Corrective Action Plans

Finding 571837 (2024-003)

Material Weakness 2024

City of Baton Rouge - Parish of East Baton Rouge

LA

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

The City-Parish transitioned the administration of the SLFR grant in the first quarter of 2025; therefore, we are unable to obtain direct clarification if there was other supporting documentation obtained but not included with the invoice. Moving forward, more detailed documentation will be required...

The City-Parish transitioned the administration of the SLFR grant in the first quarter of 2025; therefore, we are unable to obtain direct clarification if there was other supporting documentation obtained but not included with the invoice. Moving forward, more detailed documentation will be required to substantiate payments and services rendered. Expected Implementation Date: January 2025 Contact person: Kelly LeDuff, Urban Development Director, Office of Community Development Yolanda Burnette-Lankford, Ph.D., Chief Service Office, Office of the Mayor-President

View Audit 362863 Questioned Costs: $1

Finding 571835 (2024-008)

Significant Deficiency 2024

City of Baton Rouge - Parish of East Baton Rouge

LA

Questioned Costs Procurement, Suspension & Debarment § 200.318 § 200.326

The amendment in question did not constitute a material change in the scope, nature, or intent of the original procurement. The additional funding awarded was consistent with the original services solicited and did not involve new activities or substantially alter the deliverables or performance sta...

The amendment in question did not constitute a material change in the scope, nature, or intent of the original procurement. The additional funding awarded was consistent with the original services solicited and did not involve new activities or substantially alter the deliverables or performance standards initially procured. As such, the amendment fell within the bounds of the original competitive process and was not required to be procured. The City-Parish procurement policy allows for amendments when they do not exceed the original scope of work or introduce fundamentally different services. The amendment was processed with full documentation of cost reasonableness, continued eligibility under the applicable grant program and internal approval. Therefore, we assert that the contract amendment was executed in accordance with both HUD and local procurement requirements and no formal procurement was necessary. To strengthen internal controls and ensure full alignment with federal procurement requirements, the OCD will document and reinforce internal procedures outlining when procurement is or is not required for amendments within the original scope. Procurement training is ongoing. The OCD staff will conduct refresher training with procurement and program personnel on contract amendment procedures and documentation requirements. Expected Implementation Date: August 2025 Contact person: Kelly LeDuff, Urban Development Director, Office of Community Development

View Audit 362863 Questioned Costs: $1

Finding 571831 (2024-003)

Material Weakness 2024

Warren County, North Carolina

NC

Eligibility Questioned Costs Material Weakness

Finding: 2024-3 Name of contact person: Renae Alston Corrective Action: The County will continue to train employees on a monthly basis and as needed when new and updated policies are received. Supervisors and lead workers will continue to conduct second party reviews and utilizing any findings...

Finding: 2024-3 Name of contact person: Renae Alston Corrective Action: The County will continue to train employees on a monthly basis and as needed when new and updated policies are received. Supervisors and lead workers will continue to conduct second party reviews and utilizing any findings to aid in training staff on any necessary policy information. The department will continue to implement changes as necessary to achieve the overall improvement of eligibility determinations. Proposed Completion Date: June 30, 2025

View Audit 362852

Finding 571828 (2024-002)

Significant Deficiency 2024

Western Missouri Medical Center

MO

Special Tests & Provisions Questioned Costs Student Financial Aid

Identification: 10.766 United States Department of Agriculture (USDA), Community Facilities Loans and Grants Cluster, Noncompliance Finding/Significant Deficiency, Special Tests and Provisions. Corrective Action Plan: The Medical Center will seek guidance from the bond trustee and USDA related to...

Identification: 10.766 United States Department of Agriculture (USDA), Community Facilities Loans and Grants Cluster, Noncompliance Finding/Significant Deficiency, Special Tests and Provisions. Corrective Action Plan: The Medical Center will seek guidance from the bond trustee and USDA related to the insurance provisions in the bond documents for the amount of fidelity bond coverage and retaining an insurance consultant to provide a report. Anticipated completion date: The Medical Center anticipates this to be completed during 2025.

View Audit 362847

Finding 571827 (2024-001)

Significant Deficiency 2024

Western Missouri Medical Center

MO

Special Tests & Provisions Questioned Costs Student Financial Aid

Identification: 10.766 United States Department of Agriculture (USDA), Community Facilities Loans and Grants; Noncompliance Finding; Special Tests and Provisions Corrective Action Plan: The Medical Center will take the necessary steps outlined in the bond indenture and work with the bond trustee ...

