Corrective Action Plans

Finding 496660 (2020-003)

Material Weakness 2020

NC

Questioned Costs Eligibility HUD Housing Programs

Finding 2020-003 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Titles: Public and Indian Housing Program Federal Catalog Numbers: 14.850 Material Noncompliance – E. Eligibility – Tenant Files Non Compliance Material to the Financial Statements: Yes Significant Def...

Finding 2020-003 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Titles: Public and Indian Housing Program Federal Catalog Numbers: 14.850 Material Noncompliance – E. Eligibility – Tenant Files Non Compliance Material to the Financial Statements: Yes Significant Deficiency in Internal Control over Compliance for Eligibility Criteria: Tenant Files. The PHA must do the following: As a condition of admission or continued occupancy, require the tenant and other family member to provide necessary information, documentation, and releases for the PHA to verify income eligibility (24 CFR sections 5.230, 5.609, and 982.516). Condition: Based upon inspection of the Authority’s files and on discussion with management there were a significant number of documents that were unavailable for examination at the time of audit. Context: Of a sample size of twenty-six (26) tenant files, the following information was unavailable for examination at the time of audit: Verification of income and assets was missing in four (4) files Our sample size is statistically valid. Known Questioned Costs: $24,672 Likely Questioned Costs: $1,163,758 Cause: There is a material weakness in internal controls over the compliance for the eligibility type of compliance related to the maintenance of tenant files. The Authority has not properly considered, designed, implemented, maintained and monitored a system of internal controls that reasonably assures the program is in compliance. Effect: The Public and Indian Housing Program is in non-compliance with the eligibility type of compliance related to the maintenance of tenant files. Recommendation: We recommend the Authority design and implement internal control procedures that will reasonably assure compliance with the Uniform Guidance and the compliance supplement. Views of responsible officials and planned corrective action: The Authority has recognized the deficiencies in the Public and Indian Housing Program and will implement internal control procedures that will ensure compliance with federal regulations. Ralph Staley, CFO is responsible for ensuring proper internal controls are in place to prevent significant deficiencies and material weaknesses from occurring and is expected to be completed by December 31, 2024.

View Audit 319475 Questioned Costs: $1

Finding 496658 (2020-002)

Material Weakness 2020

Housing Authority of the City of Durham

NC

HUD Housing Programs Eligibility Material Weakness

Finding Reference Number: 2020-002 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Titles: Section 8 Housing Choice Vouchers and Mainstream Vouchers Programs Federal Assistance Listing Numbers: 14.871 & 14.879 Material Noncompliance Non Compliance Material to the F...

Finding Reference Number: 2020-002 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Titles: Section 8 Housing Choice Vouchers and Mainstream Vouchers Programs Federal Assistance Listing Numbers: 14.871 & 14.879 Material Noncompliance Non Compliance Material to the Financial Statements: Yes Material Weakness in Internal Control over Compliance for Eligibility Criteria: The Authority must maintain complete and accurate accounts and other records for the program in accordance with HUD compliance requirements. Condition: The Authority did not maintain complete and accurate accounts and other records in accordance with HUD compliance requirements including Eligibility, Reporting, and Special Tests and Provisions including selection from the waiting list, housing quality standards inspections, HQS enforcement, and housing assistance payment. Context: The Authority was unable to provide requested documentation at the time of audit to properly test the HUD compliance requirements: Known Questioned Costs: Unknown. Cause: There is a material weakness in internal controls over compliance for the compliance related to the maintenance of accounts and other records. The Authority has not properly considered, designed, implemented, maintained and monitored a system of internal controls that reasonably assures the program is in compliance. Effect: The Housing Vouchers Cluster Programs are in non-compliance requirements of the program. Recommendation: We recommend that the Authority implement a process whereby Authority documents are stored and safeguarded to ensure compliance with the Uniform Guidance and the compliance supplement. Views of responsible officials and planned corrective action: The Authority has recognized the deficiencies in the Housing Vouchers Clusters Program and will implement internal control procedures that will ensure compliance with federal regulations. Ralph Staley, CFO is responsible for ensuring proper internal controls are in place to prevent significant deficiencies and material weaknesses from occurring and is expected to be completed by December 31, 2024.

View Audit 319475

Finding 480780 (2020-003)

Material Weakness 2020

American Association of Physics Teachers, Inc.

