Corrective Action Plans

Finding 539173 (2024-400)

Material Weakness 2024

WI

School Nutrition Programs Subrecipient Monitoring Material Weakness

Planned Corrective Action: The Department of Public Instruction (DPI) will complete and submit reports for subaward information in the FFATA Subaward Reporting System (FSRS) for the Child Nutrition Cluster (CNC) starting in fiscal year 2025. The internal processes established to ensure proper report...

Planned Corrective Action: The Department of Public Instruction (DPI) will complete and submit reports for subaward information in the FFATA Subaward Reporting System (FSRS) for the Child Nutrition Cluster (CNC) starting in fiscal year 2025. The internal processes established to ensure proper reporting of subaward information did not include payments made for Child Nutrition Cluster grants, as the Department did not believe the FFATA requirement applied to these awards. Upon notification that DPI is required to include these awards, the written policies and procedures are being updated to include processes to identify which subawards and subrecipients have exceeded $30,000 and complete the monthly FFATA reporting as required. Anticipated Completion Date: Person responsible for corrective action: Michael Brendel, Assistant Director School Financial Services Team Division of Finance and Management Department of Public Instruction michael.brendel@dpi.wi.go

View Audit 349896

Finding 539152 (2024-001)

Material Weakness 2024

Felician University

NJ

Student Financial Aid Reporting Matching / Level of Effort / Earmarking

Federal Pell Grant Program; Federal Direct Student Loans – Assistance Listing No. 84.063, 84.268 Recommendation: We recommend the University evaluate its procedures and review regulations set by the Department of Education around NSLDS to ensure the University understands the definitions for each en...

Federal Pell Grant Program; Federal Direct Student Loans – Assistance Listing No. 84.063, 84.268 Recommendation: We recommend the University evaluate its procedures and review regulations set by the Department of Education around NSLDS to ensure the University understands the definitions for each enrollment information that gets reported. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to the finding: Felician University has evaluated and updated our procedures in overseeing submission to NSLDS and notified the appropriate staff. Management will monitor this issue regularly during the year to ensure compliance. Name(s) of the contact person(s) responsible for corrective action: Erminda Velez, Director of Registration and Records Planned completion date for corrective action plan: April 1st, 2025.

View Audit 349884

Finding 539115 (2024-002)

Material Weakness 2024

Shoals Community School Corporation

IN

Internal Control / Segregation of Duties Material Weakness Reporting § 200.302 § 200.303 § 200.328

Description of Corrective Action Plan: Shoals Community School Corporation will implement a secondary review of all reports submitted in the future regarding any federal funding. Kindra Hovis, Superintendent will share the reports with Kendra Wright, Treasurer and Kendra Wright, Treasurer, will shar...

Description of Corrective Action Plan: Shoals Community School Corporation will implement a secondary review of all reports submitted in the future regarding any federal funding. Kindra Hovis, Superintendent will share the reports with Kendra Wright, Treasurer and Kendra Wright, Treasurer, will share with Kindra Hovis, Superintendent all future federal awards’ expenditures and revenue reports to ensure accurate reviews and submissions. Responsible Party and Timeline for Completion: Kendra Wright, Treasurer and Kindra Hovis, Superintendent-this will be implemented monthly to review any federal funding moving forward.

View Audit 349820

Finding 539072 (2024-011)

Material Weakness 2024

City of Boston

MA

Questioned Costs Period of Performance Procurement, Suspension & Debarment § 200.303 § 200.308 § 200.309 § 200.403

Boston Public Schools will take a multi-step approach to ensure accuracy of spending to the grant award period. Anticipated Completion Date: January 31, 2025 Responsible Contact Person: Colin Musto, Assistant City Auditor, Grants Monitoring Unit colin.musto@boston.gov

View Audit 349776 Questioned Costs: $1

Finding 539026 (2024-004)

Material Weakness 2024

Milan Community Schools

IN

Subrecipient Monitoring Material Weakness Reporting § 200.302 § 200.303 § 200.328

FINDING 2024-004 Information on the federal program: Subject: COVID-19 – Education Stabilization Fund – Reporting Federal Agency: Department of Education Federal Program: COVID-19 – Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Years (or Other Ide...