Identification: 10.766 United States Department of Agriculture (USDA), Community Facilities Loans and Grants; Noncompliance Finding; Special Tests and Provisions Corrective Action Plan: The Medical Center will take the necessary steps outlined in the bond indenture and work with the bond trustee in order to improve the financial covenants and come back into compliance. Anticipated completion date: The Medical Center anticipates this to be completed during 2025.

View Audit 362847

Finding 571817 (2024-001)

Significant Deficiency 2024

School District of Fort Atkinson

WI

Questioned Costs Cash Management Reporting

Condition: Supporting documentation for the monthly food service meals provided did not align with the claims reported for reimbursement by free, reduced, and paid categories. Plan: The District will keep physical copies of reports and claims submitted. As students switched categories (free, reduced...

Condition: Supporting documentation for the monthly food service meals provided did not align with the claims reported for reimbursement by free, reduced, and paid categories. Plan: The District will keep physical copies of reports and claims submitted. As students switched categories (free, reduced, and paid), the electronic system failed to keep that in account, leading to discrepancies. Anticipated Date of Completion: The District anticipates completion during the 2024-2025 fiscal year. Name of Contact Person: Nathan Knitt, Director of Business Services

View Audit 362828 Questioned Costs: $1

Finding 571802 (2024-003)

Significant Deficiency 2024

Council of Graduate Schools

DC

Questioned Costs Subrecipient Monitoring Eligibility

Description:Significant deficiency in FFATA reporting threshold. Planned Corrective Action: CGS will familiarize itself with all FFATA reporting requirements to ensure that the $30,000.00 threshold for first-tier subawards will be reported to FSRS with all reporting deadlines observed by building th...

Description:Significant deficiency in FFATA reporting threshold. Planned Corrective Action: CGS will familiarize itself with all FFATA reporting requirements to ensure that the $30,000.00 threshold for first-tier subawards will be reported to FSRS with all reporting deadlines observed by building this requirement into the grants management calendaring system. Completion Date: October 1, 2025 Responsible Person: Keith Peregonov, VP for Finance, Human Resources and Operations

View Audit 362812

Finding 571788 (2024-001)

Significant Deficiency 2024

Council of Graduate Schools

DC

Allowable Costs / Cost Principles Questioned Costs Reporting § 200.502 § 200.510

Description: The SEFA schedule included unallowable costs. Planned Corrective ActionL CGS will revise its SEFA preparation procedures to ensure that only allowable and properly reimbursable expenditures on federal awards are reported. Additional training will be scheduled for those responsible sta...

Description: The SEFA schedule included unallowable costs. Planned Corrective ActionL CGS will revise its SEFA preparation procedures to ensure that only allowable and properly reimbursable expenditures on federal awards are reported. Additional training will be scheduled for those responsible staff members to ensure that this error does not happen in the future. Anticipated Completion Date: October 1, 2025 Responsible Person: Keith Peregonov, VP for Finance, Human Resources and Operations

View Audit 362812

Finding 571786 (2024-002)

Significant Deficiency 2024

Housing Authority of Monroe County

PA

HUD Housing Programs Questioned Costs Special Tests & Provisions

Views of responsible officials and planned correction action: The Authority has recognized the deficiencies in the Housing Voucher Cluster and will implement internal control procedures that will ensure compliance with federal regulations. Linda Kaufman, Executive Director, is responsible for implem...

Views of responsible officials and planned correction action: The Authority has recognized the deficiencies in the Housing Voucher Cluster and will implement internal control procedures that will ensure compliance with federal regulations. Linda Kaufman, Executive Director, is responsible for implementing this corrective action by December 31, 2025.

View Audit 362811 Questioned Costs: $1

Finding 571782 (2024-001)

Significant Deficiency 2024

Prc

CA

Questioned Costs Subrecipient Monitoring Reporting § 200.512

Corrective Action Plan For the year ended June 30, 2024 2024-001 Compliance Over Reporting Response and Corrective Action Plan: The June 30, 2024 audit package were delayed due to several factors including a change in finance leadership whereby the new leadership was not part of the 2023-2024 accoun...

