Corrective Action Plans

Finding 1179560 (2024-005)

Material Weakness 2024

Economic Action Committee of the Gulf Coast

TX

Subrecipient Monitoring Material Weakness Reporting § 200.302 § 200.303 § 200.334

Finding 2024-005 - Major Program – Reporting Support and Review Corrective Action Plan: Procedures will be implemented to:  Retain detailed support for all Federal reports, including reconciliations to the general ledger  Require documented supervisory review prior to submission  Maintain documen...

Finding 2024-005 - Major Program – Reporting Support and Review Corrective Action Plan: Procedures will be implemented to:  Retain detailed support for all Federal reports, including reconciliations to the general ledger  Require documented supervisory review prior to submission  Maintain documentation of adjustments occurring after report submission  Establish standardized reporting workpapers for each reporting period Responsible Party: Fiscal Officer (preparation), Executive Director (review and approval) Planned Completion Date: Effective March 11, 2026; procedures implemented for all future reports.

View Audit 391938

Finding 1179531 (2024-006)

Material Weakness 2024

Restoration Christian Ministries

CO

Procurement, Suspension & Debarment Allowable Costs / Cost Principles Internal Control / Segregation of Duties § 200.302 § 200.305 § 200.317 § 200.318 § 200.327

Finding Number: 2024-006 Finding Title: Financial Policies and Procedures Federal Program Information: • Federal Agency: Department of Housing and Urban Development; Department of the Treasury • Assistance Listing Numbers (ALN): 14.251 and 21.027 • Federal Program Names: Economic Development Initiat...

Finding Number: 2024-006 Finding Title: Financial Policies and Procedures Federal Program Information: • Federal Agency: Department of Housing and Urban Development; Department of the Treasury • Assistance Listing Numbers (ALN): 14.251 and 21.027 • Federal Program Names: Economic Development Initiatives—Special Project, Neighborhood Initiative and Neighborhood Stabilization Program; Coronavirus State and Local Fiscal Recovery Funds Compliance Requirement: Financial Management and Standards of Financial Management Systems (2 CFR §200.302(b)); Allowable Costs (2 CFR §200.403-405); Procurement (2 CFR §200.317-327); Cash Management (2 CFR §200.305); Travel Costs (2 CFR §200.475) Note: Organization has existing Conflict of Interest policy in compliance with 2 CFR §200.318(c)(1). Questioned Costs: $0 Repeat Finding: No Management's Response: The Board of Directors of Restoration Christian Ministries agrees with the finding. The Organization will establish formalized accounting policies and procedures that adhere to the requirements of the Uniform Guidance. Corrective Action Plan: Corrective Action #1: Comprehensive Policy Manual Development • Action: Engage consultant or work with Contract Accountant to develop comprehensive written financial policies and procedures manual addressing all Uniform Guidance requirements, including: (a) Allowable costs (2 CFR §200.403-405); (b) Procurement (2 CFR §200.317-327); (c) Cash management (2 CFR §200.305); (d) Travel costs (2 CFR §200.475); (e) Time and effort documentation; (f) Equipment management; (g) Subrecipient monitoring; (h) Financial reporting; and (i) Record retention. Ensure policies address financial management system requirements under 2 CFR §200.302. Tailor policies to Organization's all-volunteer structure. [Note: Organization already has Conflict of Interest policy complying with 2 CFR §200.318(c)(1).] • Responsible Person/Title: Board Treasurer with Contract Accountant • Anticipated Completion Date: April 30, 2026 Corrective Action #2: Board Approval and Adoption • Action: Present draft policies to full Board of Directors for review and input. Board will formally adopt policies by resolution. Document approval in Board meeting minutes. • Responsible Person/Title: Board President • Anticipated Completion Date: May 31, 2026 Corrective Action #3: Dissemination and Training • Action: Distribute approved policies to all Board members and Contract Accountant. Conduct training session for Board members and Contract Accountant on new policies and procedures. Board members and Contract Accountant will sign acknowledgment of receipt and understanding. Make policies readily accessible (e.g., shared drive, Board portal). • Responsible Person/Title: Board President • Anticipated Completion Date: June 30, 2026 Corrective Action #4: Implementation Tools and Support • Action: Develop templates, forms, and tools to support policy implementation. Create workflow diagrams and checklists for common transactions. Establish Board Treasurer as primary resource for policy implementation questions. • Responsible Person/Title: Board Treasurer and Contract Accountant • Anticipated Completion Date: July 31, 2026 Corrective Action #5: Annual Policy Review Process • Action: Schedule annual review of policies to ensure continued Uniform Guidance compliance. Update policies as needed for regulatory or organizational changes. Submit material policy changes to full Board for approval. • Responsible Person/Title: Board Treasurer • Anticipated Completion Date: Annually, beginning June 2027 Corrective Action #6: Governance Structure Assessment • Action: Board will evaluate establishing Audit Committee or combined Finance/Audit Committee to provide enhanced oversight of financial management, internal controls, and federal compliance. If Board size prohibits separate committee, designate at least two Board members with specific oversight responsibilities. • Responsible Person/Title: Board President • Anticipated Completion Date: June 30, 2026

