Corrective Action Plans

Finding 511975 (2023-004)

Material Weakness 2023

Fredericksburg Area Health and Support Services, Inc.

VA

Internal Control / Segregation of Duties Questioned Costs 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 $1,336, which when projected onto the remaining payroll and related costs that were not tested, amounted to $28,521. 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, 2024

View Audit 329739 Questioned Costs: $1

Finding 511959 (2023-001)

Significant Deficiency 2023

Stt-Stj Div. of Lutheran Housing Assoc. for the Elderly of the V

VI

Questioned Costs Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303 § 200.430

Audit Ref. #2023-001 Federal Awards: Special Test & Provisions – Use of Project Funds-Payroll Disbursements Name of Contact Person: Dasil Thomas-Williams, Director of Financial Affairs Corrective Action: New Employees responsible for sorting and filing timesheets will be monitored more closely. Pro...

Audit Ref. #2023-001 Federal Awards: Special Test & Provisions – Use of Project Funds-Payroll Disbursements Name of Contact Person: Dasil Thomas-Williams, Director of Financial Affairs Corrective Action: New Employees responsible for sorting and filing timesheets will be monitored more closely. Proposed Completion Date: September 30, 2024 Contact Person: Dasil Thomas-Williams, Director of Financial Affairs Telephone Number: (340) 772-4099 ext. 45

View Audit 329678 Questioned Costs: $1

Finding 509789 (2023-002)

Significant Deficiency 2023

Concepts of Independence, Inc.

NY

Questioned Costs Reporting Significant Deficiency

Finding No. 2023-002- Corrective Action Plan 1. Name of the contact person responsible for corrective action: Anthony G Caputo 2. Corrective action planned: Management will ensure that all future reporting will be prepared by an accounting official and be reviewed by a reviewer who is a level above ...

Finding No. 2023-002- Corrective Action Plan 1. Name of the contact person responsible for corrective action: Anthony G Caputo 2. Corrective action planned: Management will ensure that all future reporting will be prepared by an accounting official and be reviewed by a reviewer who is a level above the preparer. Management will also maintain evidence of the review process. 3. Anticipated completion date: The new processes and revenue reconciliation will be implemented immediately for any future PRF submissions. 4. If the client does not agree with the audit findings or believes corrective action is not required, include an explanation and specific reasons: We agree with finding No. 2023-002

View Audit 329519

Finding 509788 (2023-005)

Material Weakness 2023

Boys & Girls Clubs of Central Georgia, Inc.

GA

Questioned Costs Allowable Costs / Cost Principles Material Weakness

Recommendation: The Organization should ensure that terms and conditions of grant awards are reviewed to identify unallowable activities. The Organization should also implement procedures to ensure that costs being charged to the grant program are reviewed and approved. Views of Responsible Official...

Recommendation: The Organization should ensure that terms and conditions of grant awards are reviewed to identify unallowable activities. The Organization should also implement procedures to ensure that costs being charged to the grant program are reviewed and approved. Views of Responsible Officials: Management of BGCCG acknowledges the finding and concurs with the recommendation. Response of Responsible Officials: To continuously improve BGCCG’s Accounting and Financial Reporting, workflow, and internal controls, BGCCG has begun the process to transition the back-office accounting providers from part-time status to full-time status to sufficiently accommodate the needs of the Organization. BGCCG will employ a full-time Chief Finance & Administrative Officer (CFAO), preferably with CPA/CGMA certification, and strong analytical and financial modeling and forecasting skills as well as deep knowledge of GAAP for nonprofits. This pivotal role will provide strategic direction to ensure the financial health of the Organization while driving innovative financial solutions. The CFAO will oversee all financial and accounting operations of the Organization, including the creation and execution of sound financial policies, procedures and internal controls, budgeting, accounting, cash and debt management, audits, investments, tax compliance, and weekly Accounting and Finance reporting to the CEO and Board Finance Chair. The CFAO will report directly to the CEO. This position will be employed on or before December 31, 2024. BGCCG will also employ a full-time Finance Manager (FM) with commensurate experience that demonstrates exemplary strategic and financial acumen. The FM will be responsible for intermediate-level finance and accounting functions such as general ledger/account maintenance, timely account reconciliation, accounts payable, accounts receivables, data processing, payroll processing, and reporting to the CFAO. The FM will report directly to the CFAO. This position will be employed on or before December 31, 2024. Upon the hiring and on-boarding of the CFAO and FM, BGCCG will immediately begin the process of updating its Financial Management & Accounting Control Policies & Procedures to further strengthen BGCCG’s internal controls. Corrective Action Plan: Upon the hiring and on-boarding of the new full-time CFAO and FM, management of BGCCG will work closely with the CFAO and FM to immediately implement a process to ensure that terms and conditions of state and/or federal grant awards are reviewed by the CFAO and FM to identify unallowable activities. Identification of unallowable activities will be conveyed to all relevant parties. BGCCG management will also work closely with the CFAO and FM to implement procedures for pre-reviewing and pre-approval of all recommended purchases/costs to be charged to state and/or federal grant programs. Acknowledged, Phillip Bryant President & CEO

