Corrective Action Plans

Finding 560144 (2022-015)

Material Weakness 2022

AL

Matching / Level of Effort / Earmarking Questioned Costs Subrecipient Monitoring

ORCCA's current process at the Energy program level has already improved to ensure proper documentation of eligibility. The Energy program director and staff are currently implementing this internal control at the program level to document the information and proper coding to the correct period. Re...

ORCCA's current process at the Energy program level has already improved to ensure proper documentation of eligibility. The Energy program director and staff are currently implementing this internal control at the program level to document the information and proper coding to the correct period. Responsible party: Bonnie Foroudi, Finance Director Estimated completion date: December 31, 2025

View Audit 356132 Questioned Costs: $1

Finding 560139 (2022-014)

Material Weakness 2022

Oregon Coast Community Action

AL

Matching / Level of Effort / Earmarking Subrecipient Monitoring Questioned Costs

ORCCA's current process at the Energy program level has improved to ensure proper documentation of eligibility, period of performance and earmarking. The Energy program director and staff are already implementing this internal control at the program level to document the information and proper codin...

ORCCA's current process at the Energy program level has improved to ensure proper documentation of eligibility, period of performance and earmarking. The Energy program director and staff are already implementing this internal control at the program level to document the information and proper coding to the correct period. Responsible party: Bonnie Foroudi, Finance Director Estimated completion date: December 31, 2025

View Audit 356132 Questioned Costs: $1

Finding 560138 (2022-013)

Material Weakness 2022

Oregon Coast Community Action

AL

Questioned Costs Allowable Costs / Cost Principles Eligibility § 200.303

ORCCA's current process at the program level has improved to ensure proper documentation of eligibility. The Housing director and staff have implemented this internal control at the program level. The finance department's internal control (as noted earlier) is in place to ensure the payment requests...

ORCCA's current process at the program level has improved to ensure proper documentation of eligibility. The Housing director and staff have implemented this internal control at the program level. The finance department's internal control (as noted earlier) is in place to ensure the payment requests have sufficient supporting documentation. As for record retention, ORCCA hired additional temp workers to ensure completed transactions are filed timely with the goal of going paperless in the near future. Responsible party: Bonnie Foroudi, Finance Director Estimated completion date: December 31, 2025

View Audit 356132

Finding 560137 (2022-012)

Material Weakness 2022

Oregon Coast Community Action

AL

Questioned Costs § 200.303

ORCCA's current process at the program level has improved to ensure proper documentation of eligibility. The Housing director and staff are implementing this internal control at the program level already. Responsible party: Bonnie Foroudi, Finance Director Estimated completion date: December 31, 20...

ORCCA's current process at the program level has improved to ensure proper documentation of eligibility. The Housing director and staff are implementing this internal control at the program level already. Responsible party: Bonnie Foroudi, Finance Director Estimated completion date: December 31, 2025

View Audit 356132 Questioned Costs: $1

Finding 560131 (2022-011)

Significant Deficiency 2022

Oregon Coast Community Action

AL

Subrecipient Monitoring Reporting Matching / Level of Effort / Earmarking § 200.303 § 200.32 § 200.330

ORCCA plans to utilize grant tracker system with the ability to send reminders for important dates to avoid future delinquent reporting that was experienced during the audit period. The system will be utilized by the program directors as well as the finance team (Finance Director, Accounting Manager...

ORCCA plans to utilize grant tracker system with the ability to send reminders for important dates to avoid future delinquent reporting that was experienced during the audit period. The system will be utilized by the program directors as well as the finance team (Finance Director, Accounting Manager, Program Fiscal Compliance Coordinator) working with grant directors. Responsible party: Bonnie Foroudi, Finance Director Estimated completion date: December 31, 2025

View Audit 356132

Finding 560125 (2022-010)

Significant Deficiency 2022

Oregon Coast Community Action

AL

Questioned Costs Reporting Matching / Level of Effort / Earmarking § 200.302 § 200.303

ORCCA is aware of the lack of documentation and internal control during the audit period due to various reasons, mainly short staffing and staff turnover, and has been working hard to prevent such occurrences. The Finance staff (Finance Director, Accounting Manager, Program Fiscal Compliance Coordin...

