Corrective Action Plans

Finding 15976 (2022-034)

Material Weakness 2022

State of Washington C/o Office of Financial Management

WA

Subrecipient Monitoring Reporting Equipment & Real Property Management

Finding: The Department of Health did not have adequate internal controls over and did not comply with reporting requirements for the Epidemiology and Laboratory Capacity for Infectious Diseases program. Questioned Costs: Assistance Listing # 93.323 93.323 COVID-19 Status: Corrective action...

Finding: The Department of Health did not have adequate internal controls over and did not comply with reporting requirements for the Epidemiology and Laboratory Capacity for Infectious Diseases program. Questioned Costs: Assistance Listing # 93.323 93.323 COVID-19 Status: Corrective action in progress Corrective Action: The Department partially agrees with the finding. For the two reports on which the auditors took exceptions, the Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) program did discover the errors after the original reports were submitted. The Department notified the Centers for Disease Control and Prevention (CDC) about the reporting errors in February 2022, which was within the reporting period. However, due to a technical issue, the federal reporting system would not allow ELC program staff to input edits to the reports for the months of July through October 2021. After a discussion with CDC, program staff were advised to submit the corrected data of the previous reports via email, which was subsequently accepted by the grantor and the issue was resolved. The Department agrees there needs to be evidence of documented reviews of reports and is implementing steps to ensure review and approval of reports are well documented and retained before final submission to the federal grantor. Completion Date: Estimated December 2023 Agency Contact: Jeff Arbuckle External Audit Manager PO Box 47890 Olympia, WA 98504-7890 (360) 701-0798 Jeff.Arbuckle@doh.wa.gov

View Audit 23129

Finding 15938 (2022-001)

Material Weakness 2022

Syracuse Model Neighborhood Facility, Inc.

NY

Material Weakness Reporting Internal Control / Segregation of Duties

Material Weakness 2022-001 Bank Statement Reconciliations Contact Person Responsible for Corrective Action Plan: Lawrence Williams, Chief Executive Officer. Corrective Action Plan: The Chief Executive Officer and Chief Financial Officer will ensure this important control procedure is rectified to...

Material Weakness 2022-001 Bank Statement Reconciliations Contact Person Responsible for Corrective Action Plan: Lawrence Williams, Chief Executive Officer. Corrective Action Plan: The Chief Executive Officer and Chief Financial Officer will ensure this important control procedure is rectified to ensure that bank reconciliations are performed and reviewed in a timely manner. Anticipated Completion Date of Corrective Action Plan: June 30, 2023

View Audit 19559

Finding 15916 (2022-002)

Material Weakness 2022

South Carolina State Housing Finance and Development Authority

SC

Questioned Costs Material Weakness Internal Control / Segregation of Duties

Housing Voucher Cluster ? Assistance Listing Numbers 14.871/14.879 Recommendation: We recommend the Authority implements controls to ensure that the Authority requires HQS deficiencies to be corrected within the timeframe set forth by 2 CFR section 982.404(a). We recommend the Authority implements c...

Housing Voucher Cluster ? Assistance Listing Numbers 14.871/14.879 Recommendation: We recommend the Authority implements controls to ensure that the Authority requires HQS deficiencies to be corrected within the timeframe set forth by 2 CFR section 982.404(a). We recommend the Authority implements controls to ensure abatement is timely for units that do not correct the cited HQS deficiencies within the required timeframe. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Processes have been updated to assure that Yardi system generated letters are being utilized by staff for inspection deficiency correspondence. The vendor, Yardi, assumes responsibility for assuring that this correspondence meets all current regulatory requirements, as may be amended periodically. This will cure the notice deficiencies observed by the audit team. Additional training is being provided to HCP staff to insure they have a clear understanding of communication requirements and the critical timeline that accompanies the mitigation of exigent health and safety findings, other non-life threating deficiencies, as well as the follow-up inspection time frames allowed by HUD. Processes have been updated to require a monthly report of failed HQS inspections, to include all actions taken, be issued to the Director of Housing Choice Voucher and the Director of Rental Assistance and Compliance. This report is due by the first business day monthly and will be reviewed by senior management to determine abatements required and to issue authorization to abate within the HUD required timeframe. Memo records will be recorded on each voucher file to document actions taken. Financing Housing. Building SC. Names of the contact persons responsible for corrective action: Yolanda Dennison and Lisa Wilkerson Planned completion date for corrective action plan: Partially implemented; to be finalized by June 30, 2023.

