Corrective Action Plans

Finding 569789 (2024-061)

Material Weakness 2024

State of Alaska

AK

Special Tests & Provisions Eligibility Material Weakness

Finding: 2024-061 - Each state shall participate in Income Eligibility and Verification System required by Section 1137 of the Social Security Act as amended. Fifteen of 60 cases tested lacked adequate documentation to indicate if all components of income verification were gathered and processed cor...

Finding: 2024-061 - Each state shall participate in Income Eligibility and Verification System required by Section 1137 of the Social Security Act as amended. Fifteen of 60 cases tested lacked adequate documentation to indicate if all components of income verification were gathered and processed correctly. Questioned Costs: None Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): Division of Public Assistance staff will be coached on proper case documentation standards and procedures such as including appropriate information in case notes and uploading documentation in ILINX to support eligibility determinations. Spot checks and case reviews will be performed for case completion and accuracy. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2025. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087

Finding 569788 (2024-060)

Material Weakness 2024

State of Alaska

AK

Subrecipient Monitoring Internal Control / Segregation of Duties Material Weakness

Finding: 2024-060 - No Federal Funding and Transparency Act (FFATA) reports were submitted during the audit period of July 1, 2023 through June 30, 2024. Additionally, the State could not provide evidence that the FFY 23 ACF-204 annual report was completed or submitted to the federal agency. Questi...

Finding: 2024-060 - No Federal Funding and Transparency Act (FFATA) reports were submitted during the audit period of July 1, 2023 through June 30, 2024. Additionally, the State could not provide evidence that the FFY 23 ACF-204 annual report was completed or submitted to the federal agency. Questioned Costs: None Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): Division of Public Assistance will compile comprehensive procedures. Staff will be trained on the ACF-204 reporting process to ensure both accurate and timely reporting in future fiscal years. For FFATA, the Division of Shared Services will implement procedures in FY2025 to coordinate workflow of necessary information within and between agencies so that FFATA reporting can occur in a timely manner. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2026. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087

Finding 569758 (2024-055)

Material Weakness 2024

State of Alaska

AK

Allowable Costs / Cost Principles Special Tests & Provisions Procurement, Suspension & Debarment § 200.303

Finding: 2024-055 - Daily SNAP EBT reconciliations were not performed in FY 24. Questioned Costs: None Assistance Listing Number: 10.551, 10.561 Assistance Listing Title: SNAP Cluster Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree,...

Finding: 2024-055 - Daily SNAP EBT reconciliations were not performed in FY 24. Questioned Costs: None Assistance Listing Number: 10.551, 10.561 Assistance Listing Title: SNAP Cluster Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): The Division of Public Assistance has increased administrative staff and will restore the daily reconciliation processes that were affected by staff turnover. Newer staff will be trained in the reconciliation and discrepancy processes, including review and follow-up of documentation. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2025. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087

Finding 569757 (2024-054)

Material Weakness 2024

State of Alaska

AK

Allowable Costs / Cost Principles Eligibility Special Tests & Provisions § 200.303

Finding: 2024-054 - Testing of 42 SNAP recipient cases to verify the completeness and accuracy of benefit calculations found 37 (88 percent) were incorrect or unsupported, including 24 (57 percent) in which the recipients’ application or reports of changes were not processed within federally require...

Finding: 2024-054 - Testing of 42 SNAP recipient cases to verify the completeness and accuracy of benefit calculations found 37 (88 percent) were incorrect or unsupported, including 24 (57 percent) in which the recipients’ application or reports of changes were not processed within federally required timeframes. Testing of 42 SNAP recipient cases to verify the adequacy of case information stored in EIS and DOH’s document management system, ILINX, found 18 (43 percent) had inadequate verifications of required information. Questioned Costs: AL 10.551: $59,073 Assistance Listing Number: 10.551, 10.561 Assistance Listing Title: SNAP Cluster Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): The Division of Public Assistance has reinstated SNAP interview requirements and verification procedures in FY2025. It will also review casework via supervisory case reviews to ensure accuracy and documentation standards are met. The division’s Learning & Development Team is creating training modules that will provide continuing education to existing staff. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2026. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087

Finding 569756 (2024-053)

Material Weakness 2024

State of Alaska

AK

Allowable Costs / Cost Principles Eligibility Special Tests & Provisions § 200.303

Finding: 2024-053 - The amount of FY 24 Supplemental Nutrition Assistance Program (SNAP) benefits reported to the United States Department of Agriculture (USDA) as issued by the State’s EBT contractor, FIS, was $2,628,951 more than the amount of authorized benefits reported in data from DPA’s Eligib...