ORCCA is aware of the lack of documentation and internal control during the audit period due to various reasons, mainly short staffing and staff turnover, and has been working hard to prevent such occurrences. The Finance staff (Finance Director, Accounting Manager, Program Fiscal Compliance Coordinator) have already started communicating with program directors if any such issues are observed. Responsible party: Bonnie Foroudi, Finance Director Estimated completion date: December 31, 2025

View Audit 356132

Finding 560113 (2022-008)

Material Weakness 2022

Oregon Coast Community Action

AL

Questioned Costs Allowable Costs / Cost Principles § 200.303 § 200.403 § 200.404 § 200.405 § 200.430

The HS program has established an internal process of requester/approver in place to review the transaction requested. Documents then get reviewed again by HR or Finance staff based on the transaction type before getting processed. Responsible party: Bonnie Foroudi, Finance Director Estimated compl...

The HS program has established an internal process of requester/approver in place to review the transaction requested. Documents then get reviewed again by HR or Finance staff based on the transaction type before getting processed. Responsible party: Bonnie Foroudi, Finance Director Estimated completion date: December 31, 2025

View Audit 356132 Questioned Costs: $1

Finding 560096 (2022-002)

Significant Deficiency 2022

Central Area Rural Transit System, Inc.

AK

Questioned Costs Reporting Significant Deficiency § 200.512

Finding 2022-002 Significant Deficiency in Internal Control over Compliance, Noncompliance - Reporting Corrective Action Plan To prevent recurrence of the late filing of financial reports, staff will work to prepare year end reconciliations for major programs, state and federal schedules of expendit...

Finding 2022-002 Significant Deficiency in Internal Control over Compliance, Noncompliance - Reporting Corrective Action Plan To prevent recurrence of the late filing of financial reports, staff will work to prepare year end reconciliations for major programs, state and federal schedules of expenditures to determine single audit status, and file corresponding reports in a timely manner. Expected Completion Date June 30, 2025

View Audit 356073

Finding 560043 (2022-001)

Significant Deficiency 2022

Wisconsin Cheese Makers Association

WI

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

Comments on findings and recommendations Management should implement a process to evaluate and allocate expenses on a regular basis. Actions taken or planned Management implemented a process to evaluate and allocate expenses based on employee estimates of time spent by function and proportion of th...

Comments on findings and recommendations Management should implement a process to evaluate and allocate expenses on a regular basis. Actions taken or planned Management implemented a process to evaluate and allocate expenses based on employee estimates of time spent by function and proportion of the association’s floor space utilized by each employee during the year. Anticipated completion date July 1, 2023

View Audit 355971

Finding 559805 (2022-008)

Significant Deficiency 2022

Redevelopment Authority of the County of Berks

PA

Reporting Questioned Costs Significant Deficiency § 200.510

PREPARATION OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS - SIGNIFICANT DEFICIENCY Federal Program Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks HOME Investment Partnership Program ALN 14.239; passed through the County of Berks Emergency Rental A...

PREPARATION OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS - SIGNIFICANT DEFICIENCY Federal Program Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks HOME Investment Partnership Program ALN 14.239; passed through the County of Berks Emergency Rental Assistance ALN 21.023; passed through the County of Berks Condition/Cause The Authority provided information relating to the federal programs including grant agreements and other supporting documentation. However, the information prepared by the auditee required material adjustments as a result of audit procedures. Certain account reconciliations were not performed prior to the audit, which impacted amounts reported on the SEFA. Recommendation In order to meet Uniform Guidance requirements, the Authority should prepare the SEFA from the grant award documentation and any other relevant information including the assistance listing numbers, grant award amounts, grant amounts received, grant amounts expended, and grant revenue recorded. The amounts reported in the SEFA should reconcile to the general ledger. Management Response The Authority researched the method to prepare a SEFA and will be preparing the SEFA starting with the 2023 audit.

