Corrective Action Plans

Finding 57902 (2022-004)

Material Weakness 2022

Jefferson County

IN

Internal Control / Segregation of Duties Allowable Costs / Cost Principles Material Weakness § 200.1 § 200.303

FINDING 2022-004 Contact Person Responsible for Corrective Action: Auditor Contact Phone Number:812-265-8936 Views of Responsible Official: We Concur The Auditor will retain documentation and present to the Commissioners before submitting annual financial reports. Jefferson County will now also prep...

FINDING 2022-004 Contact Person Responsible for Corrective Action: Auditor Contact Phone Number:812-265-8936 Views of Responsible Official: We Concur The Auditor will retain documentation and present to the Commissioners before submitting annual financial reports. Jefferson County will now also prepare a checklist for every preparation of all future ARPA reports due. Anticipated Completion Date: May 2024

View Audit 55047

Finding 57859 (2022-002)

Material Weakness 2022

Indigenous Peoples Task Force

MN

Internal Control / Segregation of Duties Material Weakness Reporting

Name of Contact Person ? Sharon Day, Executive Director Corrective action ? IPTF has hired a new contract accountant and will ensure they establish procedures to review internal books and records on a monthly basis and make all required adjustments as needed, to ensure that the information taken fro...

Name of Contact Person ? Sharon Day, Executive Director Corrective action ? IPTF has hired a new contract accountant and will ensure they establish procedures to review internal books and records on a monthly basis and make all required adjustments as needed, to ensure that the information taken from the accounting records is complete and accurate. They will also ensure that all documents related to pledges are obtained and reviews to ensure all transactions are recorded correctly. Completion date ? Management and the Board of Directors implemented the above as of December 2022.

View Audit 54316

Finding 57858 (2022-001)

Material Weakness 2022

Indigenous Peoples Task Force

MN

Internal Control / Segregation of Duties Material Weakness Reporting

Name of Contact Person ? Sharon Day, Executive Director Corrective action ? IPTF has hired a new contract accountant and will ensure they prepare internal financial statements on a monthly basis as required by their written financial policies and sent to management for review. Also, the board will p...

Name of Contact Person ? Sharon Day, Executive Director Corrective action ? IPTF has hired a new contract accountant and will ensure they prepare internal financial statements on a monthly basis as required by their written financial policies and sent to management for review. Also, the board will plan to meet quarterly and document meeting minutes. Completion date ? Management and the Board of Directors implemented the above as of December 2022.

View Audit 54316

Finding 52753 (2022-001)

Material Weakness 2022

Housing Authority of the City of Everett

WA

HUD Housing Programs Internal Control / Segregation of Duties Procurement, Suspension & Debarment

"See Corrective Action Plan for chart/table"

View Audit 44732

Finding 52433 (2022-004)

Material Weakness 2022

Columbia Gorge Community College

OR

Student Financial Aid Material Weakness Reporting

Finding 2022-004 Federal Agency Name: Department of Education Program Name: Student Financial Assistance Cluster ALN 84.007, 84.033, 84.063, 84.268 Finding Summary: During our testing, we noted 42 instances out of 182 disbursement transactions tested where the disbursement date per the College?s rec...

Finding 2022-004 Federal Agency Name: Department of Education Program Name: Student Financial Assistance Cluster ALN 84.007, 84.033, 84.063, 84.268 Finding Summary: During our testing, we noted 42 instances out of 182 disbursement transactions tested where the disbursement date per the College?s records and the processing date at COD was outside the mandatory 15-day reporting window. In addition, we noted 52 instances out of 182 disbursement transactions tested where the disbursement date per the student?s record and the disbursement date per COD did not agree. Responsible Individuals: Axel Hernandez, Director of Financial Aid Corrective Action Plan: Continue to identify and resolve Enterprise Management Software (ERP) issues that result in disbursement delays. The College has entered into an agreement with a third-party financial aid provider to service and administer financial aid awards, COD reporting and reconciliation. Contracted services include award packaging, document collection and compliance review, disbursement logs, direct flow of federal funds, account reconciliation and exit process. Ongoing training was conducted with ERP support and third-party disbursement software support to develop reporting and process steps to prevent reporting errors and improve accuracy in reporting in identifying student?s assistance needs. Prevention to include creation of reports for awards pending and detailed disbursement and reconciliations schedules. Anticipated Completion Date: Ongoing

