Corrective Action Plans

Finding 51181 (2022-004)

Material Weakness 2022

State of Delaware

DE

Questioned Costs Special Tests & Provisions Procurement, Suspension & Debarment § 200.303

Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Labor State Department Name: Department of Labor State Division Name: Division of Unemployment Insurance Federal Program: Unemployment Insurance, COVID-19 ? Unemployment Insurance Assistance Listing Number: 17.225 A...

Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Labor State Department Name: Department of Labor State Division Name: Division of Unemployment Insurance Federal Program: Unemployment Insurance, COVID-19 ? Unemployment Insurance Assistance Listing Number: 17.225 Award Number and Year: UI340502055A10 (10/1/2019 ? 12/31/2022), UI347072055A10 (4/1/2020 ? 6/30/2023), UI372152255A10 (10/1/2021 ? 12/31/2024) Compliance Requirement: Special Tests and Provisions ? UI Benefit Payments Type of Finding: Material Weakness in Internal Control Over Compliance, Material Noncompliance Recommendation We recommend the Division review and enhance procedures and controls to ensure that BAM case investigations are completed timely in accordance with the time limits established in the ET Handbook No. 395. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. The BAM Unit experienced high turnover volumes during the pandemic, creating a backlog of UI Benefit investigations. The pandemic also changed the workforce dynamic, creating a culture of fully remote jobs in many job markets, which left most State agencies struggling to fill positions; because of this, State Government lost its competitive edge as an employer, resulting in low applicant response to job postings. It took the BAM unit several job reposting?s to get vacancies filled. However, we have filled most of the vacancies and will conduct interviews on Friday, 03/24/23, to fill the remaining two vacancies in the unit. We also recently made a change to our training strategy. There will be consecutive weeks of training in a classroom setting, along with OTJT. The BAM unit also assigns all available NASWA training to new hires during their first weeks of employment. We chose this training strategy to provide all new hires with consistent training to ensure understanding of the BAM investigative process. In addition, we will be hiring a Sr. accountant who will focus on all backlog items only. We are also in the process of converting all paper-driven methods to fully electronic ones. All BAM employees will receive the necessary tools, training, and work-from-home equipment for working successfully from home, allowing us to maintain production in case of another catastrophic event. Name(s) of the contact person(s) responsible for corrective action: Edward Gregware, Ann Marie Vanderhout, and Marie Cameron Planned completion date for corrective action plan: The management team is working on a plan to resolve all case investigation backlogs. We will be hiring a Sr. Accountant who will focus solely on backlogged cases. We now have three QC BAM auditors and will be hiring a fourth. Once fully trained, all BAM auditors will be assigned 7 cases weekly to complete within 45 days to ensure we meet the time frames established in the ETA Handbook No. 395. An auditor takes approximately 3 to 6 months to train and operate independently. At a minimum, it will take around 12 to 18 months to get new hires properly trained and backlogs resolved.

View Audit 43524

Finding 51125 (2022-002)

Significant Deficiency 2022

Kennesaw State University Research and Service Foundation, Inc.

GA

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

Audit Finding Number: 2022-002 Auditee?s Response: The Foundation concurs with Finding 2022-002 Corrective Action Plan: Sponsored Programs is in the process of implementing a new software system (Maximus) allowing for systematic Time and Effort (TE) tracking rather than manual. Time and Effort repor...

Audit Finding Number: 2022-002 Auditee?s Response: The Foundation concurs with Finding 2022-002 Corrective Action Plan: Sponsored Programs is in the process of implementing a new software system (Maximus) allowing for systematic Time and Effort (TE) tracking rather than manual. Time and Effort reports will be generated in the Maximus system which will allow for completion tracking and reminder alerts to all parties. Implementation related to the corrective action plan in the prior year had been delayed due to the company?s schedule but is currently on track for completion by the anticipated completion date. Concurrently, Grants Accounting will serve in a support role verifying all TE certification forms have been received based off the list generated by Sponsored Programs/Maximus. SponProg and Grants Accounting have already met to generate an ongoing schedule for future TE cycles to ensure timely processing and collection. Grants Accounting management will meet with Kennesaw State University?s payroll department and the auditors to review available reporting options for TE charges based on pay periods. One of the missing certifications were for an award noted as a prize. Three were for a program where the TE form was provided, but the responsible person did not sign. While the services recorded to the grant were appropriate, management will refund the amounts associated with missing certifications to the respective grants. Anticipated Completion Date: Maximus Go Live is scheduled for July 2023 pending any further implementation delays. KSU is currently in the data testing phase with the Maximus implementation team. Schedule for future cycles has already been developed and implemented as of March 2023. The review of payroll reports will work in conjunction with the implementation of Maximus. Responsible Person, Title: Renita Wiley, Director of Sponsored Programs / Rob Bridges, Director of Grants Accounting Approved: Rob Bridges Date: 3/31/2023