View Audit 391915

Finding 1179128 (2024-002)

Material Weakness 2024

County of Hancock, Maine

ME

Subrecipient Monitoring Material Weakness

Name of contact person: Michael Crooker, County Administrator Corrective Action: The County will develop and implement a subrecipient monitoring program. Proposed implementation date: The corrective action plan will be implemented as soon as possible.

View Audit 391523

Finding 1179073 (2024-006)

Material Weakness 2024

City of Lincoln Park, Michigan

MI

Reporting Cash Management Material Weakness § 200.502 § 200.510

The City will ensure that all future expenditures are tracked and reported to the proper periods and recorded appropriately.

View Audit 391505

Finding 1179072 (2024-005)

Material Weakness 2024

City of Lincoln Park, Michigan

MI

Subrecipient Monitoring Material Weakness Reporting § 200.510

The City will ensure that all future awards under this program are in compliance and separately report on the Schedule of Expenditures of Federal Awards. All pass-through expenditures will be reconciled to ensure accuracy going forward.

View Audit 391505

Finding 1177663 (2024-003)

Material Weakness 2024

Lake County, Colorado

CO

Internal Control / Segregation of Duties Subrecipient Monitoring Material Weakness

2024-003: Noncompliance and Material Weakness in Internal Controls Over the Reporting Requirement Federal Assistance Listing Number(s): 21.027, 21.032 Program Title: Coronavirus State and Local Fiscal Recovery Funds (SLFRF) and Local Assistance and Tribal Consistency Fund Federal Award Year: 2022-20...

2024-003: Noncompliance and Material Weakness in Internal Controls Over the Reporting Requirement Federal Assistance Listing Number(s): 21.027, 21.032 Program Title: Coronavirus State and Local Fiscal Recovery Funds (SLFRF) and Local Assistance and Tribal Consistency Fund Federal Award Year: 2022-2023 Name of Federal Agency: U.S. Department of Treasury Name of pass-through entity: Direct, Colorado Department of Local Affairs, and various COVID-19 Program: Yes Federal Program: Coronavirus State and Local Fiscal Recovery Funds and Local Assistance and Tribal Consistency Fund Problem: Several required quarterly and one annual grant reports were not submitted by the required deadlines, resulting in noncompliance with grant program requirements and indicating deficiencies in internal controls over reporting in accordance with 2 CFR 200.303. Actions Steps: Creation of a Lake County Grant Policy establishing standardized processes for the application, administration, tracking, and reporting of federally awarded funds to address internal control requirements under 2 CFR 200. This framework is also applied to all other grant funding sources (federal, state, and private) to ensure consistency and oversight. Status: New Lake County Financial Policies and Procedures, including grant application, management, tracking, and reporting requirements, were adopted in 2025. These policies strengthen internal controls, support ongoing compliance with 2 CFR 200, and provide continuous managerial oversight of awarded funds. Dates: January 2025 Goal: To accurately and reliably manage and report on all granted funds awarded to Lake County Government.