Finding: 2024-053 - The amount of FY 24 Supplemental Nutrition Assistance Program (SNAP) benefits reported to the United States Department of Agriculture (USDA) as issued by the State’s EBT contractor, FIS, was $2,628,951 more than the amount of authorized benefits reported in data from DPA’s Eligibility Information System (EIS). Furthermore, FIS could not provide a reliable audit trail of issuances. Questioned Costs: AL 10.551: $2,628,951 Assistance Listing Number: 10.551, 10.561 Assistance Listing Title: SNAP Cluster Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding, but not the questioned cost. The Division of Public Assistance performs monthly reconciliations and balancing efforts to ensure accuracy with routine FIS reports, EIS authorization and issuance reports, and federal reporting. However, the division agrees that a new ad hoc report created for this audit by the EBT contractor, FIS, does not match with issuances and reporting. Corrective Action (corrective action planned): The Division of Public Assistance will work with the EBT contractor, FIS, through the contract performance management process to address discrepancies found between a non standard ad hoc report and program issuances and reporting. The division will evaluate further ad hoc reports against previously established documents for accuracy. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2026. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087

Finding 569755 (2024-052)

Material Weakness 2024

State of Alaska

AK

Questioned Costs School Nutrition Programs Eligibility § 200.303

Finding: 2024-052 - DOH’s Division of Public Assistance (DPA) did not determine or distribute benefits to school children or children in child care in accordance with the process and timeframes in the federally approved state plan. The audit identified the following deficiencies in FY 24: • The chi...

Finding: 2024-052 - DOH’s Division of Public Assistance (DPA) did not determine or distribute benefits to school children or children in child care in accordance with the process and timeframes in the federally approved state plan. The audit identified the following deficiencies in FY 24: • The children in child care beneficiaries were not identified as required by the school year 2020—2021 state plan. • The per child benefit amount paid to the 15,697 children in child care was understated by $6.21 and 125 children were included in both the student and the child care benefit eligibility lists. • Issuance records provided by DPA’s Electronic Benefits Transfer (EBT) contractor, Fidelity National Information Services (FIS), were $795,659 more than DPA reported issuances. Furthermore, the FIS report included $28,992 in duplicate summer 2021 benefit issuances to school children. • School year 2020—2021 student beneficiaries paid in FY 24 received benefits at least two years late and the children in child care beneficiaries were paid benefits at least 20 months late. Summer of 2021 beneficiaries paid in FY24 received benefits at least 20 months late. Questioned Costs: AL 10.542: Indeterminate Assistance Listing Number: 10.542 Assistance Listing Title: Pandemic Electronic Benefit Transfer Food Benefits (P-EBT) COVID-19 Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department partially agrees with the finding. The Division of Public Assistance disagrees with the finding regarding issuance timelines. The division communicated with FNS regarding manual benefit issuance for Alaska expressing timelines would be affected and FNS did not request an updated timeline. Communication with FNS regarding issuance remained consistent, with no indication to alter our issuance plan. Corrective Action (corrective action planned): Shall the department agree to administer this federal program in the future, the Commissioner will allocate the resources necessary to prevent the necessity to manually administer the federal program. Completion Date (list anticipated completion date): Not applicable. This federal program is complete. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087 Questioned Costs: $1

Finding 569696 (2024-002)

Material Weakness 2024

Nebraska Urban Indian Health Coalition, Inc.

NE

Material Weakness Period of Performance Matching / Level of Effort / Earmarking § 200.313

Finding 2024-002 – Activities Allowed/Unallowed, Costs Principles and Period of Performance (Internal Controls Over Compliance) (Repeat Finding 2023-001) Condition: During our review of the Coalition’s disbursements related to the Title V major program, we examined 68 transactions for internal cont...