View Audit 41338 Questioned Costs: $1

Finding 51120 (2022-004)

None 2022

Carroll Community School District

IA

Questioned Costs School Nutrition Programs Allowable Costs / Cost Principles

Response and Corrective Action Plan: The District will update the annual calculation to include a comparison of the base used for the indirect cost adjustment.

View Audit 48081 Questioned Costs: $1

Finding 51119 (2022-003)

Material Weakness 2022

Russellville Housing Authority

AR

HUD Housing Programs Questioned Costs Eligibility

2022-001 - Internal Control over Financial Statements. Condition ? The financial statements and the Financial Data Schedule submitted to REAC had several material misstatements and were not prepared in accordance with Generally Accepted Accounting Principles (GAAP). Cause ? During the current fiscal...

2022-001 - Internal Control over Financial Statements. Condition ? The financial statements and the Financial Data Schedule submitted to REAC had several material misstatements and were not prepared in accordance with Generally Accepted Accounting Principles (GAAP). Cause ? During the current fiscal year, the Housing Authority inexperienced staff was not aware of the year end documentation that was required to complete the financial statement preparation. In addition, the fee accountant was not specific in explaining the necessary items for Year End. Plan of Action ? The Housing Authority will conduct a monthly review of all financial data to ensure that all financial activities have been properly recorded. The Housing Authority will coordinate the Year End Process as outlined in the Year End checklist provided by Lindsey. In addition, in the future the financial statement preparation will be conducted on the Housing Authority?s server which enable the Housing Authority to retain records within the actual accounting system. Person Responsible: Ms. Donna Smith (Executive Director) Period of Action: The review will be conducted monthly and in coordination with MRI Software. 2022-002 Activities Allowed or Unallowed ? Capital Fund Program. Condition ? The Authority expended ineligible funds from the Capital fund Program that were not supported for the use of and administration of the program. Cause ? The Housing Authority misinterpreted the information regarding CARES and CFP sent from HUD and after reviewing with fee accountant, fee accountant misinterepreted the information provided, as well, thus providing inaccurate information on how to expense funds. Plan of Action ? The Housing Authority will review all disbursements monthly and consult with the fee accountant as to the purpose and nature of any costs that could be deemed as questionable or allowable under the Capital fund Program. In addition, the Housing Authority will ensure that all disbursements are adequately supported and can be easily traced to any LOCCS draw. We will also be requesting a budget revision. Person Responsible: Ms. Donna Smith (Executive Director)

View Audit 48079 Questioned Costs: $1

Finding 51118 (2022-001)

Material Weakness 2022

City of Headland

AL

Questioned Costs Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.302 § 200.305

The City is in agreement with the finding noted and will consider formally documenting policies and procedures. Heather Shippey, City Clerk will be responsible for the corrective action and anticipated completion of corrective action will be taken before September 30, 2023.

View Audit 48078

Finding 51107 (2022-002)

Significant Deficiency 2022

Henry J. Austin Health Center, Inc.

PA

Questioned Costs Reporting Significant Deficiency § 200.303

Views of Responsible Officials: The Center has implemented new Grant and Payment Management System (PMS) reconciliation workbooks to track grant expenditures. The Center also engages with consultants to assist with proper reporting and timely filing to avoid audit adjustments. In addition, the Stand...

Views of Responsible Officials: The Center has implemented new Grant and Payment Management System (PMS) reconciliation workbooks to track grant expenditures. The Center also engages with consultants to assist with proper reporting and timely filing to avoid audit adjustments. In addition, the Standard Operation Procedures will be updated to ensure that an appropriate protocol and controls for reviewing and approval of documentation prior to submission are in place. The Center will implement a plan that will include revision and approval from the Chief Financial Officer or designee prior to submission, required in the Payment Management System.

