Corrective Action Plans

Finding 480400 (2023-006)

Material Weakness 2023

NH

Material Weakness Reporting Matching / Level of Effort / Earmarking § 200.303

BEA will evaluate existing internal controls in place to ensure that the precision level of the control is such that it would detect an error in the expenditures reported in comparison to the expenditures incurred within the general ledger, account for precision level control when changing guidance ...

BEA will evaluate existing internal controls in place to ensure that the precision level of the control is such that it would detect an error in the expenditures reported in comparison to the expenditures incurred within the general ledger, account for precision level control when changing guidance exists, and that all documentation used to support the amounts reported on the federal report are properly maintained. Condition A has been completed. In January 2024, BEA evaluated internal controls related to the review and approval of expenditures. The following additional reconciliation step was added to the processes of preparation of expenditure draws and reporting preparation: • Broadband program Accountant II performs a data extract from NHFirst and reconciles the drawdown calculation totals as well as “dashboard” reporting totals to the NHFirst data extract to confirm accuracy of all data points. This second data validation step has been added to ensure all expenditures recorded in NHFirst are evaluated against program guidelines, submitted for reimbursement and included on required reports. Condition B & C to be completed no later than 12/31/2024.

View Audit 316627

Finding 480397 (2023-003)

Material Weakness 2023

State of New Hampshire

NH

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

In order to meet the segregation of duties, the Department will explore the need to create a position to ensure requisite segregation of duties requirements. With regard to the segregation of duties, the SF-270 is required form that DMAVS submits to the National Guard Appendix Program Manager for re...

In order to meet the segregation of duties, the Department will explore the need to create a position to ensure requisite segregation of duties requirements. With regard to the segregation of duties, the SF-270 is required form that DMAVS submits to the National Guard Appendix Program Manager for reimbursement with all back up documentation. The National Guard Appendix Program Manager, National Guard Grants Officer Representative, and National Guard United States Property Fiscal Officer (USPFO)/controller located in Concord, NH review, sign and submit the form to the Department of Defense on behalf of DMAVS to request the cash draw. Prior to the submission of reimbursement of any funds, each billing and invoice is reviewed, entered into a ledger and reconciled by three members of the accounting team. Once reconciled, the SF-270 is prepared and signed by the Financial Administrator. The SF-270 is then submitted to the appendix program manager for concurrence and then to the federal fiscal agent (USPFO) for approval. No funds are drawn down until approved by the USPFO. If this is not a satisfactory level of review, the department will request a new position to ensure that there the business function has the proper level of staffing to meet the requirements for segregation of duties.

View Audit 316627

Finding 480396 (2023-002)

Material Weakness 2023

State of New Hampshire

NH

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

For clarity the Department will create a redundant manual ledger that duplicates the functions of the current ledger and Detailed Transaction Register (DTR). DMAVS has existing policies and procedures in place to track all federal funds, state funds and mixed funds, and uses spreadsheets for all tr...

For clarity the Department will create a redundant manual ledger that duplicates the functions of the current ledger and Detailed Transaction Register (DTR). DMAVS has existing policies and procedures in place to track all federal funds, state funds and mixed funds, and uses spreadsheets for all transactions that reconciles every month to NH First Detail Transaction Register (DTR), Federal Fund tracking sheet, and Federal reimbursement tracking sheet with backup documents. The tracking sheet for the federal register is not intended to account for the state share of billing. The state share is accurately accounted for in the DTR, the cumulative accounting in the SF-270 and associated back up documentation. Supporting documentation to substantiate the accuracy of lines a, c, e, and f is in the DTR, the cumulative accounting of each SF-270, the supporting documentation sent with the billing to the Federal Government, and Year-end Agency Report for Federal Awards. This includes reconciliation and analysis of SADB expenditures and revenues to the Statement of Appropriations by each Program Accounting Unit. The SF-270 form is continuous cumulative data that starts Oct 1st and runs through the end of that Federal Fiscal Year. The SF-270 is the required federal form DMAVS submits to the Federal National Guard Appendix Program Manager for reimbursement. Back up documentation is submitted with the SF-270. The National Guard Appendix Program Manager, National Guard Grants Officer Representative, and National Guard United States Property Fiscal Officer (USPFO)/controller located in Concord, NH review, sign and submit the form to the Department of Defense to affect the cash draw. DMAVS does not unilaterally make cash draws to the federal government. The USPFO, who is substantially involved provides an independent review and reconciles any discrepancies prior to approving any requests for reimbursement. One possible explanation for the finding is that the selected test works were not continuous.

