Corrective Action Plans

Finding 30658 (2022-002)

Material Weakness 2022

OR

Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.302

Finding 2022-02 ? Fiscal Management System, Ensure Compliance with Federal Regulations Over Accounting Systems (Material Weakness) Criteria: Management is responsible for establishing and maintaining effective internal control over financial reporting. Internal controls should allow management or...

Finding 2022-02 ? Fiscal Management System, Ensure Compliance with Federal Regulations Over Accounting Systems (Material Weakness) Criteria: Management is responsible for establishing and maintaining effective internal control over financial reporting. Internal controls should allow management or employees in the normal course of performing their assigned functions to prevent or detect material misstatements in the financial reporting of all district funds. The Internal Control ? Integrated Framework, published by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) and the U.S. Government Accountability Office Standards for Internal Control in the Federal Government specify that a satisfactory control environment is only effective when there are adequate control activities in place. Effective control activities dictate that a review is performed to verify the accuracy and completeness of financial information reported. The Federal Grant Activity Schedule captures amounts that must be accurate and complete in order to ensure the accuracy of the financial and federal information reported on such schedule to verify the accuracy and completeness of financial information reported. CFR Part 200.302.b Auditee Responsibilities includes the requirement that the financial management system of each non-Federal entity provide the following. Identification, in its accounts, of all Federal awards received and expended and the Federal programs under which they were received. Accurate, current, and complete disclosure of the financial results of each Federal award or program. Condition: During the audit of Umpqua Public Transportation District for Fiscal Year 2021-2022, the district provided auditor with Separate and Identifiable General Ledger reports using QuickBooks Jobs feature, that showed identification between individual grant expenditures and revenues. Entries were prepared or recorded using the jobs feature, but not on a timely basis throughout the year, as portions were completed retroactively, and general ledger restated for the entire fiscal year. This deficiency was instrumental in causing the general ledger to be inadequate for financial and Federal Award Reporting for a large portion of the year. Cause: The District had relied on inadequately trained individuals to record activities and setup of their general ledger. The accounting records were retroactively constructed to meet Federal award reporting purposes, but late in the fiscal year. District management did not have sufficient training or monitoring policies to recognize and correct the deficiency. Effect or Potential Effect: Failure to record transactions timely into the general ledger for Umpqua Public Transportation District, and lack of proper accounting structure separating revenues and expenditures into each Federal and State or Local grant may result in transactions not being properly included in the district?s financial statements. The potential for incorrect financial reporting, and untimely results, with the inability to rely on the general ledger for correct and timely information, may also cause misstatement of financial statements, and inappropriate reporting of federal awards. Questioned Cost: No Context: Restatement of the general ledger was necessary for proper reporting of grants for the Schedule of Federal Awards. Tracking of matching local and state grants remains ineffective. Repeat of a Prior-Year Finding: Yes, Financial Statement Findings 2021-4 Recommendation: We recommend that Umpqua Public Transportation District improve their general ledger structure to meet the requirement for separate accounts for Federal awards for program revenues and program expenditures. In addition, we recommend that the district establish policies and procedures to ensure that all required matching of grant expenditures be recorded in sufficient detail tracking to ensure that all matching program revenues and expenditures are reported correctly in the fiscal year. We also recommend that the district continue training program, policies and procedures for staff and management for administering and recording Federal Grant revenues and expenditures. District's Response: The District concurs with the recommendation. General ledger accounts separating Federal, State, and Local revenues and related expenditures will be adhered to and further training implemented. Corrective Action Plan: The District hired a Finance Manager to oversee the day-to-day financial operations of the district. The Finance Manager retroactively created accounting records to separate grant revenues and related expenditures, for both Federal grant records as well as State grant records. The Finance Manager will improve the general ledger to allow the recording of the matching identification for each federal grant. This will allow the activities of the district to be recorded in a manner that allows for reporting in compliance with federal requirements. Planned Implementation Date: July 1, 2022 Responsible Person: General Manager, Umpqua Public Transit District

View Audit 35618

Finding 30628 (2022-013)

Material Weakness 2022

Charter County of Wayne, Michigan

MI

Questioned Costs Material Weakness Matching / Level of Effort / Earmarking § 200.303

Federal Program: ALN 21.023, Department of the Treasury, COVID-19 Emergency Rental Assistance Program Condition per Auditor: The County did not have adequate controls in place to ensure that payments to beneficiaries were calculated correctly. Planned Corrective Action: Management will implement a...