View Audit 19599 Questioned Costs: $1

Finding 15915 (2022-001)

Material Weakness 2022

South Carolina State Housing Finance and Development Authority

SC

Material Weakness Internal Control / Segregation of Duties

Housing Voucher Cluster ? Assistance Listing Numbers 14.871/14.879 Recommendation: We recommend the Authority implement controls to ensure that required HQS and QC inspections are completed timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Actio...

Housing Voucher Cluster ? Assistance Listing Numbers 14.871/14.879 Recommendation: We recommend the Authority implement controls to ensure that required HQS and QC inspections are completed timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Periodic HQS Inspections: Procedures are in place that require staff to generate a listing of all properties requiring inspection no less than one hundred twenty (120) days prior to the scheduled inspection date. Each unit under HAP contract must be inspected prior to execution of the initial lease and prior to execution of the HAP contract and no less than biennially thereafter to confirm the unit continues to meet minimum HUD requirements. Management identified a system generated report from YARDI to establish when recurring inspections must be completed. This report is generated a minimum of once monthly to assist with scheduling. The report is monitored by the Operations Manager and the Housing Choice Voucher Director. Procedures have been updated to require that the Director of Rental Assistance and Compliance review all inspections completed after the date due and the accompanying explanation for the delay. Management will track and analyze the data generated from the late inspections to identify patterns and implement corrective actions as warranted. Financing Housing. Building SC. QC Inspections: Upon discovery, a supervisor was assigned and all prior year HQS QC inspections were completed, albeit late. Effective April 1, 2023, and every month thereafter, the designated manager will conduct QC inspections utilizing the minimum file size sample based on the number of units under HAP contract annually. All required inspections will be completed no later than the end of each fiscal year. A status report documenting all efforts and results will be submitted monthly to the Director of Rental Assistance and Compliance. Management will track and analyze the data generated from these inspections to assure all program inspections are consistent and compliant and that any patterns identified are effectively addressed with additional training, etc. as warranted. Names of the contact persons responsible for corrective action: Lenzy Morris, Yolanda Dennison, Lisa Wilkerson Planned completion date for corrective action plan: June 30, 2023

View Audit 19599

Finding 15901 (2022-002)

Material Weakness 2022

Woodland School District No. 404

WA

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

Finding ref number: 2022-002 Finding caption: The District did not have adequate internal controls for ensuring compliance with wage rate requirements. Name, address, and telephone of District contact person: Stacy Brown, Director of Business Services 800 Second St Woodland, WA 98674-8467 (360) 8...

Finding ref number: 2022-002 Finding caption: The District did not have adequate internal controls for ensuring compliance with wage rate requirements. Name, address, and telephone of District contact person: Stacy Brown, Director of Business Services 800 Second St Woodland, WA 98674-8467 (360) 841-2715 Corrective action the auditee plans to take in response to the finding: (If the auditee does not concur with the finding, the auditee must list the reasons for disagreement). The current vendor invoices do not break out when we are getting equipment and when there are staff onsite working. The work has been sporadic, so in the Business Office, we do not know when they are onsite and therefore not sure when payrolls are required. We are working with the maintenance department to keep us apprised when we have contractors onsite working on the HVAC (ESSER) projects. We originally thought we could get the weekly payrolls from the L&I website, but are finding that they are not posted timely and sometimes not at all. We are working directly with the vendors to provide weekly payrolls when they are working. The district has implemented a review log for all Federal projects requiring review of weekly payrolls. The Purchasing and Benefits Coordinator will document the vendor, week and certify that she has received and reviewed the payrolls received. Payment will be withheld if we do not receive the payrolls in a timely manner. Anticipated date to complete the corrective action: 6/12/23

View Audit 19549

Finding 15893 (2022-001)

Material Weakness 2022

Home Share 092-Hd017

MN

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

March 27, 2023 HOME SHARE HUD PROJECT NO. 092-HD017 Corrective Action Plan Finding: 2022-001 ? Compliance and Controls over Compliance ? Eligibility Supportive Housing for Persons with Disabilities (Section 811), CFDA No. 14.181 Material Weakness & Noncompliance In 2022, Home Share did not have cont...