View Audit 316627

Finding 480351 (2023-006)

Material Weakness 2023

Morgan County Water District

KY

Reporting Matching / Level of Effort / Earmarking § 200.502 § 200.510

No response was provided.

View Audit 316607

Finding 480326 (2023-005)

Significant Deficiency 2023

Bethany Manor, Inc. and Affiliates Dba: Bethany Life

IA

Questioned Costs Allowable Costs / Cost Principles Significant Deficiency

FINDINGS—FEDERAL AWARD PROGRAMS AUDITS USDA Rural Development 2023-005 Community Facilities Loan – Assistance Lising Number: 10.766 Recommendation: We recommend management implement process of transfer and review for reserve fund payments to ensure adequacy of reserve account balance per loan agreem...

FINDINGS—FEDERAL AWARD PROGRAMS AUDITS USDA Rural Development 2023-005 Community Facilities Loan – Assistance Lising Number: 10.766 Recommendation: We recommend management implement process of transfer and review for reserve fund payments to ensure adequacy of reserve account balance per loan agreement. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: As of May 2024, management is reviewing with their banks to set up ACH for future transfers. The balance as of December 31, 2023 was $671,066 and deposits will continue until reaching the required amount of $928,800. Name(s) of the contact person(s) responsible for corrective action: Heather Uthoff, CFO Planned completion date for corrective action plan: December 31, 2024 If the USDA Rural Development has questions regarding this plan, please call Heather Uthoff at (515) 733-3030.

View Audit 316554 Questioned Costs: $1

Finding 480325 (2023-007)

Significant Deficiency 2023

City of Banning

CA

Allowable Costs / Cost Principles Significant Deficiency Matching / Level of Effort / Earmarking § 200.302

2023-007 – Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Federal Financial Assistance Listing Number: 21.027 Federal Grantor: U.S. Department of Treasury Award No. and Year: 2021 Finding Summary: Compliance Requirement: Allowable Costs/Cost Principles Type of Finding: Significa...

2023-007 – Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Federal Financial Assistance Listing Number: 21.027 Federal Grantor: U.S. Department of Treasury Award No. and Year: 2021 Finding Summary: Compliance Requirement: Allowable Costs/Cost Principles Type of Finding: Significant Deficiency in Internal Control and Instance of Non-Compliance Corrective Action Plan: The city is in the process of updating its Purchasing Policy and will include language on allowable costs and cost principles that are compliant with 2 C.F.R. 200. The Purchasing Policy requires updates at least every five years and will be taken to City Council before the end of 2024 for approval by Resolution. Responsible Individual(s): Lincoln Bogard, Administrative Services Director; A’ja Wallace, Deputy Finance Director; and Barbara Mason, Purchasing Manager Anticipated Completion Date: December 2024

View Audit 316551

Finding 480317 (2023-001)

Significant Deficiency 2023

Corewell Health & Affiliates

MI

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

Finding 2023-001 Identification of the federal program: Federal Agency: U.S. Department of Health and Human Services (HHS), Health Resources and Services Administration (HRSA) Assistance Listing: 93.498 COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) Pass-Throug...

Finding 2023-001 Identification of the federal program: Federal Agency: U.S. Department of Health and Human Services (HHS), Health Resources and Services Administration (HRSA) Assistance Listing: 93.498 COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) Pass-Through Grantor: Not applicable Pass-Through Award Number: Not applicable Pass-Through Award Period: 1/1/2020-12/31/2023 (Periods 5 and 6) Summary of Finding: The “Total Lost Revenues for the Period of Availability (January 1, 2020 to June 30, 2023)” line in the HRSA PRF portal for Spectrum Health System (the Parent), TIN 383382353, General Distribution HRSA PRF report in Reporting Period 5 was $108,697,843. The correct amount of lost revenue reported for Period 5 should have been $107,045,743. The difference represents a $1.6M error in adjusting for targeted funds to determine the Parent lost revenue for period 5. Corrective Action Plan: No further lost revenue reporting is required on the HRSA PRF Portal. Management will implement more robust internal controls in preparation for similar future filings. Individuals responsible for corrective action: Cindy Brink, Director, System Accounting and Reporting Timing of corrective action: July 1, 2024 and going forward.