Federal Program: ALN 21.023, Department of the Treasury, COVID-19 Emergency Rental Assistance Program Condition per Auditor: The County did not have adequate controls in place to ensure that payments to beneficiaries were calculated correctly. Planned Corrective Action: Management will implement and follow a process of reviewing of consultant administered activity for accuracy by internal County representative. Anticipated Completion Date: 9/30/2024 Responsible Contact Person: Hassan Sheikh

View Audit 26048 Questioned Costs: $1

Finding 30615 (2022-004)

None 2022

University of California

CA

Student Financial Aid Eligibility Reporting

2022-004 ? Enrollment Reporting Cluster: Student Financial Assistance Sponsoring Agency: Department of Education Award Names: Federal Pell Grant Program and Federal Direct Student Loans Award Numbers: Not applicable Assistance Listing Titles: Federal Pell Grant Program and Federal Direct Student Lo...

2022-004 ? Enrollment Reporting Cluster: Student Financial Assistance Sponsoring Agency: Department of Education Award Names: Federal Pell Grant Program and Federal Direct Student Loans Award Numbers: Not applicable Assistance Listing Titles: Federal Pell Grant Program and Federal Direct Student Loans Assistance Listing Numbers: 84.063 and 84.268 Award Year: 2021-2022 Pass-through entity: Not applicable Campus 1 The mismatch between the enrollment effective dates on the campus-level and program-level reports identified by PwC auditors occurred due to a bug in the Campus Solutions system during the calculation of enrollment status change dates. The campus-level status date was sometimes incorrectly set as blank, which was then set to the term start date by NSLDS import process. As of September 14, 2022, the Office of the Registrar has modified the program that creates the NSLDS data file to correct the blank status dates, removing the mismatches that were found by PwC auditors. This ensures that the campus-level and program-level effective dates match. Campus 2 Historically, reporting to the National Student Clearinghouse (the ?Clearinghouse?) of students? enrollment status, e.g., full-time status, has been accomplished via enrollment files. These files are submitted at least every 30 days to ensure changes in enrollment status, especially withdrawals, are captured in a timely manner. To update enrollment status to graduated, two other processes have been relied upon: ? The first process uses Graduates Only files. Relying on the Clearinghouse?s advice, Graduates Only files are submitted for spring quarter only. ? The second process is the degree file submissions to support third-party verification of students? degrees through the Clearinghouse. When a degree file is submitted, the enrollment status should be updated to graduated. The issue exists with the second process where, for a variety of reasons, the Clearinghouse process does not successfully update every enrollment record with a graduated status when the degree file is submitted. These problems typically occur when students have been in more than one Clearinghouse branch, such as medical students in more than one degree program, students receiving their degree in a quarter in which they were not registered, and students who do not have a SSN. The campus began to recognize these problems in the summer of 2022 and had already decided to utilize a feature available in the quarterly Clearinghouse enrollment reporting to send a graduated status, rather than full-time status, whenever a student has graduated. This change, which is scheduled to be implemented in March 2023, will resolve most of the issues in which students may not have been reported to NSLDS as graduated. Effective immediately, error reports will be methodically checked and resolved after degree files are submitted to the Clearinghouse to ensure that enrollment records are updated for every student. By adjusting and coordinating the timing and sequencing of file submissions, the number of ?false? errors will be greatly reduced, and the error resolution process will be manageable. The resequencing of files submission will begin with the Spring 2023 semester. These two steps, in addition to the continuation of enrollment and degree reporting, should eliminate cases of students not being reported to NSLDS as graduated. For inquiries regarding this finding, please contact Cruz Grimaldo (510) 316-2932 and Jerry Lopez at (415) 476-4181 who are responsible for the corrective action.

View Audit 24869

Finding 30613 (2022-002)

None 2022

University of California

CA

Student Financial Aid Subrecipient Monitoring Matching / Level of Effort / Earmarking

2022-002 ? Reporting into the Common Origination and Disbursement (COD) System Cluster: Student Financial Assistance Sponsoring Agency: Department of Education Award Names: Federal Pell Grant Program and Federal Direct Student Loans Award Numbers: Not applicable Assistance Listing Titles: Federal P...