March 27, 2023 HOME SHARE HUD PROJECT NO. 092-HD017 Corrective Action Plan Finding: 2022-001 ? Compliance and Controls over Compliance ? Eligibility Supportive Housing for Persons with Disabilities (Section 811), CFDA No. 14.181 Material Weakness & Noncompliance In 2022, Home Share did not have controls in place to ensure that eligibility criteria and rent calculations were being reviewed and/or approved by someone other than the individual making the initial determination or annual recertification. Actions Taken or Planned: Management agrees with this finding. Beginning in January 2022, management has contracted out the eligibility determination process to a third-party contractor with significant experience in affordable housing and similar processes. Management is working with the contractor to include a second individual in this process so that there will be a review performed by someone other than the individual making the initial determination or annual recertification. Contact Persons: Ernest Johnson, Housing Associate Director Robert Pickering, Chief Financial Officer

View Audit 19545

Finding 15892 (2022-001)

Material Weakness 2022

Greenwood Charter School

UT

Material Weakness Reporting Matching / Level of Effort / Earmarking

Finding 2022-001 Finding Summary: Greenwood Charter School is required to submit annual financial statements and the proposed budget to the USDA. These items were not provided to the USDA by June 30, 2022. Responsible Individuals: Tracey Nelsen, Director and Matt Lovell, Business Manager Corrective ...

Finding 2022-001 Finding Summary: Greenwood Charter School is required to submit annual financial statements and the proposed budget to the USDA. These items were not provided to the USDA by June 30, 2022. Responsible Individuals: Tracey Nelsen, Director and Matt Lovell, Business Manager Corrective Action Plan: Management will provide a copy of the audited financial statements and copy of the proposed budget to USDA annually. Anticipated Completion Date: Ongoing Anticipated Completion Date: Management has provided the audited financial statements and a copy of the proposed budget to USDA in December 2022 and will continue to ensure all necessary corrective action plan items are submitted to the USDA each year.

View Audit 19543

Finding 15875 (2022-007)

Material Weakness 2022

School District of Marathon City

WI

Internal Control / Segregation of Duties Subrecipient Monitoring Cash Management

Child Nutrition Cluster Reporting Child Nutrition Cluster - Assistance Listing No. 10.553, 10.555 Recommendation: We recommend the District implement a review procedure over reimbursement requests where someone other than the preparer reviews the claim to ensure accounts agree back to supporting doc...

Child Nutrition Cluster Reporting Child Nutrition Cluster - Assistance Listing No. 10.553, 10.555 Recommendation: We recommend the District implement a review procedure over reimbursement requests where someone other than the preparer reviews the claim to ensure accounts agree back to supporting documentation prior to the reimbursement request being filed with the grating agency. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action Planned/Taken: Food service reports are now reviewed and initialed monthly. Food service director would initially run the report and it would be reconciled by the Business Manager. Final claims are reconciled before the report is submitted and initialed by the Superintendent. Name(s) of the contact person(s) responsible for corrective action: Nimisha Patel, Business Manager Planned completion date for corrective action plan: January 1, 2023

View Audit 19352

Finding 15816 (2022-027)

Material Weakness 2022

State of Washington C/o Office of Financial Management

WA

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

Finding: The Office of Financial Management did not have adequate internal controls over and did not comply with federal level of effort requirements for the Education Stabilization Fund program. Questioned Costs: Assistance Listing # 84.425D COVID-19 84.425R COVID-19 94.425U COVID-19 84.425...

Finding: The Office of Financial Management did not have adequate internal controls over and did not comply with federal level of effort requirements for the Education Stabilization Fund program. Questioned Costs: Assistance Listing # 84.425D COVID-19 84.425R COVID-19 94.425U COVID-19 84.425V COVID-19 Amount $0 Status: Corrective action not taken Corrective Action: The Office does not concur with the finding. The Office performed the maintenance of effort (MOE) calculations in accordance with the guidance provided by the U.S. Department of Education (ED). Based on appropriations and past funding, it was determined that the fiscal year 2022 expenditure level did not meet the MOE requirement. The Office followed the federal guidance and directions from a legislative proviso in the enacted state budget (Chapter 334, Laws of 2021, Sec. 954) and submitted a waiver request for fiscal years 2022 and 2023. The waiver was submitted before ED?s stipulated deadline of December 31, 2021. ED?s website confirmed an MOE waiver request was received from Washington state and the status of the request is currently listed as ?under review.? The Office maintains adequate internal controls and has followed all federal and state requirements with due diligence in requesting the MOE waiver. The approval process rests with the federal grantor, and the waiver has not been disapproved. In addition, the Office has been meeting with ED on a monthly basis and is already consulting with the grantor regarding the pending waiver request. The Office will also continue to work with the Legislature, which is the state-level authority for state appropriations, to monitor any updates to federal requirements. Completion Date: Not applicable Agency Contact: Brian Tinney Statewide Accounting Director PO Box 43127 Olympia, WA 98504-3127 (564) 999-1781 brian.tinney@ofm.wa.gov