View Audit 329517

Finding 509772 (2023-005)

Significant Deficiency 2023

People Trust

AR

Questioned Costs Significant Deficiency Matching / Level of Effort / Earmarking

CDFI ERP Program (COVID-19) – Assistance Listing No. 21.033 Recommendation: Management should update its policies and procedures to waive any organizational fees for the borrower or beneficiary and instead recover those costs through directly charging the underly expenses as part of the federal awa...

CDFI ERP Program (COVID-19) – Assistance Listing No. 21.033 Recommendation: Management should update its policies and procedures to waive any organizational fees for the borrower or beneficiary and instead recover those costs through directly charging the underly expenses as part of the federal award’s “operational support activities” budget line. In addition, management should consult the appropriate federal agency on any further corrective action related to the fees already paid and allocated as “program activities”. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management will update it’s policies and procedures to waive fees for the borrower as part of the federal award. Mangement will consult with the CDFI Fund for any further corrective action related to the fees. Name(s) of the contact person(s) responsible for corrective action: Arlo Washington and Erica Baldwin Planned completion date for corrective action plan: Janurary 1, 2025

View Audit 329488 Questioned Costs: $1

Finding 509771 (2023-004)

Material Weakness 2023

People Trust

AR

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.430

CDFI ERP Program (COVID-19) – Assistance Listing No. 21.033 Recommendation: We recommend management develop procedures requiring employees to track their time and effort by grant. Another individual should periodically review and approve these time and effort records before the funding request is s...

CDFI ERP Program (COVID-19) – Assistance Listing No. 21.033 Recommendation: We recommend management develop procedures requiring employees to track their time and effort by grant. Another individual should periodically review and approve these time and effort records before the funding request is sent to the federal agency or charged to the federal award. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Each employee will track their time spent on the grant through Paychex. Timesheets will be approved by Arlo Washington, President, each payroll period. Name(s) of the contact person(s) responsible for corrective action: Arlo Washington Planned completion date for corrective action plan: January 1, 2025

View Audit 329488

Finding 509764 (2023-002)

None 2023

Genesis II Apartments, Inc. 054-Ee081-Wah

SC

Questioned Costs Reporting Matching / Level of Effort / Earmarking § 200.512

GENESIS II APARTMENTS, INC. Mullins, South Carolina CORRECTIVE ACTION PLAN October 18, 2024 U. S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida 32202 Genesis II Apartments,...

GENESIS II APARTMENTS, INC. Mullins, South Carolina CORRECTIVE ACTION PLAN October 18, 2024 U. S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida 32202 Genesis II Apartments, Inc., HUD Project No. 054-EE081-WAH, respectfully submits the following Corrective Action Plan for the year ended June 30, 2023. Bernard Robinson & Company, L.L.P. Post Office Box 19608 Greensboro, North Carolina 27419-9608 Audit period: Year ended June 30, 2023 The findings from the Schedule of Findings and Questioned Costs for the year ended June 30, 2023 are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Finding 2023-001: U.S. Department of Housing and Urban Development, Supportive Housing for the Elderly (Section 202), Assistance Listing #14.157 Recommendation: We recommend the board of directors and management ensure that the annual financial reports to HUD are submitted by the required due date. Action Taken: We agree with Finding 2023-001 described in the accompanying schedule of findings and questioned costs. The new management company will ensure the annual financial statements are submitted once the audits are back on track with the scheduled due dates. Finding 2023-002: U.S. Department of Housing and Urban Development, Supportive Housing for the Elderly (Section 202), Assistance Listing #14.157 Recommendation: We recommend the board of directors and management ensure that the audit and data collection forms are completed timely and the data collection form and required reporting package are submitted electronically to the FAC each fiscal year going forward. Action Taken: We agree with Finding 2023-002 described in the accompanying schedule of findings and questioned costs. The new management company will ensure the data collection forms are submitted electronically to the FAC each fiscal year. If HUD has questions regarding this plan, please call (803) 808-3966. Sincerely yours, Reese Quick, President Southern Development Management Company, Inc.

