Corrective Action Plans

Finding 23979 (2022-018)

Material Weakness 2022

MD

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303 § 200.309

Finding 2022-018 U.S. Department of Health and Human Services AL No. 93.778 Medical Assistance Program (Medicaid; Title XIX) Material Weakness over Period of Performance Repeat Finding: No Auditee?s Corrective Action Plan: BCHD will implement controls to allow only costs within the period ...

Finding 2022-018 U.S. Department of Health and Human Services AL No. 93.778 Medical Assistance Program (Medicaid; Title XIX) Material Weakness over Period of Performance Repeat Finding: No Auditee?s Corrective Action Plan: BCHD will implement controls to allow only costs within the period of performance to be charged to the correct grant period within the general ledger. BCHD will ensure that if there are any exceptions that allow for costs to be charged outside the period of performance, the proper supporting documents will be kept. Baltimore City's new financial system, Workday, allows for all supporting documentation to be kept electronically in one system. Policies and procedures for internal controls will be updated to incorporate processes in Workday, and accounting staff will be trained appropriately. Contact Person: Chief Financial Officer ? Unyime Ekpa Completion Date: December 2023

View Audit 23759 Questioned Costs: $1

Finding 23962 (2022-017)

Material Weakness 2022

City of Baltimore, Maryland

MD

Questioned Costs Material Weakness Reporting § 200.302 § 200.303

Finding 2022-017 U.S. Department of Health and Human Services AL No. 93.767 Children?s Health Insurance Program (CHIP) Significant Deficiency Over Reporting Repeat Finding: No Auditee?s Corrective Action Plan: BCHD will continue to work with the City's Finance department to ensure what is r...

Finding 2022-017 U.S. Department of Health and Human Services AL No. 93.767 Children?s Health Insurance Program (CHIP) Significant Deficiency Over Reporting Repeat Finding: No Auditee?s Corrective Action Plan: BCHD will continue to work with the City's Finance department to ensure what is recorded on the general ledger reconciles to what is reported in the Form 440. The implementation of Workday Finance module should alleviate these findings. Contact Person: Chief Financial Officer ? Unyime Ekpa Completion Date: December 2023

View Audit 23759

Finding 23961 (2022-016)

Material Weakness 2022

City of Baltimore, Maryland

MD

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303 § 200.309

Finding 2022-016 U.S. Department of Health and Human Services AL No. 93.767 Children?s Health Insurance Program (CHIP) Material Weakness Over Compliance and Internal Control over Period of Performance Repeat Finding: Yes Auditee?s Corrective Action Plan: BCHD will implement controls to al...

Finding 2022-016 U.S. Department of Health and Human Services AL No. 93.767 Children?s Health Insurance Program (CHIP) Material Weakness Over Compliance and Internal Control over Period of Performance Repeat Finding: Yes Auditee?s Corrective Action Plan: BCHD will implement controls to allow only costs within the period of performance to be charged to a grant. BCHD will ensure that if there are any exceptions that allow for costs to be charged outside the period of performance, the proper supporting documents will be kept. Baltimore City's new financial system, Workday, allows for all supporting documentation to be kept electronically in one system. Policies and procedures for internal controls will be updated to incorporate processes in Workday and the accounting staff will be trained appropriately. Contact Person: Chief Financial Officer ? Unyime Ekpa Completion Date: December 2023

View Audit 23759 Questioned Costs: $1

Finding 23953 (2022-001)

Significant Deficiency 2022

Oxford Housing Authority

MA

HUD Housing Programs Questioned Costs Special Tests & Provisions

CORRECTIVE ACTION PLAN 2022-001 - Special Tests & Provisions- HQS Enforcement Auditee's Response and Planned Corrective Action The period of the inspections was during Covid and the files audited were Enhanced vouchers leased at Orchard Hill Estates. The development had several issues with retain...

