Corrective Action Plans

Finding 7096 (2022-004)

Significant Deficiency 2022

The Fishing Partnership Health Plan Corporation D/b/a Fishing Partnership

MA

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

Finding 2022-004 - Strengthen controls surrounding program-related record keeping including increasing the frequency of reconciliation's and program wage allocation procedures to match the payroll cycle. Program Affected Under the U.S. Department of Health and Human Services - Award Year October 1,...

Finding 2022-004 - Strengthen controls surrounding program-related record keeping including increasing the frequency of reconciliation's and program wage allocation procedures to match the payroll cycle. Program Affected Under the U.S. Department of Health and Human Services - Award Year October 1, 2021 - September 30, 2022: Assistance Listing 93.262 Occupational Safety and Health Program Corrective Action The Organization agrees with the finding. The Organization has implemented both time and effort reporting by pay period and wage reconciliations as part of a monthly close process. Responsible individual - JJ Bartlett Completion 9/30/2023

View Audit 9150 Questioned Costs: $1

Finding 7030 (2022-005)

Significant Deficiency 2022

Blair-Taylor School District

WI

Questioned Costs Cash Management Reporting

Condition and Cause: As part of our federal compliance testing we reviewed supporting documentation used to submit claims for lunch and breakfast programs. Our review noted one instance where the breakfast meals were submitted as lunch meals. Questioned Costs: $7,864 Criteria: Districts must s...

Condition and Cause: As part of our federal compliance testing we reviewed supporting documentation used to submit claims for lunch and breakfast programs. Our review noted one instance where the breakfast meals were submitted as lunch meals. Questioned Costs: $7,864 Criteria: Districts must submit monthly claims for reimbursement for meals served to eligible students within 60 days following the last day of the month covered by the claim. Each month’s claim for reimbursement and all data used in the claims review process must be maintained on file. Accurate records must be maintained justifying all meals claimed and documenting that all Program funds were spent only on allowable Child Nutrition Program costs. Effect: If incorrect amounts are reported, the District could either receive disallowed aid, or be missing out on additional aid. Auditor’s Recommendation: We recommend the District review of current procedures for compiling and reporting the information submitted in order to verify accurate claims are submitted to DPI. Grantee Response: The District is working with DPI to correct the claims and will implement procedures to ensure that claims are accurate. Contact Person: Jessica Lien Anticipated Completion: Ongoing

View Audit 9024 Questioned Costs: $1

Finding 6965 (2022-004)

Material Weakness 2022

Fredericksburg Area Health and Support Services, Inc.

VA

Questioned Costs Internal Control / Segregation of Duties Subrecipient Monitoring § 200.430

Finding: The Organization allowed payroll related costs to be submitted for reimbursement under the grant for time that did not match approved timesheets. This is not in compliance with program allowable cost requirements. The amount of payroll and related costs discovered to be incorrect was a net...

Finding: The Organization allowed payroll related costs to be submitted for reimbursement under the grant for time that did not match approved timesheets. This is not in compliance with program allowable cost requirements. The amount of payroll and related costs discovered to be incorrect was a net amount of $25, which when projected onto the remaining payroll and related costs that were not tested, amounted to $1,038. Corrective Action Taken or Planned: The Organization will review audit findings and ensure accurate future reimbursements, develop a comprehensive process for verifying time sheets against service delivery, and implement a paper timesheet system in which supervisors must enter time based on timesheets, ensuring 1:1 reimbursement. Name of Contact Person: Jacob Ducey, Grants Manager Phone Number of Contact Person: (540) 907-4555 Projected Completion Date: October 31, 2023

View Audit 9001 Questioned Costs: $1

Finding 6774 (2022-001)

Material Weakness 2022

Winlock School District No. 232

WA

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Winlock School District No. 232 September 1, 2021 through August 31, 2022 This schedule presents the corrective action planned by the District for findings reported in this report in accordance with Title 2 U.S. Code of Federal Regu...

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Winlock School District No. 232 September 1, 2021 through August 31, 2022 This schedule presents the corrective action planned by the District for findings reported in this report in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Finding ref number: 2022-001 Finding caption: The District did not have adequate controls for ensuring compliance with federal requirements for allowable costs and cost principles. Name, address, and telephone of District contact person: Gloria Dupree, Business Manager, N.E. 1st Street, Winlock, WA 98596, (360) 785-3582 Corrective action the auditee plans to take in response to the finding: Corrective actions for ensuring compliance with federal requirements around cash management, allowable costs, and cost principles. Cash Management 1. Review Policies and Procedures: Ensure the district’s policies and procedures align with federal standards. Regularly audit your cash management practices. 2. Training: Ensure training on federal regulations and the importance of adhering to them for staff members involved in cash management. 3. Internal Controls: Strengthen internal controls to prevent and detect non-compliance, including segregation of duties and regular reconciliations. We hired a new Accounts payable employee in February 2023. 4. Monitoring: Monitor regularly to ensure that federal funds are utilized properly and efficiently. Allowable Costs 1. Guidance Review: Review the federal awarding agency’s guidance on allowable costs to ensure that all costs charged to the award are permissible under the specific federal program. Office of the Washington State Auditor sao.wa.gov 2. Documentation: Implement a robust system to document all costs and ensure they are reasonable, allocable, and necessary. 4. Review: Conduct regular reviews of expenditures to check for compliance with allowable cost principles. 5. Training: Educate all staff involved in financial management about the principles of allowable costs associated with federal awards. Cost Principles 1. Policy Update: Update organizational policies to reflect federal cost principles. 2. Consistency: Apply costs consistently and in a manner consistent with policies and procedures. 3. Direct vs. Indirect Costs: Properly identify direct and indirect costs and allocate them according to federal standards. 4. Record Keeping: Maintain accurate and complete financial records, retaining them for the period specified by the federal award or until all audits are completed and findings resolved. Anticipated date to complete the corrective action: 02/01/2024