View Audit 52798

Finding 52432 (2022-003)

Material Weakness 2022

Columbia Gorge Community College

OR

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

Finding 2022-003 Federal Agency Name: Department of Education Program Name: Student Financial Assistance Cluster ALN 84.007, 84.033, 84.063, 84.268 Finding Summary: During our testing over the NSLDS reporting requirements, we noted that 27 enrollment status certifications out of 151 enrollment certi...

Finding 2022-003 Federal Agency Name: Department of Education Program Name: Student Financial Assistance Cluster ALN 84.007, 84.033, 84.063, 84.268 Finding Summary: During our testing over the NSLDS reporting requirements, we noted that 27 enrollment status certifications out of 151 enrollment certifications tested were not reported to NSLDS in the required timeframe. In addition, it was noted that 57 enrollment statuses out of 151 enrollment statuses tested did not agree to the enrollment status that was submitted to NSLDS. Responsible Individuals: Mary Martin, Registrar Corrective Action Plan: Enrollment reporting is the responsibility of the Columbia Gorge Community College (CGCC) Registrar. Reporting of enrollment information in a timely manner for the year ended June 30, 2022, was impacted by the implementation of a new Student Information System (SIS) in May 2021. The SIS included significant changes to student record procedures and a new enrollment reporting process. In response to the Enrollment Reporting Finding for the year ended June 30, 2022, the Registrar continues working to mitigate any issues negatively impacting enrollment reporting by: ? working with the Vice President of Student Services and Director of Financial Aid to establish internal checks and balances to ensure reporting is being done in a timely manner; ? working with SIS system support staff and internal IT staff to promptly address technical issues and/or other issues impacting enrollment reporting; ? working with National Student Clearinghouse representative to ensure reporting schedule meets required timeframes; ? consistent review of enrollment files prior to submission to ensure correct student enrollment statuses and program information are being reported; ? prompt resolution of reporting errors; ? identifying and training of additional staff on enrollment reporting. Anticipated Completion Date: Ongoing

View Audit 52798

Finding 52424 (2022-001)

Material Weakness 2022

Park City Performances

UT

Reporting Allowable Costs / Cost Principles Material Weakness

Finding 2022-01: Internal Controls Documentation ? Corrective Action Plan Name of contact person: Randy Barton, Executive Director Corrective Action: Management will submit the required 2021 information when it submits the required information for fiscal 2022. Proposed Completion Date: Management wi...

Finding 2022-01: Internal Controls Documentation ? Corrective Action Plan Name of contact person: Randy Barton, Executive Director Corrective Action: Management will submit the required 2021 information when it submits the required information for fiscal 2022. Proposed Completion Date: Management will submit the information for fiscal 2022 and 2021 during December 2022 or January 2023, before the required submission for fiscal 2022 is due..

View Audit 52472

Finding 52415 (2022-002)

Material Weakness 2022

Cissna Park Senior Life Development, Nfp

IL

Material Weakness Reporting Internal Control / Segregation of Duties

Finding No. 2022-002 ? Preparation of Financial Statements Jeff Cottingham, Management agent, and Diane Theesfeld, sponsor of project, will continue to monitor financial reports and accounting information as correction is not practical.

View Audit 51266

Finding 52414 (2022-001)

Material Weakness 2022

Cissna Park Senior Life Development, Nfp

IL

Internal Control / Segregation of Duties HUD Housing Programs Material Weakness

Finding No. 2022-001 ? Segregation of Duties Jeff Cottingham, Management agent, and Diane Theesfeld, sponsor of project, will be responsible for monitoring monthly financial results and accounting information as correction is not practical.

