Corrective Action Plans

Finding 1164307 (2025-002)

Material Weakness 2025

MO

Questioned Costs Student Financial Aid

Management agrees with the auditors’ finding and their recommendation. The CFO is working with the TPA to recalculate the R2T4s. The necessary changes detailed in the Possible Asserted Effect section were made in November 2025. Anticipated Completion Date: The corrective action will be completed by ...

Management agrees with the auditors’ finding and their recommendation. The CFO is working with the TPA to recalculate the R2T4s. The necessary changes detailed in the Possible Asserted Effect section were made in November 2025. Anticipated Completion Date: The corrective action will be completed by November 30, 2025. Contact Person: Tasha Young, CFO 816-425-6151

View Audit 373721 Questioned Costs: $1

Finding 1164305 (2025-001)

Material Weakness 2025

Calvary University

MO

Questioned Costs Student Financial Aid Reporting

Management agrees with the auditors’ finding and their recommendation. The CFO has worked with the registrar and other University personnel to file the NSLDS reports. Eventually, the CFO updated enrollment status manually. A report was filed in July 2025. Going forward, the NSLDS enrollment status r...

Management agrees with the auditors’ finding and their recommendation. The CFO has worked with the registrar and other University personnel to file the NSLDS reports. Eventually, the CFO updated enrollment status manually. A report was filed in July 2025. Going forward, the NSLDS enrollment status roster reports will be filed timely. If there is a technology issues, enrollment status changes will be input manually by University personnel. Anticipated Completion Date: The corrective action was completed in July 2025. Contact Person: Tasha Young, CFO 816-425-6151

View Audit 373721

Finding 1164304 (2025-001)

Material Weakness 2025

Rivier University

NH

Questioned Costs Procurement, Suspension & Debarment

The Controller will revise current processes to include documented review of employees against SAM prior to expending against federal awards. Updated procedures will be documented and Controller’s office staff will be trained on the new procedures. Responsible Party: Steven Perrotta Vice President f...

The Controller will revise current processes to include documented review of employees against SAM prior to expending against federal awards. Updated procedures will be documented and Controller’s office staff will be trained on the new procedures. Responsible Party: Steven Perrotta Vice President for Finance and Administration Phone: (603) 897-8501 Anticipated Completion Date: December 31, 2025

View Audit 373716

Finding 1164276 (2025-001)

Material Weakness 2025

The Master's University & Seminary and Subsidiary

CA

Questioned Costs Student Financial Aid

2025-001 Inaccurate and Untimely Return of Title IV Funds (R2T4) Planned Corrective Action: The current process for completing the Return of Title IV aid is to have the Title IV counselor review and complete the calculation. Then send it to the Director of Financial aid for final review. We have imp...

2025-001 Inaccurate and Untimely Return of Title IV Funds (R2T4) Planned Corrective Action: The current process for completing the Return of Title IV aid is to have the Title IV counselor review and complete the calculation. Then send it to the Director of Financial aid for final review. We have implemented an internal control as of 09/01/2025, that at the close of every month the Office of Financial Aid verifies with registrar’s office that we have been notified of all withdrawn students to ensure that the process has been completed within the 45 days. The misunderstanding with the 49% exemption has been clearly understood, and proper execution of that rule will be implemented. Person Responsible for Corrective Action Plan: Kenneth Piester, Director of Financial Aid Anticipated Date of Completion: 09/01/2025

View Audit 373666 Questioned Costs: $1

Finding 1164260 (2025-001)

Material Weakness 2025

Lake Villa Community Consolidated School District No. 41

IL

Questioned Costs

Finding No.: 2025-001 Condition: It was noted that the District did not complete the documentation of personnel expenses. Plan: Management will implement procedures to ensure that the documentation of personnel expenses is completed. Anticipated Date of Completion: 6/30/2026 Name of Contact Person: ...

Finding No.: 2025-001 Condition: It was noted that the District did not complete the documentation of personnel expenses. Plan: Management will implement procedures to ensure that the documentation of personnel expenses is completed. Anticipated Date of Completion: 6/30/2026 Name of Contact Person: Anna Kasprzyk, Business Manager/CSBO Management Response: N/A

View Audit 373566

Finding 1164221 (2025-001)

Material Weakness 2025

Appalachian Mountain Community Health Centers

NC

Special Tests & Provisions Questioned Costs Internal Control / Segregation of Duties

In Finding 2025-001, it was reported that the Organization did not properly apply the sliding fee discounts for certain patients with visits to the Organization during the year ended June 30, 2025. Management recognizes the importance of complying with sliding fee guidelines and the Organization’s s...