View Audit 8703 Questioned Costs: $1

Finding 6675 (2022-003)

Material Weakness 2022

Human Resource Development Institute

IL

Questioned Costs Allowable Costs / Cost Principles Cash Management

Allowable Costs/Cost Principles, Cash Management, Period of Performance and Reporting U.S. Department of Health and Human Services, AL No. 93.958, Block Grant for Community Mental Health Services U.S. Department of Health and Human Services, AL No. 93.959, Block Grant for Prevention and Treatment o...

Allowable Costs/Cost Principles, Cash Management, Period of Performance and Reporting U.S. Department of Health and Human Services, AL No. 93.958, Block Grant for Community Mental Health Services U.S. Department of Health and Human Services, AL No. 93.959, Block Grant for Prevention and Treatment of Substance Abuse U.S. Department of Health and Human Services, AL No. 21.027, Coronavirus State and Local Fiscal Recovery Fund U.S. Department of Health and Human Services, AL No 93.778, Medicaid Cluster Medical Assistance Program Criteria Human Resources Development, Inc., and Affiliates’ (HRDI) is responsible for keeping an accurate accounting and all of the required documentation in accordance with applicable federal regulations. Views of Responsible Officials and Planned Corrective Actions: HRDI will implement the following corrective actions for the FY 2023-24 to remediate the finding and address the cause of the finding. HRDI will implement the following corrective actions for the FY 2023-24 to remediate the finding and address the cause of the finding. HRDI has hired staff with higher technical accounting skills than the previous staff. The following staff have been hired full-time or will be hired soon: Payroll & Benefits Specialist, Grant Accountant, Senior Staff Accountant, Accounts Payables and Receivables Specialist, and a Purchasing Specialist. • HRDI’s Human Resources has implemented quarterly audits on all new staff to verify each new staff member hired within the last year has a signed employee offer and appropriate backup support to support the employees’ annual salary. • HRDI has implemented a new accounting system – Sage Intacct. Additionally, we have implemented a grants project tracking module to better help with grants and contracts reporting and compliance. • HRDI is in the process of implementing a new payroll & HRIS – UKG. The anticipated completion date is March 2024. All manual and onboarding processes will be implemented within the system for tracking and auditing purposes. • HRDI will implement an established month-end checklist for all monthly entries to be completed by assigned finance staff. We will ensure that all staff are trained adequately to handle any assigned task. All monthly entries are required reviewed and approved by the Chief Financial Officer prior to posting to the general ledger within our new Accounting Software. All appropriate backup documentation will be saved and stored within the accounting software. • All Grant related Year-End and Audit Procedures will be transitioned to the Grant Accountant who has experience in audits, compliance, and reporting of City, State, Local, and Federal Grants. • HRDI will document accounting policies and procedures to reflect the new month-end processes and provide training to staff on current and future policies. • HRDI will ensure that Finance staff will receive at minimum of 25 hours of training each year related to GASB, GAAP, Governmental Financial Reporting, or other related accounting trainings annually. • HRDI will ensure that any staff involved in Financial Reporting that the technical expertise to help with the preparation, review, and analysis of the financial statements. The target date for implementation is March 31, 2024. The responsible party for the planned resources will be Gail ViJuk, Chief Financial Officer (708) 288-7897. Our address is 340 E. 51st St., Chicago, IL 60615..

View Audit 8675 Questioned Costs: $1

Finding 6674 (2022-002)

Material Weakness 2022

Human Resource Development Institute

IL

Questioned Costs Reporting Material Weakness

U.S. Department of Housing and Urban Development, CFDA No. 14.267, Shelter Plus Care U.S. Department of Housing and Urban Development, CFDA No. 14.241, Housing Opportunities for Persons with AIDS Passed-through Alabama Department of Mental Health and Retardation, AL No. 93.778, Medicaid Cluster Medi...