View Audit 23129

Finding 15717 (2022-001)

Material Weakness 2022

Bullock Creek School District

MI

Cash Management School Nutrition Programs Material Weakness

October 22, 2022 Finding Number: 2022-001 ? Excess Fund Balance In Food Service Fund Condition: As of year-end the District had a fund balance in the non-profit food service fund in excess of three months? operating expenses by approximately $85,951. Responsible Person: Stephen Grubaugh ? Dir...

October 22, 2022 Finding Number: 2022-001 ? Excess Fund Balance In Food Service Fund Condition: As of year-end the District had a fund balance in the non-profit food service fund in excess of three months? operating expenses by approximately $85,951. Responsible Person: Stephen Grubaugh ? Director of Business Services Implementation Date: 7/1/2022 During the single audit, it was discovered that Bullock Creek Food Service Department had an excess fund balance in the Food Service Fund by approximately $85,951. This was due to the meal reimbursement rate exceeding the food cost to prepare the meals. All meals served to students during the 2021-2022 school year were provided free of charge to the students, due to grants. In order to reduce the excess fund balance, the district created a spend down plan for the 2022-2023 Fiscal Year. The kitchen at Bullock Creek Elementary needs some structural repairs completed due to faulty roof drainage. The total cost of the project is approximately $73,000. Construction on the project was started in July of 2022 and finished in August. Meal Magic will be implemented during the 2022-2023 School year for tracking of the meal purchases of students and staff. This software will cost approximately $3,000 in the first year to implement and $6,000 in subsequent years. The reaming $10,000 in excess fund balance will be retained, in order to aid in the paydown of potential negative student food service account balances. Since students haven?t paid for breakfasts or lunches for the past 2 years, it is unknown how the many will families will have feel a financial burden paying for their children?s school meals. Sincerely, Stephen Grubaugh Director of Business Services

View Audit 18850

Finding 15706 (2022-003)

Material Weakness 2022

New Castle County, Delaware

DE

Subrecipient Monitoring Material Weakness Period of Performance § 200.303

2022-003 Coronavirus State and Local Fiscal Recovery Funds ? Assistance Listing No. 21.027 Recommendation: The County should enhance its procedures and internal controls regarding preparation of the Project and Expenditure Reports to ensure that information reported is accurate and agrees to support...

2022-003 Coronavirus State and Local Fiscal Recovery Funds ? Assistance Listing No. 21.027 Recommendation: The County should enhance its procedures and internal controls regarding preparation of the Project and Expenditure Reports to ensure that information reported is accurate and agrees to supporting documentation. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: : New Castle County self-reported the variances in expenditures and obligations due to accruals of costs to previously reported quarters. Such variances can be common with just-in-time reporting. Regarding the omitted projects, the Reporting Portal has undergone several updates throughout the period of performance. These updates contributed to confusion in required data for projects. The omitted projects were included in the subsequent reports after the data points were known and tracked. Regarding the reporting of project obligations, Treasury?s definition of obligation is very broad and FAQ 13.17 allows the recipient to use its discretion to determine when an obligation is incurred. Such discretion calls for the interpretation of several source documents. In each report total obligations were not less than total expenditures nor did total obligations exceed available funding. Name(s) of the contact person(s) responsible for corrective action: Benjamin Morris-Levenson Planned completion date for corrective action plan: June 30, 2023

View Audit 18840

Finding 15704 (2022-004)

Material Weakness 2022

New Castle County, Delaware

DE

Subrecipient Monitoring Material Weakness Reporting § 200.303

2022-004 Community Development Block Grant/Entitlement Grants ? Assistance Listing No. 14.218 Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ...