View Audit 316542

Finding 480293 (2023-004)

None 2023

National Council for History Education, Inc.

OH

Cash Management Matching / Level of Effort / Earmarking § 200.305

NCHE will implement a process for review of the reimbursement request before it is submitted to verify that the expenses included in the request have been paid for before the request is submitted. Anticipated completion date is July 1, 2024.

View Audit 316504

Finding 480248 (2023-003)

Significant Deficiency 2023

African Development Center

MN

Reporting Subrecipient Monitoring Significant Deficiency § 200.329

Microloan Program – Assistance Listing No. 59.046 Recommendation: We recommend management develop procedures to ensure the required reporting is completed within the timeline allowed by the granting agency. Explanation of disagreement with audit finding: There is no disagreement with the audit find...

Microloan Program – Assistance Listing No. 59.046 Recommendation: We recommend management develop procedures to ensure the required reporting is completed within the timeline allowed by the granting agency. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: ADC will hire a new loan officer who will also be an SBA Microloan Program Manager then develop and implement procedures to ensure the required reporting is completed within the timeline allowed by the granting agency. Name(s) of the contact person(s) responsible for corrective action: Felicia Ravelomanatsoa (CFO) Planned completion date for corrective action plan: December 31, 2024

View Audit 316477

Finding 480111 (2023-005)

Material Weakness 2023

Veterans Northeast Outreach Center, Inc.

MA

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

Findings 2023-001 through 2023-008 Since 2020, the Organization had gone through a significant amount of turnover at the management level and in the Finance department. These changes have resulted in the identification of a significant lack of internal controls as well as a lack of resources. The O...

Findings 2023-001 through 2023-008 Since 2020, the Organization had gone through a significant amount of turnover at the management level and in the Finance department. These changes have resulted in the identification of a significant lack of internal controls as well as a lack of resources. The Organization has gone through a process of hiring new Finance positions and engaging outside consultants as needed. With a change in leadership and an increase in resources, the Organization is in the process of implementing a system of internal controls that will focus on segregation of duties related to all significant transaction cycles (including monthly close procedures), increasing communication and transparency of transactions within the Organization, and a heightened sense of documentation to support all transactions, including grant funded activity. The goal of implementing this system of controls is to mitigate the risk of any wrongdoing, intentional or unintentional, at the Organization and to allow for proper compliance with restrictions set forth by government agencies. Responsible party: Bill Kelly; Executive Director; (978) 853-7013 Anticipated completion date: December 31, 2024

View Audit 316423

Finding 480089 (2023-002)

Significant Deficiency 2023

Warren County Water District

KY

Questioned Costs Period of Performance Matching / Level of Effort / Earmarking § 200.303

In regards to COVID-19 Coronavirus State and Local Fiscal Recovery Funds (SLFRF) - Assistance Listing No. 21.027; Grant period - Year ended December 31, 2023 the District will put measures in place to ensure that only costs compliant with the proper period of performance are charged to the grant. Th...

In regards to COVID-19 Coronavirus State and Local Fiscal Recovery Funds (SLFRF) - Assistance Listing No. 21.027; Grant period - Year ended December 31, 2023 the District will put measures in place to ensure that only costs compliant with the proper period of performance are charged to the grant. The anticipated completion date of these actions is April 18th, 2024 with Jeff Peeples the responsbile person for implementation

View Audit 316379 Questioned Costs: $1

Finding 480079 (2023-003)

Significant Deficiency 2023

City of Chicago

IL

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

As a result of the 2023 Single Audit, the Department of Housing (DOH) received an audit finding related to a missing quarterly report that was not filed for the Emergency Rental Assistance (ERA) Program. Currently, Treasury reporting for ERA is conducted primarily by the Director of Policy, and the ...

