Corrective Action Plans

Finding 1214119 (2025-018)

Material Weakness 2025

MA

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking § 200.303 § 200.430

2025-018 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department develop procedures and controls to ensure expenditures coded to the GDF from timesheets or manual adjustments do not exceed the 15% limit. Action taken in response to finding: In FY26, phase codes associated wit...

2025-018 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department develop procedures and controls to ensure expenditures coded to the GDF from timesheets or manual adjustments do not exceed the 15% limit. Action taken in response to finding: In FY26, phase codes associated with federal grant activity will be further disaggregated and mapped in MMARS screen BQ87 (Federal Grant Phase Budget Status). This enhancement has improved the accuracy and clarity of budget-to-actual comparisons by providing a clearer breakout of expenditures by phase. It will also strengthen internal controls and facilitate better alignment between MMARS, Finance Data Mart, and federal reporting requirements. This new internal controls has been deployed on all FY26 grants and was not audited during this period. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Ken Luke Planned completion date for corrective action plan: Process is in place and completed on 12/31/2025 and practice is deployed for all new grants requiring break out amounts.

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Finding 1214113 (2025-016)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Material Weakness Reporting Equipment & Real Property Management § 200.303

2025-016 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We fur...

2025-016 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: ETA 9130 reports are jointly reviewed by Finance and program staff before submission and certification. Supporting documentations are cross-checked for accuracy and completeness, and all relevant files are maintained in a centralized, shared folder to ensure transparency and accountability. This multi-layered review and documentation process has been incorporated into a standard quarterly reporting procedures to prevent future discrepancies and ensure federal reporting integrity. New internal controls and procedures were established 8/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Ken Luke, Vina Yung, DCS: David Manning Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 8/30/2025.

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Finding 1214110 (2025-015)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Procurement, Suspension & Debarment Subrecipient Monitoring Material Weakness § 200.303

2025-015 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department’s procedures and internal controls should ensure that all required FFATA report submissions are reviewed, approved and su...

2025-015 WIOA Cluster 17.258, 17.259, 17.278 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department’s procedures and internal controls should ensure that all required FFATA report submissions are reviewed, approved and subsequently reported timely no later than the end of the month following the month of issuance of the subaward or subaward modification. Documentation of implemented controls should be readily available for audit. Action taken in response to finding: Reporting under FFATA is triggered when the department and the local areas agree on budgets — i.e., at the point when the state forms an official obligation amount. This change is meant to more closely align with FFATA guidance which specifies that “you must report each obligating action … no later than the end of the month following the month in which the obligation was made.” U.S. Election Assistance Commission. Importantly, the guidance states: “Only report on subaward obligations. Do not report individual payments made to subrecipients.” Previously, FFATA was triggered when an encumbrance was recorded. By aligning FFATA reporting with the point at which the state formally obligates funds through approved local budgets, rather than when encumbrances are recorded, the process more accurately reflects the definition of an obligating action and strengthens overall compliance with FFATA requirements. Ongoing monitoring will continue to ensure reporting remains timely and accurate, with periodic reviews conducted to assess performance and identify any needed updates to the SOP. These revisions were fully implemented by 09/30/2025. New internal controls and procedures were established 9/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Sam Potel Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 9/30/2025.

View Audit 400886

Finding 1214102 (2025-013)

Material Weakness 2025

Commonwealth of Massachusetts

MA

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

2025-013 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should perform staff training and strengthen its procedures and controls to ensure overpayments are identified, recorded, and recovered in a timely manner and in full compliance with federal requirements. ...

2025-013 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should perform staff training and strengthen its procedures and controls to ensure overpayments are identified, recorded, and recovered in a timely manner and in full compliance with federal requirements. Action taken in response to finding: In response to this finding, we have worked with our developers of the EMT system to investigate some of the issues which arose. This review determined that some of the erroneous data was the result of conversion issues when converting UI Online data (the prior unemployment system of record) to the current system, EMT. Developers are working to identify any areas that may require technical fixes. However, as of May of 2026, all new claims filed for unemployment benefits will be made in the EMT system, therefore the reliance on utilizing converted data will lessen as time goes on. In response to discrepancies that arose due to staff errors, all adjudication staff will receive training on fault/fraud issues which will cover the penalties against the claimant associated with each finding. Additionally, the Department is updating its Adjudication Handbook. This handbook provides detailed instruction on all adjudication matters and the applicable legal citations for decision rendered. This handbook will be reviewed by all staff who adjudicate cases. Name(s) of the contact person(s) responsible for corrective action: Josh Nussey, Acting Director of Program Integrity Planned completion date for corrective action plan: 12/31/2026

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Finding 1214100 (2025-012)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Special Tests & Provisions Eligibility Reporting § 200.303

2025-012 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department review and enhance procedures and controls to ensure that RESEA program requirements are ...