U.S. Department of Housing and Urban Development, CFDA No. 14.267, Shelter Plus Care U.S. Department of Housing and Urban Development, CFDA No. 14.241, Housing Opportunities for Persons with AIDS Passed-through Alabama Department of Mental Health and Retardation, AL No. 93.778, Medicaid Cluster Medical Assistance Program The 2022-002 finding expands finding 2022-001 for the federal award program as it impacted the expenses charged to the federal awards above. Prior to the adjustments to correct the balances, the expenses reported on the SEFA for AL No. 14.267 were overstated by approximately $3,015 and the expenses reported on the SEFA for AL No. 14.241 were overstated by approximately $37,649. In addition, the expenses reported on the SEFA for AL No. 93.778 were overstated by approximately $456,701. Views of Responsible Officials and Planned Corrective Actions: HRDI will implement the following corrective actions for the FY 2023-24 to remediate the finding and address the cause of the finding. The Chief Financial Officer has been hired in December 2023 and will begin full time employment January 1, 2024. In addition, all Finance responsibilities currently handled by outsourced resources will be transitioned to full-time employed Finance staff. • All Grant related Year-End and Audit Procedures will be transitioned to the new Grant Accountant who has experience in audits, compliance, and reporting of City, State, Local, and Federal Grants. • HRDI will document accounting policies and procedures to reflect the new month-end processes and provide training to staff on current and future policies. • HRDI will ensure that Finance staff will receive at minimum of 25 hours of training each year related to GASB, GAAP, Governmental Financial Reporting, or other related accounting trainings annually. • HRDI will ensure that any staff involved in Financial Reporting has the technical expertise to help with the preparation, review, and analysis of the financial statements. The target date for implementation is March 31, 2024. The responsible party for the planned resources will be Gail ViJuk, Chief Financial Officer (708) 288-7897. Our address is 340 E. 51st St., Chicago, IL 60615.

View Audit 8675 Questioned Costs: $1

Finding 6673 (2022-001)

Material Weakness 2022

Human Resource Development Institute

IL

Questioned Costs Material Weakness Reporting

Criteria Human Resources Development, Inc. and Affiliates’ (HRDI) is responsible for keeping an accurate accounting of its financial information. Views of Responsible Officials and Planned Corrective Actions: HRDI will implement the following corrective actions for the FY 2023-24 to remediate the fi...

Criteria Human Resources Development, Inc. and Affiliates’ (HRDI) is responsible for keeping an accurate accounting of its financial information. Views of Responsible Officials and Planned Corrective Actions: HRDI will implement the following corrective actions for the FY 2023-24 to remediate the finding and address the cause of the finding. HRDI will implement an established month-end checklist for all monthly entries to be completed by assigned finance staff. We will ensure that all staff are trained adequately to manage any assigned task. All monthly entries that are required will be reviewed and approved by the Chief Financial Officer prior to posting to the general ledger within our new Accounting Software. All appropriate backup documentation will be saved and stored within the accounting software. •HRDI will implement balance sheet reconciliations to be prepared and completed by Finance Staff Accountants monthly with a monthly review performed by the Chief Financial Officer. All balance sheet accounts will be reconciled to external data for verification monthly. All revenue accounts will be reconciled to external data for verification monthly. •The Chief Financial Officer has been hired in December 2023 and will begin full time employment January 1, 2024. In addition, all Finance responsibilities currently handled by outsourced resources will be transitioned to full-time employed Finance staff. •HRDI will document accounting policies and procedures to reflect the new month-end processes and provide training to staff on current and future policies. •HRDI will ensure that Finance staff will receive at minimum of 25 hours of training each year related to GASB, GAAP, Governmental Financial Reporting, or other related accounting trainings annually. •HRDI will ensure that any staff involved in Financial Reporting has the technical expertise to help with the preparation, review, and analysis of the financial statements. •HRDI has implemented a new accounting system – Sage Intacct. Additionally, we have implemented a grants project tracking module to better help with grants, contracts reporting, and compliance. The target date for implementation is March 31, 2024. The responsible party for the planned resources will be Gail ViJuk, Chief Financial Officer (708) 288-7897. Our address is 340 E. 51st St., Chicago, IL 60615.

View Audit 8675 Questioned Costs: $1

Finding 6440 (2022-004)

Material Weakness 2022

Every Woman's Place

MI

Questioned Costs Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Recommendation: The Organization should follow its cash disbursements policy to maintain invoices and have them approved by the appropriate levels of management prior to the issuance of checks. Action Taken: EWP has reviewed its current cash disbursement policy and re-implemented procedures to mai...

Recommendation: The Organization should follow its cash disbursements policy to maintain invoices and have them approved by the appropriate levels of management prior to the issuance of checks. Action Taken: EWP has reviewed its current cash disbursement policy and re-implemented procedures to maintain invoices and have them approved by the appropriate levels of management prior to the issuance of checks. Agency leadership staff have been reviewing allowable and unallowable costs to ensure accurate administration of awards. Responsible Person and Anticipated Completion Date: Executive Director, October 2023.