View Audit 329443

Finding 509763 (2023-001)

None 2023

Genesis II Apartments, Inc. 054-Ee081-Wah

SC

Questioned Costs HUD Housing Programs Reporting

GENESIS II APARTMENTS, INC. Mullins, South Carolina CORRECTIVE ACTION PLAN October 18, 2024 U. S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida 32202 Genesis II Apartments,...

GENESIS II APARTMENTS, INC. Mullins, South Carolina CORRECTIVE ACTION PLAN October 18, 2024 U. S. Department of Housing and Urban Development Charles Bennett Federal Building 400 West Bay Street, Suite 1015 Jacksonville, Florida 32202 Genesis II Apartments, Inc., HUD Project No. 054-EE081-WAH, respectfully submits the following Corrective Action Plan for the year ended June 30, 2023. Bernard Robinson & Company, L.L.P. Post Office Box 19608 Greensboro, North Carolina 27419-9608 Audit period: Year ended June 30, 2023 The findings from the Schedule of Findings and Questioned Costs for the year ended June 30, 2023 are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Finding 2023-001: U.S. Department of Housing and Urban Development, Supportive Housing for the Elderly (Section 202), Assistance Listing #14.157 Recommendation: We recommend the board of directors and management ensure that the annual financial reports to HUD are submitted by the required due date. Action Taken: We agree with Finding 2023-001 described in the accompanying schedule of findings and questioned costs. The new management company will ensure the annual financial statements are submitted once the audits are back on track with the scheduled due dates. Finding 2023-002: U.S. Department of Housing and Urban Development, Supportive Housing for the Elderly (Section 202), Assistance Listing #14.157 Recommendation: We recommend the board of directors and management ensure that the audit and data collection forms are completed timely and the data collection form and required reporting package are submitted electronically to the FAC each fiscal year going forward. Action Taken: We agree with Finding 2023-002 described in the accompanying schedule of findings and questioned costs. The new management company will ensure the data collection forms are submitted electronically to the FAC each fiscal year. If HUD has questions regarding this plan, please call (803) 808-3966. Sincerely yours, Reese Quick, President Southern Development Management Company, Inc.

View Audit 329443

Finding 509760 (2023-004)

Significant Deficiency 2023

Butler Health System and Subsidiaries

PA

Questioned Costs Reporting Internal Control / Segregation of Duties

Management has reviewed and modernized the policies and procedures over federal grant reports.

View Audit 329422

Finding 509686 (2023-012)

None 2023

City of Philadelphia

PA

Matching / Level of Effort / Earmarking Questioned Costs Subrecipient Monitoring § 200.344 § 200.403

Assistance Listing 14.267 Continuum of Care Program Views of the Responsible Officials and Corrective Action Plan: OHS agrees with the issues outlined, which stem from the delayed processing of invoices and untimely payments. These challenges are largely the result of ...

Assistance Listing 14.267 Continuum of Care Program Views of the Responsible Officials and Corrective Action Plan: OHS agrees with the issues outlined, which stem from the delayed processing of invoices and untimely payments. These challenges are largely the result of longstanding issues with over-allocations and the need to catch up on processing a backlog of documents. We appreciate you bringing this to our attention, as it provides an opportunity to refine our procedures and put in place measures to prevent these issues from recurring in the future. This feedback will be valuable as we work to improve our processes and enhance our ability to manage workloads more effectively. Contact Person: Jerome R. Hill, Director of Compliance, Office of Homeless Services, 215-686-0371, 215-520-3556

View Audit 329338 Questioned Costs: $1

Finding 509675 (2023-002)

Significant Deficiency 2023

Impact Services Corporation

PA

Questioned Costs Allowable Costs / Cost Principles Procurement, Suspension & Debarment § 200.326

Impact has experienced staff turnover which resulted in process challenges. Nevertheless, Impact will take this recommendation and implement revised procedures to ensure that the Finance Department and other pertinent Impact resources receive federal regulations and guidance. training, incorporat...