2025-012 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department review and enhance procedures and controls to ensure that RESEA program requirements are met. We further recommend the Department develop a formal process to review quarterly performance reports for accuracy prior to submission. Action taken in response to finding: In order to resolve this finding, the Department is in the process of creating a new policy and procedure to ensure reports are reviewed prior to submission via the federal reporting system. The policy and procedures will state the process involved in getting report information, review of information, notification to manager, and submittal through the federal reporting system. MDUA has completed a review of policies and procedures. This will be a new effort at formalizing a policy which will go through agency review prior to enactment. MDUA has established an informal policy for staff to follow which speaks to the intent of having a formalized policy. The new policy and procedure will detail the responsibilities of staff who are involved with retrieving the initial information for the report from our UI administrative system, review of information to ensure federal reporting system requirements and comparison to past reports, notification to direct manager that the review was completed, and submittal through the federal reporting system. Name(s) of the contact person(s) responsible for corrective action: John Saulnier, Director of Benefit Performance Planned completion date for corrective action plan: May 1st, 2026

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Finding 1214098 (2025-011)

Material Weakness 2025

Commonwealth of Massachusetts

MA

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

2025-011 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department review and enhance procedures and controls to ensure that BAM case investigations are com...

2025-011 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. We recommend the Department review and enhance procedures and controls to ensure that BAM case investigations are completed timely in accordance with the time limits established in the ET Handbook No. 395. Action taken in response to finding: BAM staff have begun utilizing a new case management system within the modernized EMT system. This has reduced the number of screen shots necessary to develop a case. BAM investigators will continue receiving training on system usage and how to optimize day to day operations through weekly training sessions and the ability to schedule one on one training sessions with the BAM supervisor each week. BAM management continues to work with the EMT project to submit tickets for BAM program remediation while it continues to wait on required programming from pre-go live. Two BAM Investigators are training while waiting for the additional hiring to be approved. An improvement in the system is that BAM management is now in control of the number of cases being sampled. This will allow modification of the weekly sampling to allow change when needed such as an increase in case sampling if a case had to be discarded. Name(s) of the contact person(s) responsible for corrective action: Susan Saulnier Director of UI Performs Planned completion date for corrective action plan: 10/31/2026

View Audit 400886

Finding 1214096 (2025-010)

Material Weakness 2025

Commonwealth of Massachusetts

MA

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

2025-010 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are review...

2025-010 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: ETA 9130 reports are jointly reviewed by Finance and program staff before submission and certification. Supporting documentations are cross-checked for accuracy and completeness, and all relevant files are maintained in a centralized, shared folder to ensure transparency and accountability. This multi-layered review and documentation process has been incorporated into a standard quarterly reporting procedures to prevent future discrepancies and ensure federal reporting integrity. New internal controls and procedures were established 8/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Ken Luke, Vina Yung, DUA: Mark Costello Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 8/30/2025.

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Finding 1214094 (2025-009)

Material Weakness 2025

Commonwealth of Massachusetts

MA

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

2025-009 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review and update its reporting procedures and controls to ensure that ETA 9052 - Nonmonetary Determination Time Lapse Detection reports are submitted timely and that copies of report submissions ar...

2025-009 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review and update its reporting procedures and controls to ensure that ETA 9052 - Nonmonetary Determination Time Lapse Detection reports are submitted timely and that copies of report submissions are maintained and are readily available for audit. Reports should be reviewed for accuracy prior to submission. Action taken in response to finding: A staff member has been identified as the owner of UIR 9052. Staff have been trained in the submission of 9052 in both SUN and the new UIRS system that has replaced the SUN. Master list of report owners has been updated to reflect accurate ownership. Master List Report owner will notify 9052 owner in advance that report is coming due. The department will make sure that reports are reviewed for accuracy prior to submission and copies of report submissions are maintained. Name(s) of the contact person(s) responsible for corrective action: John Saulnier / Director of Benefits Planned completion date for corrective action plan: Corrected. The 9052 is now being submitted timely.

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Finding 1214092 (2025-008)

Material Weakness 2025

Commonwealth of Massachusetts

MA

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

2025-008 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review and update its reporting procedures and controls to ensure that ETA 2208A reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhance...