View Audit 51067

Finding 51069 (2022-003)

Significant Deficiency 2022

Blue Earth County

MN

Matching / Level of Effort / Earmarking Questioned Costs Procurement, Suspension & Debarment § 200.303 § 200.318 § 200.326

Recommendation: We recommend the County management establish internal controls to ensure compliance with federal procurement requirements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The finance department has...

Recommendation: We recommend the County management establish internal controls to ensure compliance with federal procurement requirements. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The finance department has met with the IT department to discuss federal procurement requirements and possible checklists. Name of the contact person responsible for corrective action: Lisa Malinski, Finance Director

View Audit 49837 Questioned Costs: $1

Finding 51065 (2022-002)

Significant Deficiency 2022

Blue Earth County

MN

Questioned Costs Eligibility Significant Deficiency

Recommendation: We recommend the County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Explanation of disagreement with audit finding: There is no disagreement with the audit find...

Recommendation: We recommend the County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County will implement additional review procedures. Name of the contact person responsible for corrective action: Lisa Malinski, Finance Director

View Audit 49837

Finding 51057 (2022-001)

Significant Deficiency 2022

Gresham-Barlow School District 10jt

OR

Questioned Costs Allowable Costs / Cost Principles Significant Deficiency

The District?s Indirect costs worksheet to determine allowable costs had an error in the calculation. The District has addressed the cause of the error and future amounts should calculate correctly.

View Audit 41523

Finding 51056 (2022-103)

Significant Deficiency 2022

Greater Phoenix Urban League INC

AZ

Questioned Costs Cash Management Reporting

Responsible Individual: William Bridgeman, Natalie Alvarez, George Dean Corrective Action Plan: Greater Phoenix Urban League (Delegate Agency) will collaborate with the City of Phoenix (Grantee) in evaluating the process and effectiveness of inserting and updating the ?quarterly administrative repor...

Responsible Individual: William Bridgeman, Natalie Alvarez, George Dean Corrective Action Plan: Greater Phoenix Urban League (Delegate Agency) will collaborate with the City of Phoenix (Grantee) in evaluating the process and effectiveness of inserting and updating the ?quarterly administrative reporting package?, relatively to its use and the accuracy of the content that flows within the excel workbook. Anticipated Completion Date: On going throughout the contract period on an annualized basis. June 30, 2023

View Audit 48064

Finding 51055 (2022-102)

Significant Deficiency 2022

Greater Phoenix Urban League INC

AZ

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

Responsible Individual: William Bridgeman, George Dean Corrective Action Plan: Greater Phoenix Urban League didn?t agree with the recommendation reference in the monitoring report produced by the grantee?s monitoring contractor ?The Pun Group? The entire $69,980 of consultant cost was supported by i...

Responsible Individual: William Bridgeman, George Dean Corrective Action Plan: Greater Phoenix Urban League didn?t agree with the recommendation reference in the monitoring report produced by the grantee?s monitoring contractor ?The Pun Group? The entire $69,980 of consultant cost was supported by invoices detailing the hours/cost charged to Head Start ($46.107) and Central Office ($23,873) by billing cycle. Each invoice was reviewed and approved by the President/CEO prior to payment. The invoices submitted were based upon ?actual? time and effort? and not on an ?allocation methodology. A check in the amount of $46,107 was submitted to the City of Phoenix reimbursing the grantee to resolve the issue. Anticipated Completion Date: February 23, 2023

View Audit 48064 Questioned Costs: $1

Finding 51054 (2022-101)

Significant Deficiency 2022

Greater Phoenix Urban League INC

AZ

Allowable Costs / Cost Principles Questioned Costs

Finding 2022-101 Responsible Individual: William Bridgeman, Natalie Alvarez Corrective Action Plan: Greater Phoenix Urban League (Delegate Agency) will collaborate with the City of Phoenix (Grantee) in evaluating year-to-date cumulative in-kind match on a quarterly basis to ensure the year- to- date...