View Audit 391078

Finding 1177046 (2024-007)

Material Weakness 2024

County of Delta

MI

Allowable Costs / Cost Principles Cash Management Procurement, Suspension & Debarment § 200.303

2024-007: Material Weakness and Noncompliance – Written Policies Required by the Uniform Guidance Statement of Condition/Criteria: Delta County does not have written policies and procedures to implement the requirements of 2 CFR section 200 for the administration of federal awards. 2 CFR 200.303(a) ...

2024-007: Material Weakness and Noncompliance – Written Policies Required by the Uniform Guidance Statement of Condition/Criteria: Delta County does not have written policies and procedures to implement the requirements of 2 CFR section 200 for the administration of federal awards. 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal controls over the federal awards that provide assurance that the entity is managing the federal awards in compliance with federal statutes, regulations, and the conditions of the federal award. Planned Corrective Action: County management will develop written policies and procedures for grants. Contact person responsible for corrective action: Emily DeSalvo, County Administrator Anticipated Completion Date: March 2026

View Audit 390939

Finding 1176720 (2024-003)

Material Weakness 2024

National Institute for Pharmaceutical Technology and Education, Inc.

MN

Material Weakness Reporting § 200.512

Corrective Action Plan: A new policy or procedure will be created to ensure a better planning for the future signle audits timelines. Responsible Official: Vadim Gurvich, Executive Director, NIPTE Planned completion date for the CAP: JUNE 30, 2026

View Audit 390626

Finding 1176626 (2024-001)

Material Weakness 2024

Hopi Tribal Housing Authority

AZ

Cash Management Material Weakness Reporting

Management Response: Management concurs with the auditor’s finding and recommendation. For audit years ending on December 31, 2020, to 2024, HTHA recognizes that former Finance Director failed to timely reconcile some general ledger balances. We recognize that timely and effective account reconcilia...

Management Response: Management concurs with the auditor’s finding and recommendation. For audit years ending on December 31, 2020, to 2024, HTHA recognizes that former Finance Director failed to timely reconcile some general ledger balances. We recognize that timely and effective account reconciliations are a critical component of internal control over financial reporting to prevent and detect material weaknesses. Anticipated Completion Date: To address the root causes of this material weakness, HTHA hired a Chief Financial Officer who will now implement the following corrective actions:  Standardized Operating Procedures: We will develop and implement a formal Standard Operating Procedure (SOP) by Spring 2026, to document the required frequency, format, and supporting documentation for all material reconciliations.  Staff Training: Mandatory training on the new reconciliation protocols will be conducted for all accounting personnel by June 2026, to reinforce accountability and technical proficiency. Responsible Party: Finance Director (responsible party for financial internal control during the audit year ending on December 31, 2024); and Chief Financial Officer (CFO) (responsible for internal control implementation starting in the year ending on December 31, 2025).

View Audit 390475

Finding 1176616 (2024-002)

Material Weakness 2024

Kankakee County Community Services

IL

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Subrecipient Monitoring

Finding 2024-002 Grant Budget Management Corrective Action Plan: Kankakee County Community Services, Inc. has implemented a comprehensive system to manage its grant budgets efficiently. Following the restructuring of its fiscal department and the engagement of an accounting firm, the organization es...

Finding 2024-002 Grant Budget Management Corrective Action Plan: Kankakee County Community Services, Inc. has implemented a comprehensive system to manage its grant budgets efficiently. Following the restructuring of its fiscal department and the engagement of an accounting firm, the organization established a robust, holistic process for overseeing all grant-related finances. Central to this approach is a budget monitoring calendar, which outlines key dates for report submissions, budget deadlines, and grant renewal periods. This calendar is accessible to all managers, fiscal staff, and the executive team, ensuring everyone remains informed of critical timelines. The Executive Director conducts weekly meetings with the senior leadership team to review ongoing tasks and discuss budget updates. During these meetings, the consultant CFO presents detailed reports on both required actions and the expenditures for each program. Person(s) Responsible: Mr. Anibal Vega Timing for Implementation: 3/1/2026

View Audit 390449

Finding 1176615 (2024-001)

Material Weakness 2024

Kankakee County Community Services

IL

Cash Management Material Weakness Reporting § 200.512

Finding 2024-001 Internal Controls over Financial Reporting and Late Filing of Data Collection Form Corrective Action Plan: Kankakee County Community Services, Inc. has reorganized its fiscal department to strengthen compliance with regulatory accounting standards. The organization engaged an accoun...