2025-008 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review and update its reporting procedures and controls to ensure that ETA 2208A reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: Finance has implemented a formal review and reconciliation process requiring reported totals to be verified against supporting source documentation before submission, standardized and locked required workbook formulas, and establish a pre-submission checklist to document review. Written procedures will be updated to formalize these control enhancements and ensure continued compliance. Name(s) of the contact person(s) responsible for corrective action: Finance: Vina Yung, Anna Yong Planned completion date for corrective action plan: 6/30/2026

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Finding 1214090 (2025-007)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Cash Management Material Weakness Reporting § 200.303

2025-007 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review its procedures to ensure that ETA 2112 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are review...

2025-007 Unemployment Insurance - Assistance Listing No. 17.225 Recommendation: The Department should review its procedures to ensure that ETA 2112 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: Action was taken to address the issue prior to audit findings, and we do not anticipate similar situations to exist now that we have EMT generates the ETA 2112. Also, we have internal control for both preparer and approver to review each line item with the supporting documents. Name(s) of the contact person(s) responsible for corrective action: Finance: Messay Araya, Anna Yong Planned completion date for corrective action plan: 6/30/2026

View Audit 400886

Finding 1214088 (2025-006)

Material Weakness 2025

Commonwealth of Massachusetts

MA

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

2025-006 Employment Service Cluster - Assistance Listing No. 17.207, 17.801 Recommendation: The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that report...

2025-006 Employment Service Cluster - Assistance Listing No. 17.207, 17.801 Recommendation: The Department should review its procedures to ensure that ETA 9130 reports are accurate and agree with supporting documentation. We further recommend that internal controls are enhanced to ensure that reports are reviewed for accuracy prior to submission. Action taken in response to finding: ETA 9130 reports are jointly reviewed by Finance and program staff before submission and certification. Supporting documentations are cross-checked for accuracy and completeness, and all relevant files are maintained in a centralized, shared folder to ensure transparency and accountability. This multi-layered review and documentation process has been incorporated into a standard quarterly reporting procedures to prevent future discrepancies and ensure federal reporting integrity. New internal controls and procedures were established 8/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Ken Luke, Vina Yung, DCS: Dave Manning Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 8/30/2025.

View Audit 400886

Finding 1214082 (2025-003)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Procurement, Suspension & Debarment Subrecipient Monitoring Material Weakness § 200.303

2025-003 Employment Service Cluster - Assistance Listing No. 17.207, 17.801 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should implement procedures and internal controls to ensure that all required subawards an...

2025-003 Employment Service Cluster - Assistance Listing No. 17.207, 17.801 Recommendation: We recommend the Department complete implementation of its corrective action plan from the prior year. The Department should implement procedures and internal controls to ensure that all required subawards and subaward modifications are reported no later than the end of the month following the month of issuance. Action taken in response to finding: Reporting under FFATA is triggered when the department and the local areas agree on budgets — i.e., at the point when the state forms an official obligation amount. This change is meant to more closely align with FFATA guidance which specifies that “you must report each obligating action … no later than the end of the month following the month in which the obligation was made.” U.S. Election Assistance Commission. Importantly, the guidance states: “Only report on subaward obligations. Do not report individual payments made to subrecipients.” Previously, FFATA was triggered when an encumbrance was recorded. By aligning FFATA reporting with the point at which the state formally obligates funds through approved local budgets, rather than when encumbrances are recorded, the process more accurately reflects the definition of an obligating action and strengthens overall compliance with FFATA requirements. Ongoing monitoring will continue to ensure reporting remains timely and accurate, with periodic reviews conducted to assess performance and identify any needed updates to the SOP. These revisions were fully implemented by 09/30/2025. New internal controls and procedures were established 9/30/2025, in which this audit has not reviewed yet. Name(s) of the contact person(s) responsible for corrective action: Finance: Sarah Shannon, Sam Potel Planned completion date for corrective action plan: Already completed – staff trained and provided with new SOP on 9/30/2025.

View Audit 400886

Finding 1214080 (2025-002)

Material Weakness 2025

Commonwealth of Massachusetts

MA

Procurement, Suspension & Debarment Subrecipient Monitoring Material Weakness § 200.303

2025-002 Child Nutrition Cluster - Assistance Listing No. 10.555, 10.582 Recommendation: We recommend the Department develop procedures and internal controls to ensure that all required subawards are reported timely and accurately to SAM.gov no later than the end of the month following the month of ...