2022-002 ? Reporting into the Common Origination and Disbursement (COD) System Cluster: Student Financial Assistance Sponsoring Agency: Department of Education Award Names: Federal Pell Grant Program and Federal Direct Student Loans Award Numbers: Not applicable Assistance Listing Titles: Federal Pell Grant Program and Federal Direct Student Loans Assistance Listing Numbers: 84.063 and 84.268 Award Year: 2021-2022 Pass-through entity: Not applicable Management provides robust, on-going training related to disbursement and federal reporting timeframes. Most recently, the COD reporting requirements were reviewed in the monthly Office of Financial Aid and Scholarships management meeting, inclusive of managers within each unit of the office and IT. The student records outside of the normal parameters identified challenges within our current SIS system and staffing limitations. The student information system in place is aging and lacks flexible controls. The Office of Financial Aid and Scholarships is migrating to a new student information system (Oracle SFP) for the 2024-25 academic year. We are reengineering our disbursement process to maximize the enhanced controls and automation within Oracle SFP to ensure compliance with disbursement and federal reporting timeframes. Until a more robust system is in place, management will develop exception reports to identify discrepancies in FAME versus COD disbursement dates beginning with the 2023 summer term. Exception reports will be reviewed bi-weekly to ensure compliance with the required reporting timeline. Additionally, management continues to request additional full-time professional staff to support the administration of federal student aid and ensure regulatory compliance in all areas as federal, state and institutional aid programs continue to expand and evolve. For inquiries regarding this finding, please contact Rebecca Sanchez at (949) 824-8262 who is responsible for the corrective action.

View Audit 24869

Finding 30612 (2022-003)

None 2022

University of California

CA

Student Financial Aid Matching / Level of Effort / Earmarking Subrecipient Monitoring

2022-003 ? Return of Title IV Funds Cluster: Student Financial Assistance Sponsoring Agency: Department of Education Award Names: Federal Supplemental Educational Opportunity Grants (FSEOG), Federal Pell Grant Program and Federal Direct Student Loans Award Numbers: Not applicable Assistance Listing...

2022-003 ? Return of Title IV Funds Cluster: Student Financial Assistance Sponsoring Agency: Department of Education Award Names: Federal Supplemental Educational Opportunity Grants (FSEOG), Federal Pell Grant Program and Federal Direct Student Loans Award Numbers: Not applicable Assistance Listing Titles: Federal Supplemental Educational Opportunity Grants (FSEOG), Federal Pell Grant Program and Federal Direct Student Loans Assistance Listing Numbers: 84.007, 84.063 and 84.268 Award Year: 2021-2022 Pass-through entity: Not applicable Campus 1 Management provides robust, on-going training related to the Return of Title IV Funds. The Office of Financial Aid and Scholarships staffing levels have not sufficiently adjusted as student aid programs grow in size and complexity. Management is in the process of hiring additional staff and will continue to request additional full-time staff in our annual budget proposals. As additional federal and state financial aid programs are developed, there are simply not enough staff to complete all work required each week. Beginning fiscal year 2024, R2T4 reports will be reviewed in weekly team meetings and prioritized for processing to ensure compliance with regulatory timeframes. Long-term, the Office of Financial Aid and Scholarships is migrating to a new student information system (Oracle SFP) for the 2024-25 academic year. Enhanced controls and automation within Oracle SFP will ensure compliance with Return of Title IV Funds regulatory timeframes. The new student information system will increase efficiency and effectiveness by eliminating previous manual processes. Campus 2 As of October 2022, all disbursements are reported immediately, rather than the previous weekly cadence. Weekly review procedures are, and will be, a continued process to identify discrepancies and reconcile within 30 days. As an effort to address staff changes and the change in disbursement reporting, additional training was provided to staff in October of 2022. For inquiries regarding this finding, please contact Rebecca Sanchez at (949) 824-8262 and Trina Wilson at (530) 752-9278 who are responsible for the corrective action.

View Audit 24869

Finding 30590 (2022-002)

Significant Deficiency 2022

The Oaks School

CA

Eligibility Significant Deficiency Matching / Level of Effort / Earmarking

2022-002 Economic Injury Disaster Loan ? Assistance Listing No. 59.008 Recommendation: The School should implement procedures to ensure that information in the loan application is accurate. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action take...

2022-002 Economic Injury Disaster Loan ? Assistance Listing No. 59.008 Recommendation: The School should implement procedures to ensure that information in the loan application is accurate. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Operations Manager, Outside Accounting Firm, Head of School, and Board Chair will review loan applications to ensure accuracy prior to submission. Name(s) of the contact person(s) responsible for corrective action: Aaron Fielding (323) 850-3755 Planned completion date for corrective action plan: Completed as of April 4, 2023.

View Audit 32019

Finding 30589 (2022-001)

Significant Deficiency 2022

The Oaks School

CA

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

2022-001 Economic Injury Disaster Loan ? Assistance Listing No. 59.008 Recommendation: The School should implement procedures to ensure that the records are maintained for sufficient audit trail that the School is in compliance with the terms of the loan agreements. Explanation of disagreement with...