Finding 2024-002 – Activities Allowed/Unallowed, Costs Principles and Period of Performance (Internal Controls Over Compliance) (Repeat Finding 2023-001) Condition: During our review of the Coalition’s disbursements related to the Title V major program, we examined 68 transactions for internal controls over compliance. 7 of the 68 transactions examined did not contain sufficient evidence that a review and approval process was completed prior to payment being processed. Corrective Action Plan: In response to the finding regarding insufficient internal controls over compliance for disbursements related to the Title V major program, the Nebraska Urban Indian Health Coalition (NUIHC) has previously taken several corrective actions to strengthen compliance, including: 1. Review and Revision of Policies and Procedures: NUIHC conducted a comprehensive review of internal control policies and procedures related to disbursements. Updates were made to ensure alignment with 2 CFR §200.313(a), and clear guidelines for review and approval processes were established. 2. Staff Training and Education: Training was provided to procurement and finance staff to ensure understanding of the revised procedures and federal compliance requirements, emphasizing the importance of proper approvals prior to disbursement. 3. Implementation of Standardized Approval Controls: A formal approval process and checklist system were implemented to ensure all disbursements are reviewed and approved by designated authorities before payment, with documentation retained for compliance. 4. Ongoing Monitoring and Internal Reviews: NUIHC began conducting quarterly internal compliance checks to verify adherence to updated procedures. Update and Continuation Plan: While these corrective actions were successfully implemented, the retirement of the former CEO temporarily stalled consistent oversight and reinforcement of these procedures. With new leadership in place, NUIHC is recommitting to the continued execution and monitoring of these corrective actions. Refresher training will be incorporated into ongoing professional development and onboarding for new staff, and quarterly internal audits will resume as scheduled. Timeline for Implementation: Corrective actions were initially implemented in 2024, and reinforcement activities—including staff refreshers and compliance monitoring—will continue a rolling basis starting July 2025. Responsible Party: Chief Financial Officer, Carlett Gregory Anticipated Completion Date: Ongoing; reinforcement begins July 2025

View Audit 361040

Finding 569689 (2024-001)

Material Weakness 2024

California Foundation for Independent Living Centers

CA

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

Finding Reference Number: 2024-001 Description of Finding: Expenditures totaling $273,298 were incorrectly charged to the 93.464 program for a fiscal year in which the costs were not actually incurred. This misclassification resulted from recording expenses based on the purchase order date (Septemb...

Finding Reference Number: 2024-001 Description of Finding: Expenditures totaling $273,298 were incorrectly charged to the 93.464 program for a fiscal year in which the costs were not actually incurred. This misclassification resulted from recording expenses based on the purchase order date (September 30) rather than the actual service date, leading to overbilling for the grant year. Statement of Concurrence or Nonconcurrence: We concur with the audit finding regarding the misclassification of expenditures totaling $273,298 to the 93.464 program after the fiscal year-end. We acknowledge that these costs were recorded in the incorrect accounting period, resulting in an overstatement of grant expenditures for the fiscal year. Corrective Action: 1. Policy Update: CFILC will revise expense recognition policies to require that costs be recorded in the period matching the actual service date. 2. Year-End Review Process: CFILC will implement a formal review process at fiscal year-end to confirm expenses are attributed to the correct fiscal year. 3. Staff Training: CFILC will provide training for financial reporting and grant billing staff on the expense recognition policy and year-end review process. 4. Monitoring & Compliance: CFILC will establish periodic internal audits or reviews to ensure ongoing compliance with the updated procedures. 5. Finance Committee Oversight: Executive Director will report to the Finance Committee on the status of this corrective action plan by the completion date of December 31, 2025. Name of Contact Person: Kathrine Crowley, Acting Executive Director, kathrine@cfilc.org, (916) 232-1985 Projected Completion Date: December 31, 2025

View Audit 361029

Finding 569685 (2024-006)

Material Weakness 2024

City of Long Beach

CA

HUD Housing Programs Eligibility Subrecipient Monitoring § 200.303

Program: Section 8 Housing Choice Voucher Finding: 2024-006 Contact Person: Michelle Mel-Duch Housing Administrative and Financial Services Officer Health & Human Services Department Phone: (562) 570-5344 Email: Michelle.Mel-Duch@longbeach.gov Planned Actions: 1. Automated Data Validation and Err...