2025-002 Child Nutrition Cluster - Assistance Listing No. 10.555, 10.582 Recommendation: We recommend the Department develop procedures and internal controls to ensure that all required subawards are reported timely and accurately to SAM.gov no later than the end of the month following the month of issuance of each subaward. If the Department is unable to complete reporting in SAM.gov, it should follow up with the Service Desk and consult with their federal award contacts for assistance and guidance. Action taken in response to finding: The Department is reviewing and updating internal procedures to ensure all required subawards are reported timely and accurately in SAM.gov. While there have been some technical challenges with SAM.gov reporting, the Department is actively coordinating with U.S. Department of Agriculture contacts to resolve issues and ensure compliance and maintaining a record of each outreach attempt. Staff responsibilities and monitoring procedures are being strengthened to support accurate reporting. Name(s) of the contact person(s) responsible for corrective action: Julia Jou, Budget Director, Rob Curtin, Deputy Commissioner, Erica Gonzales, Associate Commissioner Data & Accountability, Rob Leshin, Director, Food and Nutrition Programs Joseph Valchuis, Audit Supervisor Planned completion date for corrective action plan: April 15, 2026

View Audit 400886

Finding 1214074 (2025-024)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.303

The Agency recognizes the importance of compliance with earmarking requirements during the effective award period and will continue to ensure that expenditures are aligned with statutory and regulatory requirements throughout the active life of federal awards, including in circumstances involving ea...

The Agency recognizes the importance of compliance with earmarking requirements during the effective award period and will continue to ensure that expenditures are aligned with statutory and regulatory requirements throughout the active life of federal awards, including in circumstances involving early termination. OBF is committed to assisting program staff in strengthening programmatic oversight and supporting compliance by enhancing data accessibility and analytical capabilities. To that end, OBF will continue to provide program staff with the necessary analytical tools and customized reporting solutions to facilitate accurate and timely programmatic reporting. This includes seamless, on-demand access to relevant financial and performance data through the implementation and ongoing maintenance of Power BI dashboards. These dashboards are designed to improve transparency, support monitoring of grant requirements, and enable data-driven decision-making by stakeholders outside of finance. In addition, OBF will provide supplemental technical guidance and training, as needed, to ensure program staff fully understand reporting requirements and are equipped to effectively utilize available reporting tools. Management believes these measures further strengthen internal controls, enhance compliance monitoring, and promote continued alignment with applicable federal requirements.

View Audit 400877

Finding 1214066 (2025-023)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.303

The Agency recognizes the importance of compliance with earmarking requirements during the effective award period and will continue to ensure that expenditures are aligned with statutory and regulatory requirements throughout the active life of federal awards. The Office of Budget and Finance (OBF) ...

The Agency recognizes the importance of compliance with earmarking requirements during the effective award period and will continue to ensure that expenditures are aligned with statutory and regulatory requirements throughout the active life of federal awards. The Office of Budget and Finance (OBF) is committed to assisting program staff in strengthening programmatic oversight and supporting compliance by enhancing data accessibility and analytical capabilities. To that end, OBF will continue to provide program staff with the necessary analytical tools and customized reporting solutions to facilitate accurate and timely programmatic reporting. This includes seamless, on-demand access to relevant financial and performance data through the implementation and ongoing maintenance of Power BI dashboards. These dashboards are designed to improve transparency, support monitoring of grant requirements, and enable data-driven decision-making by stakeholders outside of finance. In addition, OBF will provide supplemental technical guidance and training, as needed, to ensure program staff fully understand reporting requirements and are equipped to effectively utilize available reporting tools.

View Audit 400877

Finding 1214047 (2025-031)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

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

The Governor's Office of Highway Safety (GOHS) acknowledges the audit finding regarding documentation and monitoring controls associated with federal grant matching requirements, earmarking allocations, and adherence to the federal period of performance. Corrective Actions Implemented: GOHS has stre...