MD

Material Weakness Reporting Matching / Level of Effort / Earmarking § 200.302 § 200.508 § 200.510

Finding 2020-003: Reconciliation of Accounts Federal Program: Research and Development Cluster: 47.076 Condition: The year-end schedules for federal grants receivable, for net assets, and for vacation payable were not reconciled and needed to be revised and updated. Views of Responsible Officials an...

Finding 2020-003: Reconciliation of Accounts Federal Program: Research and Development Cluster: 47.076 Condition: The year-end schedules for federal grants receivable, for net assets, and for vacation payable were not reconciled and needed to be revised and updated. Views of Responsible Officials and Planned Corrective Actions: The outstanding liability due to NSF of $73,057 will be reimbursed when AAPT files the next drawn down request. Anticipated date of drawn down will be by April, 30,2024 The remaining balance was earned in 2021. The senior accountant will be trained to prepare entries previously prepared by the CFO The senior accountant will reconcile accounts, and provide updated current schedules. The CFO will review and approve the entries and schedules prepared by the Senior accountant. Anticipated Completion Date: 05/01/2024 Responsible Official: Michael Brosnan, CFO

View Audit 316959

Finding 397963 (2020-009)

Material Weakness 2020

Akiachak Native Community

AK

Allowable Costs / Cost Principles Material Weakness Internal Control / Segregation of Duties § 200.430

Finding 2020-009 Lack of Internal Controls Over Activities Allowed or Unallowed and Allowable Costs/Costs Principles Name of Contact Person: Jonathan Lomack, Acting Tribal Administrator Corrective Action Plan: The finance department was notified of this finding during the audit and immediately co...

Finding 2020-009 Lack of Internal Controls Over Activities Allowed or Unallowed and Allowable Costs/Costs Principles Name of Contact Person: Jonathan Lomack, Acting Tribal Administrator Corrective Action Plan: The finance department was notified of this finding during the audit and immediately corrected the method of converting timecard totals to hours. Personnel files have been reviewed and updated for all current employees. Proposed Completion Date: Complete as of December 2023

View Audit 306672

Finding 397961 (2020-008)

Material Weakness 2020

Akiachak Native Community

AK

Allowable Costs / Cost Principles Material Weakness Reporting

Finding 2020-008 Lack of Internal Controls Over Activities Allowed or Unallowed and Allowable Costs/Cost Principles Name of Contact Person: Jonathan Lomack, Acting Tribal Administrator Corrective Action Plan: Changes have been made to documentation procedures for payables and cash disbursements t...

Finding 2020-008 Lack of Internal Controls Over Activities Allowed or Unallowed and Allowable Costs/Cost Principles Name of Contact Person: Jonathan Lomack, Acting Tribal Administrator Corrective Action Plan: Changes have been made to documentation procedures for payables and cash disbursements to accommodate the minimum requirements for grant regulations and audit purposes. A new bookkeeper is in charge of the finance department and record keeping improvements have been made. Proposed Completion Date: Complete as of December 2023

View Audit 306672

Finding 397959 (2020-007)

Material Weakness 2020

Akiachak Native Community

AK

Questioned Costs Cash Management Material Weakness § 200.305

Finding 2020-007 Lack of Internal Control Over Cash Management Name of Contact Person: Jonathan Lomack, Acting Tribal Administrator Corrective Action Plan: Excessive administrative costs over several years have led to a deficit in the General Fund that will be reduced by a combination of sources ...

Finding 2020-007 Lack of Internal Control Over Cash Management Name of Contact Person: Jonathan Lomack, Acting Tribal Administrator Corrective Action Plan: Excessive administrative costs over several years have led to a deficit in the General Fund that will be reduced by a combination of sources including net gaming proceeds, the use of an indirect cost rate, SLFRF lost revenue funds, and LATCF funds. A budget will be developed for the General Fund and periodic comparisons to actual revenues and expenditures will be made in order to monitor costs and to make changes when necessary. Proposed Completion Date: June 30, 2024

View Audit 306672 Questioned Costs: $1

Finding 397957 (2020-006)

Material Weakness 2020

Akiachak Native Community

AK

Reporting Material Weakness § 200.512

Finding 2020-006 Late Reporting and Noncompliance with Reporting Requirements Name of Contact Person: Jonathan Lomack, Acting Tribal Administrator Corrective Action Plan: Professional assistance will be obtained to conduct the year-end closing process and audit preparation to ensure required audi...

