Corrective Action Plans

Finding 570581 (2024-004)

Significant Deficiency 2024

OH

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

BGCNEO corrected the overbilling in June and July before the grant period closed. BGCNEO will have stronger controls around the grant period year ends to ensure double billings are less likely to occur.

View Audit 361612 Questioned Costs: $1

Finding 570575 (2024-001)

Significant Deficiency 2024

Rocking Horse Children's Health Center Dba Rocking Horse Center

OH

Questioned Costs Allowable Costs / Cost Principles Reporting § 200.430

Corrective Action Plan June 26, 2025 U.S. Department of Health and Human Services Health Resources and Services Administration Rocking Horse Community Health Center and Affiliate respectively submits the following corrective action plan for the year ended December 31, 2024. Clark, Schaefer, Hac...

Corrective Action Plan June 26, 2025 U.S. Department of Health and Human Services Health Resources and Services Administration Rocking Horse Community Health Center and Affiliate respectively submits the following corrective action plan for the year ended December 31, 2024. Clark, Schaefer, Hackett & Co. 14 East Main Street, Suite 500 Springfield, OH 45502 Audit period: January 1, 2024 – December 31, 2024 The findings from the June 26, 2025 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS – FEDERAL AWARD PROGRAM AUDITS Department of Health and Human Services 2024-001 Health Center Cluster Program – ALN # 93.527; Grant No. H2E Significant Deficiency: See Finding 2024-001 Recommendation: Management should strengthen its internal controls over payroll charges to federal awards by ensuring consistent adherence to its time and effort certification policies as well as conduct periodic reviews of payroll documentation to verify compliance with established policies and federal requirements. Action Taken: We concur with the recommendation and will implement formal policies and procedures around obtaining time and effort certifications by June 30, 2025.

View Audit 361604 Questioned Costs: $1

Finding 570574 (2024-003)

Significant Deficiency 2024

YWCA Madison, Inc.

WI

Questioned Costs Allowable Costs / Cost Principles § 200.403 § 200.436

YWCA Madison, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2024. Name and address of independent public accounting firm: Wegner CPAs 2921 Landmark Place Suite 300 Madison, Wisconsin 53713 Audit period: January 1, 2024 – December 31, 2024 The findi...

YWCA Madison, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2024. Name and address of independent public accounting firm: Wegner CPAs 2921 Landmark Place Suite 300 Madison, Wisconsin 53713 Audit period: January 1, 2024 – December 31, 2024 The findings from the December 31, 2024 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINANCIAL STATEMENT FINDINGS SIGNIFICANT DEFICIENCY 2024-001 Recommendation: Management should implement procedures to ensure continuity of key financial controls during periods of personnel transition. This includes assigning interim reviewers, establishing clear handover protocols, and enforcing timely documentation of reviews to maintain financial oversight. Action Taken: Under the leadership of our new fractional CFO and outsourced accounting firm, we have implemented an accounting close and financial reporting management system using ClickUp. Each task impacting key financial controls now has both a designated preparer and reviewer. The system automatically tracks and displays the completion status of each control. Further review of financial schedules is documented through Google Drive approvals. Transitioning from manual to system-driven documentation ensures that, during staffing changes, task reassignments are more visible to all responsible team members. It is important to note that, due to capacity constraints during the transition, immediate reassignment of responsibilities was not feasible. However, once new team members were onboarded, a cumulative review of the period was conducted to ensure the completeness and accuracy of the financial information—ultimately reflected in an unmodified financial audit opinion. MATERIAL WEAKNESS 2024-002 Recommendation: Assign clear responsibility for maintaining and reviewing the monitoring checklist. Management should establish a recurring schedule (e.g., monthly or quarterly) for checklist reviews and ensure the results are documented and retained for accountability and audit purposes. Action Taken: The new fractional CFO, Grants & Compliance Director, and CEO have revised the monitoring checklist to separate financial and compliance controls, as these operate on different schedules. Financial controls have been integrated into the financial management project system in ClickUp. Compliance controls will be maintained within the grant management system and embedded into the grant management and reporting processes. FEDERAL AWARD FINDINGS DEPARTMENT OF TRANSPORTATION STATE OF WISCONSIN DEPARTMENT OF TRANSPORTATION 2024-003 Formula Grants for Rural Areas and Tribal Transit Program — Assistance Listing No. 20.509 Recommendation: Management should conduct a review of depreciation charges for the current and future years to ensure that federally funded assets are excluded from depreciation allocations to federal programs. Action Taken: We have added a new depreciation expense account to distinguish between allowable and non-allowable depreciation expenses in grant expenditure allocations. If there are questions regarding this plan, please call Tania Ibarra, CPA, at 608.347.6747. Sincerely, Geraldine Paredes Vásquez CEO gpvasquez@ywcamadison.org