View Audit 51266

Finding 52411 (2022-001)

Material Weakness 2022

White River School District No. 47-1

SD

Internal Control / Segregation of Duties Material Weakness Reporting

Kim Olson, Business Manager for the White River School District, is the contact person for the corrective action for this finding. With segregation of duties being a concern and the district not being able to staff to a level sufficient to ensure an ideal environment for internal controls, we will ...

Kim Olson, Business Manager for the White River School District, is the contact person for the corrective action for this finding. With segregation of duties being a concern and the district not being able to staff to a level sufficient to ensure an ideal environment for internal controls, we will be implementing several new practices to minimize the risk. In addition, we will continue to monitor and analyze other areas of operations to look for opportunities to modify our procedures.

View Audit 50276

Finding 52318 (2022-005)

Material Weakness 2022

Integrated Community Solutions, Inc.

WI

Questioned Costs HUD Housing Programs Material Weakness

Abatement related to Failed HQS Inspections Special Tests ? HQS Failed Inspections ? Housing Choice Vouchers ? CFDA No. 14.871 Recommendation: ICS should review their current internal control process over failed HQS inspections and HAP/Utility Allowance abatements to ensure they have a process in pl...

Abatement related to Failed HQS Inspections Special Tests ? HQS Failed Inspections ? Housing Choice Vouchers ? CFDA No. 14.871 Recommendation: ICS should review their current internal control process over failed HQS inspections and HAP/Utility Allowance abatements to ensure they have a process in place to identify errors before the payments go out. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: ICS will conduct additional training regarding abatements to assure that all staff know where to locate abatement notes and assure that all payments remain abated as needed. ICS will also continue to have inspectors make notes of abatements in files. Names of the contact persons responsible for corrective action: Matt Roberts and Megan Walker Planned completion date for corrective action plan: Immediately

View Audit 45610 Questioned Costs: $1

Finding 52307 (2022-003)

Material Weakness 2022

White County

IN

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

FINDING 2022-003 Contact Person Responsible for Corrective Action: Elizabeth J Billue Contact Phone Number: 574-583-1515 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: All future reporting of the COVID-19 Coronavirus State and Local Fiscal Recovery ...

FINDING 2022-003 Contact Person Responsible for Corrective Action: Elizabeth J Billue Contact Phone Number: 574-583-1515 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: All future reporting of the COVID-19 Coronavirus State and Local Fiscal Recovery Funds will be reviewed for accuracy by a second Auditor staff member prior to submission. The report will be signed/dated by both the preparer and the reviewer. To prevent future errors in reporting of these grant funds, the preparer will have an Auditor?s Deputy review the reports for accuracy and completion prior to submission. All grant receipts and adjustments to grant related receipts and disbursements completed in the Auditor?s Office are now reviewed for accuracy and initial/dated by a second Auditor Office staff member. In addition, a note will be made within our financial system records and all available supporting documentation will be attached/scanned as part of the permanent record of adjustments to receipts and disbursements. A new electronic storage system is under consideration for ease of access to adjustment documentation. Anticipated Completion Date: 4/30/24

View Audit 48334

Finding 52306 (2022-002)

Material Weakness 2022

White County

IN

Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking Special Tests & Provisions § 200.303

FINDING 2022-002 Contact Person Responsible for Corrective Action: Elizabeth J Billue Contact Phone Number: 574-583-1515 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: For all current and future federal grants, the Auditor?s office will notify the r...