View Audit 8377 Questioned Costs: $1

Finding 6075 (2022-007)

Material Weakness 2022

Indianapolis Private Industry Council D/b/a Employindy

IN

Questioned Costs Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking § 200.303 § 200.403

Prior to the completion of this audit, EmployIndy already made a number of changes to its financial operations. It parted ways with its Chief Financial Officer and procured the services of an outside Certified Public Accounting firm to begin the process of reviewing and updating its financial operat...

Prior to the completion of this audit, EmployIndy already made a number of changes to its financial operations. It parted ways with its Chief Financial Officer and procured the services of an outside Certified Public Accounting firm to begin the process of reviewing and updating its financial operations. In addition, it recently hired an Executive Vice President of Finance and Operations to lead the final development and implementation of updated financial processes. The Executive Vice President of Finance and Operations has worked with EmployIndy’s Board of Directors and Finance Committee to document a plan for improving EmployIndy’s financial operations across the board by the 2nd quarter of Calendar Year 2024. EmployIndy currently provides training to all staff on properly documenting work hours within the time management and payroll system. There is an existing process for correcting and documenting any changes within the time management and payroll system after time has been submitted. In scenarios where it is necessary and allowable to shift EmployIndy staff time charged from one funding stream/cluster to another, Financial Operations staff, under the direction of the Controller, will make updates, including supporting documentation, in both the time management/payroll and financial management systems. Reconciliations between the payroll system and the financial management system will be completed monthly in order to ensure that the information in each system matches and that there is documentation showing that the expenses are allowable and supported. Finally, the Director of Human Resources will ensure that offer letters with pay rates and any subsequent salary adjustments will be documented with approval signatures and retained in personnel files, with proper amounts being updated within the time reporting/payroll system.

View Audit 7960 Questioned Costs: $1

Finding 6067 (2022-005)

Material Weakness 2022

Indianapolis Private Industry Council D/b/a Employindy

IN

Questioned Costs Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking § 200.303 § 200.403

Prior to the completion of this audit, EmployIndy already made a number of changes to its financial operations. It parted ways with its Chief Financial Officer and procured the services of an outside Certified Public Accounting firm to begin the process of reviewing and updating its financial operat...

Prior to the completion of this audit, EmployIndy already made a number of changes to its financial operations. It parted ways with its Chief Financial Officer and procured the services of an outside Certified Public Accounting firm to begin the process of reviewing and updating its financial operations. In addition, it recently hired an Executive Vice President of Finance and Operations to lead the final development and implementation of updated financial processes. The Executive Vice President of Finance and Operations has worked with EmployIndy’s Board of Directors and Finance Committee to document a plan for improving EmployIndy’s financial operations across the board by the 2nd quarter of Calendar Year 2024. As part of the improvement to financial operations, EmployIndy will provide updated training to all staff covering the proper process for submitting, reviewing, approving, and retaining supporting documents for expenditures. The existing procedure includes a multi-step review and approval process for all expenditures, including those in the WIOA and other federal funding clusters. Additionally, EmployIndy’s Financial Operations, Grants & Contracts, and Program Management teams will provide guidance and training to EmployIndy’s subrecipients and contractors covering the proper process for submitting supporting documentation with invoices or accrued expenditure reports. These documentation requirements will ensure that supporting information directly and clearly ties back to invoices and/or accrued expense reports.

View Audit 7960 Questioned Costs: $1

Finding 5955 (2022-112)

Significant Deficiency 2022

State of Arizona

AZ

Questioned Costs Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.303 § 200.513 § 200.521

Assistance listing number and program name: 93.568 Low-Income Home Energy Assistance 93.568 COVID-19 Low-Income Home Energy Assistance Agency: Department of Economic Security Name of contact person and title: Molly Bright, DCAD Assistant Director Anticipated completion date: December 31, 2023 Agency...