As a result of the 2023 Single Audit, the Department of Housing (DOH) received an audit finding related to a missing quarterly report that was not filed for the Emergency Rental Assistance (ERA) Program. Currently, Treasury reporting for ERA is conducted primarily by the Director of Policy, and the Treasury reporting system is not integrated into other DOH grant systems to provide a wider view to DOH contracts and finance staff as to the status of report submissions. As a corrective action, DOH will establish an internal process requiring that quarterly reports, including a time stamp of submission, be saved and circulated to DOH contracts staff by the 15th of the month following the end of each quarter. Acting Director of Policy Stern at Department of Housing will be responsible for ensuring that this corrective action plan is implemented by January 1, 2025.

View Audit 316370

Finding 480070 (2023-003)

None 2023

Montgomery County, Il

IL

Questioned Costs Reporting Matching / Level of Effort / Earmarking

Finding 2023-003 Condition: The County incorrectly reported expenditures on their annual Project and Expenditure (P&E) report for the fiscal year ending November 30, 2023. There were excluded expenditures and overstated expenditures for various projects. Plan: The County should ensure all expend...

Finding 2023-003 Condition: The County incorrectly reported expenditures on their annual Project and Expenditure (P&E) report for the fiscal year ending November 30, 2023. There were excluded expenditures and overstated expenditures for various projects. Plan: The County should ensure all expenditures incurred within the fiscal year are included on the annual report. Name of Contact Person: Nikki Lohman, Treasurer Management Response: The County will work closer with Bellwether to ensure the expenditures are matching and included in the report. Anticipated Date of Completion: Ongoing Analysis

View Audit 316353 Questioned Costs: $1

Finding 480017 (2023-007)

Significant Deficiency 2023

Idaho State University

ID

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

2023-007: Special Tests & Provisions Federal Program Title: Student Financial Assistance Cluster Assistance Listing Number: Various Type of Finding: Significant Deficiency in Internal Control over Compliance Other Ma...

2023-007: Special Tests & Provisions Federal Program Title: Student Financial Assistance Cluster Assistance Listing Number: Various Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Recommendation: ISU should implement procedures to ensure that enrollment data, changes in status and effective dates within NSLDS match the records of the intuition and are reported timely. We also recommend that the University implement a formal review procedure to document the review process. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: During our discussion, it became apparent that a significant portion of the findings pertaining to the Office of the Registrar stemmed from enrollment status change not being reported to NSLDS within 60 days. To remedy this, we have added three new automated enrollment uploads right after the upload of the graduation file respectively in Fall, Spring and Summer. The three automated enrollment uploads to be sent to NSLDS are scheduled as follows: 1. On February 16; 2. On June 3; 3. On September 1. Name(s) of the contact person(s) responsible for corrective action: Hala Abou Arraj, Registrar Planned completion date for corrective action plan: Implemented in February 2024

View Audit 316332

Finding 479996 (2023-006)

Material Weakness 2023

Idaho State University

ID

Matching / Level of Effort / Earmarking Eligibility Material Weakness § 200.303

2023-006: Eligibility Federal Program Title: Student Financial Assistance Cluster Assistance Listing Number: Various Type of Finding: Material Weakness Other Matters Recommendation: ISU should evaluate its procedure...

2023-006: Eligibility Federal Program Title: Student Financial Assistance Cluster Assistance Listing Number: Various Type of Finding: Material Weakness Other Matters Recommendation: ISU should evaluate its procedures around disbursement of loans and ensure that notifications of disbursements are sent and contain all of the required elements outline in the FSA handbook. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: To meet requirements outlined in 34 CFR 668.165, ISU includes information in a student’s award notification email and in their MyISU portal of pertinent Direct Loan information including their “Award Payment Schedule” and what steps to take to accept, decline or modify their award offers. Additionally, in July 2023, ISU implemented an automated email notification in our daily job scheduler, AppWorx, that is sent on each date of disbursement to student Direct Loan borrowers and parent borrowers of Direct Parent PLUS (added Feb 2024) notifying them of the disbursement and reminding them what they need to do to revise or cancel the loan disbursement. Name(s) of the contact person(s) responsible for corrective action: James Martin, Director of Financial Aid Planned completion date for corrective action plan: Implemented in December 2023.