FINDING 2022-002 Contact Person Responsible for Corrective Action: Elizabeth J Billue Contact Phone Number: 574-583-1515 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: For all current and future federal grants, the Auditor?s office will notify the responsible County Department and any Grant Management Contractor in writing to encourage increased communication between Grantconnected entities. This notice will include a specific request for all financial and wage reports to be submitted for review, approval and oversight by the County throughout the timespan of the Grant project. Ideally, a form letter will be drafted that will include multiple items to note responsibility for reporting to the County that will be used for all federal grant awards managed by entities other than the County. Anticipated Completion Date: 12/31/23

View Audit 48334

Finding 52267 (2022-002)

Material Weakness 2022

South Henry School Corporation

IN

Questioned Costs School Nutrition Programs Cash Management § 200.303

FINDING 2022-002 Information on the federal program: Subject: Child Nutrition Cluster ? Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Numbers: 10.553, 10.555, 10.559 Pass-Through Entity: Indi...

FINDING 2022-002 Information on the federal program: Subject: Child Nutrition Cluster ? Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Numbers: 10.553, 10.555, 10.559 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Reporting Audit Finding: Material Weakness Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the reporting compliance requirement. Context: We noted that for two claims in a sample of four, the meal counts were over/under claimed for the month. We noted that in October 2020 the School Corporation had overclaimed lunches by four meals and breakfast by one meal and in April 2022, the School Corporation had overclaimed breakfast by 358 meals and underclaimed lunches by 182 meals. Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: We had changed software from Comalex to Mosaic during the audit period. We quickly found that Mosaic did not have the capabilities, processes, or correct reporting that Comalex had. Heartland Corp. owns both software products, we were insured that Mosaic was a far superiod software ? we found the opposite within 4 months we switched back to Comales. Processes and reports are more clearly defined and ?cleaner accounting?. Responsible Party and Timeline for Completion: Amy Milner, Business Manager. Corrective action has already been in place for several months.

View Audit 51471 Questioned Costs: $1

Finding 52259 (2022-002)

Material Weakness 2022

Jacksonville Aviation Authority

FL

Reporting Cash Management Material Weakness § 200.502 § 200.508 § 200.510

Finding Number: 2022-002 Condition: The SEFA required adjustments related to expenditures that were both improperly included, resulting in revisions to correct the SEFA. Planned Corrective Action: JAA will strengthen our controls around the grant review process. In addition to the second-level rev...

Finding Number: 2022-002 Condition: The SEFA required adjustments related to expenditures that were both improperly included, resulting in revisions to correct the SEFA. Planned Corrective Action: JAA will strengthen our controls around the grant review process. In addition to the second-level review and approval process for grant revenue, JAA will implement a quarterly review to identify eligible expenditures for Federal and State Grant reimbursements to ensure revenue is recognized in the proper period. Contact person responsible for corrective action: Jose V. Lopez Anticipated Completion Date: 09/30/2023

View Audit 50537

Finding 52190 (2022-001)

Material Weakness 2022

City of Leominster

MA

Allowable Costs / Cost Principles Material Weakness § 200.430

Audit Finding Reference: 2022-001 Improve Time and Effort Documentation Planned Corrective Action: We understand the importance and requirement regarding this finding. Semi-Annual certification of all staff funded fully out of grants will be completed. Monthly Time and Effort certifications will ...

Audit Finding Reference: 2022-001 Improve Time and Effort Documentation Planned Corrective Action: We understand the importance and requirement regarding this finding. Semi-Annual certification of all staff funded fully out of grants will be completed. Monthly Time and Effort certifications will be completed for all staff funded out of multiple accounts, grant or local. Stipend and Payment for additional work forms will be completed for all staff supporting grant funded activities outside of contractual time. These forms will be re- viewed and maintained by Grant administrators. The district will use forms created and recommended for use by Massachusetts Department of Elementary and Secondary Education. Sample forms are attached. Name of Contact Person and Completion Date: Laureen Cipolla, Accountability and Student Achievement, laureen.cipolla@leominsterschools.org 978-537-7700 x l345 Anticipated date of completion - 6/30/23

View Audit 51498

Finding 52180 (2022-001)

Material Weakness 2022

Foodbank of Southeastern Virginia

VA

Material Weakness Reporting Equipment & Real Property Management

Material Weakness in Internal Control over Compliance Finding 2022-001 ? Inventory Obsolescence Name of Contact Person: Dean Wooten The Foodbank identified a problem in our USDA inventory management after the departure of several employees over the last year. During Covid it had become more diffic...