Finding 2020-006 Late Reporting and Noncompliance with Reporting Requirements Name of Contact Person: Jonathan Lomack, Acting Tribal Administrator Corrective Action Plan: Professional assistance will be obtained to conduct the year-end closing process and audit preparation to ensure required audits are completed within nine months. Proposed Completion Date: A certified public accountant has been contracted to assist with the year-end closing and audit preparation process. Since required audits are backlogged by three years, the future date of compliance with this requirement is expected to be in 2027.

View Audit 306672

Finding 396152 (2020-005)

Material Weakness 2020

Bristlecone Family Resources

CA

Eligibility HUD Housing Programs Material Weakness

Management’s Views: Management has identified and implemented processes and procedures that will ensure that the general ledger is properly supported by appropriate documentation and journal entries reviewed by someone other than the preparer, in order to ensure that amounts reported in the financi...

Management’s Views: Management has identified and implemented processes and procedures that will ensure that the general ledger is properly supported by appropriate documentation and journal entries reviewed by someone other than the preparer, in order to ensure that amounts reported in the financial statements are appropriately accounted for in accordance with generally accepted accounting principles.

View Audit 305763

Finding 393741 (2020-004)

Material Weakness 2020

Gloversville Housing Authority

RI

HUD Housing Programs Internal Control / Segregation of Duties Subrecipient Monitoring

2020-004 – REPORTING MATERIAL WEAKNESS/NONCOMPLIANCE Auditee’s Response and Planned Corrective Action The Authority hired a new Executive Director in November 2023. Under new management, the Authority will ensure annual audits are conducted and timely electronic submissions of GAAP-based unaudited a...

2020-004 – REPORTING MATERIAL WEAKNESS/NONCOMPLIANCE Auditee’s Response and Planned Corrective Action The Authority hired a new Executive Director in November 2023. Under new management, the Authority will ensure annual audits are conducted and timely electronic submissions of GAAP-based unaudited and audited financial information to HUD through the FASS-PH system. Planned Implementation Date of Corrective Action: Immediately Person Responsible for Corrective Action: Kayla Potter, Executive Director

View Audit 303910

Finding 393737 (2020-003)

Material Weakness 2020

Gloversville Housing Authority

RI

HUD Housing Programs Eligibility Material Weakness

2020-003 – ELIGIBILITY MATERIAL WEAKNESS/NONCOMPLIANCE Auditee’s Response and Planned Corrective Action The Authority hired a new Executive Director in November 2023. Under new management, the Authority provided training to necessary staff and will discuss with the third party management company to ...

2020-003 – ELIGIBILITY MATERIAL WEAKNESS/NONCOMPLIANCE Auditee’s Response and Planned Corrective Action The Authority hired a new Executive Director in November 2023. Under new management, the Authority provided training to necessary staff and will discuss with the third party management company to ensure compliance with 24 CFP 982.516 in the future. Planned Implementation Date of Corrective Action: Immediately Person Responsible for Corrective Action: Kayla Potter, Executive Director

View Audit 303910

Finding 393733 (2020-002)

Material Weakness 2020

Gloversville Housing Authority

RI

Internal Control / Segregation of Duties Procurement, Suspension & Debarment Subrecipient Monitoring § 200.302

2020-002 – INTERNAL CONTROLS OVER COMPLIANCE MATERIAL WEAKNESS Auditee’s Response and Planned Corrective Action The Authority hired a new Executive Director in November 2023. Under new management, the Authority will maintain proper monitoring, communication and control activities to ensure adherence...

2020-002 – INTERNAL CONTROLS OVER COMPLIANCE MATERIAL WEAKNESS Auditee’s Response and Planned Corrective Action The Authority hired a new Executive Director in November 2023. Under new management, the Authority will maintain proper monitoring, communication and control activities to ensure adherence to the Authority’s key administrative policies including procurement, occupancy and the HCV administrative plan. Additionally, management will have the Board approve all policies and procedures adopted and communicate them with the third party company that manages the Authority’s Housing Choice Voucher and Mainstream Voucher programs. Planned Implementation Date of Corrective Action: Immediately Person Responsible for Corrective Action: Kayla Potter, Executive Director

View Audit 303910

Finding 392652 (2020-107)

Material Weakness 2020

Pancare of Florida, INC

FL

Allowable Costs / Cost Principles Subrecipient Monitoring HUD Housing Programs § 200.303

2020-107 Lack of ACH Payment Review and Approval Condition: Payments are not reviewed prior to ACH payments. The Organization has no documented policies and procedures for handling the processing and review of ACH payments. Corrective Action Planned: : The Organization has hired a new Chief Finan...