View Audit 361592 Questioned Costs: $1

Finding 570550 (2024-001)

Significant Deficiency 2024

Austin Street Center

TX

Questioned Costs Procurement, Suspension & Debarment § 200.320

Year Ended: October 31, 2024 Finding Number: 2024-001 Name oflndividual Responsible for Correction Action: Alissa Rodgers, CFO Cause: Austin Street was previously in compliance due to using a Sole Source Provider for Food that provided the food services as well as the food supply vendors. August Str...

Year Ended: October 31, 2024 Finding Number: 2024-001 Name oflndividual Responsible for Correction Action: Alissa Rodgers, CFO Cause: Austin Street was previously in compliance due to using a Sole Source Provider for Food that provided the food services as well as the food supply vendors. August Street discontinued services with the food service provider however maintained the food supply vendors. Since they were not new vendors it was misunderstood to pass those vendors through procurement once again since the sole source was no longer connected to the food program. Corrective Action Plan: On April 17, 2025, Austin Street Center's business office has published and distributed an RFP for food vendors to comply with procurement requirements as food costs are usually more than $250,000 per year. ProcW"ement Processes have been followed in all other areas of the organization and Austin Street is placing month end procedures in place to ensure no vendors unexpectedly rise above thresholds that require additional procurement or analysis.

View Audit 361562 Questioned Costs: $1

Finding 570515 (2024-001)

Significant Deficiency 2024

Promise Healthcare Nfp

IL

Questioned Costs Allowable Costs / Cost Principles § 200.308 § 200.309 § 200.403

Recommendation: We recommend that only costs incurred during the period of performance be charged to the grant. For payroll in which pay periods extend over multiple budget periods, we recommend prorating the amount charged to the grant by the days worked within the grant period. Explanation of disa...

Recommendation: We recommend that only costs incurred during the period of performance be charged to the grant. For payroll in which pay periods extend over multiple budget periods, we recommend prorating the amount charged to the grant by the days worked within the grant period. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: 1. Create list of grants with pertinent contract terms for monitoring and reference. Highlight grants with term end dates within the fiscal year. 2. Update Grant Tracking workpapers to alert on grant year end and create allocation tab to separate payroll expenses that crossover grant end terms. Review non-payroll expenses to ensure they belong to proper grant term. 3. Monitor progress and review grants at fiscal year end to ensure process was followed. Name of the contact person responsible for corrective action: Keith Flores, CFO Planned completion date for corrective action plan: 8/31/2025

View Audit 361495 Questioned Costs: $1

Finding 570486 (2024-001)

Material Weakness 2024

Community Coalition Against Human Trafficking

TN

Questioned Costs Subrecipient Monitoring Cash Management § 200.403 § 200.430

Management concurs with the recommendation to implement internal controls to ensure all costs charged to the program are accurate, allowable, and properly allocated in accordance with the terms of the federal award, and that there is proper review and approval.

View Audit 361435 Questioned Costs: $1

Finding 570470 (2024-003)

Material Weakness 2024

International Registration Plan, Inc.

VA

Questioned Costs Reporting Allowable Costs / Cost Principles § 200.309 § 200.403

Finding Reference Number: 2024-003 – Period of Performance Federal Program: AL 20.237 High Priority Grant — FMCSA Cluster Name of Contact Person: Tim Adams, CEO Views of Responsible Officials: IRP acknowledges the finding and concurs with the recommendation. Planned Corrective Action: Grant managem...