FINDING 2024-004 Information on the federal program: Subject: COVID-19 – Education Stabilization Fund – Reporting Federal Agency: Department of Education Federal Program: COVID-19 – Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U210013 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Reporting Audit Finding: Material Weakness Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the Reporting compliance requirements. Context: The School Corporation was required to submit Annual Data Reports to the Indiana Department of Education (IDOE) during the audit period to meet federal reporting requirements for ESSER grant awards. We noted that the following exceptions in data reporting submissions:  ESSER I Year 4, ESSER II Year 3, and ESSER III Year 3 expenditures for the period of July 1, 2021 through June 30, 2022 ($0, $360,404, and $12,974, respectively) did not agree to underlying expenditure records ($60,937, $477,914, and $0, respectively).  ESSER II Year 4 and ESSER III Year 4 expenditures for the period of July 1, 2022 through June 30, 2023 ($57,667 and $363,486, respectively) did not agree to underlying expenditure records ($361 and $400,473, respectively). Description of Corrective Action Plan: Management will implement control processes surrounding federal data reporting to ensure that expenditures reported to granting agencies are in agreement with underlying records maintained by the School. Responsible Party and Timeline for Completion: Gretchen Berger, Corp Treasurer - 6-1-2025

View Audit 349745

Finding 538974 (2024-002)

Material Weakness 2024

Peru Community Schools

IN

Special Tests & Provisions Subrecipient Monitoring Material Weakness § 200.303

The School Corporation will implement a formal process to ensure the required weekly payroll reports certifications are collected and reviewed to ensure compliance with federal regulations. The Treasurer and the Deputy Treasurer will be responsible for overseeing the implementation of the correction...

The School Corporation will implement a formal process to ensure the required weekly payroll reports certifications are collected and reviewed to ensure compliance with federal regulations. The Treasurer and the Deputy Treasurer will be responsible for overseeing the implementation of the correction action plan which will go into effect immediately.

View Audit 349644

Finding 538862 (2024-001)

Material Weakness 2024

North Judson -- San Pierre School Corporation

IN

Special Tests & Provisions Subrecipient Monitoring Material Weakness § 200.303

Contact Person Responsible for Corrective Action: Dalton C. Tunis Contact Phone Number: 574-896-2155 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: For future projects, NJ-SP will make sure documentation for both wage requirements and weekly certif...

Contact Person Responsible for Corrective Action: Dalton C. Tunis Contact Phone Number: 574-896-2155 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: For future projects, NJ-SP will make sure documentation for both wage requirements and weekly certified payroll reports are obtained from the contractor. An internal control system will be put into place that ensures the Business Manager receives proper documentation or payments will not be issued for work performed in order to stay in compliance. Anticipated Completion Date: March 31, 2025

View Audit 349621

Finding 538861 (2024-003)

Material Weakness 2024

North Judson -- San Pierre School Corporation

IN

Internal Control / Segregation of Duties Material Weakness Reporting § 200.302 § 200.303 § 200.328

Contact Person Responsible for Corrective Action: Dalton C. Tunis Contact Phone Number: 574-896-2155 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: An internal controls procedure will be put into place that ensures annual data reports are both revi...

Contact Person Responsible for Corrective Action: Dalton C. Tunis Contact Phone Number: 574-896-2155 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: An internal controls procedure will be put into place that ensures annual data reports are both reviewed and signed off on before submitting. The procedure will be that the Business Manager prepares the report and then reviews the report with the Superintendent. Once the Superintendent approves of the report he or she will sign of on the report and the report can be submitted. Documentation will be recorded to ensure the School Corporation stays in compliance with the requirements related to grant agreements and reporting requirements. Anticipated Completion Date: June 30, 2025

View Audit 349621

Finding 538849 (2024-001)

Material Weakness 2024

Seiling Independent School District #8

OK

Subrecipient Monitoring Material Weakness Matching / Level of Effort / Earmarking

In the future Seiling Public Schools will ensure all construction projects funded by federal awards comply with the Davis-Bacon Act requirements. Action Steps: * Develop internal processes to ensure federal wage rates and fringe benefits are met on construction projects. * Ensure all construction...