2022-001 Economic Injury Disaster Loan ? Assistance Listing No. 59.008 Recommendation: The School should implement procedures to ensure that the records are maintained for sufficient audit trail that the School is in compliance with the terms of the loan agreements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Obtained proper proof of Board approval of the receipt of loan. Though not formally documented previously, the Board of Trustees was fully aware and in agreement with obtaining the SBA loan for emergency relief for the school's operations at the time the loan agreement was signed. The School sent to the SBA proof of hazard insurance in March 2023. Though no proof was provided to the SBA previously and within the required timeline, the proper insurance was maintained and remained active during the required period per the agreement. Updates to obtaining loan contracts process includes a review of the agreement by Operations Manager, Outside Accounting Firm, Head of School, and Board Chair prior to signing. The School sent to the SBA financial reports in March 2023. Upon review, an action plan will be put in place to ensure that all requirements of the agreement are met timely. Name(s) of the contact person(s) responsible for corrective action: Aaron Fielding (323) 850-3755 Planned completion date for corrective action plan: Completed as of April 4, 2023.

View Audit 32019

Finding 30575 (2022-001)

None 2022

Wellesley College

MA

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

Finding No.: 2022-001 ? Special Tests Federal Agency: Department of Education Pass-through Entity: Direct Federal Program: Student Financial Assistance Cluster - Federal Direct Loan Program, Federal Pell Grant Program CFDA Number: 84.268, 84.063 Federal Award Numbers: P268K201616, P063P191616 Federa...

Finding No.: 2022-001 ? Special Tests Federal Agency: Department of Education Pass-through Entity: Direct Federal Program: Student Financial Assistance Cluster - Federal Direct Loan Program, Federal Pell Grant Program CFDA Number: 84.268, 84.063 Federal Award Numbers: P268K201616, P063P191616 Federal Award Year: July 1, 2021 ? June 30, 2022 Compliance Requirement: Special Tests, Enrollment Reporting Condition The College generally certifies its enrollment reports through rosters provided to the NSC. Of the sixty (60) students with enrollment changes we selected for test work, we noted the following students whose changes in enrollment status were not timely transmitted to NSLDS. For six (6) students, the College was notified of the student?s status change and the change was not timely reported to NSLDS. The College did not report the status change until 75-88 days following notification of the change in status. View of College Officials The College recognizes the importance of both timely and accurate reporting related to student status changes with respect to federal requirements. The College has been actively working to implement changes in procedure to ensure compliance with federal regulations. Corrective Action The College has updated its reporting schedule to NSLDS to reporting on a monthly basis at a minimum. The College also a manual review procedure that will help to ensure all status changes are reported timely to NSLDS. Additionally, an interdepartmental working group convened to evaluate, test and implement improvements through automation. Due to limitations with the student information system (Workday), the College continues to engage with the software vendor and other users to evaluate possible improvements and efficiencies in an effort to minimize manual processing without introducing additional compliance risks.

View Audit 37053

Finding 30554 (2022-001)

Material Weakness 2022

Arcadia Local School District

OH

Matching / Level of Effort / Earmarking Special Tests & Provisions

The contractor was contacted and prevailing wage documentation was prepared and provided to the school district. The district issued a payment on January 17, 2023 for the additional funds due for prevailing wages on the project. Future projects funded by federal funds will be in compliance with the ...

The contractor was contacted and prevailing wage documentation was prepared and provided to the school district. The district issued a payment on January 17, 2023 for the additional funds due for prevailing wages on the project. Future projects funded by federal funds will be in compliance with the Davis-Bacon Act.

View Audit 33148

Finding 30550 (2022-001)

Significant Deficiency 2022

Oklahoma City University

OK

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

Finding 2022-001: Student Notifications a. Comments on Finding and Each Recommendation The University agrees with this finding. Due to turnover in the Student Financial Aid Office algorithms producing automated e-mails were not reviewed and were assumed to work in perpetuity. Action(s) Taken or Plan...

Finding 2022-001: Student Notifications a. Comments on Finding and Each Recommendation The University agrees with this finding. Due to turnover in the Student Financial Aid Office algorithms producing automated e-mails were not reviewed and were assumed to work in perpetuity. Action(s) Taken or Planned on the Finding The University has reviewed the Federal notification requirements. The Student Financial Aid office and Campus Technology have met and reviewed the algorithms for notifications and updated the parameters. Additionally, the Student Financial Aid e-mail box has been copied on these notifications and will be reviewed. For inquiries regarding this finding, please contact Christopher Day at (405) 208-5210 who is responsible for the corrective action.

View Audit 31365

Finding 30549 (2022-001)

None 2022

Kenwood Place I, Inc.