Finding Reference Number: 2024-003 – Period of Performance Federal Program: AL 20.237 High Priority Grant — FMCSA Cluster Name of Contact Person: Tim Adams, CEO Views of Responsible Officials: IRP acknowledges the finding and concurs with the recommendation. Planned Corrective Action: Grant management procedures have been revised to verify that services are received and costs incurred within the authorized period of performance in accordance with 2 CFR § 200.403 before the costs are charged to a federal award. Staff involved in grant management will receive targeted training on 2 CFR requirements related to period-of-performance compliance and allowable cost timing. Anticipated Completion Date: September 30, 2025

View Audit 361417 Questioned Costs: $1

Finding 570075 (2024-027)

Significant Deficiency 2024

West Central Mental Health Center, Inc.

CO

Questioned Costs Allowable Costs / Cost Principles § 200.403 § 200.405

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will implement a system of internal controls to ensure review and approval of grantrelated expenditures. The Group regularly trains staff on allowable cost principles under Unif...

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will implement a system of internal controls to ensure review and approval of grantrelated expenditures. The Group regularly trains staff on allowable cost principles under Uniform Guidance.

View Audit 361368 Questioned Costs: $1

Finding 570074 (2024-026)

Significant Deficiency 2024

West Central Mental Health Center, Inc.

CO

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

agreement, the Group will implement grant monitoring internal controls and procedures to ensure that expenditures comply with all earmarking limitations specified in grant agreements and approved budgets. These procedures will track expenditures by budget category and verify compliance prior to subm...

agreement, the Group will implement grant monitoring internal controls and procedures to ensure that expenditures comply with all earmarking limitations specified in grant agreements and approved budgets. These procedures will track expenditures by budget category and verify compliance prior to submitting reimbursement requests.

View Audit 361368 Questioned Costs: $1

Finding 570072 (2024-025)

Significant Deficiency 2024

West Central Mental Health Center, Inc.

CO

Questioned Costs Allowable Costs / Cost Principles Period of Performance § 200.403

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will implement a system of internal controls to ensure that expenses submitted for reimbursement under federal awards, especially personnel costs, are reviewed for compliance wi...

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will implement a system of internal controls to ensure that expenses submitted for reimbursement under federal awards, especially personnel costs, are reviewed for compliance with regard to the period of performance requirements.

View Audit 361368 Questioned Costs: $1

Finding 570070 (2024-024)

Significant Deficiency 2024

West Central Mental Health Center, Inc.

CO

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring § 200.430

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will implement a system of internal controls that are designed and operating to provide an accurate calculation of payroll costs incurred under the federal programs, including r...

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will implement a system of internal controls that are designed and operating to provide an accurate calculation of payroll costs incurred under the federal programs, including review and monitoring of process and procedures. In addition, documentation ensuring accurate payroll costs allocated to federal programs, along with support of review and approval of such expenses, will be retained in accordance with federal regulations.

View Audit 361368 Questioned Costs: $1

Finding 570053 (2024-016)

Material Weakness 2024

West Central Mental Health Center, Inc.

CO

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.430

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will design and implement a system of internal controls which includes a review process to ensure accurate use of approved fringe benefit rates in all federal reporting. The Gro...

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will design and implement a system of internal controls which includes a review process to ensure accurate use of approved fringe benefit rates in all federal reporting. The Group will reconcile budgeted and actual fringe benefit costs regularly to ensure continued compliance.

View Audit 361368 Questioned Costs: $1

Finding 570052 (2024-015)

Material Weakness 2024

West Central Mental Health Center, Inc.

CO

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring § 200.430

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will implement a system of internal controls that are designed and operating to provide an accurate accounting of payroll costs incurred under the federal programs, including re...