Program: Section 8 Housing Choice Voucher Finding: 2024-006 Contact Person: Michelle Mel-Duch Housing Administrative and Financial Services Officer Health & Human Services Department Phone: (562) 570-5344 Email: Michelle.Mel-Duch@longbeach.gov Planned Actions: 1. Automated Data Validation and Error Detection: o HACLB utilizes the MRI housing management software, which syncs to the HUD’s PIC (Public and Indian Housing Information Center)requirements, ensuring data consistency and validation. o The MRI system incorporates HUD’s mandated validation standards and automatically identifies errors in participant data before submission to the PIC system. o Validation errors flagged by MRI are reviewed and corrected prior to submission to HUD, ensuring data accuracy and compliance. 2. Compliance with HUD Standards and Reporting: o Each recertification is submitted to the HUD PIC system, which further validates the data and alerts HACLB to any errors through the PIC Error Dashboard. o HACLB promptly addresses and corrects errors identified by PIC to maintain program integrity and compliance with HUD reporting standards. 3. Quality Control and Training: o HACLB conducts annual SEMAP (Section Eight Management Assessment Program) evaluations, which include quality control indicators to assess the accuracy of calculations and program administration. o Errors identified through SEMAP and system validations are used proactively as training opportunities for staff. o New Housing Specialists’ work is closely reviewed during their training period to ensure accuracy and compliance. 4. Systematic Tracking and Monitoring: o The MRI system facilitates ongoing quality control tracking, enabling Housing staff to monitor and correct errors effectively. o HACLB’s process includes regular oversight and review of participant files and related transactions to ensure timely and accurate housing assistance payments and reporting. Expected Completion Date: December 31, 2025

View Audit 361021

Finding 569683 (2024-005)

Material Weakness 2024

City of Long Beach

CA

HUD Housing Programs Subrecipient Monitoring Eligibility § 200.303

Program: Section 8 Housing Choice Voucher Finding: 2024-005 Contact Person: Michelle Mel-Duch Housing Administrative and Financial Services Officer Health & Human Services Department Phone: (562) 570-5344 Email: Michelle.Mel-Duch@longbeach.gov Planned Actions: 1. Process Improvement for Reinspect...

Program: Section 8 Housing Choice Voucher Finding: 2024-005 Contact Person: Michelle Mel-Duch Housing Administrative and Financial Services Officer Health & Human Services Department Phone: (562) 570-5344 Email: Michelle.Mel-Duch@longbeach.gov Planned Actions: 1. Process Improvement for Reinspection Scheduling: o Beginning December 2024, HACLB implemented an enhanced scheduling process to ensure all reinspections are conducted prior to the expiration of the required 30-day remediation period. o The agency has configured its housing software platform (MRI) to automatically schedule reinspections in advance of the 30-day deadline following the identification of deficiencies. This automated process minimizes the risk of delay or oversight. 2. Extension Tracking and Compliance Monitoring: o The MRI system is also configured to flag cases where an extension has been requested or approved, allowing for documented exceptions while maintaining compliance oversight. o Staff monitor reinspection dates regularly through system-generated reports to ensure adherence to HUD standards and to follow up on any outstanding cases. Expected Completion Date: December 31. 2025

View Audit 361021

Finding 569673 (2024-002)

Material Weakness 2024

City of Long Beach

CA

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

Program: HOME Investment Partnerships Program (HOME) Finding: 2024-002 Contact Person: April Apodaca Administrative & Financial Services Bureau Manager Community Development Department Phone: (562) 570-6611 Email: April.Apodaca@longbeach.gov Planned Actions: The City has increased the number of p...

Program: HOME Investment Partnerships Program (HOME) Finding: 2024-002 Contact Person: April Apodaca Administrative & Financial Services Bureau Manager Community Development Department Phone: (562) 570-6611 Email: April.Apodaca@longbeach.gov Planned Actions: The City has increased the number of properties inspected each fiscal year. For example, during the FY23 audit period, 204 inspections occurred. In the FY24 period, the number of inspections increased to 227. As of May 2025, the City has inspected 187 units and anticipates a total of 250 inspections will be completed by the end of FY25, thereby eliminating the current backlog and any late inspections. The Community Development Department implemented more proactive measures, including hiring an in-house inspector and an active master inspection log to track and target upcoming inspections. These efforts have resulted in a more streamlined, data-informed approach to HQS compliance, as evidenced by a significant reduction in the inspection backlog. The master inspection log is also being leveraged to optimize inspection scheduling and ensure that the required HOME units per property are inspected as required. To reinforce this approach, the City instituted a structured, monthly review of the log to improve data accuracy, completeness, and early identification of potential delays. The City is confident that these measures will demonstrate compliance with the HQS standards and resolve the auditor’s concerns. Expected Completion Date: 12/31/2025

View Audit 361021

Finding 569598 (2024-006)

Material Weakness 2024

Wayne Metropolitan Community Action Agency and Affiliates

MI

Questioned Costs Special Tests & Provisions HUD Housing Programs

2024-006: Special Tests and Provisions - Reasonable Rental Rates A compliance analyst has been hired to review client files and ensure that appropriate documentation is present in client files to meet funder needs and support federal expenditures.