Finding 2022-101 Responsible Individual: William Bridgeman, Natalie Alvarez Corrective Action Plan: Greater Phoenix Urban League (Delegate Agency) will collaborate with the City of Phoenix (Grantee) in evaluating year-to-date cumulative in-kind match on a quarterly basis to ensure the year- to- date is tracking at a level to meet the required 20% match based upon the anticipated actual funding. At the end of each quarter, if Greater Phoenix Urban League determines that it will be unable to meet the required match on an annualized basis the delegate agency will utilize the projected analysis year-to-date forecast. The Greater Phoenix Urban League will notify the grantee in writing requesting a review of anticipated revenue and develop an action plan to meet the 20% match or request a waiver following the Head Start Performance Standards Guidelines. Anticipated Completion Date: Ongoing throughout the contract period on an annualized basis. June 30, 2023

View Audit 48064 Questioned Costs: $1

Finding 51036 (2022-003)

Significant Deficiency 2022

West Deptford Board of Education

NJ

Questioned Costs Allowable Costs / Cost Principles

Finding No. 2022-003 Information on the Federal Program U.S. Department of Treasury ? Coronavirus State and Local Fiscal Recovery Fund (SLFRF) (Assistance Listing Number 21.027) (FAIN ? SLFRFDOE1SES) -7/1/21 ? 6/30/22 Passed through N.J. Department of Education as Additional or Compensatory Special ...

Finding No. 2022-003 Information on the Federal Program U.S. Department of Treasury ? Coronavirus State and Local Fiscal Recovery Fund (SLFRF) (Assistance Listing Number 21.027) (FAIN ? SLFRFDOE1SES) -7/1/21 ? 6/30/22 Passed through N.J. Department of Education as Additional or Compensatory Special Education and Related Services (ACSERS) Condition - The School District did not make adjustments to the initial cost estimates for ACSERS; therefore, the School District was reimbursed more costs than were actually incurred. Recommendation - The School District develop and implement internal control procedures to ensure only allowable costs are reported to grantor agency when seeking reimbursements. Method of Implementation - The School District shall allow an internal control procedure that completes a verification of a report prior to submission. This will allow a third party verification of the submitted report. Person Responsible - Child Study Team Director / School Business Administrator. Planned Date of Completion - Immediate. See Corrective Action Plan for full chart/table

View Audit 43178

Finding 50989 (2022-002)

Material Weakness 2022

Union County

NC

Questioned Costs Eligibility Material Weakness

Finding 2022-002-Repeat Finding, Material Weakness and Nonmaterial Noncompliance-Eligibility Response/Corrective Action: Since 2017, the Medicaid program has seen a 25% increase in the caseload volume. In addition to the increase in caseload, we currently have 12 Eligibility Specialist positions vac...

Finding 2022-002-Repeat Finding, Material Weakness and Nonmaterial Noncompliance-Eligibility Response/Corrective Action: Since 2017, the Medicaid program has seen a 25% increase in the caseload volume. In addition to the increase in caseload, we currently have 12 Eligibility Specialist positions vacant. Many of these vacancies have occurred within the last year, which has caused an additional substantial increase in the workload of the Eligibility staff. Like most counties across the state, we are struggling to fill the vacancies, but are working diligently to recruit and hire new staff. We currently have less than 30% of staff with more than 1- 2 years of experience in the program. In response to the errors cited, Union County provided education training for staff on citizenship codes in OVS on November 8th and 10th 2022. Responsible Parties: Michelle Lancaster, Deputy County Manager / Human Services Director Beverly Liles, Finance Director

View Audit 45126 Questioned Costs: $1

Finding 50981 (2022-003)

Significant Deficiency 2022

Union County

NC

Questioned Costs Allowable Costs / Cost Principles Cash Management

Responsible Parties: Michelle Lancaster, Deputy County Manager / Human Services Director Beverly Liles, Finance Director ...

Responsible Parties: Michelle Lancaster, Deputy County Manager / Human Services Director Beverly Liles, Finance Director Finding 2022-003, Significant Deficiency and Nonmaterial Noncompliance - Special Test and Provisions See Corrective Action Plan for chart / table.

View Audit 45126 Questioned Costs: $1

Finding 50976 (2022-001)

Material Weakness 2022

Ou Medicine, Inc.

OK

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

Corrective Action Plan Finding 2022-001 Internal Control Deficiency Allowed/Allowable Costs At the beginning of the pandemic, OU Health created working groups to evaluate the requirements for COVID-19 funding received and ensure the funds were only used for allowable purposes. The working groups w...

