gay Jr. Planned completion date for corrective action plan: Fall 2025

View Audit 389805

Finding 1175809 (2025-001)

Material Weakness 2025

Metropolitan School District of Warren County

IN

Special Tests & Provisions Subrecipient Monitoring Significant Deficiency § 200.303

Finding 2025-001 – Education Stabilization – Special Tests and Provisions - Wage Rate Requirements Context: For all six vendors sampled, the School Corporation did not include the necessary clauses for the Davis-Bacon federal wage rate requirements in their contracts. For the two larger vendors repr...

Finding 2025-001 – Education Stabilization – Special Tests and Provisions - Wage Rate Requirements Context: For all six vendors sampled, the School Corporation did not include the necessary clauses for the Davis-Bacon federal wage rate requirements in their contracts. For the two larger vendors representing $3,611,973, weekly payroll reports were properly collected. For the remaining four smaller vendors, the School Corporation did not obtain the weekly payroll report certifications for the work performed totaling $148,522 for the entire audit period. Contact Person Responsible for Corrective Action: Katy Dowling Contact Phone Number: 317-869-4364 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Create an internal control process that ensures roles and responsibilities as it relates to the requirements of the David Bacon Act. Anticipated Completion Date: March 15, 2026

View Audit 389739

Finding 1175804 (2025-001)

Material Weakness 2025

Albany College of Pharmacy and Health Sciences

NY

Student Financial Aid Matching / Level of Effort / Earmarking

Finding Number: 2025-001 Federal Assistance Listing Number: 84.268 Federal Direct Student Loans Year Ended: June 30, 2025 Responsible Individual: Christine Banewicz Director of Student Accounts Management’s Response and Corrective Action Plan: Management identified the issue on August 4, 2025 and ne...

Finding Number: 2025-001 Federal Assistance Listing Number: 84.268 Federal Direct Student Loans Year Ended: June 30, 2025 Responsible Individual: Christine Banewicz Director of Student Accounts Management’s Response and Corrective Action Plan: Management identified the issue on August 4, 2025 and new letters were emailed on August 8, 2025 and August 12, 2025. To mitigate potential disruptions in the electronic process, the College enhanced its controls to include manual validation of letters.

View Audit 389734

Finding 1175800 (2025-001)

Material Weakness 2025

Carthage College

WI

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

Credit Balance Testing Recommendation: CLA recommends that the client re-evaluate their internal controls over credit balance returns in order to establish a more timely process for the identification and disbursement of TIV credit balances. Explanation of disagreement with audit finding: There is n...

Credit Balance Testing Recommendation: CLA recommends that the client re-evaluate their internal controls over credit balance returns in order to establish a more timely process for the identification and disbursement of TIV credit balances. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Carthage College will update procedures to maintain documentation of student authorizations for credit balances held greater than 14 days. Name(s) of the contact person(s) responsible for corrective action: Vince Ceja, CFO Planned completion date for corrective action plan: June 30, 2026

View Audit 389695

Finding 1175766 (2025-002)

Material Weakness 2025

Our Lady of Guadalupe

CA

HUD Housing Programs Matching / Level of Effort / Earmarking

Management’s Response – Based on legal counsel’s advice, and that the lender has an approved Concept Meeting Proposal with HUD, we believe HUD has approved our efforts to pursue predevelopment activities to add 29 units on the existing parcel using available cash from operations, while seeking forma...

Management’s Response – Based on legal counsel’s advice, and that the lender has an approved Concept Meeting Proposal with HUD, we believe HUD has approved our efforts to pursue predevelopment activities to add 29 units on the existing parcel using available cash from operations, while seeking formal approval and ultimately loan proceeds from a HUD-insured supplemental loan under Section 241(a) of the National Housing Act. Once the new loan is approved, we intend to use a portion of the proceeds from the HUD-insured supplemental loan to repay the Project’s Operating Account for funds used to cover predevelopment costs.

View Audit 389682

Finding 1175763 (2025-004)

Material Weakness 2025

Briar Cliff University

IA

Eligibility Student Financial Aid Matching / Level of Effort / Earmarking

Management’s Response: The University has undertaken several initiatives to enhance compliance and accuracy: Management acknowledges the material weakness related to the awarding and disbursement of TEACH Grants and recognizes the importance of ensuring that grant eligibility is verified in accordan...

Management’s Response: The University has undertaken several initiatives to enhance compliance and accuracy: Management acknowledges the material weakness related to the awarding and disbursement of TEACH Grants and recognizes the importance of ensuring that grant eligibility is verified in accordance with federal regulations prior to disbursement. During fiscal year 2025, an eligibility determination error was identified for one student. Subsequent to year-end, the University returned the related TEACH Grant funds to the U.S. Department of Education through the G5 system. Management has taken corrective actions to strengthen eligibility verification and prevent recurrence. Corrective actions implemented include: • Strengthened Leadership and Oversight: A new Financial Aid Director was hired in March 2025 and has prioritized the development and enforcement of appropriate controls over TEACH Grant awarding and disbursement. • Revised Policies and Procedures: TEACH Grant awarding and disbursement procedures were reviewed and updated to ensure alignment with federal eligibility requirements. • Improved Eligibility Documentation: The TEACH Grant application was enhanced to clearly document all required eligibility criteria and support consistent eligibility determinations. • Secondary Review Controls: A secondary review and approval process has been implemented to ensure that TEACH Grant eligibility is independently verified prior to awarding and disbursement. • Enhanced Tracking and Monitoring: Additional tracking mechanisms were implemented to confirm that eligibility requirements are met and documented before funds are applied to student accounts. • Ongoing Compliance Monitoring: The Financial Aid Office continues to monitor TEACH Grant activity to ensure continued compliance with program requirements. Management believes these actions have significantly strengthened internal controls over TEACH Grant awarding and disbursement. Continued application of these procedures is expected to prevent recurrence and support full compliance in future audit periods. These initiatives demonstrate the University’s commitment to maintaining accurate student enrollment records and ensuring compliance with federal regulations, thereby safeguarding the interests of its students and the institution.

View Audit 389674

Finding 1175761 (2025-003)

Material Weakness 2025

Webster University

MO

Special Tests & Provisions Student Financial Aid Subrecipient Monitoring

The University had one R2T4 finding that resulted from a unique situation. The Financial Aid Office will conduct a detailed review of the process and incorporate this specific circumstance into its internal audit procedures. By strengthening internal controls within the R2T4 process and enhancing in...

The University had one R2T4 finding that resulted from a unique situation. The Financial Aid Office will conduct a detailed review of the process and incorporate this specific circumstance into its internal audit procedures. By strengthening internal controls within the R2T4 process and enhancing internal audit protocols, the University will further improve overall compliance in this area and maintain its high standard of regulatory compliance.

View Audit 389673

Corrective Action Plans

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