Material Weakness in Internal Control over Compliance Finding 2022-001 ? Inventory Obsolescence Name of Contact Person: Dean Wooten The Foodbank identified a problem in our USDA inventory management after the departure of several employees over the last year. During Covid it had become more difficult to distribute USDA product as many partner agencies no longer participated in the program. In addition, a weekly distribution held at the Foodbank had to be terminated due to social distancing standards. Consequently, some frozen inventory was retained longer than allowed. Once identified, management immediately self-disclosed the error to the Virginia Department of Agriculture and Consumer Services (VDACS) and the USDA. Management immediately began working with both parties to address the issue. Management also disclosed the situation to auditors at the beginning of the 2022 audit engagement. USDA inventory is now reviewed on a regular basis by the Warehouse Manager to identify any items that are not ?moving?. The inventory list is also provided to the Director of Agency & Program Services who works closely with the Warehouse Manager and the USDA partner agencies to make sure product is being utilized in a timely manner. The Foodbank has also enlisted more USDA participating partners which has increased the demand for USDA product. This increased demand will help ensure that product is not remaining in the warehouse beyond the allowed time. The Foodbank is also in the process of a software system upgrade that will add bar code scanning capability to the inventory management system which will enhance inventory control. The Foodbank will also be hiring an inventory position that will report directly to the Finance department and will serve as an internal auditor of the inventory to ensure adherence to accuracy and compliance standards. VDACS is also working closely with the Foodbank to ensure product is moving and being evaluated on a regular basis. In the first two months (July and August), since implementing these changes, the foodbank has increased its USDA food distribution by 100% compared to the previous year, from 191,664 pounds to 384,590 pounds. Proposed Completion Date: Prior to fiscal year end, June 30, 2023.

View Audit 49631

Finding 52083 (2022-004)

Material Weakness 2022

Hearthstone Congregate Housing Corporation

NE

Reporting Material Weakness Matching / Level of Effort / Earmarking

Agree with the finding. Management will plan accordingly to allow submittal of all required reports by the deadline, regardless of final audit reports. All required reports have been submitted through MINC.

View Audit 42977

Finding 52082 (2022-003)

Material Weakness 2022

Hearthstone Congregate Housing Corporation

NE

Internal Control / Segregation of Duties Eligibility Material Weakness

Management agrees with the finding. Additional education has been budgeted in fiscal 2023 for the project manager. We have not been able to cross train another person due to the limited number of available staff.

View Audit 42977

Finding 52071 (2022-002)

Material Weakness 2022

Town of Middlebury, Connecticut

CT

Procurement, Suspension & Debarment Material Weakness § 200.318 § 200.326

Finding 2022-002 Procurement Description of Finding The Town?s procurement standards do not include the essential elements as outlined in 2 CFR sections 200.318 through 200.326 and purchases were made that did not follow these requirements. Statement of Concurrence or Nonconcurrence Management a...

Finding 2022-002 Procurement Description of Finding The Town?s procurement standards do not include the essential elements as outlined in 2 CFR sections 200.318 through 200.326 and purchases were made that did not follow these requirements. Statement of Concurrence or Nonconcurrence Management agrees with this finding. Corrective Action: Corrective action will be taken to ensure the policy is updated and the correct procurement procedures are followed. Name of Contact Person: Edward B. St. John (475) 473-3352 Projected Completion Date: June 30, 2023

View Audit 52978

Finding 52049 (2022-001)

Material Weakness 2022

Cedar County Memorial Hospital

MO

Allowable Costs / Cost Principles Material Weakness Reporting

FINDINGS? FINDINGS AND QUESTIONED COSTS ? MAJOR FEDERAL PROGRAMS DEPARTMENT OF HEALTH AND HUMAN SERVICES 2022 ? 001 COVID-19 Provider Relief Funding Recommendation: We recommend the Hospital design controls to ensure documentation is completed timely and sufficiently on how costs are necessary to r...