In the future Seiling Public Schools will ensure all construction projects funded by federal awards comply with the Davis-Bacon Act requirements. Action Steps: * Develop internal processes to ensure federal wage rates and fringe benefits are met on construction projects. * Ensure all construction contracts funded by federal awards include the required Davis-Bacon wage clauses. * Collect and review weekly certified payroll reports from contractors to confirm wages are correct. * Ensure that all necessary wage information is visibly posted at construction sites. * Train contractors and District staff on the Davis-Bacon Act requirements. * Perform audits to verify compliance and indentify any issues early.

View Audit 349571

Finding 538845 (2024-002)

Material Weakness 2024

County of Loudoun, Virginia

VA

Eligibility Material Weakness Matching / Level of Effort / Earmarking

Finding 2024-002: Material Weakness in Internal Control Over Compliance and Non-Material Noncompliance Responsible Person: Chris Slagle, Program Manager; Allison Gregg, Program Manager Estimated Completion: January 31, 2026. Corrected Action: 1. The Department will conduct a thorough assessment of c...

Finding 2024-002: Material Weakness in Internal Control Over Compliance and Non-Material Noncompliance Responsible Person: Chris Slagle, Program Manager; Allison Gregg, Program Manager Estimated Completion: January 31, 2026. Corrected Action: 1. The Department will conduct a thorough assessment of current redetermination reports and state policies to identify approaching deadlines and overdue items and create a structured monitoring system for supervisory staff. Standardized verification checklists will be introduced to confirm that all necessary documentation is collected, and incoming materials will be reviewed promptly to improve decision-making accuracy. The agency will collaborate with technical teams to correct the VaCMS programming error so that auto-renewals cannot occur without verification of crucial information such as social security numbers. 2. The Department will strengthen its workforce by enhancing training for new and existing employees. Requests will be submitted to the Board of Supervisors to support hiring additional staff, thereby mitigating the burden on each employee by reducing the caseload of 1,000 cases per worker to a more manageable caseload, allowing staff to process cases more efficiently. Training sessions will emphasize state and federal standards for timeliness, along with best practices for case documentation and adherence to the updated Medicaid Unwinding and Public Health Emergency guidelines. Regular professional development opportunities will be offered to ensure that all staff members remain informed about policy changes and evolving procedures. 3. The Public Benefits Unit Program leadership will conduct quarterly reviews to measure compliance with redetermination deadlines and track indicators such as workload volume, pending actions, and overdue items. Quarterly reviews will be documented and submitted to Department leadership. These reviews will highlight redetermination outcomes, caseload trends, and staffing considerations. 4. The Department will onboard the Public Benefits Program Administrator, who will be tasked with overseeing compliance across all Benefit Programs. The agency will implement a Corrective Action Plan aimed at ensuring timely and accurate completion of Medicaid redeterminations.

View Audit 349563

Finding 538840 (2024-003)

Material Weakness 2024

Knox Community School Corporation

IN

Special Tests & Provisions Subrecipient Monitoring Eligibility § 200.303

Information on the federal program: Subject: Education Stabilization Fund - Special Tests and Provisions - Wage Rate Requirements Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Yea...

Information on the federal program: Subject: Education Stabilization Fund - Special Tests and Provisions - Wage Rate Requirements Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U210013 PassThrough Entity: Indiana Department of Education Compliance Requirement: Special Tests and Provisions - Wage Rate Requirements Audit Findings: Material Weakness, Material Noncompliance, Qualified Opinion Condition and Context: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the Special Tests and Provisions - Wage Rate Requirements compliance requirements. The School Corporation had five construction and improvement projects which were funded with ESSER II (84.425D) and ESSER Ill (84.425U) grant awards. For 1 of 2 contracts selected for testing, the School Corporation did not include the Davis-Bacon wage rate requirements in the vendor contract. For this same vendor contract for floor replacement in a junior/senior high school, the School Corporation did not obtain the weekly payroll report certification from the construction vendor to monitor compliance with Davis-Bacon wage rate requirements. Therefore, no review was performed to ensure that pay rates complied with the federal wage rate requirements for this project. The total project cost disbursed for the flooring project during the audit period was $342,822 which included materials and labor. Total contract expenditures subject to Davis-Bacon wage rate requirements, including material and labor, during the audit period were $1,386,275. Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: North Knox School Corporation will comply with the Davis-Bacon wage rate requirements in all future projects using federal funds. Responsible Party for Corrective Action: Darrel Bobe, Superintendent, and Terri Roesler, Treasurer, will oversee the corrective action plan. Timeline for Completion: Immediately.