2022-004 Community Development Block Grant/Entitlement Grants ? Assistance Listing No. 14.218 Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Department of Community Services is developing the following internal controls to ensure that FFATA reporting requirements are met. A system has been created to ensure all required sub-awards are reported accurately and timely in the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). The following actions have been taken to ensure future compliance FFATA reporting requirements: ? DCS Fiscal Staff is creating an account within the FSRS system on March 27, 2023 ? DCS Grant Management Staff visited the FSRS site to research the data needed to report ? DCS Grant Management Staff created a document outlining the subaward entity information needed. Any entities receiving a sub-award of $30,000 or more will have this document attached to their Funding Award Letter. The FFTA Forms must be completed by the entity (signed by their Fiscal Officer) and returned to DCS Grant Management staff within 10 business days. A contract will not be issued until the completed FFTA Form is received. ? When the entity returns the completed FFATA Reporting Form to the DSC Grants Department, staff will forward a copy to DCS?s Fiscal Department. DCS?s Fiscal staff will enter the information into the FSRS. A contract will then be sent to the entity. ? DCS Grants Management and Fiscal Staff will be provided the FFATA/FSTS guidance and educated on the new process DCS has established for FFATA Reporting. ? DCS will have until the end of the month, plus one additional month after an award or sub-award is made to enter the information into FSRS system. The DCS issued agency award letter is the point of reference. Name(s) of the contact person(s) responsible for corrective action: Carrie Casey Planned completion date for corrective action plan: June 30, 2023

View Audit 18840

Finding 14471 (2022-002)

Material Weakness 2022

Huntington County Community School Corporation

IN

Internal Control / Segregation of Duties Material Weakness Reporting § 200.303

FINDING 2022-002 Contact Person Responsible for Corrective Action: Edette Eckert Contact Phone Number: 260-356-8312 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: Data collections will be reviewed by someone in the business department other than the ...

FINDING 2022-002 Contact Person Responsible for Corrective Action: Edette Eckert Contact Phone Number: 260-356-8312 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: Data collections will be reviewed by someone in the business department other than the preparer prior to submitting the report and a hard copy of the report will be printed and approved by the Superintendent or someone other than the submitter. Anticipated Completion Date: April 2023

View Audit 17216

Finding 13140 (2022-004)

Material Weakness 2022

City of Sullivan

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: Sue Pitts Contact Phone Number: 812-268-6077 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: We will implement a system of internal controls related to the preparation and submission ...

FINDING 2022-004 Contact Person Responsible for Corrective Action: Sue Pitts Contact Phone Number: 812-268-6077 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: We will implement a system of internal controls related to the preparation and submission of the Project and Expenditure (P&E) Reports. The Clerk-Treasurer will prepare the reports to be reviewed by the Deputy Clerk-Treasurer, prior to submission, to ensure that all projects, sections, and key line items are complete and supported by the ledger. Starting in 2024, the reports will be submitted by the April 30th deadline. Anticipated Completion Date: January 2024

View Audit 17605

Finding 13022 (2022-003)

Material Weakness 2022

City of Dos Palos

CA

Procurement, Suspension & Debarment Subrecipient Monitoring Material Weakness § 200.317 § 200.319 § 200.323

The City of Dos Palos was on a state of emergency Resolution, and when these funds came available, understood that we could go forward with the rehabilitation of our 750,000 gallon tank, for storage for the City. In the future, if an emergency situation should arise, the City will review all regulat...

The City of Dos Palos was on a state of emergency Resolution, and when these funds came available, understood that we could go forward with the rehabilitation of our 750,000 gallon tank, for storage for the City. In the future, if an emergency situation should arise, the City will review all regulations and documents for procurement of the funds. The City's procurement policy is outdated and we will be implementing a new written procurement policy.

View Audit 17112

Finding 13011 (2022-001)

Material Weakness 2022

Centennial Square

MN

Material Weakness Reporting Internal Control / Segregation of Duties

Management will continue to rely on CliftonLarsonAllen to draft the financial statements and the related notes to the financial statements, and will review, approve, and accept responsibility for the annual financial statements prior to their issuance.

View Audit 17123

Finding 12937 (2022-001)

Material Weakness 2022

Irvington Community Schools, Inc.

IN

School Nutrition Programs Internal Control / Segregation of Duties Subrecipient Monitoring

Finding 2022-001 Cash Management (Material Weakness) Federal Program: Child Nutrition Cluster Finding: Per 7 CFR 210.14(b) and 7 CFR 220.7(e)(1)(iv), the ?school food authority shall limit its net cash resources to an amount that does not exceed 3 months average expenditures for its nonprofit school...