View Audit 316332

Finding 479975 (2023-005)

Significant Deficiency 2023

Idaho State University

ID

Questioned Costs Special Tests & Provisions Student Financial Aid § 200.303

2023-005: Special Tests & Provisions Federal Program Title: Student Financial Assistance Cluster Assistance Listing Number: Various Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matte...

2023-005: Special Tests & Provisions Federal Program Title: Student Financial Assistance Cluster Assistance Listing Number: Various Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Recommendation: ISU should review the requirements and implement a monitoring control to monitor the checks throughout the year. In addition, for the checks outstanding greater than 240 days, the University should return the funding to the U.S. Department of Education. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: ISU reopened the prior financial aid years in COD and completed returns of federal aid funds via G5/6 from identified outstanding checks. ISU has implemented the following monitoring controls: At the beginning of each month finance runs check reissue forms for all checks that the check date is 180 days or older. These are mailed to the check recipient. Around the 15th of the month any checks containing Title IV funds that have not been reissued will be turned to the financial aid office. Financial Aid is provided with the date by which the funds need to be returned. Financial Aid attempts to work with the student to get the checks cashed if they are not successful will return funds before the 240-day limit. They will then notify Finance to cancel the original check. Name(s) of the contact person(s) responsible for corrective action: Lisa Leyshon, AVP Finance/Controller, James Martin, Director of Financial Aid Planned completion date for corrective action plan: Implemented in 2020.

View Audit 316332 Questioned Costs: $1

Finding 479817 (2023-004)

Significant Deficiency 2023

Idaho State University

ID

Procurement, Suspension & Debarment Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.303

2023-004: Suspension Debarment Federal Program Title: Research and Development Cluster Assistance Listing Number: Various Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Rec...

2023-004: Suspension Debarment Federal Program Title: Research and Development Cluster Assistance Listing Number: Various Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Recommendation: ISU should evaluate its procedures and implement an additional control to insure verification checks are occurring prior to entering into contract with a vendor/subrecipient. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: ISU has implemented PaymentWorks, a third-party vendor processing system that does 24-7 sanction and debarment checking. This is conducted on all ISU vendors that onboard through PaymentWorks. All ISU contracts will be processed through Jaggaer, which requires a Banner ID#. All vendors will be imitated through PaymentWorks. Accounts Payable checks sanction alerts in PaymentWorks and follows up with issues. Name(s) of the contact person(s) responsible for corrective action: Lisa Leyshon, AVP Finance/Controller and Kirsten Broughton, Director Grant Accounting Planned completion date for corrective action plan: Implemented in April 2024.

View Audit 316332

Finding 479814 (2023-002)

Significant Deficiency 2023

Idaho State University

ID

Subrecipient Monitoring Cash Management Significant Deficiency § 200.303 § 200.305

2023-002: Cash Management-Subrecipient Federal Program Title: Research and Development Cluster Assistance Listing Number: Various Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matt...

2023-002: Cash Management-Subrecipient Federal Program Title: Research and Development Cluster Assistance Listing Number: Various Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Recommendation: ISU should evaluate its procedures and implement an additional control to review and approve the subrecipient reimbursements timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Grant accounting staff will follow payment requests through the system to make sure payments are made in a timely manner. Name(s) of the contact person(s) responsible for corrective action: Kirsten Broughton, Director Grant Accounting Planned completion date for corrective action plan: Implemented in FY24

View Audit 316332

Finding 479809 (2023-001)

Significant Deficiency 2023

Idaho State University

ID

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

DEPARTMENT OF HEALTH AND HUMAN SERVICES 2023-001: Reporting Federal Program Titles: Every Student Succeeds/Preschool Development Grants Primary Care Training and Enhancement Assistance Listing Number: 93.884 & 93.434 ...

DEPARTMENT OF HEALTH AND HUMAN SERVICES 2023-001: Reporting Federal Program Titles: Every Student Succeeds/Preschool Development Grants Primary Care Training and Enhancement Assistance Listing Number: 93.884 & 93.434 Type of Finding: Significant Deficiency in Internal Control over Compliance Recommendation: ISU should implement formal review procedures to document review and approvals over required reports. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: ISU had a formal review procedure in place, but due to personnel changes it was not being followed. Staff has been trained and procedures will be followed. Name(s) of the contact person(s) responsible for corrective action: Kirsten Broughton, Director Grant Accounting Planned completion date for corrective action plan: Implemented FY24

View Audit 316332

Finding 479806 (2023-003)

Significant Deficiency 2023

The West Virginia Humanities Council, Inc.