IN

HUD Housing Programs Reporting Matching / Level of Effort / Earmarking

CORRECTIVE ACTION PLAN October 11, 2022 U.S. Department of Housing and Urban Development Multifamily Midwest Region Chicago Regional Center 77 West Jackson Boulevard Chicago, IL 60604 Kenwood Place I, Inc. respectfully submits the following corrective action plan for the year ended June 30, 20...

CORRECTIVE ACTION PLAN October 11, 2022 U.S. Department of Housing and Urban Development Multifamily Midwest Region Chicago Regional Center 77 West Jackson Boulevard Chicago, IL 60604 Kenwood Place I, Inc. respectfully submits the following corrective action plan for the year ended June 30, 2022. Name and address of independent public accounting firm: Somerset CPAs, P.C. 3925 River Crossing Pkwv, Suite 100, Indianapolis, IN 46240 Audit period: Year ended June 30, 2022 The findings from the June 30, 2022 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the number assigned in the schedule. Section A of the schedule, Summary of Audit Results, does not include findings and is not addressed. Findings - Financial Statement Audit: None Findings - Federal Award Programs Audit: U.S. Department of Housing and Urban Development Finding 2022-001: Section 223(f) Loan Program, CFDA 14.155 Recommendation: Make the required delinquent deposit to the replacement reserve account and ensure that all future deposits are made as required by the Regulatory Agreement. Action Taken: Management will make the required replacement reserve deposits as soon as possible and will ensure compliance in the future. If the U.S. Department of Housing and Urban Development has questions regarding this plan, please call Rod Ludwig at 574-968-9267. Sincerely yours, Rod Ludwig Bradley Company (Management Agent) Senior Managing Director

View Audit 24770

Finding 30537 (2022-001)

Material Weakness 2022

Hendersonville Housing Authority

NC

Questioned Costs HUD Housing Programs Allowable Costs / Cost Principles

Finding 2022-001 - Allowable Costs/Costs Principles - Ineligible Wire Transfer ALN - 14.182, Noncompliance & Material Weakness Corrective Action Plan: ALL subsequent requests for wire transfers will be immediately verified with the person(s) or company that has requested the wire transfer. In additi...

Finding 2022-001 - Allowable Costs/Costs Principles - Ineligible Wire Transfer ALN - 14.182, Noncompliance & Material Weakness Corrective Action Plan: ALL subsequent requests for wire transfers will be immediately verified with the person(s) or company that has requested the wire transfer. In addition, the Authority will strongly discourage the use of wire transfers. Person Responsible: Connie Stewart - Executive Director Anticipated Completion Date: This has already been completed as soon as the issue was discovered.

View Audit 34472 Questioned Costs: $1

Finding 30513 (2022-004)

Material Weakness 2022

Anderson Community School Corporation

IN

School Nutrition Programs Cash Management Material Weakness § 200.303

Contact Person Responsible for Corrective Action: Kelsi Hall Contact Phone Number: 765-641-2096 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Meal counts are gathered and printed off of NutriKids by the food service Bookkeeper and given to the Dire...

Contact Person Responsible for Corrective Action: Kelsi Hall Contact Phone Number: 765-641-2096 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Meal counts are gathered and printed off of NutriKids by the food service Bookkeeper and given to the Director. The Director reviews the information and enters the numbers in CNPweb for each school individually. Before submitting the claims, the Director cross references the combined totals from NutriKids with the totals on the CNPweb Sponsor Claims page to ensure they match. If they do not match, this would alert the Director if there were any typos or errors in CNPweb. The meal count papers are then returned to the Bookkeeper to double check that the numbers entered in CNPweb match the numbers that were printed off from NutriKids. Anticipated Completion Date: July 1, 2023

View Audit 27165

Finding 30509 (2022-002)

Significant Deficiency 2022

Warner Pacific University

OR

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

WARNER PACIFIC UNIVERSITY MANAGEMENT?S VIEWS AND CORRECTIVE ACTION PLAN For the year ended May 31, 2022 As required by OMB Uniform Guidance, we have provided below our response and corrective action plan addressing the findings in the ?Report on Federal Awards in Accordance with the OMB Uniform Gui...