Solvista Health management agrees with the auditor’s finding. In conjunction with the shared services agreement, the Group will implement a system of internal controls that are designed and operating to provide an accurate accounting of payroll costs incurred under the federal programs, including review and monitoring of processes and procedures. Documentation ensuring accurate payroll costs allocated to federal programs, along with support of review and approval of such charges, will be retained in accordance with federal regulations.

View Audit 361368 Questioned Costs: $1

Finding 570038 (2024-006)

Significant Deficiency 2024

Passage Home

NC

Questioned Costs Allowable Costs / Cost Principles Cash Management

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend the Corporation review the expenditures submitted to sales taxes. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to findin...

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend the Corporation review the expenditures submitted to sales taxes. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Within 60 days of audit issuance, the Interim CFO will conduct training for finance staff regarding accounts payable invoices and sales tax requirements and coding. Updated accounts payable policies and procedures include a process to ensure that the CFO reviews and codes sales tax when checks are prepared, approved and signed. Name of the contact person responsible for corrective action: Karen Harshman Planned completion date for corrective action plan: 09/30/2025

View Audit 361326 Questioned Costs: $1

Finding 570037 (2024-005)

Material Weakness 2024

Passage Home

NC

Questioned Costs Allowable Costs / Cost Principles § 200.302 § 200.403

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend that the Corporation strengthen its internal controls over cash disbursements. This should include retention of payments supported by valid invoices and proof of payment documentation as well as peri...

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend that the Corporation strengthen its internal controls over cash disbursements. This should include retention of payments supported by valid invoices and proof of payment documentation as well as periodic internal audits to ensure compliance with the documentation requirements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: All purchase-related supporting documentation will be transitioned to paper files to eliminate confusion created by the electronic record-keeping system, and to ensure that all staff requiring access to such documentation can immediately and easily retrieve them. Records will be maintained in the Finance Department office for seven years. Name of the contact person responsible for corrective action: Karen Harshman Planned completion date for corrective action plan: 06/12/2025

View Audit 361326 Questioned Costs: $1

Finding 570036 (2024-004)

Material Weakness 2024

Passage Home

NC

Questioned Costs Allowable Costs / Cost Principles § 200.403

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend that the Corporation implement internal controls over the reconciliation of payroll reports to grant expenditures. This should include regular reconciliations and reviews to ensure that all payroll c...

Supportive Services for Veteran Families Assistance Listing No. 64.033 Recommendation: We recommend that the Corporation implement internal controls over the reconciliation of payroll reports to grant expenditures. This should include regular reconciliations and reviews to ensure that all payroll costs charged to the grant are adequately supported by detailed payroll records. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: A payroll salary reconciliation report will be completed after each payroll issued and will be verified against the grant reports, accounting system class coding and employee-specific payroll file(s). Printed reports will be maintained on file in the Finance Department for historical reference. Name of the contact person responsible for corrective action: Karen Harshman Planned completion date for corrective action plan: 06/12/2025

View Audit 361326 Questioned Costs: $1

Finding 569989 (2024-001)

Material Weakness 2024

Van Buren Community Mental Health Authority

MI

Questioned Costs Internal Control / Segregation of Duties Procurement, Suspension & Debarment § 200.317 § 200.318 § 200.327

SINGLE AUDIT FOR THE YEAR ENDED SEPTEMBER 30, 2024 CORRECTIVE ACTION PLAN FEDERAL AWARD FINDINGS - Fiscal Year 2024 Finding Number: 2024-001 Procurement Assistance Listing Number: 93.696 Assistance Listing Title: Certified Community Behavioral Health Clinics N ame of Federal Agency: Substance Abuse...