View Audit 349540

Finding 538836 (2024-004)

Material Weakness 2024

Knox Community School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking § 200.303

Information on the federal program: Subject: Child Nutrition Cluster - Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying ...

Information on the federal program: Subject: Child Nutrition Cluster - Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying Numbers): FY2023, FY2024 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Eligibility Audit Finding: Material Weakness, Material Noncompliance, Qualified Opinion Condition and Context: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the eligibility compliance requirement. During the testing of internal controls over eligibility determinations via the application process and related compliance, we noted the School Corporation was not able to provide the application or any documentation to support the eligibility status for 6 out of the 8 applicant students selected for tested for the 2022-2023 school year. There were no issues identified for students selected for testing whose eligibility was directly certified. Additionally, for the 2023-2024 school year, for 2 out of 30 students selected for the testing, the income eligibility determinations were not properly implemented. One student was determined to be eligible for "Free" meals per their free/reduced application but, the School Corporation incorrectly entered the eligibility as "Reduced" within the food service software. Another student was eligible for "Reduced" benefits per the direct certified download file but was entered into the food service software as eligible for "Free" benefits. Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Moving forward, the corporation will take more time in reviewing free and reduced applications to ensure student free or reduced status is listed correctly and supporting documentation is maintained. Applications are now completed online limiting paper copies. A review of applications by another member of the corporation staff will also be conducted. Responsible Party for Corrective Action: Terri Roesler, Treasurer, will oversee the implementation of the corrective action plan. Timeline for Completion: Immediately.

View Audit 349540

Finding 538823 (2024-004)

Material Weakness 2024

Wes-Del Community School Corporation

IN

Internal Control / Segregation of Duties Special Tests & Provisions Subrecipient Monitoring § 200.303

FINDING 2024-004 (Auditor Assigned Reference Number) Finding Subject: Title I Grants to Local Educational Agencies - Special Tests and Provisions - Assessment System Security Summary of Finding: As a part of the assessment security, any individual who administers, handles, or has access to secure te...

FINDING 2024-004 (Auditor Assigned Reference Number) Finding Subject: Title I Grants to Local Educational Agencies - Special Tests and Provisions - Assessment System Security Summary of Finding: As a part of the assessment security, any individual who administers, handles, or has access to secure test materials at the school or school corporation shall complete assessment training and sign a testing security and integrity statement that remains on file in the appropriate building-level office each year. Everyone who is required to sign the testing integrity agreement shall sign the form by an established date. The School Corporation had a process to provide assessment system security training and to ensure each employee that attended training signed the agreement indicating training was received. However, documentation was not retained for audit that would provide evidence that training occurred during the 2022-2023 school year. Documentation was provided for audit for the 2023-2024 school year. Contact Person Responsible for Corrective Action: Jason Slopsema Contact Phone Number and Email Address: 765-358-8729/jslopsema@wes-del.org Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Moving forward, the Corporation Test Coordinator, who is the individual responsible for providing this training, and ensuring that staff members complete it, and sign the testing security and integrity statement, will keep these signed documents on file within his/her office for at least 5 years. The Corporation Test Coordinator will continue to ensure that the training and signing of said document will take place by the deadline set forth by the Indiana Department of Education. Anticipated Completion Date: This will be completed beginning with the 2024-2025 school year’s signed testing and integrity agreements that have already been completed.

View Audit 349526

Finding 538812 (2024-004)

Material Weakness 2024

Franklin County Community School Corporation

IN

Questioned Costs School Nutrition Programs Internal Control / Segregation of Duties § 200.303

FINDING 2024-004 Subject: Child Nutrition Cluster - Reporting Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying Numbers): FY 22-23, FY 23-...