Impact has experienced staff turnover which resulted in process challenges. Nevertheless, Impact will take this recommendation and implement revised procedures to ensure that the Finance Department and other pertinent Impact resources receive federal regulations and guidance. training, incorporate available systems and technology capabilities available from the technology service providers, and adopt best practices. Finance will schedule regular grant reviews, inclusive of program expenditures. These improvements will be in place by March 31, 2025. I, Timothy Jung, Interim Chief Financial Officer, will be responsible for resolving this deficiency by March 31, 2024.

View Audit 329334 Questioned Costs: $1

Finding 509671 (2023-001)

Significant Deficiency 2023

Impact Services Corporation

PA

Questioned Costs Reporting Significant Deficiency

Impact designed a financial close calendar that assigns tasks to responsible resources. The closing process is inclusive of status meetings and milestones to track progress along the timeline. This process will be in place by March 31, 2025.

View Audit 329334

Finding 509650 (2023-001)

Significant Deficiency 2023

The Just One Project

NV

Questioned Costs Allowable Costs / Cost Principles Eligibility

Management has implemented a filing system to ensure current client information is collected and recertified regularly. CSFP/SNW staff have maintained a system organizing all clients by month and year of registration, site of service, and then alphabetized by client name to aid in certification & re...

Management has implemented a filing system to ensure current client information is collected and recertified regularly. CSFP/SNW staff have maintained a system organizing all clients by month and year of registration, site of service, and then alphabetized by client name to aid in certification & recertification. Certification and recertification are occurring at CSFP/SNW distribution sites during service, and CSFP/SNW staff randomly audit files of active clients as they are being served to confirm their certification. CSFP/SNW staff also leverage a tracking system in our TJOP Salesforce Software System to reinforce client certification and recertification status. We will implement an internal audit at lease once annually to ensure participant files have all required documents and certifications.

View Audit 329285

Finding 509613 (2023-002)

Material Weakness 2023

Africatown Community Land Trust

WA

Questioned Costs Allowable Costs / Cost Principles § 200.430

Finding 2023-002: Noncompliance and Material Weakness in internal control over compliance with allowable costs/cost principles requirements. Management Response: 1. For 2024 and onwared a payroll personnel activity report has been created and will be used to validate project hours worked after the f...

Finding 2023-002: Noncompliance and Material Weakness in internal control over compliance with allowable costs/cost principles requirements. Management Response: 1. For 2024 and onwared a payroll personnel activity report has been created and will be used to validate project hours worked after the fact. Person(s) Responsible: Chief of Staff, Rita Green; Ops Admin, Cochise Moore.

View Audit 329195 Questioned Costs: $1

Finding 509354 (2023-002)

Significant Deficiency 2023

Milford, Town of

ME

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

Finding 2023-002 – Special Tests and Provisions – Wage Rate Requirements Contact Person Responsible for Corrective Action: David Dionne, Town Manager and Trish Clark, Superintendent of Schools Corrective Action: Management continues to believe at this time that after some longevity of new staff with...

Finding 2023-002 – Special Tests and Provisions – Wage Rate Requirements Contact Person Responsible for Corrective Action: David Dionne, Town Manager and Trish Clark, Superintendent of Schools Corrective Action: Management continues to believe at this time that after some longevity of new staff with the fiscal department, that it can train current staff for review of compliance requirements related to both Town and School funds. In addition, all department staff will receive additional training, in particular the new Finance Director in compliance area for all Town and School funds. Anticipated Completion Date: June 30, 2025

View Audit 329145

Finding 509339 (2023-003)

Significant Deficiency 2023

Hiv Alliance INC

OR

Questioned Costs Allowable Costs / Cost Principles

Finding 2023-03- Compliance Requirement: Allowable Costs Currently all invoicing for expenses being charged to a contract or grant is split between the Accounting Manager and the Finance Director. HIV Alliance will implement a review process under which all invoices prepared by the Accounting Manage...

Finding 2023-03- Compliance Requirement: Allowable Costs Currently all invoicing for expenses being charged to a contract or grant is split between the Accounting Manager and the Finance Director. HIV Alliance will implement a review process under which all invoices prepared by the Accounting Manager will be reviewed by the Finance Director for accuracy and all invoice prepared by the Finance Director will be reviewed by the Accounting Manager for accuracy. This new process will help ensure the accuracy of all invoices regarding allowable costs.