Assistance listing number and program name: 93.568 Low-Income Home Energy Assistance 93.568 COVID-19 Low-Income Home Energy Assistance Agency: Department of Economic Security Name of contact person and title: Molly Bright, DCAD Assistant Director Anticipated completion date: December 31, 2023 Agency’s Response: Concur The Department of Economic Security will address the audit recommendations, as follows: 1. Spend no more than the maximum 15 percent of program monies for weatherization or other energy-related home repairs. The Department will ensure that LIHEAP funds are allocated appropriately, and will confirm that no more than 15% of the total grant award is allocated for use in weatherization efforts or other energy-related home repairs. The Department constructs a detailed working budget document that is utilized for establishing the proper allocation of federal LIHEAP funding for each grant year. The finance team monitors this established budget to verify and corroborate its validity. The finance team will continue to monitor the LIHEAP budget, but will also improve its engagement with the Department’s programmatic staff to ensure sustained monitoring of the LIHEAP grant and expenditure earmarks. 2. Train newer staff administering the program on the program’s weatherization limitation and on the Division’s policies and procedures to review and approve expenditures considering this limitation. The Department has and will continue to host training sessions with all staff members, existing and new, to ensure awareness of and compliance with the 15% funding allocation restriction on weatherization related costs. The Department’s LIHEAP Policies and Procedures Manual have been shared and discussed with the programmatic staff, with a strong focus placed on the weatherization allocation cap. New procedures and Chart of Accounts elements have been created as a result of this finding to guarantee future compliance with the grant restrictions. 3. Enable the feature in the State’s accounting system to alert the Division of an award’s expenditures approaching the limitation to help ensure the Division does not exceed the weatherization limitation when spending program monies. Prior to the fiscal year 2022 Single Audit, the Department was not utilizing the State’s accounting system to budget weatherization separately for a program period year associated with LIHEAP. This procedure has changed effective immediately, allowing for improved tracking and reviewing of the LIHEAP grant spending guidelines. Additionally, it provides the Department with the ability to verify that the allocation of funding for weatherization efforts does not exceed the LIHEAP grant weatherization limitation. 4. Work with U.S. DHHS to resolve the $211,026 the Division overspent for weatherization or other energy-related home repairs, which may involve returning monies to the federal agency. The Department will collaborate with the U.S. DHHS to determine an appropriate course of action.

View Audit 7884 Questioned Costs: $1

Finding 5952 (2022-114)

Material Weakness 2022

State of Arizona

AZ

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles § 200.112 § 200.303 § 200.332 § 200.513 § 200.521

Assistance listing number and program name: 93.558 Temporary Assistance for Needy Families 93.558 COVID-19 Temporary Assistance for Needy Families Agency: Department of Economic Security Name of contact person and title: Molly Bright, DCAD Assistant Director Anticipated completion date: June 30, 2...

Assistance listing number and program name: 93.558 Temporary Assistance for Needy Families 93.558 COVID-19 Temporary Assistance for Needy Families Agency: Department of Economic Security Name of contact person and title: Molly Bright, DCAD Assistant Director Anticipated completion date: June 30, 2024 Agency’s Response: Concur The Department will stop the reimbursement of costs to all nonprofit and contracted subrecipients for items that are disallowed and/or restricted by the regulations provided within the provisions of the federal Temporary Assistance for Needy Families (TANF) grant received by the Department. Additionally, the Department will obtain all supporting documentation needed to ensure compliance with these regulations prior to disbursing any TANF funding to any subrecipient for the purpose of reimbursement or programmatic funding. The Department will also update its policies and procedures for subrecipient monitoring. Furthermore, detailed training for the Department personnel responsible for reviewing and approving subrecipient reimbursement requests will be provided to ensure personnel are capable of identifying costs that are unallowable under federal regulations. The Department will assess the risk of noncompliance violations for each subrecipient and establish a plan of action to address noncompliance. The plan of action will include an array of training and educational processes to ensure applicable personnel are knowledgeable of TANF compliance requirements and Department contracts. The Department will also monitor subrecipients per updated policies and procedures. The Department will continue to resolve the unallowable costs reimbursed to subrecipients as deemed appropriate by the United States Department of Health and Human Services.

View Audit 7884 Questioned Costs: $1

Finding 5933 (2022-125)

Material Weakness 2022

State of Arizona

AZ

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.303 § 200.305

Assistance listing number and program name: 84.425 COVID-19 Education Stabilization Fund-Higher Education Emergency Relief Fund (HEERF) Institutional Portion Agency: Northern Arizona University (NAA) Name of contact person and title: Bradley Miner, Interim Vice President and Comptroller Anticipated ...

Assistance listing number and program name: 84.425 COVID-19 Education Stabilization Fund-Higher Education Emergency Relief Fund (HEERF) Institutional Portion Agency: Northern Arizona University (NAA) Name of contact person and title: Bradley Miner, Interim Vice President and Comptroller Anticipated completion date: August 18, 2023 Agency’s Response: Concur See University response section at the end of this report for the corrective action response for finding 2022-125.

View Audit 7884 Questioned Costs: $1

Finding 5930 (2022-126)

Significant Deficiency 2022

State of Arizona

AZ

Questioned Costs Student Financial Aid Eligibility § 200.303

Assistance listing number and program name: 84.425E COVID-19 Education Stabilization Fund—Higher Education Emergency Relief Fund (HEERF)—Student Portion Student Financial Assistance Cluster 84.007 Federal Supplemental Educational Opportunity Grants 84.033 Federal Work-Study 84.038 Federal Perkins L...