In Finding 2025-001, it was reported that the Organization did not properly apply the sliding fee discounts for certain patients with visits to the Organization during the year ended June 30, 2025. Management recognizes the importance of complying with sliding fee guidelines and the Organization’s sliding fee policy. In response to Finding 2025-001, proper training will be given to employees, and sliding fee discounts will be reviewed by a supervisor on a periodic basis to ensure compliance with the sliding fee policy.

View Audit 373521

Finding 1164205 (2025-001)

Material Weakness 2025

Muncie Community Schools

IN

Questioned Costs Allowable Costs / Cost Principles School Nutrition Programs § 200.303 § 200.430

Admin Offices 4301 S Cowan Rd Muncie, IN 47302 765-747-5222 office CORRECTIVE ACTION PLAN OF CURRENT AUDIT FINDINGS June 30, 2025 Information on the federal program: Subject: Child Nutrition Cluster - Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Progr...

Admin Offices 4301 S Cowan Rd Muncie, IN 47302 765-747-5222 office CORRECTIVE ACTION PLAN OF CURRENT AUDIT FINDINGS June 30, 2025 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): FY2025 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Activities Allowed or Unallowed, Allowable Costs/Cost Principles Audit Finding: Significant Deficiency Context: During testing of allowable activities and costs, it was observed that the School Corporation allocated payroll and benefit expenses to the school lunch fund for the employee overseeing the food service management company. Five payroll transactions totaling $5,476 were selected for testing. For each transaction tested, the School Corporation allocated 18% of the employee’s time to the school lunch fund. Although the employee completed an annual self-certification estimating time spent on food service duties, there was no detailed time and effort log to support actual hours worked. Additionally, no internal control existed to provide a documented secondary review of the self-certification for accuracy and completeness. Contact Person Responsible for Corrective Action: Brad DeRome Contact Phone Number: 765-747-5222 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The School Corporation will no longer charge any payroll and benefit expenses to the school lunch fund. Anticipated Completion Date: July 1, 2025.

View Audit 373490 Questioned Costs: $1

Finding 1163627 (2025-001)

Material Weakness 2025

Kleeman Village Housing Corporation, Nfp

IL

Questioned Costs Subrecipient Monitoring Internal Control / Segregation of Duties

Kleeman Village Housing Corporation, NFP respectfully submits the following corrective action plan for the year ended June 30, 2025. Name and address of independent public accounting firm: MCK CPAs & Advisors, Decatur, Illinois. Audit period: Year ended June 30, 2025. The findings from the June 30, ...

Kleeman Village Housing Corporation, NFP respectfully submits the following corrective action plan for the year ended June 30, 2025. Name and address of independent public accounting firm: MCK CPAs & Advisors, Decatur, Illinois. Audit period: Year ended June 30, 2025. The findings from the June 30, 2025 Schedule of Findings and Questioned Costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Findings - Financial Statement Audit: 2025 - 001 Response: Management agent and sponsor will continue to monitor financial reports and accounting information as correction is not practical.

View Audit 373443

Finding 1163624 (2025-001)

Material Weakness 2025

The Meadows

MN

Questioned Costs Reporting Internal Control / Segregation of Duties

Recommendation: We recommend that the Cooperative continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Action Taken: The Cooperativ...

Recommendation: We recommend that the Cooperative continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Action Taken: The Cooperative will continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Planned Completion Date: Not Applicable.

View Audit 373433

Finding 1163623 (2025-001)

Material Weakness 2025

Realife Cooperative of St. Peter

MN

Questioned Costs Reporting Internal Control / Segregation of Duties

Recommendation: We recommend that the Cooperative continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Action Taken: The Cooperativ...

Recommendation: We recommend that the Cooperative continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Action Taken: The Cooperative will continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Planned Completion Date: Not Applicable.

View Audit 373430

Finding 1163620 (2025-004)

Material Weakness 2025

Capac Community Schools

MI

Cash Management Questioned Costs Student Financial Aid

SEE CORRECTIVE ACTION PLAN

View Audit 373396 Questioned Costs: $1

Finding 1163619 (2025-003)

Material Weakness 2025

Capac Community Schools

MI

Cash Management Questioned Costs Subrecipient Monitoring

SEE CORRECTIVE ACTION PLAN

View Audit 373396 Questioned Costs: $1

Finding 1163616 (2025-001)

Material Weakness 2025

Oklahoma Public School Resource Center INC

OK

Questioned Costs Subrecipient Monitoring Reporting

Action to be taken in response to the finding: To ensure timely submission of all required federal grant reports, the following procedures will be implemented immediately: 1. Centralized Federal Reporting Calendar ○ All federal grant reporting deadlines will be entered into a shared compliance calen...