WARNER PACIFIC UNIVERSITY MANAGEMENT?S VIEWS AND CORRECTIVE ACTION PLAN For the year ended May 31, 2022 As required by OMB Uniform Guidance, we have provided below our response and corrective action plan addressing the findings in the ?Report on Federal Awards in Accordance with the OMB Uniform Guidance? for the year ended May 31, 2022. FINDING 2022-002 ? Special Tests and Provisions ? Return of Title IV: Significant Deficiency in Internal Control over Compliance Cause: The University incorrectly based calculations on the default status of full-time rather than adjusting the calculation for part-time students. Corrective Action: The University has modified its procedures for enrollment status to ensure funds returned to students appropriately reflect whether they have full-time or part-time status. The University calculations for select PGS students who withdrew early in the term and were receiving Federal Pell Grant, were processed in error. Also, the University did not update the enrollment level code to match only the number of courses that the student started. The University has corrected all the past R2T4 calculations that were done in error. The University has revised its procedures to prevent this error from reoccurring. Anticipated date of corrective action: September 30, 2022 Name of contact person responsible for corrective action: Douglas Wade, EVP/CFO

View Audit 27226

Finding 30495 (2022-002)

Material Weakness 2022

Harrison Hills City School District

OH

Subrecipient Monitoring Matching / Level of Effort / Earmarking Special Tests & Provisions

Finding Number: 2022-002 Planned Corrective Action: In the future, the Treasurer will ensure that prevailing wage rate requirements are included on all applicable contracts. Anticipated Completion Date: 6/30/2023 Responsible Contact Person: Roxane Harding, Treasurer

View Audit 25964

Finding 30462 (2022-002)

Significant Deficiency 2022

Newberry College

SC

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

USDA Community Facilities Loan Reserve Accounts Planned Corrective Action: The College agrees there was confusion around the USDA reserves following a refinance. The College had established reserve minimums but the appropriateness of the amounts needed for reserve appear to have been unclear. The...

USDA Community Facilities Loan Reserve Accounts Planned Corrective Action: The College agrees there was confusion around the USDA reserves following a refinance. The College had established reserve minimums but the appropriateness of the amounts needed for reserve appear to have been unclear. There is still disagreement around the amount needed for reserve. The College is presently working with the USDA to clarify the ambiguity and will set reserves accordingly. The USDA has stated verbal agreement that the West Town reserves should be eliminated and replaced with a reserve for North Avenue Capital. The USDA has further agreed verbally that the reserves could have been moved from Morgan Stanley to Ameris Bank as Morgan Stanley was the holder at the time and was named for convenience of Newberry College. The specific institution was not meant to be a condition of the loan, just identifying the existence of the reserve. The College is presently in conversations with the USDA to come back in writing to confirm the approximately $1.4 Million in total direct and indirect USDA loan reserves held at present at Ameris Bank. Person Responsible for Corrective Action Plan: Chief Financial Officer David Sayers Anticipated Date of Completion: Fiscal Year 2022-23

View Audit 25152

Finding 30458 (2022-005)

None 2022

Newberry College

SC

Student Financial Aid Matching / Level of Effort / Earmarking Reporting

FISAP Reporting Planned Corrective Action: The College worked with the Department of Education in the Fiscal Years 2021-22 and 2022-23 to correct errors in the Perkins loan portions of the FISAP and has developed a document retention process for underlying support for future FISAP reports. The Per...

FISAP Reporting Planned Corrective Action: The College worked with the Department of Education in the Fiscal Years 2021-22 and 2022-23 to correct errors in the Perkins loan portions of the FISAP and has developed a document retention process for underlying support for future FISAP reports. The Perkins program will cease for Newberry College in Fiscal Year 2022-23. Persons Responsible for Corrective Action Plan: Chief Financial Officer David Sayers, Interim Director of Financial Aid Chris Dominick, and Director of Student Accounts Landee Buzhardt. Anticipated Date of Completion: Fiscal Year 2022-23

View Audit 25152

Finding 30442 (2022-007)

Significant Deficiency 2022

New England Conservatory of Music

MA

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

Finding No. 2022-007 ? Special Tests ? Perkins Loan Recordkeeping and Record Retention Finding: It was noted that 7 Perkins Loan promissory notes were copies and not the original document. Corrective Action Taken or Planned: The Conservatory will review student files to identify total population of...

Finding No. 2022-007 ? Special Tests ? Perkins Loan Recordkeeping and Record Retention Finding: It was noted that 7 Perkins Loan promissory notes were copies and not the original document. Corrective Action Taken or Planned: The Conservatory will review student files to identify total population of promissory notes that are not originals and review the potential impact. Expected completion June 2023. Responsible person Kathleen Jewett, Director of Student Accounts

View Audit 24262

Finding 30440 (2022-005)

Material Weakness 2022

New England Conservatory of Music

MA

Matching / Level of Effort / Earmarking

Finding No. 2022-005 ? HEERF Earmarking Finding: There was no evidence that the required direct outreach occurred for financial aid applications Corrective Action Taken or Planned: As noted, the Conservatory experienced turnover in both the Business Office and the Office of Financial Aid. New staf...