Finding 2022-001 Cash Management (Material Weakness) Federal Program: Child Nutrition Cluster Finding: Per 7 CFR 210.14(b) and 7 CFR 220.7(e)(1)(iv), the ?school food authority shall limit its net cash resources to an amount that does not exceed 3 months average expenditures for its nonprofit school food service or such other amount as may be approved by the State agency Management Corrective Action: Previous audit year expenses were classified as ?General? funds when they should have classified as ?Food Service?. This, in aggregate, has led to an excess fund balance. Management, specifically Rod Iberg and Linda Heidrich, will work with the state on how to transfer the large arrear fund balances between accounts. Management will also endeavor to assure that all ongoing expenses are allocated to the correct fund.

View Audit 18123

Finding 12895 (2022-002)

Material Weakness 2022

City of East Chicago

IN

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

FINDING 2022-002 Contact Person Responsible for Corrective Action: Valeriano F. Gomez / City Controller Contact Phone Number: 219-391-8300 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: Additional Internal controls to address Finding 2022-002: A.- 1....

FINDING 2022-002 Contact Person Responsible for Corrective Action: Valeriano F. Gomez / City Controller Contact Phone Number: 219-391-8300 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: Additional Internal controls to address Finding 2022-002: A.- 1. East Chicago SLFRF reporting personnel, will be expanded to include a review of Quarterly Project and Expenditure Reports by a city senior accountant. 2. All personnel will jointly review Quarterly Project & Expenditure Report when completed, before proceeding to submission in portal. 3. Review by city personnel of previous Quarterly Reports to include the initial Interim Report (SLT-4798, 8-31-21) to address issues. 4. To address possible error in reporting tier will e-mail Treasury (SLFRF@treasury.qov.) for guidance and direction. Per Project and Expenditure Report User Guide April 1, 2023. B.- 2. East Chicago SLFRF reporting personnel will include the project ledger to future SLFRF Compliance Quarter Reports to ensure accurate reporting within the proper timeline / period. Note: In addition, with further discussion, we will continue to work on finding other proposals to improve internal controls issues related to Finding 2022-002. Anticipated Completion Date: Corrective actions should be in place for next SLFRF Quarterly Report (2nd Qtr. 2023).

View Audit 17648

Finding 12879 (2022-005)

Material Weakness 2022

Brown County

IN

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

FINDING 2022-005 Julia Reeves Auditor Contact Person 812-988-5485 Contact Phone Number: Views of Responsible Official: I agree with the findings as they are listed. Description of Corrective Action Plan: The Auditors office will have a member of the subrecipient review and sign off and date that the...

FINDING 2022-005 Julia Reeves Auditor Contact Person 812-988-5485 Contact Phone Number: Views of Responsible Official: I agree with the findings as they are listed. Description of Corrective Action Plan: The Auditors office will have a member of the subrecipient review and sign off and date that the invoice was approved with allowable service, prior to coming to the auditor?s office for payment. Anticipated Completion Date: December 31, 2023

View Audit 17582

Finding 12878 (2022-004)

Material Weakness 2022

Brown County

IN

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

FINDING 2022-004 Julia Reeves Auditor Contact Person 812-988-5485 Contact Phone Number: Views of Responsible Official: I agree with the findings as they are listed. Description of Corrective Action Plan: Auditor?s office will Generate a report with a date range and keep the report on file for verifi...

FINDING 2022-004 Julia Reeves Auditor Contact Person 812-988-5485 Contact Phone Number: Views of Responsible Official: I agree with the findings as they are listed. Description of Corrective Action Plan: Auditor?s office will Generate a report with a date range and keep the report on file for verification to confirm report. The Auditor?s office will verify report before submission. Anticipated Completion Date: December 31, 2023

View Audit 17582

Finding 12867 (2022-004)

Material Weakness 2022

Wagner Community Memorial Hospital

SD

Special Tests & Provisions Subrecipient Monitoring Cash Management § 200.303

Finding 2022-004 Federal Agency Name: Department of Health and Human Services Federal Financial Assistance Listing/CFDA #10.766 Program Name: Communities Facilities Loans and Grants Cluster Compliance Requirement: Special Tests - Set aside of a reserve amount backed by the full faith and credit of t...