Corrective Action Plan For the year ended June 30, 2024 2024-001 Compliance Over Reporting Response and Corrective Action Plan: The June 30, 2024 audit package were delayed due to several factors including a change in finance leadership whereby the new leadership was not part of the 2023-2024 accounting oversight. Additionally, during the fiscal year several system transitions occurred including a change in accounting software, change in accounts payable approval software, change in banks and investment accounts. Finally, without permanent accounting leadership, proper account reconciliations had been neglected are prepared well after the fiscal year end. A full time, permanent CFO was hired July 1, 2024 and has been working with the existing finance team to maintain proper accounting records including an updated general ledger reconciled to sub ledgers for all balance sheet accounts. It is anticipated that the audit package for fiscal year end June 30, 2025 will be completed timely. Anticipated Completion Date: The process to improve timely audit package report has been ongoing throughout fiscal year 2025 and the 2025 audit is projected to be completed by December31, 2025. Responsible party: Brent Willman, CFO and Lanny Suwarno, Controller

View Audit 362805

Finding 571781 (2024-001)

Significant Deficiency 2024

Chuan Teng

CA

Questioned Costs Reporting Significant Deficiency § 200.512

Corrective Action Plan For the year ended June 30, 2024 2024-001 Compliance Over Reporting Response and Corrective Action Plan: The June 30, 2024 audit package was delayed due to several factors including a change in finance leadership whereby the new leadership was not part of the 2023-2024 account...

Corrective Action Plan For the year ended June 30, 2024 2024-001 Compliance Over Reporting Response and Corrective Action Plan: The June 30, 2024 audit package was delayed due to several factors including a change in finance leadership whereby the new leadership was not part of the 2023-2024 accounting oversight. Additionally, during the fiscal year several system transitions occurred including a change in accounting software, change in accounts payable approval software, change in banks and investment accounts. Finally, without permanent accounting leadership, proper account reconciliations had been neglected are prepared well after the fiscal year end. A full time, permanent CFO was hired July 1, 2024 and has been working with the existing finance team to maintain proper accounting records including an updated general ledger reconciled to sub ledgers for all balance sheet accounts. It is anticipated that the audit package for fiscal year end June 30, 2025 will be completed timely. Anticipated Completion Date: The process to improve timely audit package report has been ongoing throughout fiscal year 2025 and the 2025 audit is projected to be completed by December31, 2025. Responsible party: Brent Willman, CFO and Lanny Suwarno, Controller

View Audit 362804

Finding 571772 (2024-007)

Material Weakness 2024

City of Commerce

CA

Procurement, Suspension & Debarment Questioned Costs

The City of Commerce will ensure, before contracting, that none of its vendors are suspended, debarred, ineligible, or voluntarily excluded from participating in federally assisted transactions or procurements. To accomplish this, the Transportation department will verify that the vendors are not ex...

The City of Commerce will ensure, before contracting, that none of its vendors are suspended, debarred, ineligible, or voluntarily excluded from participating in federally assisted transactions or procurements. To accomplish this, the Transportation department will verify that the vendors are not excluded or disqualified by checking SAM exclusions (at SAM.gov), collecting a certification, or adding a clause or condition to the covered transaction. As a best practice, the department will print the screen with the search results to include in the award or procurement file or to have a checklist notating when SAM.gov was reviewed. If the City of Commerce becomes aware after the vendor award that an excluded party is participating in a covered transaction, the City shall promptly inform the FTA regional office in writing. Further, the Transportation Director has addressed this finding during fiscal year 2024-2025 by creating a database to track vendor verification status. This new procedure requires review of the database on a quarterly basis, which includes following up with vendors with expired certifications and documenting the findings. The Sam certification documents are stored in the City’s database and is accessible to the Finance department. Responsible Persons: Claude McFerguson – Director of Transportation Date of Implementation: May 19, 2025

View Audit 362784

Finding 571760 (2024-003)

Material Weakness 2024

City of Stillwater

MN

Questioned Costs Procurement, Suspension & Debarment Material Weakness

U.S. Department of the Treasury State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Award Period: 2024 Recommendation: We recommend the City implement internal controls to ensure that all procurement documentation is retained. Explanation of disagreement with audit finding: The...

U.S. Department of the Treasury State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Award Period: 2024 Recommendation: We recommend the City implement internal controls to ensure that all procurement documentation is retained. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: The City will implement a formal procurement policy and internal controls to ensure compliance with procurement standards. Name of the contact person responsible for corrective action: Sharon Provos, Finance Director Planned completion date for corrective action plan: December 31, 2025 FINDINGS— MINNESOTA LEGAL COMPLIANCE Our audit did not disclose any matters required to be reported in accordance with the Minnesota Legal Compliance Audit Guide for Counties.

View Audit 362777

Finding 571758 (2024-001)

Material Weakness 2024

City of Stillwater

MN

Questioned Costs Procurement, Suspension & Debarment Material Weakness

U.S. Department of the Treasury State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Award Period: 2024 Recommendation: We recommend the City implement a formal procurement policy, which should be in place to ensure compliance with program requirements and procurement standards. ...