2020-107 Lack of ACH Payment Review and Approval Condition: Payments are not reviewed prior to ACH payments. The Organization has no documented policies and procedures for handling the processing and review of ACH payments. Corrective Action Planned: : The Organization has hired a new Chief Financial Officer as well as additional supporting staff within the finance department. Management understands the importance of reviewing the posting of credit memos or applicable invoices to ensure they are posted correctly. We will update our policy to include a process for review of credit memos prior to posting. The planned corrective action for this finding is currently in the process of development, approval, and implementation. Person Responsible for Corrective Action: Robert Thompson, Chief Operating Officer Anticipated Completion Date: March 1, 2023

View Audit 302957

Finding 392651 (2020-106)

Material Weakness 2020

Pancare of Florida, INC

FL

Cash Management Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303

2020-106 Use of Budgeted Versus Actual Costs for Reimbursements Condition: The Organization made drawdowns after month-end based on budgeted period expenses. Insufficient documentation was kept to clearly document that the amount requested was reviewed for accuracy. Corrective Action Planned: The ...

2020-106 Use of Budgeted Versus Actual Costs for Reimbursements Condition: The Organization made drawdowns after month-end based on budgeted period expenses. Insufficient documentation was kept to clearly document that the amount requested was reviewed for accuracy. Corrective Action Planned: The Organization has hired a new Chief Financial Officer as well as additional supporting staff within the finance department. The Organization has reviewed and updated its grant drawdown procedures to included only actual cost and for the request to be reviewed and approved by someone other than the preparer prior to submission. The corrective action for this finding has been approved and implemented by the Organization. Person Responsible for Corrective Action: Robert Thompson, Chief Operating Officer Anticipated Completion Date: Implemented

View Audit 302957

Finding 392647 (2020-101)

Material Weakness 2020

Pancare of Florida, INC

FL

Subrecipient Monitoring Special Tests & Provisions Matching / Level of Effort / Earmarking § 200.303

2020-101 Lack of Internal Controls Over the Application of the Sliding Fee Scale Condition: The Organization lacks consistently applied processes and procedures related to the application of the sliding fee scale. The Organization also lacks a clear review process related to the sliding fee scale ...

2020-101 Lack of Internal Controls Over the Application of the Sliding Fee Scale Condition: The Organization lacks consistently applied processes and procedures related to the application of the sliding fee scale. The Organization also lacks a clear review process related to the sliding fee scale to identify errors quickly to allow for corrections to be made in a timely manner. Corrective Action Planned: The Organization has hired a new Chief Financial Officer as well as additional supporting staff within the finance department. The Organization’s policies for the sliding fee scale were recently updated during fiscal year 2022, by management, based on findings during the monitoring by HRSA performed in 2022, but management will consider discussing potential improvements to their policy with the grantor to potentially update it to allow for certain exceptions. The Organization will also consider discussing the agreement with the local school district in more detail with the grantor to either structure their policies to allow for these visits to have different requirements or to see if the grantor would be willing to provide a waiver with regards to theses visits not being technically in compliance with other regular clinic visits. The planned corrective action for this finding is currently in the process of development, approval, and implementation. The Organization expects to have the corrective action implemented by March 1, 2023. The Organization will continue to engage the consulting services of the professional certified accounting firm to assist in this process through completion. Person Responsible for Corrective Action: Robert Thompson, Chief Operating Officer Anticipated Completion Date: March 1, 2023

View Audit 302957

Finding 390794 (2020-001)

Significant Deficiency 2020

Brush Hill Development Corporation

MA

HUD Housing Programs Material Weakness Reporting

The audited financial statements have been filed with HUD via its REAC system. If thereare any questions regarding this plan, please call Yulia Garcia, Controller, at 508-778-5040.

View Audit 301527

Finding 388127 (2020-003)

Material Weakness 2020

Detroit Central City Cmh, Inc.