The Governor's Office of Highway Safety (GOHS) acknowledges the audit finding regarding documentation and monitoring controls associated with federal grant matching requirements, earmarking allocations, and adherence to the federal period of performance. Corrective Actions Implemented: GOHS has strengthened its monitoring procedures to ensure that all grant expenditures are reviewed for compliance with federal matching requirements, earmarked funding allocations, and the approved period of performance prior to reimbursement approval. GOHS has improved documentation controls by implementing standardized documentation requirements to ensure supporting records clearly demonstrate compliance with federal matching percentages and earmarked funding restrictions. Grant files will include detailed tracking of match contributions and earmark allocations. Programmatic and financial staff will receive additional training on federal grant compliance requirements, including match eligibility, earmarked fund tracking, and the importance of ensuring expenditures occur within the authorized period of performance. A secondary review process will be implemented within the Finance Division to verify that expenditures charged to federal grants meet match requirements and fall within the grant's approved performance period before payment is processed. GOHS Management will conduct periodic internal reviews to verify adherence to federal grant requirements and to ensure that the corrective actions remain effective.

View Audit 400877

Finding 1214015 (2025-028)

Material Weakness 2025

State of Georgia/state Accounting Office-Ein Noted

GA

Internal Control / Segregation of Duties Special Tests & Provisions Subrecipient Monitoring § 200.303

We have documented our procedure for performance reporting so that reports are appropriately reviewed and approved prior to submission.

View Audit 400877

Finding 1213965 (2025-002)

Material Weakness 2025

City of Spring Hill

TN

Allowable Costs / Cost Principles Cash Management Reporting

2025-002 Staffing for Adequate Fire and Emergency Response (SAFER) – CFDA No. 97.083 Recommendation: The City should provide training for the grant administrator and/or include an additional review by individual that has been fully trained on the compliance requirements of the grant. The internal co...

2025-002 Staffing for Adequate Fire and Emergency Response (SAFER) – CFDA No. 97.083 Recommendation: The City should provide training for the grant administrator and/or include an additional review by individual that has been fully trained on the compliance requirements of the grant. The internal control process should include a formal way to document the review and approval of Fire Safety salary costs charged to the grant to provide evidence that internal controls are effectively designed and implemented and functioning in a timely manner throughout the year. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned and taken in response to finding: The City has authorized a full-time grants specialist position within the Finance Department to oversee the administration of grants separate from the programming department. The City will strengthen internal controls over grant compliance by implementing formal policies and procedures for allowable costs, documentation, and review. All grant expenditures will be reviewed and approved by Finance prior to submission, with supporting documentation maintained for eligibility determinations. Name(s) of the contact person(s) responsible for corrective action: Rebeca Holden Planned completion date for corrective action plan: 06/30/26 If the Tennessee Comptroller of the Treasury has questions regarding this plan, please call Rebecca Holden at 931-451-0782

View Audit 400822

Finding 1213949 (2025-011)

Material Weakness 2025

Creek County

OK

Allowable Costs / Cost Principles Procurement, Suspension & Debarment Matching / Level of Effort / Earmarking § 200.303 § 200.403

Creek County will work with all offices making sure that a proper invoice is attached on all purchase orders. Educating Offices that there is a difference in a quote verses an invoice. The County Clerk will make sure that there are multiple eyes on the purchase orders to ensure that this is caught b...

Creek County will work with all offices making sure that a proper invoice is attached on all purchase orders. Educating Offices that there is a difference in a quote verses an invoice. The County Clerk will make sure that there are multiple eyes on the purchase orders to ensure that this is caught before payment is issued.

View Audit 400798

Finding 1213948 (2025-010)

Material Weakness 2025

Creek County

OK

Reporting Matching / Level of Effort / Earmarking § 200.1 § 200.303

The Creek County Clerk’s Office will work with the SEFA preparer to ensure that the correct paid dates are being used when reporting. This should eliminate the actual expenditures differences. We will work to educate all offices involved in the reporting process on financial statement and SEFA.

View Audit 400798

Finding 1213946 (2025-005)

Material Weakness 2025

Knox Community Hospital and Subsidiaries

OH

HUD Housing Programs Material Weakness Matching / Level of Effort / Earmarking

Condition: The Organization obtained a short term line of credit without formal approval from HUD from Park National Bank in 2024 with access to credit up to $15 million, which exceeds the limits in section 20b(iii) of the HUD agreement. Planned Corrective Action: On February 21, 2024, Change Health...