View Audit 360986 Questioned Costs: $1

Finding 569476 (2024-004)

Material Weakness 2024

North East Community Action Corporation and Subsidiaries

MO

Questioned Costs HUD Housing Programs Subrecipient Monitoring

2024-004 U.S. Department of Housing and Urban Development Housing Voucher Cluster - 14.871 Section 8 Housing Choice Vouchers and 14.879 Mainstream Vouchers - Material Weakness Condition and Criteria: An assistance payment was calculated incorrectly due to errors in data entry. Eligibility for the p...

2024-004 U.S. Department of Housing and Urban Development Housing Voucher Cluster - 14.871 Section 8 Housing Choice Vouchers and 14.879 Mainstream Vouchers - Material Weakness Condition and Criteria: An assistance payment was calculated incorrectly due to errors in data entry. Eligibility for the program requires payment based on substantiated income and expense of the applicants. Cause: Human error in the calculation of income allowance which affected the assistance payment. Effect: The cost of the assistance may be disallowed. Context: A sample of grants totaling $33,038 was selected for audit from a population of $6,470,217. The test found questioned costs totaling $36. Our sample was a statistically valid sample. CORRECTIVE ACTION PLAN RESPONSE: Housing counselors are instructed to document their math on the proof of income they are figuring, and double check their figures. A spreadsheet has also been created so that they can choose how often a client is paid and enter the amounts of pay and it figures the totals for them. If they use the spreadsheet, they are asked to print it out and scan it in with the transaction documents. Anticipated completion date: 9/30/25 Responsible party: Michelle Worthington, Section 8 Housing Director Please contact Vicky Pritchett, Finance Director at 573-213-4811 extension #10102 with questions regarding this plan.

View Audit 360960 Questioned Costs: $1

Finding 569475 (2024-003)

Material Weakness 2024

North East Community Action Corporation and Subsidiaries

MO

Questioned Costs HUD Housing Programs Material Weakness

2024-003 U.S. Department of Housing and Urban Development Housing Voucher Cluster - 14.871 Section 8 Housing Choice Vouchers and 14.879 Mainstream Vouchers Condition and Criteria: The Agency is to retain supporting documentation for individuals served by the program to support assistance payments m...

2024-003 U.S. Department of Housing and Urban Development Housing Voucher Cluster - 14.871 Section 8 Housing Choice Vouchers and 14.879 Mainstream Vouchers Condition and Criteria: The Agency is to retain supporting documentation for individuals served by the program to support assistance payments made to these individuals. The Agency was unable to retrieve some of their scanned documentation for part of the year audited (four tenants in the sample). Cause: The Agency relies solely on an outside vendor to back-up their data. The Agency switched vendors for part of the year audited and upon terminating the agreement with that vendor, some scanned documentation was lost and is irretrievable. The Agency did not maintain paper files. Effect: There is a possibility rental assistance payments could be considered disallowed expenditures due to lack of supporting documentation identified. Context: The Agency identified the issue and recreated lost documentation to the best of their ability. A sample of grants totaling $33,038 was selected for audit from a population of $6,470,217. The test found questioned costs totaling $1,962. Our sample was a statistically valid sample. CORRECTIVE ACTION PLAN RESPONSE: The agency recreated what we could and uploaded to the current housing software. Housing counselors are instructed to keep the paper versions of household transactions for two years and verify that the electronic copy is clear before shredding. Anticipated completion date: 9/30/25 Responsible party: Michelle Worthington, Section 8 Housing Director Please contact Vicky Pritchett, Finance Director at 573-213-4811 extension #10102 with questions regarding this plan.

View Audit 360960 Questioned Costs: $1

Finding 569474 (2024-002)

Material Weakness 2024

North East Community Action Corporation and Subsidiaries

MO

Questioned Costs HUD Housing Programs Material Weakness

2024-002 U.S. Department of Housing and Urban Development Housing Voucher Cluster - 14.871 Section 8 Housing Choice Vouchers and 14.879 Mainstream Vouchers - Material Weakness Condition and Criteria: The Agency is to retain supporting documentation for individuals served by the program to support a...