MI

Subrecipient Monitoring Cash Management HUD Housing Programs

FINDINGS -FINANCIAL STATEMENT AUDIT Finding Number: 2020-002 Finding Type: Material Weakness Condition: During the audit, it was noted: • Third Party Accounts Receivable accounts were not analyzed prior to the start of the audit and resulted in significant adjustments to properly state those acco...

FINDINGS -FINANCIAL STATEMENT AUDIT Finding Number: 2020-002 Finding Type: Material Weakness Condition: During the audit, it was noted: • Third Party Accounts Receivable accounts were not analyzed prior to the start of the audit and resulted in significant adjustments to properly state those accounts. • Grants Receivable and Grant Revenue accounts were not reviewed prior to the audit to ensure the accounts were properly stated. • General Ledger expense accounts were not reviewed in detail and adjustments were made after the start of the audit to reclassify certain expenses to the proper sub-accounts. Management response: DCCCMH is committed to ensuring compliance with all regulatory requirements. DCCCMH has hired a grant accountant who will be tasked with reconciling all grant-related activities and accounts. In addition, DCCCMH intends on hiring a General Ledger Accountant who will be responsible for reconciling all Balance Sheet accounts for accuracy monthly.

View Audit 299941

Finding 388127 (2020-003)

Material Weakness 2020

Detroit Central City Cmh, Inc.

MI

Subrecipient Monitoring Cash Management HUD Housing Programs

FINDINGS - FINANCIAL STATEMENT AUDIT Finding Number: 2020-003 Finding Type: Material weakness -Financial Management Condition: Expenditures reported in the general ledger for the Continuum of Care Grant of $960,405 did not agree with the expenditures reported to HUD of $1,071,510 and for which H...

FINDINGS - FINANCIAL STATEMENT AUDIT Finding Number: 2020-003 Finding Type: Material weakness -Financial Management Condition: Expenditures reported in the general ledger for the Continuum of Care Grant of $960,405 did not agree with the expenditures reported to HUD of $1,071,510 and for which HUD provided reimbursement. This condition resulted in the Organization being required to make an adjustment to reduce grant reported revenue and record an amount due to HUD for excess funds received. Expenditures reported in the general ledger for the noted HRSA grant exceeded the amount reported and requested for reimbursement. DCCCMH elected to use non-Federal funds to cover the excess expenditures. Management response: DCCCMH has hired a grant accountant who will ensure expenses claimed are accurately reflected in the books and records of DCCCMH. In addition, DCCCMH is hiring a General Ledger Accountant who will ensure all Balance Sheet accounts are reconciled monthly.

View Audit 299941

Finding 384106 (2020-003)

Material Weakness 2020

Detroit Central City Cmh, Inc.

MI

Subrecipient Monitoring Cash Management HUD Housing Programs

Finding Type: Material weakness -Financial Management Condition: During our audit we noted that the expenditures reported in the general ledger for the Continuum of Care grant did not agree with the expenditures reported to HUD of $1,071,510, and for which HUD provided reimbursement. This condit...

Finding Type: Material weakness -Financial Management Condition: During our audit we noted that the expenditures reported in the general ledger for the Continuum of Care grant did not agree with the expenditures reported to HUD of $1,071,510, and for which HUD provided reimbursement. This condition resulted in the Organization being required to make an adjustment to reduce grant reported revenue and record an amount due to HUD for the excess funds received. Expenditures reported in the general ledger for the noted HRSA grant exceeded the amount reported and requested for reimbursement. DCCCMH elected to use non-Federal funds to cover the excess expenditures. Management response: DCCCMH has hired a grant accountant who will ensure expenses claimed are accurately reflected in the books and records of DCCCMH. In addition, DCCCMH is hiring a General Ledger Accountant who will ensure all Balance Sheet accounts are reconciled monthly and tie to amounts reported to grant funders.

View Audit 297250

Finding 380536 (2020-007)

Material Weakness 2020

Quality Community Health Care, Inc.

PA

HUD Housing Programs Material Weakness Internal Control / Segregation of Duties

QCHC's transition from paper charting to electronic health record Athena Health as ofMarch 14, 2023, will improve our calculations and document retention process to support individuals who receive sliding fee discount. The inconsistency among the application of the sliding fee discount program by fr...