FINDING 2024-004 Subject: Child Nutrition Cluster - Reporting Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying Numbers): FY 22-23, FY 23-24 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Reporting Audit Finding: Material Weakness, Other Matters Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the cash management compliance requirement. Context: In a sample of 5 monthly claims for reimbursement selected for testing, the following compliance exceptions were noted: • Management failed to submit the April 2023 claim for reimbursement in a timely manner (within 90 days) to the IDOE and was not reimbursed for meals served as a result. • For the other 5 claims tested, the number of meals claimed did not agree to the supporting meal system reports. There was a gross overstatement of meals claimed of $21,189 and a gross understatement of meals claimed of $538.35 resulting in a net over-reimbursement of $20,650.47. We noted that the School Corporation has a secondary review control in place designed to review claims prior to submission to the IDOE. However, the control was not operating effectively to detect and prevent errors in the amount claimed for reimbursement. Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Management has revised and implemented a more thorough control process over the preparation and submission of the monthly claims for reimbursement. A reconciliation sheet has been created and implemented for verification and will be completed every month. Responsible Party and Timeline for Completion: Jessica Defossett and Kendra Franks, January 2025

View Audit 349523 Questioned Costs: $1

Finding 538809 (2024-003)

Material Weakness 2024

Franklin County Community School Corporation

IN

School Nutrition Programs Internal Control / Segregation of Duties Eligibility § 200.303

FINDING 2024-003 Subject: Child Nutrition Cluster - Internal Controls over Eligibility Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying N...

FINDING 2024-003 Subject: Child Nutrition Cluster - Internal Controls over Eligibility Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program Assistance Listing Number: 10.553, 10.555 Federal Award Numbers and Years (or Other Identifying Numbers): FY 22-23, FY 23-24 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Eligibility Audit Finding: Material Weakness Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the eligibility compliance requirement. Context: During testing over controls for eligibility, we noted there was no formal, secondary review for the applications entered in the food service software determining eligibility. Additionally, there was no documented annual review by School Corporation personnel of the income eligibility guidelines used by the food service software. Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Franklin County Community School Corporation has transitioned to the Community Eligibility Provision (CEP) as an alternative to collecting, approving, and verifying household eligibility applications. Responsible Party and Timeline for Completion: Jessica Defossett, September 2024 transition to CEP

View Audit 349523

Finding 538796 (2024-003)

Material Weakness 2024

South Knox School Corporation

IN

Special Tests & Provisions Subrecipient Monitoring Material Weakness § 200.303

Information on the federal program: Subject: Education Stabilization Fund - Special Tests and Provisions - Wage Rate Requirements Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listing Number: 84.425U Federal Award Numbers and Years (or Ot...

Information on the federal program: Subject: Education Stabilization Fund - Special Tests and Provisions - Wage Rate Requirements Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listing Number: 84.425U Federal Award Numbers and Years (or Other Identifying Numbers): S425U210013 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Special Tests and Provisions - Wage Rate Requirements Audit Findings: Material Weakness Condition and Context: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the Special Tests and Provisions - Wage Rate Requirements compliance requirements. The School Corporation had six projects for various building improvements which were funded with ESSER Ill (84.425U) grant awards. The School Corporation did not properly include the Davis-Bacon wage rate requirements in the two vendor contracts tested. While the School Corporation did not include the wage rate requirements within their contracts, the weekly payroll reports certifications from the construction vendor to monitor compliance with Davis-Bacon wage rate requirements were obtained and reviewed by the School Corporation. Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: South Knox School Corporation will comply with the Davis-Bacon wage rate requirements in all future projects using federal funds. Responsible Party for Corrective Action: Tamara L. Asdell, Treasurer Timeline for Completion: Immediately

View Audit 349508

Finding 538745 (2024-002)

Material Weakness 2024

Housing Authority of the City of Martinsburg

WV

Eligibility Procurement, Suspension & Debarment Cash Management

Finding 2024-002 – Documentation of Costs and Vendor Invoices – Financial Reporting and Internal Controls ALN 14.850 & 14.871– Noncompliance & Material Weakness Recommendation: We recommend that the Authority amend policies and procedures to better facilitate effective purchasing controls. A clear ...