Assistance listing number and program name: 84.425E COVID-19 Education Stabilization Fund—Higher Education Emergency Relief Fund (HEERF)—Student Portion Student Financial Assistance Cluster 84.007 Federal Supplemental Educational Opportunity Grants 84.033 Federal Work-Study 84.038 Federal Perkins Loan Program—Federal Capital Contributions 84.063 Federal Pell Grant Programs 84.268 Federal Direct Student Loans 84.379 Teacher Education Assistance for College and Higher Education Grants (TEACH Grants) 93.364 Nursing Student Loans 93.925 Scholarships for Health Professions Students from Disadvantaged Backgrounds—Scholarships for Disadvantaged Students (SDS) Agency: Northern Arizona University (NAA) Name of contact person and title: Bradley Miner, Interim Associate Vice President and Comptroller Anticipated completion date: November 30, 2023 Agency’s Response: Concur See University response section at the end of this report for the corrective action response for finding 2022-126.

View Audit 7884 Questioned Costs: $1

Finding 5884 (2022-113)

Material Weakness 2022

State of Arizona

AZ

Questioned Costs Subrecipient Monitoring § 200.303 § 200.334 § 200.513 § 200.521

Assistance listing number and program name: 21.027 COVID-19 State and Local Fiscal Recovery Funds Name of contact person and title: Kori Kappes, Finance Administrator Anticipated completion date: June 30, 2024 Agency’s Response: Concur The Department will ensure subaward entities provide all record...

Assistance listing number and program name: 21.027 COVID-19 State and Local Fiscal Recovery Funds Name of contact person and title: Kori Kappes, Finance Administrator Anticipated completion date: June 30, 2024 Agency’s Response: Concur The Department will ensure subaward entities provide all records to the division relating to federal awards. The Department will also ensure it retains all records for a period of 3 years from the final expenditure report submission date. The Department will continue to resolve the $10,000 of questionable costs as deemed appropriate by the State of Arizona Office of the Governor and the United States Department of Treasury.

View Audit 7884 Questioned Costs: $1

Finding 5795 (2022-123)

Significant Deficiency 2022

State of Arizona

AZ

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

Assistance listing number and program name: 16.575 Crime Victim Assistance Agency: Department of Public Safety Name of contact person and title: Kate McClary, Administrative Service Manager Anticipated completion date: June 30, 2024 Agency’s Response: Concur Despite the Department having made subaw...

Assistance listing number and program name: 16.575 Crime Victim Assistance Agency: Department of Public Safety Name of contact person and title: Kate McClary, Administrative Service Manager Anticipated completion date: June 30, 2024 Agency’s Response: Concur Despite the Department having made subawards that would have achieved the earmarks in priority spending, the actual expenditures fell short of these targets. In order to increase the likelihood of the priority spending earmarks being met in the future, the Department agrees with this finding and will implement the following: • Additional monitoring of subrecipient program spending at additional points in time throughout the award period to maximize the likelihood of achieving the required 10 percent of its total award on each of the priority crime victim categories: sexual assault, child abuse and spousal abuse. • Enhanced policies and procedures to identify points in time for consideration of the most appropriate action to be taken once it is learned that spending on the priority crime victim categories will not be met. • Adjustments to spending or subrecipient funding, as appropriate, to assist in safeguarding it meets the earmarking requirement if overall spending on any of the three priority crime victim categories is lower than the required 10 percent. • Seek additional subrecipients for it and other State agencies to partner with to serve the priority categories of crime victims, and if additional subrecipients cannot be found, work with the federal agency to request a waiver for or a reduction to the earmarking requirements.

View Audit 7884 Questioned Costs: $1

Finding 5791 (2022-115)

Significant Deficiency 2022

State of Arizona

AZ

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles § 200.112 § 200.303 § 200.332 § 200.513 § 200.521

Assistance listing number and program name: 14.231 Emergency Solutions Grant Program 14.231 COVID-19- Emergency Solutions Grant Program 14.267 Continuum of Care Program Agency: Department of Housing Name of contact person and title: Keon Montgomery, Assistant Deputy Director of Programs Molly Brig...

Assistance listing number and program name: 14.231 Emergency Solutions Grant Program 14.231 COVID-19- Emergency Solutions Grant Program 14.267 Continuum of Care Program Agency: Department of Housing Name of contact person and title: Keon Montgomery, Assistant Deputy Director of Programs Molly Bright, DCAD Assistant Director (DES) Anticipated completion date: April 30, 2024 Agency’s Response: Concur Department of Housing response: The Department is no longer reimbursing the subrecipient for unsupported or ineligible costs and is working to resolve the issue. The HUD Field Office is aware of the findings and the Department is working toward resolution. Written policies for reviewing and approving subrecipient reimbursements, as well as, risk assessment will be reviewed and updated. Contract specialists in the Special Needs Division have begun training and the Department will continue to leverage Federal educational resources centered on Grants and Agreements, 2 CFR 200 cost principles and award requirements. Department of Economic Security response: Agency: Department of Economic Security Name of contact person and title: Molly Bright, DCAD Assistant Director Anticipated completion date: June 30, 2024 Agency’s Response: Concur The Department will stop the reimbursement of costs to all nonprofit and contracted subrecipients for all items that are disallowed and/or restricted by the regulations provided for within the provisions of the federal Emergency Solutions Grant Program (ESG), including payments that violate the conflict-of-interest disclosure requirements. Additionally, the Department will revise its cost monitoring policy to ensure compliance with these regulations prior to disbursing any ESG funding to any subrecipient for any purpose. The Department will also update its policies and procedures for subrecipient monitoring. The Department will assess the risk of noncompliance violations for each subrecipient and establish a plan of action to address noncompliance. The plan of action will include an array of training and educational processes to ensure applicable personnel are knowledgeable of ESG compliance requirements and Department contracts. The Department will also monitor subrecipients per updated policies and procedures. The Department will continue to resolve the unallowable costs reimbursed to subrecipients as deemed appropriate by the United States Department of Housing and Urban Development.