Finding 2024-001 Internal Controls over Financial Reporting and Late Filing of Data Collection Form Corrective Action Plan: Kankakee County Community Services, Inc. has reorganized its fiscal department to strengthen compliance with regulatory accounting standards. The organization engaged an accounting firm to assist in updating and restructuring its accounting policies and procedures. An accounting calendar was established to guide the fiscal team in preparing and maintaining internal controls as well as reporting requirements. Additionally, the board of directors’ finance committee convenes on the fourth Monday of each month to review all fiscal operations. Person(s) Responsible: Mr. Anibal Vega Timing for Implementation: 3/1/2026

View Audit 390449

Finding 1176612 (2024-002)

Material Weakness 2024

Clare|matrix

CA

Procurement, Suspension & Debarment Allowable Costs / Cost Principles Material Weakness

Responsible Official's Response: In addition to our response to Finding 2024-001, we have hired a new Director of Human Resources as of December 2023. Most of the issues regarding record retention revolve around HR documentation. As such our new Director will have a significant impact on this proces...

Responsible Official's Response: In addition to our response to Finding 2024-001, we have hired a new Director of Human Resources as of December 2023. Most of the issues regarding record retention revolve around HR documentation. As such our new Director will have a significant impact on this process going forward more so in FY 24-25 rather than FY 23-24. We have taken steps to insure the Human Resources records are audit ready and we have implemented our own internal review process to insure record readiness.

View Audit 390433

Finding 1176371 (2024-005)

Material Weakness 2024

Central Community Transit

MN

Cash Management Material Weakness Reporting

2024-005 UNIFORM GUIDANCE AUDIT REPORTING REQUIREMENTS Federal Agency: Department of Transportation Federal Program: Formula Grants for Rural Areas and Tribal Transit Program Assistance Listing Number: 20.509 Federal Award Identification Number and Year: MN-2020-020-01 Pass-Through Agency: Minnesota...

2024-005 UNIFORM GUIDANCE AUDIT REPORTING REQUIREMENTS Federal Agency: Department of Transportation Federal Program: Formula Grants for Rural Areas and Tribal Transit Program Assistance Listing Number: 20.509 Federal Award Identification Number and Year: MN-2020-020-01 Pass-Through Agency: Minnesota Department of Transportation Pass-Through Number: MN-2020-020-01, MN-2023-045-00 Award Period: Year Ended December 31, 2024 Compliance Requirement: Cash Management Type of Finding: Material Weakness in Internal Controls over Compliance Recommendation: The deadline for filing an audit report with the Federal Clearinghouse is 30 days after receiving the audit report or 9 months after year-end, whichever occurs first. It is recommended that prior to year-end, the operation board annually approve an audit schedule timeline. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Transit Board will annually approve a schedule and timeline prior to year-end. In addition, the Transit Board has hired new external auditors who will have sufficient resources to complete the audit by the September 30, 2026 deadline for the December 31, 2025, audit. Name of the contact person responsible for corrective action: Cecilia Mutharia, Transit Director Planned completion date for corrective action plan: June 30, 2026

View Audit 390191

Finding 1176213 (2024-002)

Material Weakness 2024

Rian Immigrant Center, Inc.

MA

Eligibility Material Weakness Internal Control / Segregation of Duties

The Center recognizes the importance of timely compliance with federal single audit requirements. To address this, in the Spring of 2024, management engaged an outsourced firm specializing in supporting non-profits to provide full-service Controller and CFO support. This firm monitors federal expend...