Corrective Action Plan Finding 2022-001 Internal Control Deficiency Allowed/Allowable Costs At the beginning of the pandemic, OU Health created working groups to evaluate the requirements for COVID-19 funding received and ensure the funds were only used for allowable purposes. The working groups were assisted by outside consultants to stay updated on the reporting requirements as the continued to evolve. As part of the Uniform Guidance audit, OU Health provided documentation of the FEMA review process that explained how eligible costs were identified and submitted. To ensure internal controls are documented to the level necessary under current audit standards, OU Health will develop a checklist to document the review and approval of supporting documentation of personnel costs as reported as FEMA federal expenditures. The supporting documentation will be reviewed by management to ensure expenses charged to the federal program are allowable and have not been reimbursed under another federal program. The checklist will be retained with the existing report. Responsible Official: Michael Milligan, Vice President of Accounting Anticipated Completion Date: March 31, 2023

View Audit 40950 Questioned Costs: $1

Finding 50972 (2022-002)

Significant Deficiency 2022

Community Unit School District No. 196

IL

Questioned Costs Reporting

Condition: It was noted that the there was an inconsistency when comparing the general ledger to what twas report on the expenditure report. Recommendation: We recommend reviewing the general ledger to the expenditure report before submitting to review for accuracy. Management Response: The Dis...

Condition: It was noted that the there was an inconsistency when comparing the general ledger to what twas report on the expenditure report. Recommendation: We recommend reviewing the general ledger to the expenditure report before submitting to review for accuracy. Management Response: The District will review the general ledger to the expenditure report before submitting. Anticipated date of completion: June 30, 2023.

View Audit 40946

Finding 50959 (2022-009)

Significant Deficiency 2022

Ucan

IL

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

Identifying Number: 2022-009 Finding: Period of Performance: payroll costs Corrective Actions Taken or Planned: UCAN agrees with this finding and is committed to strengthening internal controls to ensure that amounts are properly recorded and reported. UCAN has already taken steps to insure that i...

Identifying Number: 2022-009 Finding: Period of Performance: payroll costs Corrective Actions Taken or Planned: UCAN agrees with this finding and is committed to strengthening internal controls to ensure that amounts are properly recorded and reported. UCAN has already taken steps to insure that items are billed in the period incurred and only items that fall into the grant period are billed. We believe that significant turnover in the finance department led to this deficiency, so we are actively documenting procedures and cross-training employees, so we always have coverage. All vouchers will also go through a review process before they are sent to the funder. This is a repeat finding, with the original corrective action plan to be completed before June 30, 2023. We do believe that corrective actions that have been taken have resolved this issue. Contact person is Kimberly Parish, Chief Financial Officer and she can be reached at kim.parish@ucanchicago.org.

View Audit 53429 Questioned Costs: $1

Finding 50958 (2022-008)

Material Weakness 2022

Ucan

IL

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

Identifying Number: 2022-008 Finding: Unallowable cost ? salary certification and personnel activity reports Corrective Actions Taken or Planned: UCAN agrees with this finding and believes the turnover in personnel affected this area as there was a misunderstanding on what was required. Employees ...

Identifying Number: 2022-008 Finding: Unallowable cost ? salary certification and personnel activity reports Corrective Actions Taken or Planned: UCAN agrees with this finding and believes the turnover in personnel affected this area as there was a misunderstanding on what was required. Employees in leadership positions have been trained on what is required and are ensuring that all staff certifications are being gathered monthly. This is a repeat finding, with the original corrective action plan to be completed before December 31, 2022. We do believe that corrective actions that have been taken have resolved this issue. Contact person is Kimberly Parish, Chief Financial Officer and she can be reached at kim.parish@ucanchicago.org.

View Audit 53429 Questioned Costs: $1

Finding 50957 (2022-014)

Significant Deficiency 2022

City of Baton Rouge - Parish of East Baton Rouge

LA

Questioned Costs Allowable Costs / Cost Principles

2022-014) Allowable Costs Management?s response and corrective action is as follows: In developing the Cost Allocation Plan, the City-Parish previously excluded risk management costs in the calculation of the rate for the Head Start program. When the City-Parish began utilizing a new consultant t...

2022-014) Allowable Costs Management?s response and corrective action is as follows: In developing the Cost Allocation Plan, the City-Parish previously excluded risk management costs in the calculation of the rate for the Head Start program. When the City-Parish began utilizing a new consultant to prepare the Cost Allocation Plan, the consultant included those costs in the rate calculation when they should have been excluded. The 2023 report will be revised to exclude costs for risk management functions and will continue to be excluded for future plans. The City-Parish does not charge the full amount of indirect costs that would be allowable based on the approved indirect cost rate to the grant programs that paid for the insurance policies. In 2022, the indirect cost allowable based on the approved rate was $1,410,223.04; however, only $131,232.00 was directly charged to the Head Start grant and $955,904.84 was used as in-kind match leaving a balance of $323,086.20 in allowable indirect cost that was not charged. Expected Implementation Date: June 2023 Contact person: Shalanda Nalencz, Accounting Manager, Finance Department