Finding No. 2022-005 ? HEERF Earmarking Finding: There was no evidence that the required direct outreach occurred for financial aid applications Corrective Action Taken or Planned: As noted, the Conservatory experienced turnover in both the Business Office and the Office of Financial Aid. New staff are aware of this requirement and will ensure compliance if future funding should become available. Completed, March 2023. Responsible person Richard Bowman, Controller

View Audit 24262

Finding 30434 (2022-010)

Significant Deficiency 2022

New England Conservatory of Music

MA

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

Finding NO.2022-010 ? Special Tests ? Disbursement to or on Behalf of Students Finding: The institution does not have a documented Direct Loan quality assurance process. Corrective Action Taken or Planned: New Office of Financial Aid staff are documenting the quality assurance process and having th...

Finding NO.2022-010 ? Special Tests ? Disbursement to or on Behalf of Students Finding: The institution does not have a documented Direct Loan quality assurance process. Corrective Action Taken or Planned: New Office of Financial Aid staff are documenting the quality assurance process and having the process reviewed by consultants with expertise in Direct Loan regulations. Expected to be completed April 2023. Responsible person Rebecca Barry-Wolff, Associate Director of Student Financial Planning.

View Audit 24262

Finding 30432 (2022-008)

Significant Deficiency 2022

New England Conservatory of Music

MA

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

Finding No. 2022-008 Special Tests ? Direct Loan Reconciliations Finding: Out of 2 months selected, 1 month did not have proper documentation to support reconciliation or evidence of review of reconciliation was noted. Corrective Action Taken or Planned: The Office of Financial Aid is entirely new ...

Finding No. 2022-008 Special Tests ? Direct Loan Reconciliations Finding: Out of 2 months selected, 1 month did not have proper documentation to support reconciliation or evidence of review of reconciliation was noted. Corrective Action Taken or Planned: The Office of Financial Aid is entirely new and existing staff could not find all of the direct loan reconciliation files. Management believes that this process was occurring, but documentation was lost in all the turnover. Current staff are trained in this process and understand its importance. Both the Bursars Office and the Office of Financial Aid will approve direct loan reconciliations going forward. Expected to be completed April 2023. Responsible person Rebecca Barry-Wolff, Associate Director of Student Financial Planning.

View Audit 24262

Finding 30409 (2022-003)

Significant Deficiency 2022

Central Minnesota Housing Partnership, Inc.

MN

Questioned Costs Significant Deficiency Matching / Level of Effort / Earmarking

Department of Agriculture: Rural Development Central Minnesota Housing Partnership, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2022. Audit period: January 1, 2022 ? December 31, 2022 The findings from the schedule of findings and questioned costs ...

Department of Agriculture: Rural Development Central Minnesota Housing Partnership, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2022. Audit period: January 1, 2022 ? December 31, 2022 The findings from the schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS?FINANCIAL STATEMENT AUDIT MATERIAL WEAKNESS 2022-001 Financial Statement Preparation Recommendation: The Organization should continue to evaluate their internal staff and expertise to determine if an internal control policy over annual financial reporting is beneficial. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management continues to weigh the cost benefits surrounding the financial statement preparation. Due to the complexity of the consolidated financial statements, it has been determined cost prohibitive to take on the entire process of creating the consolidated financial statement and will continue to collaborate with the auditors to complete this process. Names of the contact persons responsible for corrective action: Julie Schueller, Finance Director and Deanna Hemmesch, Executive Director Planned completion date for corrective action plan: December 31, 2023 2022-002 Material Audit Adjustments Recommendation: The Organization should continue review and establish month end and year end processes to ensure the account balances are accurately recording in accordance with GAAP. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management continues to review and establish month end and year end procedures to reduce the number of entries needed to ensure the financial statements are properly stated in accordance with GAAP. Management does acknowledge the fact that with the eliminating entries needed to consolidate the financial statements, this comment will likely not be removed in the near future but will continue to work on reducing entries on the individual entities within the consolidation. Names of the contact persons responsible for corrective action: Julie Schueller, Finance Director and Deanna Hemmesch, Executive Director

View Audit 24844 Questioned Costs: $1

Finding 30404 (2022-001)

Significant Deficiency 2022

Municipality of Penn Hills

PA

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

CORRECTIVE ACTION PLAN September 29, 2023 United States Department of Housing and Urban Development The Municipality of Penn Hills respectfully submits the following corrective action plan for the year ended December 31, 2022. Name and address of independent public accounting firm: Maher Duessel,...