The Center recognizes the importance of timely compliance with federal single audit requirements. To address this, in the Spring of 2024, management engaged an outsourced firm specializing in supporting non-profits to provide full-service Controller and CFO support. This firm monitors federal expenditures throughout the year, ensuring that thresholds triggering audit requirements are promptly identified. In addition, procedures have been established to track all federal awards and deadlines, with periodic compliance reviews performed by the outsourced team. This oversight will ensure that single audits are conducted when required and that federal regulations are met in a timely and accurate manner.

View Audit 390081

Finding 1176212 (2024-001)

Material Weakness 2024

Rian Immigrant Center, Inc.

MA

Reporting Material Weakness

The Center will implement a documented contract-tracking process to monitor the full lifecycle of agreements and apply GAAP-compliant revenue recognition criteria consistently. Internal controls will be strengthened with oversight from the CFO, who will conduct regular reviews and provide training t...

The Center will implement a documented contract-tracking process to monitor the full lifecycle of agreements and apply GAAP-compliant revenue recognition criteria consistently. Internal controls will be strengthened with oversight from the CFO, who will conduct regular reviews and provide training to relevant staff on GAAP principles and revenue recognition policies. A formal review schedule will be established to ensure continuous monitoring of control effectiveness.

View Audit 390081

Finding 1175909 (2024-001)

Material Weakness 2024

State Education Resource Center

CT

Internal Control / Segregation of Duties Material Weakness Reporting

To mitigate further delays in completing our 2025 audit, SERC has discussed amending the agreement with its current auditing firm to conduct the 2025 audit. SERC has also contracted with an external consultant to facilitate the fiscal department's operations while we find a permanent fiscal departme...

To mitigate further delays in completing our 2025 audit, SERC has discussed amending the agreement with its current auditing firm to conduct the 2025 audit. SERC has also contracted with an external consultant to facilitate the fiscal department's operations while we find a permanent fiscal department head.

View Audit 389883

Finding 1175843 (2024-002)

Material Weakness 2024

Park Duvalle Community Health Center, INC

KY

Special Tests & Provisions Material Weakness Internal Control / Segregation of Duties

CORRECTIVE ACTION PLAN February 24, 2026 U.S. Department of Health and Human Services Park DuValle Community Health Center, Inc. respectively submits the following corrective action plan for the year ended December 31, 2024. Name and address of independent public accounting firm: Blue & Co., LLC 265...

CORRECTIVE ACTION PLAN February 24, 2026 U.S. Department of Health and Human Services Park DuValle Community Health Center, Inc. respectively submits the following corrective action plan for the year ended December 31, 2024. Name and address of independent public accounting firm: Blue & Co., LLC 2650 Eastpoint Pkwy., Suite 300 Louisville, Kentucky 40223 Audit period: December 31, 2024. The findings from the schedule of findings and questioned costs for the year ended December 31, 2024, are discussed below. The findings are numbered consistently with the numbers assigned in the Schedule. FINDINGS - FINANCIAL STATEMENT AUDIT 2024-001 Condition: During our audit procedures, we noted that multiple accounts were not properly reconciled as part of close procedures. The result was multiple audit adjustments that totaled a material adjustment to the financial statements. Action: Management will implement policies and procedures by June 30, 2026, to ensure proper reconciliation of trial balance accounts are properly reconciled. FINDINGS – FEDERAL AWARD PROGRAM AUDITS 2024-002 Condition: Sliding fee scale: There were several instances noted where the incorrect sliding fee discount was given to patients based on their verified incomes and household sizes. Action: Management will implement internal control procedures by June 30, 2026, to ensure that sliding fee discounts are properly applied and posted to patient accounts for eligible encounters. If the U.S. Department of Health and Human Services has questions regarding this plan, please call Dr. Swannie Jett, CEO, at (502) 774-4401. Sincerely, Dr. Swannie Jett, Chief Executive Officer Park DuValle Community Health Center, Inc.