View Audit 355767

Finding 559801 (2022-007)

Material Weakness 2022

Redevelopment Authority of the County of Berks

PA

Questioned Costs Material Weakness Reporting § 200.307

PROGRAM INCOME - MATERIAL WEAKNESS Federal Program Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks HOME Investment Partnership Program ALN 14.239; passed through the County of Berks Condition/Cause The Authority did not properly report program inc...

PROGRAM INCOME - MATERIAL WEAKNESS Federal Program Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks HOME Investment Partnership Program ALN 14.239; passed through the County of Berks Condition/Cause The Authority did not properly report program income in IDIS during the year, and therefore could not support that program income was applied prior to drawing down entitlement funding. In some instances, program income received was not reported in IDIS, and one receipt was entered into IDIS twice. When received, program income is reported in a separate general ledger account in the financial reporting software. The Fiscal Officer then enters the program income into IDIS on a regular basis. No control exists to ensure completeness or accuracy of information entered into IDIS related to program income. Recommendation We recommend the Authority develop a procedure/internal control to ensure program income is entered accurately and completely within IDIS. This will allow for documentation to support that program income is being utilized prior to drawing down entitlement funding. This will also ensure compliance with reporting requirements for reports generated within IDIS on an annual basis. Management Response The Authority implemented a new policy to track and document program income: a. Upon receipt of program income, it shall be entered individually into IDIS and assigned to an activity or activities within fifteen (15) calendar days of receipt. b. At the next request for funds for an activity which includes funding from program income, program income shall be used prior to requesting federal funds for the activity. c. The request for federal funds shall be prepared by the Fiscal Officer and reviewed by one of the Assistant Fiscal Officers to determine if program income is being used prior to the request of federal funds. d. If it has been determined and documented that program income is being used prior to the request for federal funds, the request shall be forwarded to the Executive Director for approval.

View Audit 355767 Questioned Costs: $1

Finding 559798 (2022-006)

Significant Deficiency 2022

Redevelopment Authority of the County of Berks

PA

Questioned Costs HUD Housing Programs Reporting

REPORTING - SIGNIFICANT DEFICIENCY Federal Program Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks Emergency Rental Assistance ALN 21.023; passed through the County of Berks Condition/Cause The Authority did not maintain documentation of internal ...

REPORTING - SIGNIFICANT DEFICIENCY Federal Program Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks Emergency Rental Assistance ALN 21.023; passed through the County of Berks Condition/Cause The Authority did not maintain documentation of internal controls over reporting for the programs. For required Community Development Block Grant Reporting under Section 3 of the Housing and Urban Development Act of 1968, total Labor Hours reported for 2022 did not agree to support maintained. Additionally, for the Emergency Rental Assistance program, while reporting spreadsheets were provided, supporting documentation for the amounts reported were not maintained. Recommendation We recommend that all grant reports are reviewed by a person independent of the preparer who has knowledge of the grant requirements. This review should include comparing the amounts reported to detailed support for accuracy. We also recommend the Authority review their recordkeeping procedures for documentation related to grant reporting. There should be a process in place to ensure all required documentation is maintained and filed in an orderly system that allows the Authority to locate and provide documentation when required. Management Response The Authority contracted with Neighborly Software for a program to use with ERAP. At the beginning of ERAP, the Authority relied upon the data from the Neighborly program to generate its reports. By the 4th quarter of 2021, the Authority realized it could only utilize a portion of the Neighborly program for the data required for the reports and needed to supplement or add its own internal data. This method of utilizing Neighborly and internal data is now being used for reports.