Finding 2024-002 – Documentation of Costs and Vendor Invoices – Financial Reporting and Internal Controls ALN 14.850 & 14.871– Noncompliance & Material Weakness Recommendation: We recommend that the Authority amend policies and procedures to better facilitate effective purchasing controls. A clear audit trail should be maintained to ensure proper approval, as well as documentation to support the allowability and eligibility of costs. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: We will enhance our internal controls over purchasing and Develop detailed procedures for creating, approving, and managing purchase orders. Name(s) of the contact person(s) responsible for corrective action: Navonya Kolani, Executive Director Planned completion date for corrective action plan: September 30, 2025.

View Audit 349460

Finding 538742 (2024-002)

Material Weakness 2024

Dekalb County Eastern Community School District

IN

Equipment & Real Property Management Procurement, Suspension & Debarment Material Weakness § 200.303 § 200.313

FINDING 2024-002 Finding Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Summary of Finding: The district did not have proper internal controls in place and documentation to track property or capital assets that were purchased with federal grant funds. Conta...

FINDING 2024-002 Finding Subject: COVID-19 - Education Stabilization Fund - Equipment and Real Property Management Summary of Finding: The district did not have proper internal controls in place and documentation to track property or capital assets that were purchased with federal grant funds. Contact Person Responsible for Corrective Action: Dawn Mason, Business Manager, DeKalb Co. Eastern CSD Contact Phone Number and Email Address: 260-868-2125; dmason@dkeschools.com Views of Responsible Officials: We concur with the findings. Description of Corrective Action Plan: As federal funds are used and expended, property and capital assets that meet or exceed the threshold will be entered on a spreadsheet by the Business Manager or Grant Administrator which will contain a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number (FAIN)), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, and use and condition of the property Anticipated Completion Date: All expenditures initiated after March 12, 2025

View Audit 349455

Finding 538714 (2024-001)

Material Weakness 2024

Kalamazoo Valley Community College

MI

Student Financial Aid Matching / Level of Effort / Earmarking Subrecipient Monitoring

Condition: The College did not provide notifications to certain students related to direct loan disbursements. Planned Corrective Action: The Director of Financial Aid will work with our Information Technology department to ensure the criteria used for triggering the notification emails is correct a...

Condition: The College did not provide notifications to certain students related to direct loan disbursements. Planned Corrective Action: The Director of Financial Aid will work with our Information Technology department to ensure the criteria used for triggering the notification emails is correct and capturing all the necessary students. Additionally, an exception report will be created to identify students who have not been sent the notification email for the Financial Aid department to review to then send the appropriate notification. Contact person responsible for corrective action: Director of Financial Aid Anticipated Completion Date: May 31, 2025

View Audit 349445

Finding 538708 (2024-002)

Material Weakness 2024

Kalamazoo Valley Community College

MI

Questioned Costs Student Financial Aid Matching / Level of Effort / Earmarking

Condition: Out of 60 students tested for return to Title IV, we identified 24 students whose calculations were performed incorrectly. Planned Corrective Action: The College will work with its Director of Financial Aid to ensure the semester end procedures include steps to identifying those students ...

Condition: Out of 60 students tested for return to Title IV, we identified 24 students whose calculations were performed incorrectly. Planned Corrective Action: The College will work with its Director of Financial Aid to ensure the semester end procedures include steps to identifying those students who unofficially withdrew. Once the students are identified, individuals with the appropriate skills and knowledge would be able to determine if a Return of Title IV calculation is necessary, and appropriately return any funds, as necessary. Contact person responsible for corrective action: Director of Financial Aid Anticipated Completion Date: June 30, 2025

View Audit 349445 Questioned Costs: $1

Finding 538674 (2024-004)

Material Weakness 2024

City of Baldwin Park

CA

Subrecipient Monitoring Eligibility HUD Housing Programs

2024-004 - Special Tests – Internal Control and Compliance over Housing Quality Standards Inspections (Material Weakness) Condition: During the Fail Inspection Testing, we found five (5) instances out of nine (9) in which the City did not conduct the Housing Quality Standards (HQS) failed inspecti...