Action to be taken in response to the finding: To ensure timely submission of all required federal grant reports, the following procedures will be implemented immediately: 1. Centralized Federal Reporting Calendar ○ All federal grant reporting deadlines will be entered into a shared compliance calendar maintained by the grants team. ○ Reminder alerts will be scheduled for 30 days, 14 days, and 7 days before each reporting deadline.2. Assignment of Responsible Parties ○ Primary Responsible Staff: Dr. Jenny Jasper (CFO) will be responsible for preparing and submitting all federal grant reports. ○ Secondary Reviewer: Adrian Lovett (Operations Director) will review each report for accuracy and ensure that deadlines are met. ○ This dual responsibility ensures continuity in case of staff absence. 3. Internal Early Deadline Requirement ○ All federal reports must be completed and ready for review no later than five business days prior to the official deadline. ○ This internal buffer will allow time for revisions, approval, and confirmation of submission. 4. Verification and Documentation of Submission ○ Both the primary and secondary staff members will verify that the report has been successfully submitted in the federal reporting system. ○ Submission confirmations will be saved in a designated grants compliance folder as part of our official record. Management view of the finding: We recognize the importance of timely and accurate submission of all federal grant reports. The delay identified in the audit does not reflect our expectations for compliance, and we are committed to implementing corrective measures to prevent recurrence. Therefore, we do not disagree with the finding.

View Audit 373378

Finding 1163562 (2025-001)

Material Weakness 2025

Housing Authority of Elgin

IL

Internal Control / Segregation of Duties Questioned Costs Subrecipient Monitoring

Corrective Action Management has responded to all of the Department of Labor’s Findings as of October 9, 2025, outlining specific corrective actions and considers the corrective actions satisfactorily implemented as of the date of this Report. The Authority’s Chief Executive Officer has assumed the ...

Corrective Action Management has responded to all of the Department of Labor’s Findings as of October 9, 2025, outlining specific corrective actions and considers the corrective actions satisfactorily implemented as of the date of this Report. The Authority’s Chief Executive Officer has assumed the responsibility of continued execution of the corrective actions.

View Audit 373283

Finding 1163561 (2025-001)

Material Weakness 2025

Old Town Voa Affordable Housing, Inc. (penobscot River House) Me36-H0173

ME

Questioned Costs HUD Housing Programs

FINDING 2025-001 Corrective Action Plan Management will implement a process of identifying any surplus cash to be deposited into its residual receipts reserve account and a timeline to provide reasonable assurance that the remittance of the required deposits are done within the specified timeframe s...

FINDING 2025-001 Corrective Action Plan Management will implement a process of identifying any surplus cash to be deposited into its residual receipts reserve account and a timeline to provide reasonable assurance that the remittance of the required deposits are done within the specified timeframe set by HUD. Responsible party: Kayla Thurlow, Controller; (207) 373-1140 Anticipated completion date: No later than September 30, 2025

View Audit 373280 Questioned Costs: $1

Finding 1163540 (2025-002)

Material Weakness 2025

Independent School District No. 31

MN

Internal Control / Segregation of Duties Questioned Costs Eligibility

1. Correcting Plan Food and Nutrition Service Coordinator will review applications and supporting documentation for completion and eligibility accuracy. 2. Explanation of Disagreement with the Audit Finding There is essentially no disagreement with the finding. 3. Official Responsible for Insuring C...

1. Correcting Plan Food and Nutrition Service Coordinator will review applications and supporting documentation for completion and eligibility accuracy. 2. Explanation of Disagreement with the Audit Finding There is essentially no disagreement with the finding. 3. Official Responsible for Insuring CAP The Food and Nutrition Service Coordinator. 4. Planned Completion Date for CAP The CAP was implemented immediately during audit fieldwork performed in October 2025. 5. Plan to Monitor Completion of CAP The Food and Nutrition Service Coordinator will continually review applications and supporting documentation for completion and eligibility accuracy. Any issues noted will be communicated to appropriate staff and fixed immediately.

View Audit 373219

Finding 1163529 (2025-001)

Material Weakness 2025

Faith Baptist Bible College and Theological Seminary

IA

Questioned Costs Eligibility Significant Deficiency

Our Financial Aid Director will implement an independent review process for those students for whom professional judgment is applied when calculating student financial aid benefits.