FINDINGS? FINDINGS AND QUESTIONED COSTS ? MAJOR FEDERAL PROGRAMS DEPARTMENT OF HEALTH AND HUMAN SERVICES 2022 ? 001 COVID-19 Provider Relief Funding Recommendation: We recommend the Hospital design controls to ensure documentation is completed timely and sufficiently on how costs are necessary to respond to Covid-19. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Management did not believe it was necessary to document how contracted emergency room physician costs were necessary to prepare, prevent and respond to Covid-19. Name of the contact person responsible for corrective action: Carla Gilbert, CFO. Planned completion date for corrective action plan: January 31, 2023 If the Department of Health and Human Services has questions regarding this plan, please call Carla Gilbert, CFO at (417) 876-3097.

View Audit 52320

Finding 52041 (2022-003)

Material Weakness 2022

Clearfield County Career and Technology Center

PA

Reporting Material Weakness

Finding 2022-003: Reporting - Material Weakness/Non-Compliance Federal Program ? Education Stabilization Funds Federal Agency ? U.S. Department of Education Pass-Through Entity ? Not Applicable Assistance Listing Number ? 84.425 Federal Award Year ? June 30, 2022 Criteria: Section 18004(e) of the C...

Finding 2022-003: Reporting - Material Weakness/Non-Compliance Federal Program ? Education Stabilization Funds Federal Agency ? U.S. Department of Education Pass-Through Entity ? Not Applicable Assistance Listing Number ? 84.425 Federal Award Year ? June 30, 2022 Criteria: Section 18004(e) of the Coronavirus Aid, Relief and Economic Security Act (CARES Act), directed institutions receiving funds under Section 18004 of the Act, to submit a new, separate form covering aggregate amounts spent for HEERF I, HEERF II and HEERF III funds each quarterly reporting period (September 30, December 31, March 31, June 30), concluding after an institution has expended and liquidated all (a)(1) Institutional Portion, (a)(2) and (a)(3) funds and checks the ?final report? box. Condition/Context: The Center posted two inaccurate reports to their website, including the Quarterly Budget and Expenditure Reporting under CARES Act Sections 18004(a)(1) Institutional Portion, 18004(a)2), and 18004(a)(3) reports covering the quarters ending December 31, 2021 and March 31, 2022. Two of the five reports tested did not comply with requirements. Effect: The Center did not provide the public with accurate and reliable data related to the 18004 (a)(3) funds. Cause: The Center did not fill out the forms correctly nor in accordance with the HEERF reporting requirements. Questioned Costs: Not applicable. Recommendation: The Center should assign an individual to monitor reporting requirements of awards to ensure the Center is in compliance. In addition, the Center will need to submit updated reports to reflect accurate presentation of the information noted previously that during the year, the Center drew down funds and subsequently reported expenses, it did not incur eligible costs for. Views of Responsible Officials: Management agrees with the finding. While the Center did not provide the public with accurate data, the Center believed it had filed the reports correctly at the time. Corrective Action Taken: Since the finding was identified during the audit, the Center plans to submit the revised reports stated above. Designated member responsible for corrective action plan: Susan Barger, Business Manager

View Audit 50836

Finding 52018 (2022-003)

Material Weakness 2022

Family Medical Center of Michigan, Inc.

MI

Material Weakness Special Tests & Provisions

Section II Government Auditing Standards Findingd 2022-003. Material Weakness and Material Noncompliance - Special Tests. FMC Comments: FMC Patient Account Department has had significant turnover in the billing department over the past two years, as well as implementation of new software. FMC hire s...