2024-004 - Special Tests – Internal Control and Compliance over Housing Quality Standards Inspections (Material Weakness) Condition: During the Fail Inspection Testing, we found five (5) instances out of nine (9) in which the City did not conduct the Housing Quality Standards (HQS) failed inspection follow-up in a timely manner. Specifically: • For two (2) samples, the reinspection was not performed within 30 days of the failed inspection, and the deficiencies were not confirmed to be resolved within the required timeframe. • For one (1) sample, the inspection checklist indicated a failed inspection, while the inspector erroneously documented and processed it as a passed inspection, meaning o reinspection was performed. • For one (1) sample, the reinspection was not performed, and no documentation was found to verify the follow-up inspection. We also noted one (1) additional instance out of forty (40) samples from Eligibility Cross Testing where the failed inspection did not have any record of a follow-up reinspection. Management concurs. Corrective Actions: Staff will continue to utilize consulting services to complete the necessary HQS inspections during the staff turnover. The City will also strengthen the internal controls for inspections to complete them timely and within compliance. Name of Responsible Person: Ron Garcia, Director of Community Development Ryan Mulligan, Housing Manager

View Audit 349408

Finding 538653 (2024-001)

Material Weakness 2024

Siskiyou Communith Health Center

OR

Special Tests & Provisions Material Weakness Significant Deficiency

2024-001 Special Tests and Provisions Corrective action planned: Management has selected a General Ledger account, (associated to a separate Bank Account) identified and named specifically as the USDA Debt Reserve Account.Additionally, Financial Policies will be revised to include language related t...

2024-001 Special Tests and Provisions Corrective action planned: Management has selected a General Ledger account, (associated to a separate Bank Account) identified and named specifically as the USDA Debt Reserve Account.Additionally, Financial Policies will be revised to include language related to compliance of loan and debt covenants, to be reviewed and approved by the Board of Directors. Anticipated completion date: February 2025 Contact person responsible for corrective action: Dawn Weber, Interim CEO

View Audit 349388

Finding 538650 (2024-003)

Material Weakness 2024

Sioux Falls School District 49-5

SD

Questioned Costs Allowable Costs / Cost Principles Procurement, Suspension & Debarment

Identifying Number: 2024-003: U.S. Department of Education: Education Stabilization Fund: Institutional Portion – 84.425F Finding: The District used outstanding purchase order obligations to request reimbursement at the end of the liquidation period, but did not spend all of the outstanding purchase...

Identifying Number: 2024-003: U.S. Department of Education: Education Stabilization Fund: Institutional Portion – 84.425F Finding: The District used outstanding purchase order obligations to request reimbursement at the end of the liquidation period, but did not spend all of the outstanding purchase orders; therefore, receiving reimbursement for items that were never purchased. Corrective Action Taken or Planned: The School will designate finance staff to review reimbursements to ensure they have proper expenses as backup. A further review by the School District will help to ensure that funding is spent on items and requests for reimbursement only after expenses have been paid. Contact person: Mike Stephen, Director of Accounting Status of finding – The above corrective actions will be implemented beginning April 1, 2025.

View Audit 349380 Questioned Costs: $1

Finding 538649 (2024-002)

Material Weakness 2024

Sioux Falls School District 49-5

SD

Questioned Costs Procurement, Suspension & Debarment Allowable Costs / Cost Principles

– 84.425F Finding: Two errors were noted related to period of performance: 1) the lost revenue calculation was completed in October 2023, which was after the June 30, 2023 period of performance date; and 2) the District also spent money on expenses for the program in November 2023 and January 2024, ...

– 84.425F Finding: Two errors were noted related to period of performance: 1) the lost revenue calculation was completed in October 2023, which was after the June 30, 2023 period of performance date; and 2) the District also spent money on expenses for the program in November 2023 and January 2024, which was after the 120-day liquidation period. Corrective Action Taken or Planned: The School will create and maintain a funding schedule according to the grant agreements. The schedule will be reviewed by various finance staff members for timing of grant reimbursements and deadlines. Contact person: Mike Stephens, Director of Accounting Status of finding – The above corrective actions will be implemented beginning April 1, 2025.

View Audit 349380 Questioned Costs: $1

Finding 538575 (2024-011)

Material Weakness 2024

City of Montgomery, Alabama

AL

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

Management concurs. The City will update the fiscal policies and procedures manual to incorporate and clearly define the control system of approvals.

View Audit 349361

Corrective Action Plans

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