U.S. Department of the Treasury State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Award Period: 2024 Recommendation: We recommend the City implement a formal procurement policy, which should be in place to ensure compliance with program requirements and procurement standards. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: The City will implement a formal procurement policy. Name of the contact person responsible for corrective action: Sharon Provos, Finance Director Planned completion date for corrective action plan: December 31, 2025

View Audit 362777

Finding 571744 (2024-006)

Material Weakness 2024

City of Cambridge Massachusetts

MA

Questioned Costs Allowable Costs / Cost Principles Eligibility § 200.303

Implemented beneficiary eligibility review process has been reenforced to reduce the chance of the same happenings.

View Audit 362742 Questioned Costs: $1

Finding 571743 (2024-005)

Material Weakness 2024

City of Cambridge Massachusetts

MA

Subrecipient Monitoring HUD Housing Programs Questioned Costs § 200.303

The City will continue to work with all agencies receiving HOPWA to complete their annual CAPER correctly and in a timely manner. This emphasis will be reiterated throughout the awarding process and will be subject to regular status updates to ensure compliance and accuracy. Further, the City will w...

The City will continue to work with all agencies receiving HOPWA to complete their annual CAPER correctly and in a timely manner. This emphasis will be reiterated throughout the awarding process and will be subject to regular status updates to ensure compliance and accuracy. Further, the City will work with HUD to establish a correct methodology in reporting consistency with IDIS.

View Audit 362742

Finding 571727 (2024-002)

Significant Deficiency 2024

Hale County, Texas

TX

Questioned Costs Reporting Significant Deficiency § 200.303

Finding 2024-002 Federal Agency Name: U.S. Department of the Treasury Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Assistance Listing Number: 21.027 Finding Summary: The County’s annual performance report submitted to the Department of Treasury was not reviewed a...

Finding 2024-002 Federal Agency Name: U.S. Department of the Treasury Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Assistance Listing Number: 21.027 Finding Summary: The County’s annual performance report submitted to the Department of Treasury was not reviewed and approved by a separate individual outside of the preparer. Responsible Individuals: Melinda Silvas, County Auditor Corrective Action Plan: Hale County will continue to have the County Auditor prepare the performance reports, with a mechanical review of the report performed by an individual within the Auditor’s Office. Anticipated Completion Date: July 2025

View Audit 362723

Finding 571719 (2024-001)

Significant Deficiency 2024

Boulder County, Colorado

CO

Questioned Costs Allowable Costs / Cost Principles Significant Deficiency § 200.430

Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) – Assistance Listing No. 21.027 Recommendation: We recommend the County improve the review process over allocating payroll costs to ensure that payroll costs charged were for the proper amounts. Explanation of disagreement with audit finding...

Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) – Assistance Listing No. 21.027 Recommendation: We recommend the County improve the review process over allocating payroll costs to ensure that payroll costs charged were for the proper amounts. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Ineligible costs were identified with other eligible costs. System process was reviewed and reconciled for any additional errors and process was updated to prevent system errors in the future. Payroll reporting was reviewed for accuracy and additional steps were taken to assist in correcting the system error and to prevent errors in the future for project costs. Name of the contact person responsible for corrective action: Julie Fischer, Comptroller Planned completion date for corrective action plan: December 2025.

View Audit 362719 Questioned Costs: $1

Finding 571715 (2024-003)

Significant Deficiency 2024

Otter Tail Housing and Redevelopment Authority

MN

HUD Housing Programs Questioned Costs Significant Deficiency

Contact Person Amy Baldwin, Executive Director Corrective Action Plan The Authority will review its policies and procedures over program compliance requirements and continue to provide occupancy training to staff to prevent future exceptions. Planned Completion Date for CAP December 31, 2025

View Audit 362709

Finding 571714 (2024-002)

Significant Deficiency 2024

Otter Tail Housing and Redevelopment Authority

MN

HUD Housing Programs Questioned Costs Significant Deficiency

Contact Person Amy Baldwin, Executive Director Corrective Action Plan The Authority will review the program compliance requirements to ensure an accurate understanding of all requirements is obtained. Planned Completion Date for CAP December 31, 2025

View Audit 362709

Finding 571713 (2024-001)

Significant Deficiency 2024

Otter Tail Housing and Redevelopment Authority

MN

HUD Housing Programs Questioned Costs Eligibility

Contact Person Amy Baldwin, Executive Director Corrective Action Plan The Authority will review its policies and procedures over program compliance requirements and continue to provide occupancy training to staff to prevent future exceptions. Planned Completion Date for CAP December 31, 2025

View Audit 362709

Finding 571706 (2024-001)

Material Weakness 2024

Scotts Bluff County Nebraska

NE

Internal Control / Segregation of Duties Questioned Costs Reporting

Recommendation: The County should be aware of the inherent risks associated with improper segregation of accounting functions. The County should also develop mitigating controls to reduce the risk of errors or fraud associated with improper segregation of accounting functions. Action Taken: The Coun...