View Audit 373203 Questioned Costs: $1

Finding 1163511 (2025-002)

Material Weakness 2025

Seton Village, Inc.

ME

Questioned Costs Reporting

We have posted the adjustments recommended by the auditors and management will implement the following control: Management agent will refund $48,720 in fees to the project and conduct staff training on monthly and annual procedures over financial close and reporting by October 31, 2025.

View Audit 373145 Questioned Costs: $1

Finding 1163472 (2025-002)

Material Weakness 2025

Oak Springs Villas, Inc.

TX

Questioned Costs

MANAGEMENT AGREES WITH THE FINDING. THE RELATED PROJECT WILL REIMBURSE THE PROJECT FOR THE RENTS IN THE AMOUNT OF $14,054.

View Audit 373083 Questioned Costs: $1

Finding 1163452 (2025-003)

Material Weakness 2025

Nebraska Wesleyan University

NE

Questioned Costs Special Tests & Provisions Student Financial Aid

Return of Title IV Fund Calculations Condition/Context: For two of the six students selected in the sample, the amount of the Title IV refund was calculated incorrectly due to using the incorrect number break days for students that withdrew in the Spring term. This results in too much being returned...

Return of Title IV Fund Calculations Condition/Context: For two of the six students selected in the sample, the amount of the Title IV refund was calculated incorrectly due to using the incorrect number break days for students that withdrew in the Spring term. This results in too much being returned to the U.S Department of Education. Recommendation: The University should modify its procedures for refunding awards to ensure proper data computations. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The scheduled break days for the spring semester accidentally failed to include the weekend before the week of Spring Break. The school calendar profile for the Return of Title IV Funds Calculation will now be reviewed by both the Director of Scholarships and Financial Aid and the Assistant Director of Financial Aid before being created in the COD Return of Title IV Funds Tool each term. Contact person: Tom Ochsner, Director of Scholarships and Financial Aid Planned completion date for corrective action plan: August 27, 2025 If the Department of Education has questions regarding this plan, please call Tom Ochsner at (402) 465- 2212.

View Audit 373043 Questioned Costs: $1

Finding 1163451 (2025-002)

Material Weakness 2025

Nebraska Wesleyan University

NE

Student Financial Aid Reporting Questioned Costs

Enrollment Reporting Condition/Context: For one out of 25 students selected in the sample, the effective date that was reported to NSLDS did not match the date that the student changed status. For a second student, the student's enrollment status was not correctly reported within the 60 day requirem...

Enrollment Reporting Condition/Context: For one out of 25 students selected in the sample, the effective date that was reported to NSLDS did not match the date that the student changed status. For a second student, the student's enrollment status was not correctly reported within the 60 day requirement Recommendation: The University should review its procedures to ensure that all effective dates for enrollment status chan•;Jes are updated accurately in NSLDS. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: To prevent future occurrences: • We have implemented an additional verification step in our status update workflow. • We are reviewing how major changes interact with enrollment status updates in Colleague. • We will implement a validation step to ensure that effective dates reflect the original action date when multiple updates occur in close succession. Contact person: Tom Ochsner, Director of Scholarships and Financial Aid Planned completion date for corrective action plan: August 27, 2025 If the Department of Education has questions regarding this plan, please call Tom Ochsner at (402) 465- 2212.

View Audit 373043

Finding 1163422 (2025-001)

Material Weakness 2025

Midland Univeristy

NE

Student Financial Aid Questioned Costs Subrecipient Monitoring

Midland University Corrective Action Plan For the Year Ended May 31, 2025 Finding 2025-001: Significant Deficiency- Return of Title IV funds (R2T4) Condition: Of the 16 students tested in the sample, one student did not have an R2T4 completed during Summer 2024. Subsequent to the auditor identifying...

Midland University Corrective Action Plan For the Year Ended May 31, 2025 Finding 2025-001: Significant Deficiency- Return of Title IV funds (R2T4) Condition: Of the 16 students tested in the sample, one student did not have an R2T4 completed during Summer 2024. Subsequent to the auditor identifying this exception in July 2025 the University completed the calculation and returned the required funds. The auditor reviewed the calculation and student's account statement confirming that corrective action was taken. Corrective Action Plan: Beginning in Summer 2025, the new Financial Aid Director and Registrar have been meeting bi-weekly to discuss all changes of enrollment including withdrawals. This process ensures that all students are reviewed and R2T4's are completed on all students who withdraw from Midland University and have Title IV funding. Name(s) of Contact Person(s) Responsible for Corrective Action: Jon Dechant, Director of Financial Aid & Joseph Harnisch, CFO Anticipated Completion Date: Finding 2025-001: Completed in July 2025

View Audit 372942 Questioned Costs: $1

Finding 1163405 (2025-001)

Material Weakness 2025

Texas Wesleyan University

TX

Student Financial Aid Questioned Costs Special Tests & Provisions

Corrective Actions: To strengthen internal controls and ensure full compliance with federal regulations, the University has implemented the following measures: 1. Secondary Review Implementation: The University has contracted with an external consultant to serve as a secondary reviewer. In the inter...