View Audit 329124 Questioned Costs: $1

Finding 509320 (2023-002)

Material Weakness 2023

Delaware Academy of Medicine, Inc.

DE

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles

The Academy will ensure that only eligible expenses are included in the overhead calculation and that other rules and limitations are adhered to. The Academy increased the overhead rate to 10% default rate after learning of this overhead rule during the 2022 audit (mid-2023).

View Audit 329117 Questioned Costs: $1

Finding 508944 (2023-019)

Material Weakness 2023

City of Baltimore, Maryland

MD

Questioned Costs Eligibility Material Weakness § 200.302 § 200.303

U.S. Department of Health and Human Services AL No. 93.778 Medical Assistance Program (Medicaid; Title XIX) Material Weakness in Internal Controls and Noncompliance over Reporting Repeat Finding: Yes Auditee’s Corrective Action Plan: BCHD will continue to work with the Department of Finance to ensur...

U.S. Department of Health and Human Services AL No. 93.778 Medical Assistance Program (Medicaid; Title XIX) Material Weakness in Internal Controls and Noncompliance over Reporting Repeat Finding: Yes Auditee’s Corrective Action Plan: BCHD will continue to work with the Department of Finance to ensure parameters for generating reports are the same and there is an agreed upon reconciliation when the parameters for reporting are not the same. Policies and procedures will be updated to ensure what is reported on Federal Financial Reports are reconciled to general ledger details in addition to ensuring all submitted reports have proper approvals documented. Accounting staff will be trained appropriately. Contact Person: Chief Financial Officer – Unyime Ekpa Completion Date: December 2024

View Audit 329082

Finding 508926 (2023-018)

Significant Deficiency 2023

City of Baltimore, Maryland

MD

Questioned Costs Reporting Significant Deficiency § 200.302 § 200.303

U.S. Department of Health and Human Services AL No. 93.767 Children’s Health Insurance Program (CHIP) Significant Deficiency in Internal Controls and Noncompliance over Reporting Repeat Finding: Yes Auditee’s Corrective Action Plan: BCHD will continue to work with the Department of Finance to ensure...

U.S. Department of Health and Human Services AL No. 93.767 Children’s Health Insurance Program (CHIP) Significant Deficiency in Internal Controls and Noncompliance over Reporting Repeat Finding: Yes Auditee’s Corrective Action Plan: BCHD will continue to work with the Department of Finance to ensure parameters for generating reports are the same and there is an agreed upon reconciliation when the parameters for reporting are not the same. Policies and procedures will be updated to ensure what is reported on Federal Financial Reports are reconciled to general ledger details in addition to ensuring all submitted reports have proper approvals documented. Accounting staff will be trained appropriately. Contact Person: Chief Financial Officer – Unyime Ekpa Completion Date: December 2024

View Audit 329082

Finding 508525 (2023-012)

Material Weakness 2023

City of Baltimore, Maryland

MD

Subrecipient Monitoring Questioned Costs Cash Management § 200.303

U.S. Department of Housing and Urban Development AL No. 14.241 Housing Opportunities for Persons with AIDS Material Weakness in Internal Controls and Noncompliance over Special Tests – Housing Quality Standards Repeat Finding: Yes Auditee’s Corrective Action Plan: MOHS has experienced leadership and...

U.S. Department of Housing and Urban Development AL No. 14.241 Housing Opportunities for Persons with AIDS Material Weakness in Internal Controls and Noncompliance over Special Tests – Housing Quality Standards Repeat Finding: Yes Auditee’s Corrective Action Plan: MOHS has experienced leadership and staffing changes that have impacted its ability to maintain systematic processes necessary for service delivery and administration. One area impacted by MOHS’ transition was our inspection services. During the review period, the contracted supplier had no access to the Housing Pro system, the database used to manage inspections for MOHS’ subsidized units. MOHS has a recordkeeping process for inspections in its policies and procedures for the rental assistance program. Inspection checklists are maintained in the participant records by calendar year. Housing staff identify whether or not the inspection has been completed on the recertification checklist and sign the checklist to confirm the documentation is present in the file. MOHS has resumed its recordkeeping practices to ensure staff maintain inspection checklists in the client files for the annual recertification year. Housing staff are expected to verify during the recertification that Housing Quality Standard (HQS) inspections have been conducted for the assisted unit. MOHS completed the upgrade to the new version of the Housing Pro system in March 2024. The inspections team now has access to the housing database via the web. MOHS is working with the inspections team to ensure inspection updates are entered into the inspection module timely. MOHS has a process in place to review inspection details monthly to ensure 1) inspections for each household has been conducted and 2) all inspection detail is updated in the Housing Pro system by the inspections team each week. Contact Person: HAP Program Manager – D’Andra Pollard Completion Date: June 2024