SINGLE AUDIT FOR THE YEAR ENDED SEPTEMBER 30, 2024 CORRECTIVE ACTION PLAN FEDERAL AWARD FINDINGS - Fiscal Year 2024 Finding Number: 2024-001 Procurement Assistance Listing Number: 93.696 Assistance Listing Title: Certified Community Behavioral Health Clinics N ame of Federal Agency: Substance Abuse and Mental Health Services Administration Federal Award Identification Number: H79SM089299 Fiscal Year of Initial Finding: 2024 • Name of the contact person: Tina Boyer, CFO • Corrective Action Plan: Management agrees with this recommendation. VBCMH management will review and update policies and procedures to ensure that allfederal requirements are followed. Anticipated Completion Date: Fiscal Year 2025

View Audit 361252 Questioned Costs: $1

Finding 569977 (2024-003)

Material Weakness 2024

Dillard University

LA

Questioned Costs Student Financial Aid Subrecipient Monitoring

This finding resulted from a loan disbursement exceeding regulatory limits for one student. The issue was corrected before the audit report was finalized. The University will strengthen its review process prior to disbursement by ensuring additional loan eligibility is validated and documented. The ...

This finding resulted from a loan disbursement exceeding regulatory limits for one student. The issue was corrected before the audit report was finalized. The University will strengthen its review process prior to disbursement by ensuring additional loan eligibility is validated and documented. The Financial Aid Office will receive targeted training on aggregate loan monitoring. Corrective actions will be fully implemented by January 31, 2026.

View Audit 361246 Questioned Costs: $1

Finding 569951 (2024-004)

Material Weakness 2024

Idaho Immunization Coalition, Inc.

ID

Questioned Costs Allowable Costs / Cost Principles § 200.210 § 200.331

THE ORGANIZATION WILL USE EXPENDITURE REPORTS BY CLASS TO SUPPORT BASE EXPENDITURES FOR THE PERIOD. WILL BE IN PLACE FOR THE 2025 SINGLE AUDIT AND BEGAN THIS PROCESS IN 2024. KAREN SHARPNACK, EXECUTIVE DIRECTOR KJS@IDAHOIMMUNE.ORG AND NEW CPA FIRM TO BE DETERMINED. THE ORGANIZATION THROUGH ITS BOARD...

THE ORGANIZATION WILL USE EXPENDITURE REPORTS BY CLASS TO SUPPORT BASE EXPENDITURES FOR THE PERIOD. WILL BE IN PLACE FOR THE 2025 SINGLE AUDIT AND BEGAN THIS PROCESS IN 2024. KAREN SHARPNACK, EXECUTIVE DIRECTOR KJS@IDAHOIMMUNE.ORG AND NEW CPA FIRM TO BE DETERMINED. THE ORGANIZATION THROUGH ITS BOARD OF DIRECTORS WILL CREATE A “FINANCIAL POLICY COMMITTEE” WHICH WILL BE RESPONSIBLE TO WORK WITH THE EXECUTIVE DIRECTOR, THE NEW CPA TO OUTLINE AND CREATE NEW POLICIES, PROCEDURES AND PROCESSES, ALONG WITH OVERSIGHT OF THE FINANCIAL WELL-BEING OF THE ORGANIZATION AND REPORT TO THE BOARD OF DIRECTORS. IMMEDIATELY, THE PROCESS WILL BEGIN TO RECRUIT THE COMMITTEE ON JUNE 25, 2025.

View Audit 361196 Questioned Costs: $1

Finding 569942 (2024-001)

Significant Deficiency 2024

Berrien County Board of Education

GA

Questioned Costs Procurement, Suspension & Debarment Allowable Costs / Cost Principles § 200.303 § 200.318 § 200.320 § 200.403

FA 2024-001 Strengthen Controls over Expenditures Compliance Requirement: Activities Allowed or Unallowed Allowable Costs/Cost Principle Procurement and Suspension and Debarment Internal Control Impact: Significant Deficiency Compliance Impact: Nonmaterial Noncompliance Federal Awarding Agency: ...