View Audit 53428 Questioned Costs: $1

Finding 50955 (2022-005)

Significant Deficiency 2022

City of Baton Rouge - Parish of East Baton Rouge

LA

Questioned Costs Allowable Costs / Cost Principles

2022-005) Allowable Costs Management?s response and corrective action is as follows: In an effort to avoid non-compliance with the federal grant program, all employee payroll charges will be transferred to an alternative City-Parish funding source. If a federal grant program is used in the future...

2022-005) Allowable Costs Management?s response and corrective action is as follows: In an effort to avoid non-compliance with the federal grant program, all employee payroll charges will be transferred to an alternative City-Parish funding source. If a federal grant program is used in the future for employee payroll charges, the employees will be trained on the applicable federal guidelines prior to use. Expected Implementation Date: June 2023 Contact person: Adam Smith, Interim Director, Environmental Services

View Audit 53428 Questioned Costs: $1

Finding 50954 (2022-004)

Significant Deficiency 2022

City of Baton Rouge - Parish of East Baton Rouge

LA

Questioned Costs Eligibility

2022-004) Allowable Activities Management?s response and corrective action is as follows: After reviewing the project scope, along with the U. S. Treasury Final Rule, the City-Parish believes that the bridge replacement is an allowable use of funds. Twin Oaks bridge was closed in 2015 in a very ...

2022-004) Allowable Activities Management?s response and corrective action is as follows: After reviewing the project scope, along with the U. S. Treasury Final Rule, the City-Parish believes that the bridge replacement is an allowable use of funds. Twin Oaks bridge was closed in 2015 in a very rural area. During the pandemic it became evident that citizens were unable to access healthcare quickly with the bridge closure. In addition, the bridge is causing major drainage issues in the Baker Canal. The replacement bridge will use watertight expansion joints so that all surface water can drain off the structure and collect in inlets placed at the bridge ends. The downstream ends of bridges need special attention which will collect and concentrate the stormwater away from the bridge. The concentrated flow will be directed into a low-risk erosion area. All runoff shall be directed away from wing walls, fill slopes, and embankments, so that no material is susceptible to erosion. Bridge drains are designed to reduce the amount of concentrated flows off a structure. The replacement of the bridge allows the Parish to address the subsurface drainage issues as well as respond to the public health and negative economic impacts of the pandemic. U.S. Treasury has specifically enumerated the flexibility provided under this expenditure category in the Final Rule excerpt: (second paragraph on the page 4411) ?Although the meaning of water and sewer infrastructure for purposes of sections 602(c)(1)(D) and 603(c)(1)(D) of the Social Security Act does not include all water-related uses, Treasury has made clear in this final rule that investments to infrastructure include a wide variety of projects. Treasury interprets the word ``infrastructure?? in this context broadly to mean the underlying framework or system for achieving the given public purpose, whether it be provision of drinking water or management of wastewater or stormwater. As discussed below, this can include not just storm drains and culverts for the management of stormwater, for example, but also bioretention basins and rain barrels implemented across a watershed, including on both public and private property, that together reduce the amount of runoff that needs to be managed by traditional infrastructure.? Expected Implementation Date: June 2023 Contact person: Tom Stephens, Chief Engineer, Transportation and Drainage Department Angie Savoy, Assistant Director, Finance Department

View Audit 53428 Questioned Costs: $1

Finding 50951 (2022-004)

Significant Deficiency 2022

Southwest Healthcare Services

ND

Questioned Costs Special Tests & Provisions Significant Deficiency § 200.303

Finding Summary: Southwest completed the Provider Relief Fund reporting requirement without factoring in the amounts of expenses that were reimbursed by other sources. This specifically relates to the amount that Southwest was reimbursed by Medicare as a result of being a critical access hospital th...