Section II Government Auditing Standards Findingd 2022-003. Material Weakness and Material Noncompliance - Special Tests. FMC Comments: FMC Patient Account Department has had significant turnover in the billing department over the past two years, as well as implementation of new software. FMC hire several Temp staff and their turnover and out due to medical issues. Many of the issues are due to improper documentation or manual error in inputting the patients slide scale in the system. Corrective Action: Family Medical will have management or assigned staff to review all the current sliding fee patient's and ensure that the center has an up to date sliding fee application for each. FMC will retrain staff at the Front Desk at each site and require them to provide obtain the proper application and d ocuments. Patient Accounts will review the current application to ensure that the current patients are being charged the proper sliding fee scale. Management will develop a training module with HR to have each staff complete and test out. FMC is working on hiring additional Staff. We expect this to be completed by February 28, 2023. Responsible Staff: Sena Jolliffi and Christine Croley.

View Audit 50312

Finding 51990 (2022-002)

Material Weakness 2022

Pioneer Regional School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Cash Management § 200.303

CORRECTIVE ACTION PLAN OF CURRENT AUDIT FINDINGS June 30, 2022 FINDING 2022-002 Information on the federal program: Subject: Child Nutrition Cluster ? Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance L...

CORRECTIVE ACTION PLAN OF CURRENT AUDIT FINDINGS June 30, 2022 FINDING 2022-002 Information on the federal program: Subject: Child Nutrition Cluster ? Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Numbers: 10.553, 10.555 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Reporting Audit Finding: Significant Deficiency Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the reporting compliance requirement. Context: We noted that for one claim in a sample of four, the Food Services Director prepared the sponsor claim reimbursement summary without a secondary, documented review to ensure the accuracy of the sponsor claim reimbursement summary. Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: We will verify that each claim has been reviewed by a secondary person for accuracy. Responsible Party and Timeline for Completion: Loretta Kimbrell, Immediately

View Audit 52912

Finding 51968 (2022-003)

Material Weakness 2022

Howard County Housing Commission

MD

HUD Housing Programs Material Weakness Internal Control / Segregation of Duties

2022-003 Housing Choice Voucher Program ? FALN No. 14.871 Recommendation: We recommend the Commission review their HQS inspection policies and procedures, and discuss these standards with the third party inspection company that is utilized for these inspections to ensure all inspections are performe...

2022-003 Housing Choice Voucher Program ? FALN No. 14.871 Recommendation: We recommend the Commission review their HQS inspection policies and procedures, and discuss these standards with the third party inspection company that is utilized for these inspections to ensure all inspections are performed timely and that all necessary documentation is maintained for each inspection. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: HCHC has hired a third-party inspector to conduct all inspections. The third party is also responsible for determining rent reasonableness for agency-owned properties. The following actions have been implemented to ensure the integrity of HQS inspections: ? Established a clear communication channel and reporting format with the third-party inspection company. ? Defined the inspection scope, frequency, and criteria to meet the quality standards. ? Conduct regular audits and reviews of the inspection results and reports to ensure accuracy and constancy. The reviews will be conducted monthly by a newly created Quality Control staff member and the Director of Rental Assistance. The monitoring process will consist of a review of (1) 50058 action type 13 submissions in PIC, (2) all failed inspections, and (3) the timeliness and abatement status of the third-party vendor. ? Provide regular feedback and recommendations to the third-party inspection company to improve their quality and efficiency. An established monthly meeting is currently in place; however, additional meetings will be setup if necessary. ? Ensure that the third-party company utilizes real-time data tools to communicate with the HCHC Yardi Software. Yardi has a mobile inspection app that the third-party inspector will begin using. In addition, the Commission will evaluate the existing third-party inspection company to decide if its contract will be renewed or terminated based on performance. If the contract is terminated, the Commission will solicit for a new inspection company. Name(s) of the contact person(s) responsible for corrective action: Paul Diggs, Director of HCVP Planned completion date for corrective action plan: December 31, 2023

View Audit 49580

Corrective Action Plans

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