2024-002 U.S. Department of Housing and Urban Development Housing Voucher Cluster - 14.871 Section 8 Housing Choice Vouchers and 14.879 Mainstream Vouchers - Material Weakness Condition and Criteria: The Agency is to retain supporting documentation for individuals served by the program to support assistance payments made to these individuals. The Agency was unable to retrieve some of their scanned documentation for part of the year audited (four tenants in the sample). Cause: The Agency relies solely on an outside vendor to back-up their data. The Agency switched vendors for part of the year audited and upon terminating the agreement with that vendor, some scanned documentation was lost and is irretrievable. The Agency did not maintain paper files. Effect: There is a possibility rental assistance payments could be considered disallowed expenditures due to lack of supporting documentation identified. Context: The Agency identified the issue and recreated lost documentation to the best of their ability. A sample of grants totaling $33,038 was selected for audit from a population of $6,470,217. The test found questioned costs totaling $1,962. Our sample was a statistically valid sample. CORRECTIVE ACTION PLAN RESPONSE: The agency recreated what we could and uploaded to the current housing software. Housing counselors are instructed to keep the paper versions of household transactions for two years and verify that the electronic copy is clear before shredding. Anticipated completion date: 9/30/25 Responsible party: Michelle Worthington, Section 8 Housing Director Please contact Vicky Pritchett, Finance Director at 573-213-4811 extension #10102 with questions regarding this plan.

View Audit 360960 Questioned Costs: $1

Finding 569445 (2024-003)

Material Weakness 2024

Okeechobee County, Fl

FL

Internal Control / Segregation of Duties Subrecipient Monitoring Material Weakness

93 Aging Cluster – Assistance Listing No. 93.044, 93.045, and 93.053 Recommendation: We recommend all reports submitted to grantors be reviewed by knowledgeable personnel before submittal. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action take...

93 Aging Cluster – Assistance Listing No. 93.044, 93.045, and 93.053 Recommendation: We recommend all reports submitted to grantors be reviewed by knowledgeable personnel before submittal. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to the findings: The County will establish a formal review process for all reports submitted to grantors. All grant-related reports will be required to undergo secondary review and approval by departmental personnel knowledgeable with the grant prior to submission. This review will be documented by designated personnel with their signature and date of review. A digital record e.g., e-mail chain will also be accepted and maintained with grant submittal documentation as evidence of secondary review in lieu of original signature. Name(s) of the contact person(s) responsible for corrective action: Lisa Ridley Planned completion date for corrective action plan: 7/1/2025.

View Audit 360936

Finding 569443 (2024-004)

Material Weakness 2024

Associated Ministries of Tacoma/pierce County

WA

Allowable Costs / Cost Principles Special Tests & Provisions Subrecipient Monitoring § 200.302

Views of responsible officials and planned corrective actions: The documentation supporting program check requests is maintained by the program staff in the client files. When requesting a disbursement for a client, the case manager prepares a check request after following the process prescribed b...

Views of responsible officials and planned corrective actions: The documentation supporting program check requests is maintained by the program staff in the client files. When requesting a disbursement for a client, the case manager prepares a check request after following the process prescribed by the program and contract for determining an allowable disbursement. The check request is then reviewed and approved by a supervisor who also checks for eligibility and allowability of the disbursement. Only the approved check request is provided to the finance office to create the disbursement to avoid duplication of records. The client files and these records have been reviewed during site visits and previous audits without exception and with no delay in providing requested information. To further improve this process, however, the program has added a new form to be completed for each new client’s rental costs clearly identifying the costs to be paid and the source information for those costs. The supervisor reviewing disbursement requests will also affirmatively indicate on the check request that they have verified this documentation in the client file. Responsible Official: Molly Archer, Chief Operating Officer and Valorie Crout, Chief Program Officer Anticipated Completion Date: 6/1/2025

View Audit 360932

Finding 569442 (2024-002)

Material Weakness 2024

Prisma Health and Subsidiaries

SC

Procurement, Suspension & Debarment Material Weakness § 200.318 § 200.327

Condition: Prisma Health's written procurement policy and procedures are not compliant with the requirements of the Uniform Guidance (2 CFR Part 200). This includes the absence of a documented policy outlining the different procurement methods, related thresholds, necessary documentation, and steps ...