Finding Summary: Southwest completed the Provider Relief Fund reporting requirement without factoring in the amounts of expenses that were reimbursed by other sources. This specifically relates to the amount that Southwest was reimbursed by Medicare as a result of being a critical access hospital that get reimbursed based on cost. Responsible Individuals: Dennis Goebel, Chief Executive Officer; Amanda Loughman, Chief Financial Officer. Corrective Action Plan: Management will ensure to factor in a portion of the Provider Relief Fund expenses that are being reimbursed by other sources when completing the reporting requirements. Anticipated Completion Date: 12/31/2023

View Audit 52761

Finding 50949 (2022-001)

Significant Deficiency 2022

Multnomah Education Service District

OR

Questioned Costs HUD Housing Programs Significant Deficiency § 200.326

November 15, 2022 Oregon Secretary of state, Audits Division 255 Capito! St. NE, Suite #500 Salem, OR 97310 Plan of Action for Multnomah Education Service District The Multnomah Education Service District respectfully submits the following corrective action plan in response to deficiencies reported ...

November 15, 2022 Oregon Secretary of state, Audits Division 255 Capito! St. NE, Suite #500 Salem, OR 97310 Plan of Action for Multnomah Education Service District The Multnomah Education Service District respectfully submits the following corrective action plan in response to deficiencies reported In our audit of fiscal year ended June 30, 2022. The audit was completed by the independent auditing firm Talbot, Korvola and Warwick, and reported the deficiency listed below. The plan of action was adopted by the governing body at their meeting on November 15, 2022, as indicated by signatures below. Finding 2022.001: Significant deficiency Condition: The provisions for the prevailing wage rates requirements were not included in the construction contracts in excess of $2,000 financed by ESF funds and that the required certified payrolls were not obtained. The related deficiency in internal controls over compliance is considered to be a significant deficiency. As the District does not typically fund construction projects with federal fund, the District's staff were unaware of the $2,000 threshold for construction contacts financed by ESF funds to include prevailing wage rates requirements and used a threshold of $50,000, the Oregon Bureau of Labor & Industries' threshold for prevailing wage rate requirements for public works projects in Oregon. Cause: Effect or potential effect: Without adequate internal controls over wage rate requirements and Including the required provisions in construrtion contracts in excess of $2,000 financed by ESF funds, the District cannot demonstrate compliance with the wage rate requirements of the Davis-Bacon Act requirements. Questioned Costs: Questioned costs, if any, are indeterminable. Out of nine capital projects totaling $123,558, a sample of three capital projects was haphazardly selected. The capital projects were between $9,405 and $14,360 and totaled $26,024. Context; Recommendation: The District should obtain an understanding of all compliance requirements and implement controls to ensure compliance with federal wage rate requirements. Superintendent Dr. Faul Coakley Board of Directors Jessica Ariate ? Mary Botkin ? Kristin Corniielle < Katrina Doughty ? Dr. Samuel Henry ? Deny.se Peterson ? Helen Ying I !611 NE ??ns\?orth Circle ? Portland. Oregon 97220 ? (502) 255-18^1 ? MultnofiialiESD.org p!an ?? action: The Director oi Business & Operations is responsible for implementing the plan of action. All construction projects are managed by the MESD Facilities office. The Director instructed the MESD Contract and Risk Manager, meet with the Facilities office to inform staff of the Davis-Bacon prevailing wage requirements for construction contracts in excess of $ ? 2,00 . Facilities will include the consideration of Davis-Bacon requirements when reviewing a project request that is or has the potential of being federally funded. Facilities will implement the requirements of the Davis-Bacon Act as needed. Timeframe: The meeting took place on November 2, 2022. Facilities has updated their internal procedures. ? ' Multnora ESD Board Chair, Denyse Peterson Superintendent, Dr. Paul Coakley

View Audit 53728

Finding 50948 (2022-004)

Material Weakness 2022

McIntosh Senior Living

MN

Questioned Costs Special Tests & Provisions Material Weakness § 200.303

Finding 2022-004 Federal Agency Name Department of Agriculture Program Name Community Facilities Loans and Grants Cluster Federal Financial Assistance Listing #10.766 Finding Summary The reserve account was not separately identified and there was no formal review separate from the preparer over t...

Finding 2022-004 Federal Agency Name Department of Agriculture Program Name Community Facilities Loans and Grants Cluster Federal Financial Assistance Listing #10.766 Finding Summary The reserve account was not separately identified and there was no formal review separate from the preparer over the reserve fund reconciliation. Responsible Individuals Sharlene Knutson, Administrator Corrective Action Plan We have adopted a policy to enhance internal control to ensure the reserve fund reconciliation has a secondary review and approval that is documents. Anticipated Completion Date September 30, 2023

View Audit 52757

Corrective Action Plans

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