QCHC's transition from paper charting to electronic health record Athena Health as ofMarch 14, 2023, will improve our calculations and document retention process to support individuals who receive sliding fee discount. The inconsistency among the application of the sliding fee discount program by front desk staff has been corrected with ongoing training. In addition to training, we have continued to update our Sliding Fee Discount Program on an annual basis. The Chief Medical Officer, Chief Dental Officer, Director of Operations and Business Development, Office Managers and front desk associates have received the Federal Poverty Guidelines for 2024 and the updated Sliding Fee Discount Program approved by the Board of Directors as of January 24, 2024. QCHC has a scheduled training via technical assistance in April 2024. We will also attend training through our membership with Pennsylvania Association of Community Health Centers.

View Audit 295322

Finding 380535 (2020-006)

Material Weakness 2020

Quality Community Health Care, Inc.

PA

HUD Housing Programs Material Weakness Internal Control / Segregation of Duties

QCHC was unable to provide adequate documentation to support the nature of the services provided to patients at Fiscal Year End July 31,2020. Subsequent to July 31, 2020, QCHC's Chief Financial Officer, Accounting Manager and Billing Supervisor have worked together on the operation process to improv...

QCHC was unable to provide adequate documentation to support the nature of the services provided to patients at Fiscal Year End July 31,2020. Subsequent to July 31, 2020, QCHC's Chief Financial Officer, Accounting Manager and Billing Supervisor have worked together on the operation process to improve document retention. As of March 14, 2023, QCHC has transitioned from paper medical Explanation of Benefits (EOB) to electronic. QCHC has also contracted with Athena Health to provide full cycle medical billing as of November 1, 2023. Currently, QCHC has about 95% of all claims, medical and dental EOB's in an electronic format via Dentrix and Athena Health. In addition to Dentrix the transition to Athena Health with full cycle billing, will allow QCHC to maintain adequate patient service billing records. Any paper records received are scanned upon arrival and are housed in billing and accounting file storage. All electronic documents are saved on the QCHC network and are backed up daily.

View Audit 295322

Finding 380534 (2020-005)

Material Weakness 2020

Quality Community Health Care, Inc.

PA

Internal Control / Segregation of Duties HUD Housing Programs Material Weakness

QCHC experienced a ransomware attack against all servers resulting in loss of information across all databases (Centricity, Dentrix and Sage Accpac). There will be a reoccurrence of late audit submission for FYl9, FY20, and FY21. As ofFY22 to date, the Chief Financial Officer has coordinated with th...

QCHC experienced a ransomware attack against all servers resulting in loss of information across all databases (Centricity, Dentrix and Sage Accpac). There will be a reoccurrence of late audit submission for FYl9, FY20, and FY21. As ofFY22 to date, the Chief Financial Officer has coordinated with the Accounting Manager to enforce all financial Accounting and Financial Management procedures to ensure QCHC stays in compliance. A month-end close process has been implemented by the Accounting Manager to ensure account reconciliation and balances are properly stated at month-end. This will improve our financial reporting process to ensure the Single Audit Reporting Package can be submitted to the Federal Audit Clearinghouse no later than the earlier of 30 days after the reports are received from auditors or nine months after year end.

View Audit 295322

Finding 380533 (2020-004)

Material Weakness 2020

Quality Community Health Care, Inc.

PA

Reporting HUD Housing Programs Material Weakness

Subsequent to July 31, 2020, QCHC has hired a new fiscal team: Chief Financial Officer (2021), Accounting Manager (2023), Senior Accountant (2024) and Staff Accountant (2022). As of August 15, 2023, Health Resources and Services Administration (HRSA), Office of Federal Assistance Management's (OFAM)...

Subsequent to July 31, 2020, QCHC has hired a new fiscal team: Chief Financial Officer (2021), Accounting Manager (2023), Senior Accountant (2024) and Staff Accountant (2022). As of August 15, 2023, Health Resources and Services Administration (HRSA), Office of Federal Assistance Management's (OFAM) Division of Financial Integrity (DFI) provided Fiscal Technical Assistance (FTA) to Quality Community Health Care for six months. During the Fiscal Technical Assistance, DFI provided QCHC best practices and recommendations for improving weaknesses and internal control processes. The key topics discussed during the PTA that DFI recommended QCHC have an in-depth understanding and strengthen internal controls over were the following: Legislative Mandates, Delinquent Single Audit, Financial Management System, Cash Management, Compensation for Personal Services (Time and Effort Reporting) and Policies and Procedures. As a repeated finding, the Chief Financial Officer has been charged with reviewing past accounting procedures for posting, reconciling, and documentation. To date, all Financial Accounting and Financial Management procedures have been enforced by the Chief Financial Officer to ensure QCHC will be complainant. The Accounting Manager ensures the month-end close process is implemented and account reconciliations and balances are properly stated at month end. In the accounting system all federal awards are assigned a general ledger account number in which funds are recorded or disbursed. The Schedule of Expenditures for the Federal Awards will be completed by the Accounting Manager as part of the monthly close to ensure timely availability.