FA 2024-001 Strengthen Controls over Expenditures Compliance Requirement: Activities Allowed or Unallowed Allowable Costs/Cost Principle Procurement and Suspension and Debarment Internal Control Impact: Significant Deficiency Compliance Impact: Nonmaterial Noncompliance Federal Awarding Agency: U.S. Department of Agriculture Pass-Through Entity: Georgia Department of Education Assistance Listing Number and Title: 10.553 - School Breakfast Program 10.555 - National School Lunch Program Federal Award Number: 225GA324N1099 (Year: 2024), 245GA324N1199 (Year: 2024) Questioned Costs: $77,285 Prior Year Finding: FA 2023-001 Description: A review of expenditures charged to the Child Nutrition Cluster revealed that the School District's internal control procedures were not operating appropriately to ensure that expenditures were reviewed and approved and that the School District's procurement and suspension and debarment procedures were followed. Corrective Action Plans: Berrien will look at the current procedures for expenditures and make sure that every program is following the same protocols. We have a system in place to ensure that we can check suspension and debarment. Also, we have protocols in place to make sure all contracts are current. Estimated Completion Date: 9/30/2025 Contact Person: Jamie Taylor, Finance Director Telephone: 229-686-2081 Email: jamie.taylor@berrien.k12.ga.us

View Audit 361188 Questioned Costs: $1

Finding 569941 (2024-001)

Significant Deficiency 2024

Safe Haven Family Shelter, Inc.

TN

Questioned Costs Allowable Costs / Cost Principles Cash Management

Department of Health and Human Services Nashville Safe Haven Family Shelter, Inc respectfully submits the following corrective action plan for the year ended December 31, 2024. Audit period: January 1, 2024 through December 31, 2024 The findings from the schedule of findings and questioned costs are...

Department of Health and Human Services Nashville Safe Haven Family Shelter, Inc respectfully submits the following corrective action plan for the year ended December 31, 2024. Audit period: January 1, 2024 through December 31, 2024 The findings from the schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS—FEDERAL AWARD PROGRAMS AUDITS Department of Health and Human Services 2024-001 Temporary Assistance for Needy Families – Assistance Listing No. 93.558 Recommendation: We recommend that management compares the mileage reimbursement per the grant allocation worksheets to the mileage reimbursement register to ensure only expenses incurred is being allocated to the grant. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Safe Haven will only change mileage reimbursement rates each year at the beginning of a calendar month, since allocations are calculated based on a single mileage rate for the month. Furthermore, Safe Haven will work with our Salesforce consultants to ensure the mechanism used to allocate staff costs is accurately programmed to calculate costs not to exceed actual amounts paid. Lastly, we will make it practice to compare the mileage reimbursement per the grant allocation worksheets to the mileage reimbursement register each month before completion of invoicing. Name(s) of the contact person(s) responsible for corrective action: Ben Piñon, Finance Director. Planned completion date for corrective action plan: August 2025 If the US Department of Health and Human Services has questions regarding this plan, please call Ben Piñon at 615-256-8195 ext. 125.

View Audit 361187 Questioned Costs: $1

Finding 569833 (2024-001)

Significant Deficiency 2024

Mountainview Daycare Nutrition Program

WA

Questioned Costs Cash Management

In response to the Operational Weakness found during the recent audit, MDNP has put into effect the following training and processes. MDNP is in the process of converting all day care sites to electronic enrollment through the KidKare software. Electronic enrollments require all information to be co...

In response to the Operational Weakness found during the recent audit, MDNP has put into effect the following training and processes. MDNP is in the process of converting all day care sites to electronic enrollment through the KidKare software. Electronic enrollments require all information to be completed and all information to be correct before approval. This will eliminate errors on the Enrollment/Income-Eligibility Forms (EIEA's). We will be training current staff and new staff for center EIEA review.

View Audit 361098 Questioned Costs: $1

Finding 569808 (2024-036)

Significant Deficiency 2024

State of Alaska

AK

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring § 200.303 § 200.327 § 200.403

Finding: 2024-036 -A review of 25 FY 24 Disaster Grants payments found that 14 payments (56 percent) lacked required supporting documentation. Specifically, six payments lacked pay policy and/or fringe benefit calculations and eight payments lacked procurement contracts that included all federal req...