View Audit 355767

Finding 559797 (2022-005)

Significant Deficiency 2022

Redevelopment Authority of the County of Berks

PA

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring § 200.400

ALLOWABLE ACTIVITIES AND ALLOWABLE COSTS - SIGNIFICANT DEFICIENCY Federal Program Emergency Rental Assistance ALN 21.023; passed through the County of Berks Condition/Cause During 2022 payments of rental and utility assistance were entered as batches within the financial accounting software. A se...

ALLOWABLE ACTIVITIES AND ALLOWABLE COSTS - SIGNIFICANT DEFICIENCY Federal Program Emergency Rental Assistance ALN 21.023; passed through the County of Berks Condition/Cause During 2022 payments of rental and utility assistance were entered as batches within the financial accounting software. A separate spreadsheet was utilized to track individual payments included within the batches. The original spreadsheet provided contained data entry errors. After revising for corrections, the detail provided by the Authority outlining individual payments was $472,226 lower than expenses reported in the financial reporting software and could not be reconciled by management. For 6 out of 60 cases tested, the amount paid for rent did not agree to a lease agreement or bills on file for the following reasons: (1) clerical errors, (2) duplicate payments due to multiple staff working on the same file, or (3) failure to request support before payment was made. The Authority did not have controls in place to detect the noncompliance prior to issuing payments. Recommendation We recommend the Authority revisit and strengthen internal controls over tracking individual payments for transactions entered as batches, particularly when related to federal awards. We encourage the Authority to continue working to identify the individual transactions making up the remainder of the federal expenditures under this program. We also recommend the Authority revisit and strengthen internal controls over allowable activities and allowable costs related to grant programs. Management Response The Authority launched the Emergency Rental Assistance Program (ERAP) with little administrative guidance from the U.S. Treasury. The Authority contracted with the Berks Coalition to End Homelessness (BCEH) to undertake various aspects of the Emergency Rental Assistance Program and in the late fall of 2021, the Authority began reviewing all case documentation provided by BCEH. This review eliminated the vast majority of the errors noted. The Authority also updated case documentation checklists as well as provided training for staff involved with ERAP.

View Audit 355767 Questioned Costs: $1

Finding 559792 (2022-003)

Significant Deficiency 2022

Redevelopment Authority of the County of Berks

PA

Questioned Costs Significant Deficiency Matching / Level of Effort / Earmarking

TIMING OF AUDIT COMPLETION - SIGNIFICANT DEFICIENCY Federal Program Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks HOME Investment Partnership Program ALN 14.239; passed through the County of Berks Emergency Rental Assistance ALN 21.023; passed th...

TIMING OF AUDIT COMPLETION - SIGNIFICANT DEFICIENCY Federal Program Community Development Block Grant/Entitlement Grant ALN 14.218; passed through the County of Berks HOME Investment Partnership Program ALN 14.239; passed through the County of Berks Emergency Rental Assistance ALN 21.023; passed through the County of Berks Condition/Cause The 2022 financial statement audit was not completed until April of 2025. The significant increase in grant funding limited staff capacity to prepare for and provide information requested for the audit. For example, key reconciliations needed to support balances were not prepared by management prior to the audit. Recommendation We recommend that the Authority revisit job descriptions and staff capacity as well as evaluate needed training so that there is adequate time to gather and provide necessary audit information in a timely manner. Job descriptions should assign responsibility for this process, as well as provide a level of review for accountability. Management Response The Authority hired an assistant fiscal officer in the fall of 2021 and another assistant fiscal officer in the fall of 2022. As a result of the hiring, job responsibilities have been re-assigned and data gathering for future audits will occur in a timely manner.

View Audit 355767

Finding 559741 (2022-003)

Significant Deficiency 2022

Hoover Seniors

CA

Questioned Costs

Management should transfer excess funds from the operating account to the reserve for replacements account and continue to work toward bringing the delinquent accounts current.