View Audit 329082

Finding 508522 (2023-009)

Material Weakness 2023

City of Baltimore, Maryland

MD

Subrecipient Monitoring Questioned Costs Cash Management § 200.303

U.S. Department of Housing and Urban Development (HUD) AL No. 14.241 Housing Opportunities for Persons with AIDS Material Weakness in Internal Controls and Noncompliance over Eligibility Repeat Finding: Yes Auditee’s Corrective Action Plan: Condition #1 Response MOHS acknowledges the finding that 14...

U.S. Department of Housing and Urban Development (HUD) AL No. 14.241 Housing Opportunities for Persons with AIDS Material Weakness in Internal Controls and Noncompliance over Eligibility Repeat Finding: Yes Auditee’s Corrective Action Plan: Condition #1 Response MOHS acknowledges the finding that 14 out of 40 files did not have management review. Corrective Action: The Program Manager will conduct quality control reviews for 30% of files that have been recertified each month. The quality control review will verify all eligibility components under the program were met. Condition #2 Response MOHS acknowledges the finding that 25 out of 40 selections did not have the supporting thirdparty documentation of income. MOHS followed the HOPWA guidance outlined in the Self- Certification of Income and Credible Information on HIV Status waivers released by HUD for September 2021 and March 2023. The waiver permits HOPWA grantees and project sponsors to rely upon a family member’s self-certification of income and credible information on their HIV status. The HUD-CPD notices are referenced in Exhibits A-B of this response. The program accepted the self-certification of income until the waivers from HUD ended for COVID-19 on March 31, 2023. Corrective Action: MOHS has resumed following the process of requesting third party verification of income, assets, and medical expenses to ensure proper calculation of tenant rent. Client records are being updated with the appropriate verification of income documentation from the third-party source. Condition #3 Response MOHS acknowledges the finding 6 out of 40 selections did not have documentation of the rent reasonableness. Corrective Action: MOHS uses GoSection8, an online rent comparable website to conduct rent reasonableness. Rent reasonableness is conducted at the initial move-in and with each rent increase request. Documentation of the comparison is maintained in the client record. Contact Person: Lakeysha Williams – 410-396-4887 or Lakeysha.williams@baltimorecity.gov Completion Date: July 2024

View Audit 329082

Finding 508490 (2023-026)

Significant Deficiency 2023

City of Baltimore, Maryland

MD

Subrecipient Monitoring Questioned Costs Cash Management § 200.303

U.S. Department of Housing and Urban Development (HUD) AL No. 14.239 HOME Investment Partnerships Program Significant Deficiency in Internal Controls and Noncompliance over Special Tests - Housing Quality Standards Repeat Finding: No Auditee’s Corrective Action Plan: The Agency appreciates the compr...

U.S. Department of Housing and Urban Development (HUD) AL No. 14.239 HOME Investment Partnerships Program Significant Deficiency in Internal Controls and Noncompliance over Special Tests - Housing Quality Standards Repeat Finding: No Auditee’s Corrective Action Plan: The Agency appreciates the comprehensive review of this program and concurs with this finding. It is the responsibility of DHCD to perform physical inspections annually. This process includes creating and maintaining inspection review forms and correspondence with the inspected properties. We believe the oversights discovered were caused in part to an increase in the workload of the sole compliance officer performing the physical inspections. Because of this increase in workload, exacerbated by impromptu medical leave, the other compliance officers have received some cross training in HQS inspecting and are now available to assist in the record keeping process. The unit is also in the process of hiring an additional Compliance Officer to assume the physical inspection responsibilities. Additionally, all active compliance officers will review the program’s standard operating procedures for inspections. If necessary, any needed adjustments to the plan will be made at this time. We will also review all FY 24 inspections to ensure that all Inspection Findings and Corrective Measures have been issued and are available in the department’s shared drive. Contact Person: Eugene Greene, HOME Program Manager Completion Date: December 2024

View Audit 329082

Finding 508489 (2023-025)

Material Weakness 2023

City of Baltimore, Maryland

MD

Subrecipient Monitoring Questioned Costs Cash Management § 200.303

U.S. Department of Housing and Urban Development (HUD) AL No. 14.239 HOME Investment Partnerships Program Material Weakness in Internal Controls and Noncompliance over Program Income Repeat Finding: No Auditee’s Corrective Action Plan: The Agency appreciates the comprehensive review of this program ...