View Audit 295322

Finding 371209 (2020-008)

Material Weakness 2020

Open Cities Health Center, Inc. and Affiliate

MN

Eligibility Special Tests & Provisions Subrecipient Monitoring

Explanation of Disagreement with Audit Findings: There is no disagreement with the audit findings. Actions Planned in Response to Findings: The Organization will work to continue to improve document retention in its medical record system to ensure an audit trail exists for all sliding fee applicatio...

Explanation of Disagreement with Audit Findings: There is no disagreement with the audit findings. Actions Planned in Response to Findings: The Organization will work to continue to improve document retention in its medical record system to ensure an audit trail exists for all sliding fee applications. Official Responsible for Ensuring CAP: Harold Minor, Finance Director, is the official responsible for ensuring the planned responses. Planned Completion Date for CAP: December 31, 2023. Plan to Monitor Completion of CAP: Becky Howard, Interim Chief Executive Officer, will ensure the Organization’s electronic medical record system is properly retaining documents related to the sliding fee application and process. She will do this through discussions with the Finance Director.

View Audit 292911

Finding 371207 (2020-007)

Material Weakness 2020

Open Cities Health Center, Inc. and Affiliate

MN

Questioned Costs Allowable Costs / Cost Principles Material Weakness

RESPONSE: FINDING 2020-007 Explanation of Disagreement with Audit Findings: There is no disagreement with the audit findings. Actions Planned in Response to Findings: The Organization has implemented a formal onboarding process for new employees supported by checklist to ensure all onboarding proces...

RESPONSE: FINDING 2020-007 Explanation of Disagreement with Audit Findings: There is no disagreement with the audit findings. Actions Planned in Response to Findings: The Organization has implemented a formal onboarding process for new employees supported by checklist to ensure all onboarding processes and procedures are completed. The processes include obtaining W-4 and I-9 forms in addition to other required documents that are to be kept in each personnel file, along with the checklist. Background checks and credential verification are conducted on all new personnel and a copy of the support along with a copy of the applicants resume or application are stored in the file. In addition, Organization will review all current employees’ personnel file to verify all required documentation is included in each employee’s file. Official Responsible for Ensuring CAP: Nichole Thomas, Human Resources Manager, is the official responsible for ensuring the planned responses. Planned Completion Date for CAP: December 31, 2023. Plan to Monitor Completion of CAP: Becky Howard, Interim Chief Executive Officer, will ensure the process and documentation retention has been completed. She will do this through discussions with the Human Resources Manager.

View Audit 292911 Questioned Costs: $1

Finding 7522 (2020-002)

Material Weakness 2020

Wyoming Women's Business Center

WY

Questioned Costs Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.1 § 200.303 § 200.403

Finding: 2020-002 - Allowable Costs & Period of Performance Material Weakness in Internal Controls Over Compliance and Instances of Noncompliance Recommendation: The Organization should implement controls to ensure accurate recordkeeping and document retention to substantiate expenditures allocate...

Finding: 2020-002 - Allowable Costs & Period of Performance Material Weakness in Internal Controls Over Compliance and Instances of Noncompliance Recommendation: The Organization should implement controls to ensure accurate recordkeeping and document retention to substantiate expenditures allocated to grants. Corrective Action Plan: In working with HighPoint CPA, the WWBC has implemented the online accounting system DEXT: all invoices, receipts, bank statements and deposits are loaded in the program and the Executive Director is responsible for categorizing the data, ensuring proper fiscal grant management and is reviewed by the HighPoint CPA team and is reconciled with QuickBooks. The finance committee, which meets the 2nd Tuesday of every month reviews the past month’s financials to ensure compliance. Paper copies are also printed out and filed. Anticipated Completion: January 2021 Responsible Party: Executive Director

View Audit 9815 Questioned Costs: $1

Corrective Action Plans

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