CORRECTIVE ACTION PLAN September 29, 2023 United States Department of Housing and Urban Development The Municipality of Penn Hills respectfully submits the following corrective action plan for the year ended December 31, 2022. Name and address of independent public accounting firm: Maher Duessel, CPA's 503 Martindale Street, Suite 600 Pittsburgh, PA 15212 Audit period: January 1, 2022 - December 31, 2022 The finding from the December 31, 2022 schedule of findings and questioned costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. FINDINGS?FINANCIAL STATEMENT AUDIT Finding 2022-001 - Special Tests and Provisions - Wage Rate Requirements Statement of Condition: The Municipality did not have adequate internal control procedures in place to ensure that all laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds were paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (40 USC 3141-3144,3146, and 3147). As a result, the Municipality did not properly notify 3 of the 3 contractors tested of the requirements to comply with the wage rate requirements via the including of a prevailing wage rate clause in the contract between the contractor and the Municipality and the Municipality did not obtain certified payrolls for 3 of the 3 contractors tested until the audit. Recommendation: We recommend that the Municipality implement internal control procedures to review all contractors and ensure prevailing wage rate requirements are met. Action taken: The Municipality of Penn Hills has implemented procedures as recommended to ensure that all contracts utilizing CDBG and Federal funds make reference to prevailing wages, Davis Bacon and include the contract language as recommended by Maher Duessel; however, each of the samples discussed above occurred prior to the date of the FY2021 finding. The Municipality of Penn Hills takes prevailing wage rates seriously to ensure that all workers on CDBG funded projects are paid the current prevailing wage rate for the job performed. To ensure that all workers on contracts over $2,000.00 are paid prevailing wage rates: ? The Municipality of Penn Hills hasl revised its internal control procedure to ensure that it has proper procedures in place to identify contractors where the wage rate requirements apply. ? The Municipality of Penn Hills has revised the contract language for CDBG activities to include the prevailing wage rate clause in all contracts utilizing CDBG funds in excess of $2,000.00 to ensure that all contractors are aware of the regulations concerning prevailing wages. ? The Municipality of Penn Hills has revise its procedures to ensure that it is collecting certified payrolls in a timely manner. If the Department of Housing and Urban Development has questions regarding this plan, please call Scott Andrejchak at (412) 342-1084. Sincerely yours, Scott Andrejchak Municipal Manager, Municipality of Penn Hills

View Audit 25309

Finding 30400 (2022-001)

Material Weakness 2022

Casa Carino Dba Casa Corazon 122-Hh012-Wph-Np

CA

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

CORRECTIVE ACTION PLAN U.S. Department of Housing and Urban Development Casa Carino dba Casa Corazon respectfully submits the following corrective action plan for the year ended June 30, 2022. Audit Firm: Douglas & Bhagat CPA Services, Inc., 100 East Thousand Oaks Blvd. Suite 202, Thousand Oaks...

CORRECTIVE ACTION PLAN U.S. Department of Housing and Urban Development Casa Carino dba Casa Corazon respectfully submits the following corrective action plan for the year ended June 30, 2022. Audit Firm: Douglas & Bhagat CPA Services, Inc., 100 East Thousand Oaks Blvd. Suite 202, Thousand Oaks, CA 91360 Audit Period: Year ended June 30, 2022. FINDINGS ? FINANCIAL STATEMENT AUDIT Finding No. 2022-001 Recommendation: Improve internal controls to prevent these types of adjustments. . Action Taken: Board of Directors and management company have incorporated additional internal controls to detect material adjustments and prevent materially misstated financial statements. FINDINGS ? FEDERAL AWARD PROGRAM AUDITS None

View Audit 24680

Finding 30398 (2022-017)

Significant Deficiency 2022

State of North Dakota

ND

Internal Control / Segregation of Duties Subrecipient Monitoring Eligibility

Finding: 2022-017 Department of Human Services Response/Corrective Action Plan: The Department disagrees with the recommendation. NDVerify allows eligibility workers to search multiple interfaces/sources for all household members included in a LIHEAP case at the same time, however, the Departm...

Finding: 2022-017 Department of Human Services Response/Corrective Action Plan: The Department disagrees with the recommendation. NDVerify allows eligibility workers to search multiple interfaces/sources for all household members included in a LIHEAP case at the same time, however, the Department does allow for other means, such as hard copy verification from the applicant or a third-party, to support eligibility determinations. It is important to note, since fully transitioning to SPACES, no errors have been noted. Contact Person: Rachel Iverson Schafer Director of Program Administration Anticipated Completion Date ND Verify will continue to be a source for workers to utilize. FY2024 LIHEAP training will continue to train on the value of using this interface.

View Audit 36677

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