Condition: Prisma Health's written procurement policy and procedures are not compliant with the requirements of the Uniform Guidance (2 CFR Part 200). This includes the absence of a documented policy outlining the different procurement methods, related thresholds, necessary documentation, and steps to ensure full and open competition when using federal funds. Planned Corrective Action: Prisma Health acknowledges this finding and will develop and implement a Uniform Guidance compliant procurement policy within the next month. The policy will be reviewed and approved by the CFO, head of Procurement and representatives of the Grants team. Contact person responsible for corrective action: Matt Elsey, Executive Vice President and CFO Anticipated Completion Date: 7/31/2025

View Audit 360931

Finding 569423 (2024-025)

Material Weakness 2024

District of Columbia Housing Authority

MD

HUD Housing Programs Special Tests & Provisions Material Weakness

Finding: 2024-025 U.S. Department of Housing and Urban Development AL No. 14.871/14.879 Housing Voucher Cluster Material Weakness in Internal Control over Compliance/ Material Noncompliance for Special Tests and Provisions – Rent Reasonableness Repeat Finding: Yes 2023-007 Auditee’s Corrective Actio...

Finding: 2024-025 U.S. Department of Housing and Urban Development AL No. 14.871/14.879 Housing Voucher Cluster Material Weakness in Internal Control over Compliance/ Material Noncompliance for Special Tests and Provisions – Rent Reasonableness Repeat Finding: Yes 2023-007 Auditee’s Corrective Action Plan: DCHA has implemented controls to ensure rent to the owner is reasonable and in accordance to our admin plan. All rent reasonableness files are housed in the rent reasonableness software- AffordableHousing.com. DCHA has a policy in place for rent reasonableness, and all rent reasonable comparability studies are housed in the software system. Contact Person:Anton Shaw, Director, Housing Choice Voucher Program Completion Date: September 30, 2026

View Audit 360910

Finding 569422 (2024-024)

Material Weakness 2024

District of Columbia Housing Authority

MD

HUD Housing Programs Special Tests & Provisions Material Weakness

Finding 2024-024 U.S. Department of Housing and Urban Development (HUD) AL No. 14.871/14.879 Housing Voucher Cluster Material Weakness in Internal Control over Compliance for Special Tests and Provisions - HQS Repeat Finding: Yes; 2023-005 Auditee’s Corrective Action Plan: DCHA reviewed the eight te...

Finding 2024-024 U.S. Department of Housing and Urban Development (HUD) AL No. 14.871/14.879 Housing Voucher Cluster Material Weakness in Internal Control over Compliance for Special Tests and Provisions - HQS Repeat Finding: Yes; 2023-005 Auditee’s Corrective Action Plan: DCHA reviewed the eight tested, and they will be completed in accordance to the DCHA Admin plan which will be completed in FY 2025. Contact Person: Anton Shaw, Director, Housing Choice Voucher Program Completion Date: September 30, 2025

View Audit 360910

Finding 569421 (2024-023)

Material Weakness 2024

District of Columbia Housing Authority

MD

HUD Housing Programs Special Tests & Provisions Material Weakness

Finding 2024-023 U.S. Department of Housing and Urban Development (HUD) AL No. 14.871/14.879 Housing Voucher Cluster Material Weakness in Internal Control over Compliance for Special Tests and Provisions – HQS Enforcement Repeat Finding: Yes; 2023-004 Auditee’s Corrective Action Plan: The HCVP Inspe...

Finding 2024-023 U.S. Department of Housing and Urban Development (HUD) AL No. 14.871/14.879 Housing Voucher Cluster Material Weakness in Internal Control over Compliance for Special Tests and Provisions – HQS Enforcement Repeat Finding: Yes; 2023-004 Auditee’s Corrective Action Plan: The HCVP Inspections department has begun a department reorganization which includes updating Standard Operating Procedures (SOPs), enhancement to the Yardi inspections module, and training. The reorganization will allow oversight of DCHA inspection team and contracted inspection staff that was brought on to assist the backlog of annual inspections. Quality control measures have also been put into place to monitor the Yardi system of timely inspections, reinspections, and/or abatements. Contact Person: Anton Shaw, Director, Housing Choice Voucher Program Completion Date: September 30, 2026

View Audit 360910

Finding 569420 (2024-022)

Material Weakness 2024

District of Columbia Housing Authority

MD

HUD Housing Programs Eligibility Material Weakness

Finding 2024-022 U.S. Department of Housing and Urban Development (HUD) AL No. 14.871/14.879 Housing Voucher Cluster Material Weakness in Internal Control over Compliance for Eligibility Repeat Finding: Yes; 2023-003 Auditee’s Corrective Action Plan: DCHA has increased their quality control departme...