Corrective Actions: To strengthen internal controls and ensure full compliance with federal regulations, the University has implemented the following measures: 1. Secondary Review Implementation: The University has contracted with an external consultant to serve as a secondary reviewer. In the interim, an internal staff member is receiving comprehensive R2T4 training and will complete the NASFAA Return of Title IV Funds Certification Program in March 2026. Upon completion of the NASFAA Program coursework, the staff member will complete an examination on or before May 31, 2026. Once certification is achieved and the University has full confidence in the internal review process, the secondary review function will transition from the external consultant to an in-house process. 2. Documentation Retention Enhancement: The University has reinforced procedures, including those document retention protocols, by adding this as an additional checklist item on the R2T4 checklist, to ensure that all post-withdrawal disbursement notifications are properly retained in each student’s financial aid record, either electronically or within the designated document management system. The checklist is meant to be a roadmap for the reviewer to ensure each step is completed in the calculation process and that documentation is retained for post-withdrawal disbursement. 3. Staff Training: All financial aid staff involved in the R2T4 process have received updated training on the correct handling of loan returns and post-withdrawal notifications in accordance with 34 CFR 668.22 and current FSA Handbook guidance. Staff involved with R2T4 administration include the Financial Aid Business Analyst and a Financial Aid Advisor. Both team members have completed either official NASFAA or FSA training. The Financial Aid Advisor will be completing the NASFAA Certificate training on R2T4. Additionally, the Assistant Director will also complete the program at the same time, increasing the depth of knowledge for the team around this topic. Responsible Official: Doug Cleary, Director of Financial Aid Estimated Completion Date: May 31, 2026

View Audit 372939

Finding 1163400 (2025-001)

Material Weakness 2025

Austin College

CO

Questioned Costs Student Financial Aid Significant Deficiency

Attached to this document is a new Summer Pell Policy and Procedures that we developed after the Pell finding was brought to our attention this past summer. A mentor from another private institution that uses Colleague (the same system we use) was recommended to our team to help guide us when awardi...

Attached to this document is a new Summer Pell Policy and Procedures that we developed after the Pell finding was brought to our attention this past summer. A mentor from another private institution that uses Colleague (the same system we use) was recommended to our team to help guide us when awarding summer Pell using the Pell Grant Enrollment Intensity formula. We implemented training on the Enrollment Intensity formula and had various calculation scenarios tested by our new mentor. We then awarded all summer term students who were entitled to the Pell Grant award and disbursed aid to those students by the required deadline. For the future, we will follow the newly developed Summer Pell Policy and Procedures. We will engage with the Registrar's Office to determine and verify when students register, drop and/or change courses for the summer term. In addition, running weekly Informer reports will be another safety net for our office when determining Pell eligibility for summer students. The Financial Aid staff will also immerse themselves in various forms of training available to us on all aspects of processing and awarding aid. We will do this via webinars, TASFAA and NASFAA training opportunities, internal cross-training and various FSA training programs. This year, two members of our team are new to financial aid and the remaining two, including myself, are new to our positions and responsibilities. We feel taking advantage of the plethora of training resources available in our industry will be vital to our growth and success while navigating higher education's rapidly changing regulations. Person ResponsibLe for Corrective Action PLan: Hayley Jordan - Director of Financial Aid Anticipated Date of Completion: Implemented.

View Audit 372937

Finding 1163254 (2025-001)

Material Weakness 2025

Housing Authority of the City of Independence

MO

HUD Housing Programs Questioned Costs

The Independence Housing Authority (IHA) implemented a new software system, Bob.AI, which was intended to automatically place units into abatement following a second failed inspection. IHA has worked with the software developer to resolve the issue, and the Director of HCV is now manually updating t...

The Independence Housing Authority (IHA) implemented a new software system, Bob.AI, which was intended to automatically place units into abatement following a second failed inspection. IHA has worked with the software developer to resolve the issue, and the Director of HCV is now manually updating the unit status to abatement/termination after a second failed inspection. This update ensures that the required abatement notices are generated as intended.

View Audit 372764

Corrective Action Plans

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