View Audit 7884 Questioned Costs: $1

Finding 5787 (2022-108)

Material Weakness 2022

State of Arizona

AZ

Questioned Costs Allowable Costs / Cost Principles § 200.303 § 200.334 § 200.430 § 200.513 § 200.521

Assistance listing number and program name: 12.401 National Guard Military Operations and Maintenance (O&M) Projects Agency: Department of Emergency and Military Affairs (DEMA) Name of contact person and title: Jensen Forde, CFO Anticipated completion date: April 30, 2024 Agency’s Response: Concur ...

Assistance listing number and program name: 12.401 National Guard Military Operations and Maintenance (O&M) Projects Agency: Department of Emergency and Military Affairs (DEMA) Name of contact person and title: Jensen Forde, CFO Anticipated completion date: April 30, 2024 Agency’s Response: Concur DEMA HR anticipates having this completed by April 2024 at the latest. All employee records will be audited, corrected and maintained per the finding. HR staff has received a copy of the Department’s Record Retention Schedule and effective immediately will adhere to the policy.

View Audit 7884 Questioned Costs: $1

Finding 5622 (2022-001)

Material Weakness 2022

Brooks County Board of Education

GA

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring § 200.303 § 200.403 § 200.415 § 200.77

FA 2022-001 Strengthen Controls over Expenditures Compliance Requirement: Activities Allowed or Unallowed Allowable Costs/Cost Principle Period of Performance Internal Control Impact: Significant Deficiency Compliance Impact: Nonmaterial Noncompliance Federal Awarding Agency: U.S. Department of ...

FA 2022-001 Strengthen Controls over Expenditures Compliance Requirement: Activities Allowed or Unallowed Allowable Costs/Cost Principle Period of Performance Internal Control Impact: Significant Deficiency Compliance Impact: Nonmaterial Noncompliance Federal Awarding Agency: U.S. Department of Education Pass-Through Entity: Georgia Department of Education Assistance Listing Number and Title: COVID-19 - 84.425C - Coronavirus Aid, Relief and Economic Security Act-Governor's Emergency Education Relief Fund COVID-19 - 84.425D - Elementary and Secondary School Emergency Relief Fund COVID-19 - 84.425U - American Rescue Plan Elementary and Secondary School Emergency Relief Fund COVID-19 - 84.425W - American Rescue Plan Elementary and Secondary School Emergency Relief Fund - Homeless Children and Youth Federal Award Number: S425C200012 (Year: 2021), S425D200012 (Year: 2020), S425D210012 (Year: 2021), S425U2120012 (Year: 2021), S425W210011 (Year: 2021) Questioner Costs: $101,681 Description: A review of expenditures charged to the Elementary and Secondary School Emergency Relief Fund program revealed that the School District's internal control procedures were not operating appropriately to ensure that expenditures were allowable for the program. Corrective Action Plans: Director of Finance will follow rules regarding federal expenditures. The finance officer will work with federal programs personnel to ensure that all rules are being met and that budgets are entered into the Consolidated Application timely. The finance officer will offer training to those work with federal grants. Estimated Completion Date: June 30, 2023 Contact Person: Carrie Gay, Director of Finance Telephone: 229-588-2340 Email: cgay@brooks.k12.ga.us

View Audit 7510 Questioned Costs: $1

Finding 5619 (2022-005)

Material Weakness 2022

Logan County

OH

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.403

Logan Acres will increase documentation with employee time charts by dual confirmation of employee’s time record demonstrating the differential compensation which will include dual verification of employee and staff supervisor.

View Audit 7498 Questioned Costs: $1

Finding 5501 (2022-002)

Material Weakness 2022

Santa Fe Community Housing Trust

NM

Questioned Costs Allowable Costs / Cost Principles Reporting § 200.430

Response. Agreed. Where feasible, the Housing Trust will aim to improve management of all federal grants. A process of documentation verification prior to any requests made for financial draws will include employee, supervisor, business operations manager, and executive director level approvals to e...