View Audit 355678 Questioned Costs: $1

Finding 559666 (2022-002)

Significant Deficiency 2022

Greater Lawrence Technical School

MA

Allowable Costs / Cost Principles Reporting Significant Deficiency

Audit Finding Reference: 2022-002 Planned Corrective Action: The district created a Federal and State Grants Procedures Manual that includes specific procedures for Time and Effort. The Grant Procedure Manual was approved by the District Committee on December 12, 2023. Name of Contact Person: Melis...

Audit Finding Reference: 2022-002 Planned Corrective Action: The district created a Federal and State Grants Procedures Manual that includes specific procedures for Time and Effort. The Grant Procedure Manual was approved by the District Committee on December 12, 2023. Name of Contact Person: Melissa Martel, Director of Finance Completion Date: December 12, 2023

View Audit 355524

Finding 559160 (2022-014)

Significant Deficiency 2022

Caswell County

NC

Questioned Costs Eligibility Significant Deficiency

CASWELL COUNTY 144 Court Square, Yanceyville, NC 27379 www.caswellcountync.gov 336/694-4193 Corrective Action Plan For the Year Ended June 30, 2022 Finding: 2022-014 Inadequate Request for Information Name of contact person: Corrective Action: Proposed Completion Date: Corrective Action for Findings...

CASWELL COUNTY 144 Court Square, Yanceyville, NC 27379 www.caswellcountync.gov 336/694-4193 Corrective Action Plan For the Year Ended June 30, 2022 Finding: 2022-014 Inadequate Request for Information Name of contact person: Corrective Action: Proposed Completion Date: Corrective Action for Findings 2022-012, 2022-013, 2022-014 also apply to the State Award findings. Section IV - State Award Findings and Question Costs April 11, 2024 Heather Starr Thomas, Medicaid Supervisor Cases will be reviewed internally to ensure proper documentation is in place for eligibility. Workers will be retrained on what cases should contain and the importance of complete and accurate record keeping. All cases will include online verifications ran timely, documented resources, income and make certain those amounts agree to information input into NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed by the caseworker and the results of those actions. Information must be updated at every application/recertification and change in circumstance adhering to Medicaid Policy. Templates have been updated to address request for information, income verifications, reasonable compatibility and to include electronic resources are ran with verification of date ran. Help Desk tickets should be submitted timely if information or functionality is not working properly. All avenues available to caseworker must be exhausted before requesting information from client, unless information provided and information obtained is questionable. We will continue to train on this issue, and it will also be addressed in new worker Trainings. Training in the learning gateway is also available. Section III - Federal Award Findings and Question Costs (continued) 137

View Audit 355386

Finding 559159 (2022-013)

Significant Deficiency 2022

Caswell County

NC

Questioned Costs Eligibility Significant Deficiency

Proposed Completion Date: Finding: 2022-013 Inaccurate Information Entry Name of contact person: Corrective Action: Proposed Completion Date: Heather Starr Thomas, Medicaid Supervisor A refresher training will be held to review errors. Files will be reviewed internally to ensure proper documentation...

Proposed Completion Date: Finding: 2022-013 Inaccurate Information Entry Name of contact person: Corrective Action: Proposed Completion Date: Heather Starr Thomas, Medicaid Supervisor A refresher training will be held to review errors. Files will be reviewed internally to ensure proper documentation is in place for eligibility. Workers will be retrained on what files should contain and the importance of complete and accurate record keeping. All files include accurate household members, online verifications, documented sources and verifications of income and those amounts agree to information in NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions. An updated template has been put in place for applications and recertification to address household members, tax filing status, electronic checks/verifications and documentation that is needed to accurately approve/deny/continue or terminate benefits. Caseworkers will need to review Determinations to ensure all eligibility is calculated accurately. All active cases regardless of program in NCFAST are to be reviewed to ensure we have the correct information. Weekly Communications and Changes will be reviewed weekly at Unit Meeting to address any changes and NCFAST issues that may require a Help Desk Ticket. We will continue to train on this issue, and it will also be addressed in new worker Trainings. Training in the learning gateway is also available. April 11, 2024 Section III - Federal Award Findings and Question Costs (continued) N/A - Caseworkers will adhere to the policy in Administrative Letter 13-23.