Finding 2024-022 U.S. Department of Housing and Urban Development (HUD) AL No. 14.871/14.879 Housing Voucher Cluster Material Weakness in Internal Control over Compliance for Eligibility Repeat Finding: Yes; 2023-003 Auditee’s Corrective Action Plan: DCHA has increased their quality control department to ensure that file reviews are completed and stored electronically in the Yardi system. In addition, DCHA has engaged with several consulting groups to assist in the backlog of recertifications while the current staff works on the current recertifications so they do not become past due like in the past. Third party vendors have been brought onboard to assist with processing all past due biennial recertifications. Contact Person: Anton Shaw, Director, Housing Choice Voucher Program Completion Date: September 30, 2026

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Finding 569417 (2024-021)

Material Weakness 2024

District of Columbia Housing Authority

MD

Eligibility HUD Housing Programs Material Weakness

Finding 2024-021 U.S. Department of Housing and Urban Development (HUD) AL No. 14.881 Moving to Work Demonstration Material Weakness in Internal Control over Compliance for Eligibility Repeat Finding: Yes; 2023-002 Auditee’s Corrective Action Plan: DCHA has increased their quality control department...

Finding 2024-021 U.S. Department of Housing and Urban Development (HUD) AL No. 14.881 Moving to Work Demonstration Material Weakness in Internal Control over Compliance for Eligibility Repeat Finding: Yes; 2023-002 Auditee’s Corrective Action Plan: DCHA has increased their quality control department to ensure that file reviews are completed and stored electronically in the Yardi system. In addition, DCHA has engaged with several consulting groups to assist in the backlog of recertifications while the current staff works on the current recertifications so they do not become past due like in the past. Contact Person: Anton Shaw, Director, Housing Choice Voucher Program Completion Date: September 30, 2026

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Finding 569416 (2024-004)

Material Weakness 2024

First Financial Credit Union

NM

Reporting Material Weakness

4. Finding 2024-004 Section B of the grant agreement, Annual Report Submission Deadlines, requires OMB Standard Form 425 (SF 425) be filed by October 15, 2024. The form is utilized to report federal cash disbursements. The Credit Union reported provision for credit loss (PCL) expense of $2,778,000 i...

4. Finding 2024-004 Section B of the grant agreement, Annual Report Submission Deadlines, requires OMB Standard Form 425 (SF 425) be filed by October 15, 2024. The form is utilized to report federal cash disbursements. The Credit Union reported provision for credit loss (PCL) expense of $2,778,000 in the federal cash disbursements section of the form. Although PCL is an allowable use of award funds, there were no federal cash disbursements of grant funds during the current fiscal year. a. Action(s) Taken or Planned on the Finding Management is in the process of developing policies and procedures to ensure all reports are submitted and reported timely and accurately. b. Implementation Date: Estimated completion date is August 31, 2025.

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Finding 569415 (2024-003)

Material Weakness 2024

First Financial Credit Union

NM

Allowable Costs / Cost Principles HUD Housing Programs Material Weakness

3. Finding 2024-003 Section 5.1 of the grant agreement incorporates 2 CFR Part 200, which establishes uniform administrative requirements, cost principles, and audit requirements for Federal awards, Uniform Guidance (UG) Administrative Requirements. UG administrative requirements puts emphasis on wr...

3. Finding 2024-003 Section 5.1 of the grant agreement incorporates 2 CFR Part 200, which establishes uniform administrative requirements, cost principles, and audit requirements for Federal awards, Uniform Guidance (UG) Administrative Requirements. UG administrative requirements puts emphasis on written policies and procedures as central in its objective to maintain effective internal controls over federal awards. a. Action(s) Taken or Planned on the Finding Management has is in the process of developing policies and procedures to comply with the grant agreement and 2 CFR 200. b. Implementation Date: Estimated completion date is August 31, 2025.

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Corrective Action Plans

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