View Audit 389818

Finding 1175687 (2024-001)

Material Weakness 2024

Russell Innovation Center for Entrepreneurs, Inc

GA

Material Weakness Reporting Significant Deficiency

Description of Finding: The organization did not complete and submit its Single Audit within the required timeframe due to staff turnover in key financial management positions, resulting in delays in audit coordination and reporting and the timing of commencing the audit. Statement of Concurrence: T...

Description of Finding: The organization did not complete and submit its Single Audit within the required timeframe due to staff turnover in key financial management positions, resulting in delays in audit coordination and reporting and the timing of commencing the audit. Statement of Concurrence: The organization concurs with this finding. Corrective Action: The organization has resolved the underlying cause of this finding by onboarding a Vice President of Finance, who is a Certified Public Accountant (CPA). The VP of Finance is responsible for oversight of financial reporting, compliance with Uniform Guidance (2 CFR Part 200), and coordination of the Single Audit process. Corrective actions implemented include: • Assignment of clear responsibility and accountability for Single Audit compliance to the VP of Finance. • Development of a formal audit timeline and internal milestones to ensure timely audit initiation, completion, and submission. • Strengthening of internal controls over financial reporting and audit documentation. • Ongoing communication and coordination with external auditors to ensure compliance with federal audit requirements. These actions ensure that future Single Audits will be completed and submitted timely in accordance with Uniform Guidance.

View Audit 389544

Finding 1175553 (2024-008)

Material Weakness 2024

Assabet Valley Regional Technical High School

MA

Material Weakness Reporting Internal Control / Segregation of Duties

Finding 2024-008 – Education Stabilization Fund – ESSER III AL No. 84.425U Department of Education Massachusetts Department of Elementary and Secondary Education Noncompliance and Material Weakness Related to Internal Control over Compliance of the Major Program Condition: Upon review of the Assabet...

Finding 2024-008 – Education Stabilization Fund – ESSER III AL No. 84.425U Department of Education Massachusetts Department of Elementary and Secondary Education Noncompliance and Material Weakness Related to Internal Control over Compliance of the Major Program Condition: Upon review of the Assabet Valley Regional Technical High School’s final expense report filed with the Massachusetts Department of Elementary and Secondary Education it was noted that the report did not agree with the School’s accounting ledgers and final amended budget. Criteria: Massachusetts Department of Education and Secondary Education Requires: • Final expenditure reports are required to be filed within 60 days of the grant period ending date and accounting ledgers. Context: The Final expense report for the ESSER III grant does not agree with the general ledger actual expenses and the final amended budget for ESSER III. Effect: Assabet Valley Regional Technical High School was not in compliance with the Final Expenditure Reporting requirement as set forth by the Massachusetts Department of Education and Secondary Education. Questioned Costs: N/A Cause: In June 2023 Assabet’s staff member handling grants retired. They only came in once a week to help with grants until new staff could be hired. In October of 2023 our current grant manager was hired and had very limited training on grants before the retiree quit fully in January 2024. Due to this, training in Edgrants was extremely limited and the FY23 grants mentioned where not handled correctly. Identification as a Repeat Finding: This is not a repeat finding. Recommendation: We recommend the Assabet Valley Regional Technical High School follow procedures to ensure that the Final Expenditure Reports are in agreement with the School’s general ledger total expenses. Responsible for Corrective Plan: Sabrina Howley Estimated Completion Date: 11/5/25, ongoing Action Taken: In June 2023 Assabet’s staff member handling grants retired. They only came in once a week to help with grants until new staff could be hired. In October of 2023 our current grant manager was hired and had very limited training on grants before the retiree quit fully in January 2024. Due to this, training in Edgrants was extremely limited and the FY23 grants mentioned where not handled correctly. Esser III had been amended multiple times, by the time the FR-1 was completed the grant manager quickly went through not realizing it had to match funds and wasn’t automatically changed. Since that time Esser III has been amended and the FR-1 has been competed fully.