WV

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

2023-003 - REPORTING Recommendation: We recommend that the Council implement controls and policies and procedures over financial reporting to ensure compliance with federal reporting requirements. Action Taken: The Executive Director will review and approve all financial reporting documents befo...

2023-003 - REPORTING Recommendation: We recommend that the Council implement controls and policies and procedures over financial reporting to ensure compliance with federal reporting requirements. Action Taken: The Executive Director will review and approve all financial reporting documents before submission. Since identified in the report, the Fiscal Officer has provided the Executive Director all previous fiscal year 2023 and 2024 financial reports for review and approval, if needed.

View Audit 316329

Finding 479805 (2023-002)

Significant Deficiency 2023

The West Virginia Humanities Council, Inc.

WV

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

2023-002 - ALLOWABILITY Recommendation: We recommend the Council implement controls to ensure expenditures are properly reviewed and approved before being charged to a federal award. Action Taken: The Council has added an additional step to the approval/review process. Once the expenditure (inv...

2023-002 - ALLOWABILITY Recommendation: We recommend the Council implement controls to ensure expenditures are properly reviewed and approved before being charged to a federal award. Action Taken: The Council has added an additional step to the approval/review process. Once the expenditure (invoice) has been approved, the Fiscal Officer scans the documentation and labels it by date paid. Hard copy files go into a secure file. The electronic copy is saved in a secured shared file.

View Audit 316329

Finding 479800 (2023-004)

Material Weakness 2023

Miami County

IN

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

FINDING 2023-004 Finding Subject: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – Reporting Summary of Finding: The County submitted the P&E report by April 30, 2023, as required; however, there were no internal controls in place that would likely be effective in preventing, or detect...

FINDING 2023-004 Finding Subject: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – Reporting Summary of Finding: The County submitted the P&E report by April 30, 2023, as required; however, there were no internal controls in place that would likely be effective in preventing, or detecting and correcting, noncompliance related to the P&E report. The County Auditor prepared and submitted the report without an oversight or review process. We recommended that management of the County design and implement a proper system of internal controls, including policies and procedures to ensure that the County provides the Treasury with complete and accurate information for the P&E report. Contact Person Responsible for Corrective Action: Mary Brown Contact Phone Number and Email Address: 765-472-3901 Ext. 1240 and mbrown@miamicountyin.gov Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Due to an oversight, the reporting for ARPA funding was not reviewed by another person after entering the data for reporting. It was my understanding, based on data entered when initial reporting began, a copy of the information also went to the Chairman of Board of Commissioners, however, it was later determined a copy was not sent. For future reporting, we will ensure someone else reviews the information prior to final submission. Anticipated Completion Date: January 2025

View Audit 316317

Finding 479788 (2023-004)

Material Weakness 2023

Cambria Heights School District

PA

School Nutrition Programs Internal Control / Segregation of Duties Reporting

CONDITION: The District did not maintain a general ledger system of accounting for its Cafeteria Fund which reports the financial activity of the federal National School Lunch and School Breakfast Programs. The financial activity occurring in this Fund is maintained in checkbook fashion during the f...

CONDITION: The District did not maintain a general ledger system of accounting for its Cafeteria Fund which reports the financial activity of the federal National School Lunch and School Breakfast Programs. The financial activity occurring in this Fund is maintained in checkbook fashion during the fiscal year. This is a repeat finding (2022-004) from the previous fiscal year. CRITERIA: Prudent internal control over accounting for federal program funds requires non-federal organizations such as the School District to maintain financial records which account for federal funds in such a manner as to be able to properly track the receipt and use of federal funds as stated in Section 2 CFR Part 200 of the Uniform Guidance. Best practices suggest that the use of a general ledger system of accounting would enable the District to aggregate financial information involving federal funds during the fiscal year in such a manner to properly manage, monitor, and report the financial activity in compliance with federal program guidelines. RECOMMENDATION: The District’s accounting software can readily account for the financial activity of all Funds in a manner like the District’s General Fund. I am recommending that the management of the School District utilize the accounting software to enter the financial activity (Receipts and Disbursements) of the Cafeteria Fund in a manner like the General Fund. This procedure will significantly enhance the District-wide internal controls over financial reporting for the Cafeteria Fund, as well as provide management the ability to produce meaningful financial reports reflecting the activity in the Cafeteria Fund for prudent oversight by the Board of Education. In addition, this procedure will enable the District to comply with the recordkeeping requirements for federal funds as specified in Section 2 CFR Part 200 of the Uniform Guidance. MANAGEMENT’S CORRECTIVE ACTION PLAN: District management is reviewing its current system of processing the transactions for the Cafeteria Fund to determine the most efficient and effective manner for implementation of a general ledger system of accounting for this Fund as opposed to its current manual process. It is anticipated that the conversion of this Fund into the District’s accounting software can be completed during the 2024-2025 fiscal year to enable the District to comply with the recordkeeping requirements for federal funds as specified in 2 CFR Part 200 of the Uniform Guidance.