Finding: 2024-036 -A review of 25 FY 24 Disaster Grants payments found that 14 payments (56 percent) lacked required supporting documentation. Specifically, six payments lacked pay policy and/or fringe benefit calculations and eight payments lacked procurement contracts that included all federal requirements. Additionally, two of the eight payments lacked a complete or signed contract on file. Questioned Costs: AL - 97.036: $96,758; AL - 97.036 COVID-19: $2,159 Assistance Listing Number: 97.036 Assistance Listing Title: Disaster Grants — Public Assistance (Presidentially Declared Disasters) Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): DMVA concurs with the finding. Corrective Action (corrective action planned): To ensure compliance with federal regulations and effective management of federal awards, the Finance Office in conjunction with the Homeland Security Director will develop and implement written procedures that provide a clear framework for managing federal awards and ensure compliance with federal regulations. DMVA will: • Clearly outline federal requirements under 2 CFR 200.327, 2 CFR 200 .403(g), and Homeland Security Acquisition Regulation Class Deviation 15-01. • Specify the documentation required to support reimbursement requests, including expectations related to discrepancies and follow-up actions. • Outline the procedures for Homeland Security for reviewing and certifying work completed by contractors, where applicable, prior to reimbursement to subrecipients. Completion Date (list anticipated completion date): October 31, 2025 Agency Contact (name of person responsible for corrective action): Bryan Fisher

View Audit 361087 Questioned Costs: $1

Finding 569790 (2024-062)

Significant Deficiency 2024

State of Alaska

AK

Questioned Costs Special Tests & Provisions Significant Deficiency

Finding: 2024-062 - Per the 2024 Office of Management and Budget Compliance Supplement, if the state agency determines that an individual is not cooperating in regards to establishing paternity or related to a support order, “the TANF agency must (1) deduct an amount equal to not less than 25 percen...

Finding: 2024-062 - Per the 2024 Office of Management and Budget Compliance Supplement, if the state agency determines that an individual is not cooperating in regards to establishing paternity or related to a support order, “the TANF agency must (1) deduct an amount equal to not less than 25 percent from the TANF assistance that would otherwise be provided to the family of the individual, and (2) may deny the family any TANF assistance.” Two of seven non-cooperative cases tested lacked appropriate documentation to support “waived” penalties. Questioned Costs: AL 93.558: $ 4,167 Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): Division of Public Assistance staff will be coached on proper case documentation standards and procedures such as including appropriate information in case notes and uploading documentation in ILJNX to support eligibility determinations. Spot checks and case reviews will be performed for case completion and accuracy. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2025. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087 Questioned Costs: $1

Finding 569785 (2024-057)

Significant Deficiency 2024

State of Alaska

AK

Questioned Costs Allowable Costs / Cost Principles § 200.430

Finding: 2024-057 - Insufficient documentation was available to support the manual transfer of time originally coded to another federal program to the TANF program. Questioned Costs: AL 93.558: $1,730 Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials...

Finding: 2024-057 - Insufficient documentation was available to support the manual transfer of time originally coded to another federal program to the TANF program. Questioned Costs: AL 93.558: $1,730 Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department does not agree with the finding. The Division of Public Assistance (DPA) met with CLA regarding the questioned costs which were explained and documented. For the sample selected, the employee did positive time keep to LDP U6615 - LIHEAP Policy for their time spent processing heating assistance applications. This was during a time when our Policy section was understaffed, and the administrative section absorbed programmatic duties. The division followed the State of Alaska’s payroll correction process. When IRIS-HRM (payroll) interfaced to IRIS-FIN (financial), the payroll transactions errored due to insufficient program budget. The Department of Administration, Division of Finance provides an erroring payroll transaction report. The departments are instructed to update the report with correct financial coding and send to a BOT email address. The BOT enters the correction in the State’s financial system and attaches the spreadsheet to document the update in coding. Department staff do not have permissions to add notes or additional attachments to the payroll transaction. DPA accounting staff reviewed the errored transaction and identified another allowable fund source to code these expenditures to. Therefore, the payroll expenses were adjusted and charged to the TANF program. Corrective Action (corrective action planned): Division of Public Assistance will enhance the process to review payroll transactions and document supporting information for changes. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2025. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 361087 Questioned Costs: $1

Corrective Action Plans

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