Recommendation: The County should be aware of the inherent risks associated with improper segregation of accounting functions. The County should also develop mitigating controls to reduce the risk of errors or fraud associated with improper segregation of accounting functions. Action Taken: The County has assessed the benefits and costs associated with proper segregation of duties for all County departments and offices and has determined that cost would outweigh any benefits received. The County understands the inherent risks associated with improper segregation of accounting functions. Action has been taken to ensure timely deposits to the General Fund from the accounts held by individual departments, and County Management has communicated the need to be transparent regarding the transactions handled within these accounts. The County requires monthly reporting to the Board of Commissioners for various department officials to ensure transactions are recorded, and potential errors and irregularities are identified on a timely basis. The County will continue to review accounting procedures and processes to further mitigate this internal control deficiency whenever possible and feasible.

View Audit 362680

Finding 571704 (2024-001)

Significant Deficiency 2024

Goddard Riverside Community Center

NY

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Questioned Costs

Program: Continuum of Care Program (ALN 14.267) Federal Agency: U.S. Department of Housing and Urban Development Corrective Action Plan: To address the issue of the indirect rate not being correctly charged to the grants the finance department has purchased a budget software, VENA, which will cal...

Program: Continuum of Care Program (ALN 14.267) Federal Agency: U.S. Department of Housing and Urban Development Corrective Action Plan: To address the issue of the indirect rate not being correctly charged to the grants the finance department has purchased a budget software, VENA, which will calculate the indirect rate based on the approved rate in the contracts. The Financial Reporting Manager will ensure the formulas are calculated based on the approved rates, which is a new position in the department. The accounting staff on a quarterly basis will reconcile the calculation on the trial balance to an independent calculation done by the Financial Reporting Manager. Any variances will be adjusted on the ledger and the billing in a timely manner to ensure the rates are correct. Person Responsible: Oona Kossally, Financial Reporting Manager Expected Completion: Ongoing – Reconciliations will begin with the June 30th 2025 year end financials and moving forward will be on at the end of each quarter.

View Audit 362668

Finding 571703 (2024-002)

Material Weakness 2024

National Association of Chronic Disease Directors

GA

Questioned Costs Reporting Cash Management § 200.305 § 200.327 § 200.516

Correction action • Finance team is in the process of implementing a new financial accounting (Grants Management System, Sage) system to ensure that coding for grants are accurately tracked. Internal reports will be built to provide monthly analysis of individual grants. Finance will work with progr...

Correction action • Finance team is in the process of implementing a new financial accounting (Grants Management System, Sage) system to ensure that coding for grants are accurately tracked. Internal reports will be built to provide monthly analysis of individual grants. Finance will work with program staff to ensure timely and accurate budget to actuals review and reconciliations. • Finance will contact Grant Manager responsible for each grant to develop plan of action for returning any overdrawn funds. Responsible Person • Associate Director - Finance Anticipated completion date • September 30, 2025

View Audit 362661 Questioned Costs: $1

Finding 571702 (2024-003)

Material Weakness 2024

National Association of Chronic Disease Directors

GA

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.305 § 200.403 § 200.405 § 200.430

Correction action • Finance will work HR and Program staff to document written procedures for staffing allocations. • Finance will strengthen monthly project monitoring of project activity and also ensure that budget changes, if necessary, are approved by the Grants Manager. • Drawdown process is be...

Correction action • Finance will work HR and Program staff to document written procedures for staffing allocations. • Finance will strengthen monthly project monitoring of project activity and also ensure that budget changes, if necessary, are approved by the Grants Manager. • Drawdown process is being revised to ensure that the general ledger activity, pending draw request, and vendor payables are all in sync. • Finance will contact Grant Manager responsible for each grant to develop plan of action for returning any overdrawn funds. Responsible Person • Associate Director - Finance Anticipated completion date • September 30, 2025

View Audit 362661 Questioned Costs: $1

Corrective Action Plans

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