View Audit 389346

Finding 1175549 (2024-006)

Material Weakness 2024

Assabet Valley Regional Technical High School

MA

Material Weakness Reporting Internal Control / Segregation of Duties

Finding 2024-006 – Special Education Cluster – AL No. 84.027 Department of Education Massachusetts Department of Elementary and Secondary Education Noncompliance and Material Weakness Related to Internal Control over Compliance of the Major Program Condition: Upon review of the Assabet Valley Region...

Finding 2024-006 – Special Education Cluster – AL No. 84.027 Department of Education Massachusetts Department of Elementary and Secondary Education Noncompliance and Material Weakness Related to Internal Control over Compliance of the Major Program Condition: Upon review of the Assabet Valley Regional Technical High School’s final expense report filed with the Massachusetts Department of Elementary and Secondary Education it was noted that the reports did not agree with the School’s general ledgers. Criteria: Massachusetts Department of Education and Secondary Education Requires: • Final expenditure reports are required to be filed within 60 days of the grant period ending date and agree with general ledgers. Context: The Final expense report for the FY 2023 Special Education PL94-142 reported that the grant was fully spent, however the grant was not fully spent per the School’s general ledger. Effect: Assabet Valley Regional Technical High School was not in compliance with the Final Expenditure Reporting requirement as set forth by the Massachusetts Department of Education and Secondary Education as it did not agree to the Schools accounting ledgers. Questioned Costs: N/A Cause: In June 2023 Assabet’s staff member handling grants retired. They only came in once a week to help with grants until new staff could be hired. In October of 2023 our current grant manager was hired and had very limited training on grants before the retiree quit fully in January 2024. Due to this, training in Edgrants was extremely limited and the FY23 grants mentioned where not handled correctly. Identification as a Repeat Finding: This is not a repeat finding. Recommendation: We recommend the Assabet Valley Regional Technical High School follow procedures to ensure that the Final Expenditure Reports are in agreement with the School’s general ledger. Responsible for Corrective Plan: Sabrina Howley Estimated Completion Date: 11/5/25, Ongoing Action Taken: In June 2023 Assabet’s staff member handling grants retired. They only came in once a week to help with grants until new staff could be hired. In October of 2023 our current grant manager was hired and had very limited training on grants before the retiree quit fully in January 2024. Due to this, training in Edgrants was extremely limited and the FY23 grants mentioned where not handled correctly. All grants since FY24/25 in Gem$ have been managed correctly with processing the FER (no longer FR-1) within the 60 days of the grant period. This will be an ongoing every year for all Federal and State Grants. FER’s will be completed once the grant is fully spent according to our general ledger.

View Audit 389346

Finding 1175544 (2024-007)

Material Weakness 2024

Saint Anthony Health Ministries and Subsidiaries

IL

Subrecipient Monitoring Material Weakness Reporting § 200.334

The Organization hired a new grant and partnership specialist. This specialist attaches all relevant support for expenditure to the internal monthly grant reporting and ensures that all expenditures are fully supported by appropriate detail. This detail is on a shared drive with finance and is revie...

The Organization hired a new grant and partnership specialist. This specialist attaches all relevant support for expenditure to the internal monthly grant reporting and ensures that all expenditures are fully supported by appropriate detail. This detail is on a shared drive with finance and is reviewed by the vice president of finance.

View Audit 389332

Finding 1175345 (2024-001)

Material Weakness 2024

Connecticut Veterans Legal Center, Inc.

CT

Internal Control / Segregation of Duties Subrecipient Monitoring Material Weakness

The Center is in process of implementing monthly close procedures with their third-party bookkeeper. Procedures will include monthly monitoring and supervisory review of reconciliations.

View Audit 389043

Finding 1175310 (2024-001)

Material Weakness 2024

Spatial Informatics Group Natural Assets Laboratory

CA

Subrecipient Monitoring Allowable Costs / Cost Principles Material Weakness § 200.303 § 200.328 § 200.400

Audit Finding: 2024-001 – Lack of Documentation of Review and Approval Planned Corrective Action(s): SIG-NAL will enhance internal controls by implementing formal review and approval processes for payroll, expenses, and financial reporting. The organization will require documented evidence (digital ...