Finding 2022-004 Federal Agency Name: Department of Health and Human Services Federal Financial Assistance Listing/CFDA #10.766 Program Name: Communities Facilities Loans and Grants Cluster Compliance Requirement: Special Tests - Set aside of a reserve amount backed by the full faith and credit of the United States Finding Summary: Management maintained a reserve account in a pooled investment fund which includes marketable securities backed by the full faith and credit of the United States, but based on the portfolio mix of the investment pool, was not adequate to cover the entire reserve requirement. In addition, we had not established a separate bookkeeping account and/or a separate bank account. Responsible Individuals: Bryan Slaba, Chief Executive Officer Corrective Action Plan: A separate savings account backed by the full faith and credit of the United States and bookkeeping account will be established. Anticipated Completion Date: 12/31/2022

View Audit 17145

Finding 12866 (2022-003)

Material Weakness 2022

Wagner Community Memorial Hospital

SD

Reporting Material Weakness Matching / Level of Effort / Earmarking

Finding 2022-003 Federal Agency Name: Department of Agriculture Federal Financial Assistance Listing/CFDA #10.766 Program Name: Communities Facilities Loans and Grants Cluster Compliance Requirement: Preparation of the Schedule of Expenditures of Federal Awards Finding Summary: Eide Bailly LLP prep...

Finding 2022-003 Federal Agency Name: Department of Agriculture Federal Financial Assistance Listing/CFDA #10.766 Program Name: Communities Facilities Loans and Grants Cluster Compliance Requirement: Preparation of the Schedule of Expenditures of Federal Awards Finding Summary: Eide Bailly LLP prepared our draft Schedule of Expenditures of Federal Awards and accompanying notes to the schedule. Responsible Individuals: Lisa Weisser, Director of Finance Corrective Action Plan: It is not cost effective to have an internal control system designed to provide for the preparation of the Schedule of Expenditures of Federal Awards. We requested that our auditors, Eide Bailly LLP, prepare the Schedule of Expenditures as part of their Single Audit. We have designated members of management to review the drafted Schedule and accompanying notes. Anticipated Completion Date: Ongoing

View Audit 17145

Finding 12716 (2022-001)

Material Weakness 2022

The Inner Voice, Inc.

IL

Internal Control / Segregation of Duties Material Weakness Reporting

MATERIAL WEAKNESS 2022-001 Financial Reporting Recommendation: The financial statement preparation process s...

MATERIAL WEAKNESS 2022-001 Financial Reporting Recommendation: The financial statement preparation process should be part of the internal control system, although the Inner Voice may be financially limited in the hiring of personnel with an up-to-date understanding of accounting preannouncements, proper mitigating factors should be reflected including oversight by management. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: We are in the process of discussing with the Board for hiring of a finance person to prepare the reports so that CFO can review and approve his/her work. Name of the contact person responsible for corrective action: CFO Planned completion date for corrective action plan: September 1, 2023.

View Audit 17548

Finding 12670 (2022-001)

Material Weakness 2022

Center City Housing Corp.

MN

Internal Control / Segregation of Duties Material Weakness Reporting

2022-001: Audit Adjustments and Oversight of the Financial Reporting Process Name of contact person: Kris Meyer, Director of Operations Corrective Action: The Corporation continues to work on educating their new team and implementing good financial statement review processes. Management also intends...

2022-001: Audit Adjustments and Oversight of the Financial Reporting Process Name of contact person: Kris Meyer, Director of Operations Corrective Action: The Corporation continues to work on educating their new team and implementing good financial statement review processes. Management also intends to implement a simplified development accounting process going forward. Proposed completion date: The Organization plans to complete the plan by September 30, 2023.

View Audit 18183

Finding 12633 (2022-009)

Material Weakness 2022

Barclay College

KS

Questioned Costs Eligibility Material Weakness

MATERIAL WEAKNESS 2022-009 Education Stabilization Fund ? Higher Education Emergency Relief Fund ? 84.425 ? Activities Allowed or Unallowed Condition Students were awarded HEERF aid in June 2022 based upon their outstanding account balance, and they were not given the option to take the disburseme...

MATERIAL WEAKNESS 2022-009 Education Stabilization Fund ? Higher Education Emergency Relief Fund ? 84.425 ? Activities Allowed or Unallowed Condition Students were awarded HEERF aid in June 2022 based upon their outstanding account balance, and they were not given the option to take the disbursement as anything other than a credit to their account. Recommendation We recommend that the institution carefully review guidance regarding new funding sources in order to ensure that all applicable requirements are being met. Actions Taken As of April 1, 2023, the College has contacted the Department of Education in order to determine how best to remedy the situation and will take all actions recommended.

View Audit 17529 Questioned Costs: $1

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