Condition: The Organization obtained a short term line of credit without formal approval from HUD from Park National Bank in 2024 with access to credit up to $15 million, which exceeds the limits in section 20b(iii) of the HUD agreement. Planned Corrective Action: On February 21, 2024, Change Healthcare / Optum sustained a cyber-attack and completely shut down claim’s submission processes for Knox Community Hospital. With over 3 weeks of not releasing insurance claims that amounted to over $40M, this impacted the cashflow greatly on the organization. The CFO at that time made the decision to seek a Line of Credit with Park National Bank for $15M to fund operations. Due to the urgency and short timeline, formal approval was not obtained from HUD. A detailed event log was maintained around the cyber-attack and provided to our Board and HUD representative. In the future, all regulatory agreements’ requirements will be reviewed by the CFO and in time there are new agreements or modifications made to existing agreements to ensure compliance with each agreement. HUD has since issued a letter approving KCH’s $15M Line of Credit. Contact person responsible for corrective action: Danielle O’Brien, CFO Anticipated Completion Date: 4/30/2026

View Audit 400796

Finding 1213911 (2025-004)

Material Weakness 2025

TOWN OF WHEATLAND, WYOMING

WY

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303 § 200.328

Finding 2025-004 – Reporting Significant Deficiency in Internal Control Over Compliance and Noncompliance Corrective Action Plan: The Town will strengthen controls over federal reporting by establishing a formal review and approval process prior to submission of financial and performance reports. Pr...

Finding 2025-004 – Reporting Significant Deficiency in Internal Control Over Compliance and Noncompliance Corrective Action Plan: The Town will strengthen controls over federal reporting by establishing a formal review and approval process prior to submission of financial and performance reports. Procedures will require verification that reported amounts agree to accounting records and that narrative descriptions accurately reflect the use of funds. Evidence of review and approval will be documented and retained. Responsible Official: Clerk/Treasurer Mayor Planned Completion Date: May 2026

View Audit 400747

Finding 1213876 (2025-005)

Material Weakness 2025

Vandercook College of Music

IL

Student Financial Aid Reporting Significant Deficiency

Student Financial Assistance Cluster – Assistance Listing No. 84.268, 84.063, 84.379 Recommendation: We recommend the College reevaluate its procedures, and review policies surrounding controls implemented for COD reporting. Explanation of disagreement with audit finding: There is no disagreement wi...

Student Financial Assistance Cluster – Assistance Listing No. 84.268, 84.063, 84.379 Recommendation: We recommend the College reevaluate its procedures, and review policies surrounding controls implemented for COD reporting. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The College is currently implementing a process in which disbursement dates within the SIS matches all dates within COD’s Award Disbursements Information Disbursement Date. This will be done within the Batch record by utilziing the date the batch was processed as “Funds Deposited” instead of the initial “anticipated” award date. The adjustment will ensure that all dates match as the official date the fund was credited to the student’s account. Review of existing prociedures will be conducted regarding the COD disbursement controls. The importance of accurate documentation and actual disbursement dates within the SIS will be emphasized. All disbursmeent dates will be reviewed and reconcilled by the Director of Financial Aid ensuring timely and accurate reporting. Name(s) of the contact person(s) responsible for corrective action: Walter Thompson Planned completion date for corrective action plan: July 2026

View Audit 400711

Finding 1213721 (2025-006)

Material Weakness 2025

City of Lodi

CA

Allowable Costs / Cost Principles Material Weakness Reporting

Management agrees and acknowledges the delay in issuing the financial statements. Contributing factors included staffing transitions, adjustments to policies and financial software, and the need for additional time to complete year end reconciliations. The City has since implemented process improvem...

Management agrees and acknowledges the delay in issuing the financial statements. Contributing factors included staffing transitions, adjustments to policies and financial software, and the need for additional time to complete year end reconciliations. The City has since implemented process improvements, earlier preparation of key schedules, and expanded cross training among staff. These actions are expected to support timely completion of future financial reports.

View Audit 400610

Finding 1213650 (2025-004)

Material Weakness 2025

City of Lynwood

CA

Internal Control / Segregation of Duties Eligibility HUD Housing Programs § 200.303 § 200.334

Management acknowledges the auditors’ review of HUD HOME eligibility testing. We believe our current processes generally comply with HUD requirements; however, we recognize the opportunity to strengthen controls. To address the auditors’ comments, we will enhance our eligibility verification procedu...

Management acknowledges the auditors’ review of HUD HOME eligibility testing. We believe our current processes generally comply with HUD requirements; however, we recognize the opportunity to strengthen controls. To address the auditors’ comments, we will enhance our eligibility verification procedures, improve documentation consistency, and provide additional staff training. These corrective actions will help ensure ongoing compliance and accuracy in eligibility determinations. Personnel Responsible for Implementation: Meredith Elguira Position of Responsible Personnel: Community Development Director Expected Date of Implementation: April 30, 2026

View Audit 400567

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