Audit Finding: 2024-001 – Lack of Documentation of Review and Approval Planned Corrective Action(s): SIG-NAL will enhance internal controls by implementing formal review and approval processes for payroll, expenses, and financial reporting. The organization will require documented evidence (digital or written) of all reviews and approvals and will maintain these records in a standardized, centralized system. The Finance Team will ensure that all controls are performed and documented in accordance with 2 CFR Part 200 requirements. Updated internal control policies and procedures were formally adopted in 2025 and implementation began immediately. Standardized review documentation is now required for payroll, expenses, and financial reporting, and oversight by the external accounting firm is ongoing to ensure compliance with 2 CFR Part 200. Anticipated Completion Date ● Implemented in 2025 (Monitoring ongoing) Responsible Party ● Director of Operations, with support from the Finance Team and Executive Director

View Audit 389024

Finding 1175105 (2024-002)

Material Weakness 2024

Mountrail County

ND

Subrecipient Monitoring Material Weakness Reporting § 200.303

2024-002 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS – IMPROPER REPORTING OF EXPENDITURES & OBLIGATIONS – ALN 21.027 – MATERIAL WEAKNESS & MATERIAL NON-COMPLIANCE Condition: Mountrail County did not properly report total expenditures and obligations on the March 31, 2024, Project and Expenditu...

2024-002 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS – IMPROPER REPORTING OF EXPENDITURES & OBLIGATIONS – ALN 21.027 – MATERIAL WEAKNESS & MATERIAL NON-COMPLIANCE Condition: Mountrail County did not properly report total expenditures and obligations on the March 31, 2024, Project and Expenditure Report for the Coronavirus State and Local Fiscal Recovery Funds program. The total reported cumulative and current period expenses were overstated by $516,186 and $500,897, respectively, and the total cumulative and current period obligations were overstated by $49,056 and $144,401, respectively. Management’s Response: We Agree, we will ensure obligations and expenditures for the SLRF grant are properly stated in future periods. Anticipated Completion Date: FY 2025

View Audit 388736

Finding 1174598 (2024-001)

Material Weakness 2024

Houston Housing Authority

TX

Internal Control / Segregation of Duties HUD Housing Programs Material Weakness

Action Taken: The Houston Housing Authority agrees with this finding and related recommendations. During this audit, as these issues arose, notes were taken, evaluation of what had happened was made so that we could make the necessary adjustments to our procedures to prevent the continuation of thes...

Action Taken: The Houston Housing Authority agrees with this finding and related recommendations. During this audit, as these issues arose, notes were taken, evaluation of what had happened was made so that we could make the necessary adjustments to our procedures to prevent the continuation of these issues. In addition, in the previous year we hired a firm to come in and undertake a review of the finance department. The purpose of this review was to review our existing staffing levels, workloads, experience, etc., for purposes of proposing a reorganization of the finance department to address any deficiencies. We have reviewed the recommendations from this consultant and are in the process of implementing many of the recommended changes. There have been a number of staffing changes made during the year with the intent of improving the overall performance of the finance department. We are in the process of evaluating if additional staff are needed to expand the capacity of the Finance department. In November of 2024 the Houston Housing authority converted to a new accounting system. The Yardi system was implemented and we began processing all transactions on this new system. Unfortunately, there have been a significant amount of post implementation corrections and modifications that have had to be made and continue to occur. We are still undergoing these implementation and modification processes and as a result of this we continue to have to make adjusting entries to correct errors as they are discovered. To further complicate this system conversion there were a number of changes made to the management companies that we utilize to do our primary property level accounting. They have also been converting portions of their accounting systems to Yardi. Many of the same problems that have been encountered during our system conversion have also been encountered by the management companies. It is anticipated that most of these system conversion related issues will be resolved within the 2025 calendar year. The VP Fiscal and Business Operations as well as the Director of Finance are responsible for implementing the necessary process and procedural changes to eliminate the need for this type of finding for the 2024 audit.

View Audit 388093

Corrective Action Plans

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