U.S. Department of Housing and Urban Development (HUD) AL No. 14.239 HOME Investment Partnerships Program Material Weakness in Internal Controls and Noncompliance over Program Income Repeat Finding: No Auditee’s Corrective Action Plan: The Agency appreciates the comprehensive review of this program and concurs with this finding. The Department of Housing and Community Development (DHCD) understands that while the City of Baltimore’s Department of Finance is responsible for recording and reporting program income into the general ledger, DHCD must ensure that ensure funds are properly recorded in the accounting records. Therefore, DHCD will work with the Department of Finance to ensure that program income deposits are documented correctly, are properly reflected on the general ledger and deposited into the correct accounts. Going forward, DHCD will request the general ledger details for all program income deposits on a minimum quarterly basis to ensure its accuracy and availability. Contact Person: Eugene Greene, HOME Program Manager Completion Date: December 2024

View Audit 329082

Finding 508444 (2023-007)

Significant Deficiency 2023

City of Baltimore, Maryland

MD

Questioned Costs Reporting Significant Deficiency § 200.512

Significant Deficiency and Noncompliance over Reporting Repeat Finding: Yes Auditee’s Corrective Action Plan: The City has purchased Workday, an Enterprise Resource Planning (ERP) system, and implemented the software with the assistance of Accenture consultants. Although Workday is “live” as of Augu...

Significant Deficiency and Noncompliance over Reporting Repeat Finding: Yes Auditee’s Corrective Action Plan: The City has purchased Workday, an Enterprise Resource Planning (ERP) system, and implemented the software with the assistance of Accenture consultants. Although Workday is “live” as of August 2022, the City is currently working to refine the software and fully utilize functionality. The Workday grants modules requires the grant funding source be defined prior to grant approval and fields are available for the AL titles and numbers and sub-recipients’ information. The implementation of the Workday grants modules centralizes much of the grant management function by requiring the agencies to upload the grant documents into Workday. Prior to the completion of the SEFA, the City instituted training sessions with the agencies to ensure that the reporting is understood by the agencies, with special emphasis on subrecipient payments being reported properly. Additionally, the City will give access to the grant report upon which the SEFA is based. The City will keep a check list to ensure that all agencies respond to the grant certification to ensure that all agencies review the grant data. Based on FY 23 training and feedback the City is expanding that training schedule to begin with agency preparation in November 2024. Additionally, the corrective actions for grants have included citywide trainings in the fourth quarter FY24 led by the Grants Management Office and BAPS on key grant accounting functions in Workday; including for example, Billing, Creating an Award, Sub Recipients with each training having between 50-70 agency grant staff attending. Contact Person: Michael Moiseyev, Chief Financial Officer, Baltimore City Completion Date: December 2024

View Audit 329082

Finding 508419 (2023-002)

Material Weakness 2023

Fremont County Association of Governments

WY

Questioned Costs Material Weakness Reporting

ITEM 2023-002: DUPLICATE ACCOUNTING RECORDS In response to Finding 2023-002, we clarify that the duplication of accounting records originated from the implementation of an FY22 audit recommendation. The auditing firm was designated to address and reconcile these duplicate entries; however, this task...

ITEM 2023-002: DUPLICATE ACCOUNTING RECORDS In response to Finding 2023-002, we clarify that the duplication of accounting records originated from the implementation of an FY22 audit recommendation. The auditing firm was designated to address and reconcile these duplicate entries; however, this task was not completed, leading to a backlog that impacted the timely completion of the FY23 audit. We have since undertaken a comprehensive reconciliation of all duplicate entries, ensuring accurate and complete financial records moving forward. With this corrective action finalized, we are now positioned to prevent reoccurrence and maintain a streamlined, efficient accounting process. Contact person: Tim Nichols Anticipated completion date: November 29, 2024

View Audit 329047

Corrective Action Plans

Filters