View Audit 355386

Finding 559158 (2022-012)

Significant Deficiency 2022

Caswell County

NC

Questioned Costs Eligibility Significant Deficiency

Finding: 2022-012 IV-D Non-Cooperation Name of contact person: Corrective Action: Section II - Financial Statement Findings (continued) As noted in Findings 2022-001 and 2022-006, the county finance staff is diligently working to improve the timeliness of transaction processing and anticipates timel...

Finding: 2022-012 IV-D Non-Cooperation Name of contact person: Corrective Action: Section II - Financial Statement Findings (continued) As noted in Findings 2022-001 and 2022-006, the county finance staff is diligently working to improve the timeliness of transaction processing and anticipates timely completion of the FY24 audit which will resolve this finding. Melissa Miller, Interim Finance Officer Heather Starr Thomas, Medicaid Supervisor At the time the determinations under audit were completed this was a requirement. However, under current policy referrals are not being enforced for cooperation with the Child Support Enforcement Agency (IV-D). This became effective August 18, 2023. Please see Administrative Letter 13-23.Proposed Completion Date: Finding: 2022-013 Inaccurate Information Entry Name of contact person: Corrective Action: Proposed Completion Date: Heather Starr Thomas, Medicaid Supervisor A refresher training will be held to review errors. Files will be reviewed internally to ensure proper documentation is in place for eligibility. Workers will be retrained on what files should contain and the importance of complete and accurate record keeping. All files include accurate household members, online verifications, documented sources and verifications of income and those amounts agree to information in NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions. An updated template has been put in place for applications and recertification to address household members, tax filing status, electronic checks/verifications and documentation that is needed to accurately approve/deny/continue or terminate benefits. Caseworkers will need to review Determinations to ensure all eligibility is calculated accurately. All active cases regardless of program in NCFAST are to be reviewed to ensure we have the correct information. Weekly Communications and Changes will be reviewed weekly at Unit Meeting to address any changes and NCFAST issues that may require a Help Desk Ticket. We will continue to train on this issue, and it will also be addressed in new worker Trainings. Training in the learning gateway is also available. April 11, 2024 Section III - Federal Award Findings and Question Costs (continued) N/A - Caseworkers will adhere to the policy in Administrative Letter 13-23.

View Audit 355386

Finding 559023 (2022-005)

Significant Deficiency 2022

Alston Wilkes Society

SC

Allowable Costs / Cost Principles Questioned Costs Subrecipient Monitoring § 200.1 § 200.439 § 200.452

Response of Responsible Society Official: We will review 2 CFR 200 Subpart E - Cost Principle to in an effort to refamiliarize ourselves with the Cost Principles.

View Audit 355287 Questioned Costs: $1

Finding 559022 (2022-004)

Significant Deficiency 2022

Alston Wilkes Society

SC

Internal Control / Segregation of Duties Questioned Costs

Response of responsible Society official: Management will continue to review internal controls to identify and correct accounting errors during an employee's performance of their normal duties

View Audit 355287

Finding 558988 (2022-003)

Significant Deficiency 2022

Foothill House of Hospitality

CA

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

Management has worked with a few outside accounting firms over the last year and believes they have found a competent accounting person to assist with the financial statements and processes. Management is working with the new accounting firm to document the procedures and maintaining records.

View Audit 355237

Finding 558987 (2022-002)

Material Weakness 2022

Foothill House of Hospitality

CA

Questioned Costs Subrecipient Monitoring Reporting

Management has worked with a few outside accounting firms over the last year and believes they have found a competent accounting person to assist with the financial statements and processes. Management is working with the new accounting firm to document the procedures and maintaining records.