Response. Agreed. Where feasible, the Housing Trust will aim to improve management of all federal grants. A process of documentation verification prior to any requests made for financial draws will include employee, supervisor, business operations manager, and executive director level approvals to ensure compliance and availability of funds. A monthly federal request for reimbursements with all grantee information will be used and reconciled monthly with QuickBooks. This report will mirror the SEFA form so auditors will receive the information in a timely manner. For any quarterly reports, the three months of reporting will again be reconciled prior to submission. All new processes and compliance will be updated in the policies and procedure manual. As the Executive Director prepares the 2024 budget, a reorganization of the business operations department will be sought. A new position to prepare and work on all federal grant tasks will be hired and report to the Business Operations Manager. In the meantime, the Business Operations Manager has started to develop checks and balances. Corrective Action Plan Timeline: Immediately Designation Of Employee Position Responsible For Meeting Deadline: Business Operations Manager

View Audit 7270 Questioned Costs: $1

Finding 4969 (2022-004)

Significant Deficiency 2022

City of Medford

MA

Questioned Costs Allowable Costs / Cost Principles

Condition: An employee charged to the grant was overpaid by $5,688.29. Corrective Action Planned: All grant accounts are being reviewed by the finance department prior to 2023 close. Finance has been coordinating with the School department to ensure all payments charged to grants are correct. A...

Condition: An employee charged to the grant was overpaid by $5,688.29. Corrective Action Planned: All grant accounts are being reviewed by the finance department prior to 2023 close. Finance has been coordinating with the School department to ensure all payments charged to grants are correct. Anticipated Completion Date: December 31, 2023 Contact: Robert Dickinson, City Auditor

View Audit 7220 Questioned Costs: $1

Finding 4962 (2022-005)

None 2022

City of Medford

MA

Questioned Costs

Condition: For one project, an invoice for design services performed in December 2021 was paid before the environmental review was completed on February 9, 2022. Also, the determination of categorical exclusion in the City’s files was not signed and dated. Corrective Action Planned: Information ...

Condition: For one project, an invoice for design services performed in December 2021 was paid before the environmental review was completed on February 9, 2022. Also, the determination of categorical exclusion in the City’s files was not signed and dated. Corrective Action Planned: Information was provided after the oversight was discovered. Anticipated Completion Date: Completed Contact: Robert Dickinson, City Auditor

View Audit 7220 Questioned Costs: $1

Finding 4398 (2022-001)

Significant Deficiency 2022

Jeff Davis County Board of Education

GA

Questioned Costs Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking § 200.303 § 200.403

FA 2022-001 Strengthen Controls over Expenditures Compliance Requirement: Activities Allowed or Unallowed Allowable Costs/Cost Principle Internal Control Impact: Significant Deficiency Compliance Impact: Nonmaterial Noncompliance Federal Awarding Agency: U.S. Federal Communications Commission Ass...

FA 2022-001 Strengthen Controls over Expenditures Compliance Requirement: Activities Allowed or Unallowed Allowable Costs/Cost Principle Internal Control Impact: Significant Deficiency Compliance Impact: Nonmaterial Noncompliance Federal Awarding Agency: U.S. Federal Communications Commission Assistance Listing Number and Title: COVID-19-32.009-Emergency Connectivity Fund Federal Award Number: ECF202105452 (Year: 2022) Federal Awarding Agency: U.S. Department of Education Pass-Through Entity: Georgia Department of Education Assistance Listing Number and Title: COVID-19 - 84.425D - Elementary and Secondary School Emergency Relief Fund COVID-19 - 84.425U - American Rescue Plan Elementary and Secondary School Emergency Relief Fund Federal Award Number: S425D210012 (Year: 2021) Questioner Costs: $63,399 Description: A review of expenditures charged to the Emergency Connectivity Fund and Elementary and Secondary School Emergency Relief Fund programs revealed that the School District's internal control procedures were not operating appropriately to ensure that expenditures were allowable. Corrective Action Plans: The district will contact each Federal Program to determine the appropriate action to take to ensure the funds are appropriately allocated. Moving forward, Finance will review all reimbursements as well as work with other Departments to ensure that expenses are being allocated to the correct program. Estimated Completion Date: June 30, 2023 Contact Person: Betty Corbitt, Finance Director Telephone: 912-699-6009 Email: betty.corbitt@jeff-davis.k12.ga.us

View Audit 6845 Questioned Costs: $1

Finding 4154 (2022-003)

Material Weakness 2022

International Service Center

PA

Questioned Costs Cash Management

We are exploring software alternatives to QuickBooks to improve our record-keeping for research expenditures. We target to complete this analysis by 12/31/23 and will share the results with you thereafter. We are exploring software alternatives to QuickBooks to improve our record-keeping for resear...

We are exploring software alternatives to QuickBooks to improve our record-keeping for research expenditures. We target to complete this analysis by 12/31/23 and will share the results with you thereafter. We are exploring software alternatives to QuickBooks to improve our record-keeping for research expenditures. We target to complete this analysis by 12/31/23 and will share the results with you thereafter. The Program Manager will train the Administrative Assistant and Fiscal Assistant on proper accounting procedures adhering to accounting standards.

View Audit 6460 Questioned Costs: $1

Corrective Action Plans

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