View Audit 316304

Finding 479768 (2023-005)

Material Weakness 2023

Cambria Heights School District

PA

Subrecipient Monitoring Reporting Matching / Level of Effort / Earmarking § 200.302

CONDITION: The District did not properly record its federal program expenditures for the ESSER and ARP ESSER federal grant programs using the various federal funding source expenditure codes as prescribed by the Chart of Accounts for PA Local Educational Agencies maintained by the PA Office of the B...

CONDITION: The District did not properly record its federal program expenditures for the ESSER and ARP ESSER federal grant programs using the various federal funding source expenditure codes as prescribed by the Chart of Accounts for PA Local Educational Agencies maintained by the PA Office of the Budget, Office of Comptroller Operations. This is a repeat finding (2022-005) from the previous fiscal year. CRITERIA: The Pennsylvania Department of Education (PDE), through the PA Office of the Budget, Office of Comptroller Operations Chart of Accounts requires School Districts to utilize specific funding source codes for federal program expenditures. In addition, Section 2 CFR 200.302(a) and 302(b) of the Uniform Guidance requires non-federal organizations such as the School District to maintain financial records which account for federal funds in such a manner as to be able to properly track the identification and use of federal funds. RECOMMENDATION: I am recommending that the School District properly follow the guidance contained within the PA Office of the Budget, Office of Comptroller Operations Chart of Accounts for recording all expenditures of the School District, most specifically, federal program grant expenditures to 1) enhance internal controls for tracking and monitoring federal program expenditures and 2) comply with the recordkeeping requirements for federal funds as specified in Section 2 CFR Part 200.302(a) and 302(b) of the Uniform Guidance and PDE regulations. MANAGEMENT’S CORRECTIVE ACTION PLAN: District management is in the process of revising its chart of accounts in the general ledger to properly reflect the funding source codes for federal program expenditures, and other available funding source codes (state and local) as applicable to the District. It is anticipated that the updated chart of accounts will be utilized by the District starting with the 2024-2025 fiscal year to enable the District to enhance its internal controls for tracking and monitoring federal program expenditures and to comply with the recordkeeping requirements for federal funds as specified in Section 2 CFR Part 200.302(a) and 302(b) of the Uniform Guidance and PDE regulations.

View Audit 316304

Finding 479722 (2023-001)

Significant Deficiency 2023

Northwest Colorado Council of Governments

CO

Reporting Allowable Costs / Cost Principles Significant Deficiency § 200.502

Community Development Block Grants – Assistance Listing No. 14.228 Recommendation: We recommend that the Council record federal expenditures on the SEFA under the program in the year upon which the loan disbursement occurs using the proper report from NLF’s loan management software. Explanation of d...

Community Development Block Grants – Assistance Listing No. 14.228 Recommendation: We recommend that the Council record federal expenditures on the SEFA under the program in the year upon which the loan disbursement occurs using the proper report from NLF’s loan management software. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Fiscal Office will work with the Program Director to ensure the proper report is used to identify actual loan disbursements, rather than agreed upon loan amounts, if different, for future SEFA preparation. Name(s) of the contact person(s) responsible for corrective action: Anita Cameron, NLF Director and Becky Walter, Finance Director Planned completion date for corrective action plan: December 31, 2024

View Audit 316294

Corrective Action Plans

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