View Audit 355237

Finding 555907 (2022-001)

None 2022

Bluetide Puerto Rico, INC

PR

Allowable Costs / Cost Principles Questioned Costs Reporting

Title: Audit Submission and Financial Recovery for Bluetide Puerto Rico Inc. Author: Danixa Rivera-Merced, Executive Director Date: March 3rd,2025 1. Background: • Organization: Bluetide Puerto Rico Inc. Action Plan • Issue: Inability to complete and submit the 2022 audit on time due to delays in re...

Title: Audit Submission and Financial Recovery for Bluetide Puerto Rico Inc. Author: Danixa Rivera-Merced, Executive Director Date: March 3rd,2025 1. Background: • Organization: Bluetide Puerto Rico Inc. Action Plan • Issue: Inability to complete and submit the 2022 audit on time due to delays in reimbursement from the Economic Development Administration (EDA) and subsequent grant suspension. 2. Timeline of Events: • March 2023: o Bluetide Puerto Rico Inc. was awaiting reimbursement from the EDA for over two months. o EDA suspended the grant due to findings, leading to the organization using its operational funds to sustain operations, resulting in a negative budget. • Resolution of Findings: o The executive director, Danixa Rivera-Merced, clarified and resolved the findings. time limit. 3. Current Status: o The EDA reactivated the grant and made the reimbursements, but it was too late to submit the 2022 audit within the original Tel. 787-727-8980 P.O. Box 13832 San Juan, PR 00908 • Bluetide Puerto Rico Inc. is now recovering its financial continuous. • The organization is no longer dependent on federal funds to maintain operations. • The 2022 audit has completed for submission. 4. Action Steps: 1. Audit Submission: o Submit the 2022 audit to the relevant authorities as soon as possible, highlighting the extenuating circumstances that led to the delay. o Ensure all financial documents and evidence of the reimbursement delays and grant suspension are included. 2. Financial Recovery: o Continue to monitor and manage the organization's financial health to ensure sustained recovery. o Implement a robust financial management system to avoid future sole sourced dependencies on federal funds. 3. Future Audits: o Set aside budget and time resources to carryout required financial audits in a timely manner. o Implement a tracking system for grants and reimbursements to avoid future delays. o Ensure all necessary audits are processed as per regulatory requirements. 4. Communication: o Communicate the situation to stakeholders to maintain transparency. o Provide updates on financial recovery and plans for audits and funding management. Tel. 787-727-8980 P.O. Box 13832 San Juan, PR 00908 5. Monitoring and Evaluation: • Quarterly review and assess the progress of the action steps outlined above. • Adjust the plan as necessary to ensure financial stability and compliance with Bluetide Puerto Rico Inc.

View Audit 354564

Finding 555757 (2022-002)

Significant Deficiency 2022

Arcare

AR

Questioned Costs Reporting Internal Control / Segregation of Duties

Responsible Party: Talmage J. Whitehead, President/CFO Email: Talmage.Whitehead@arcare.net Phone Number: (870) 347-3313 Audit Period Ending: December 31, 2022 Audit Firm: Forvis Mazars, LLP Re: Finding No 2022-002 Federal Program: Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural...

Responsible Party: Talmage J. Whitehead, President/CFO Email: Talmage.Whitehead@arcare.net Phone Number: (870) 347-3313 Audit Period Ending: December 31, 2022 Audit Firm: Forvis Mazars, LLP Re: Finding No 2022-002 Federal Program: Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution Program Assistance Listing Numbers: 93.498 Federal Agency: U.S. Department of Human Services The Organization applied provider relief payments to unreimbursed expenses attributable to COVID-19, instead of lost revenue, in the period four report submitted in the HHS Provider Relief Fund (PRF) portal. Recommendation We recommend implementing controls to ensure amounts reported are accurate, complete, and reviewed. Comments on the Finding and Recommendation Management agrees with this finding and the related recommendation. Action(s) Taken or Planned on the Finding Management will adjust internal control procedures in order to ensure the PRF portal reporting is complete and accurate. The completion date for the above-mentioned corrective action was September 29, 2023.

View Audit 354413

Corrective Action Plans

Filters