CORRECTIVE ACTION PLAN 2022-001 - Special Tests & Provisions- HQS Enforcement Auditee's Response and Planned Corrective Action The period of the inspections was during Covid and the files audited were Enhanced vouchers leased at Orchard Hill Estates. The development had several issues with retaining maintenance to correct the deficiencies. The development also struggled with receiving parts in a timely manner. The Oxford Housing Authority had been in contact with the development throughout the period of held HAP to maintain that these units were to be corrected. The Oxford housing Authority withheld HAP payments until the units were corrected, then released payment. The Oxford Housing Authority bas revised its Ad.min Plan to include the corrective procedure for abated units, along with a revised notice to the landlord. Planned Implementation Date of Corrective Action: Immediately Person Responsible for Corrective Action: Barry Nadon Jr.

View Audit 22730 Questioned Costs: $1

Finding 23952 (2022-003)

Significant Deficiency 2022

City of Newport

OR

Internal Control / Segregation of Duties Questioned Costs Cash Management

Personnel to Effect Change: Airport Director (Lance Vanderbeck) and Capital Projects & Grant Accountant (Linda Wertman) City Response and Corrective Action Plan: The Airport Director will initially review all Request for Advance or Reimbursement and supporting documentation by the contracted supervi...

Personnel to Effect Change: Airport Director (Lance Vanderbeck) and Capital Projects & Grant Accountant (Linda Wertman) City Response and Corrective Action Plan: The Airport Director will initially review all Request for Advance or Reimbursement and supporting documentation by the contracted supervisor of the project. The Capital Projects Accountant will then also review the Request for Advance or Reimbursement and supporting documentation before submission for reimbursement. Anticipated Completion Date(s): June 30, 2023

View Audit 21061

Finding 23949 (2022-002)

Significant Deficiency 2022

Metro Towers, Inc. St. James Place

MO

HUD Housing Programs Questioned Costs Special Tests & Provisions

Finding 2022-002 Responsible Party Name: Fred Gibbs Position: President ? Management Agent Telephone Number: 913-709-1811 Federal Agency U.S. Department of Housing and Urban Development Federal Program Mortgage Insurance for Purchase or Refinancing of Existing Multifamily Rental Housing (Section 207...

Finding 2022-002 Responsible Party Name: Fred Gibbs Position: President ? Management Agent Telephone Number: 913-709-1811 Federal Agency U.S. Department of Housing and Urban Development Federal Program Mortgage Insurance for Purchase or Refinancing of Existing Multifamily Rental Housing (Section 207/223(F)) Compliance Requirements N ? Special Tests and Provisions Finding Type Federal Awards Auditee?s Comment on Finding We agree with the auditor?s finding. Corrective Action We will deposit the shortfall of $868 into the reserve for replacement account, as soon as possible. We will also deposit the shortfall for 2019, 2020, and 2021 once funds become available. We will follow our process to deposit and reconcile the reserve for replacement account on a monthly basis. Anticipated Completion Date June 30, 2023

View Audit 19875 Questioned Costs: $1

Finding 23948 (2022-001)

Material Weakness 2022

Metro Towers, Inc. St. James Place

MO

HUD Housing Programs Questioned Costs Special Tests & Provisions

CORRECTIVE ACTION PLAN FOR THE YEAR ENDED DECEMBER 31, 2022 Title 2, U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), Subpart F, Section 511 ? Audit Findings Follow-up requires the auditee t...

CORRECTIVE ACTION PLAN FOR THE YEAR ENDED DECEMBER 31, 2022 Title 2, U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), Subpart F, Section 511 ? Audit Findings Follow-up requires the auditee to prepare a corrective action plan to address each audit finding included in the current year auditor?s reports. The Corrective Action Plan for Current Year Findings present our corrective action plan for the Financial Statement and/or Federal Award Findings described in the accompanying Schedule of Findings and Questioned Costs for the period ended December 31, 2022. Finding 2022-001 Responsible Party Name: Fred Gibbs Position: President ? Management Agent Telephone Number: 913-709-1811 Federal Agency U.S. Department of Housing and Urban Development Federal Program Mortgage Insurance for Purchase or Refinancing of Existing Multifamily Rental Housing (Section 207/223(F)) Compliance Requirements N ? Special Tests and Provisions Finding Type Financial Statement and Federal Awards Auditee?s Comment on Finding We agree with the auditor?s finding. Corrective Action We will follow our policies and procedures to ensure that our accounting records are kept accurate and complete, and a responsible official will review and sign off on the monthly financial statements. Anticipated Completion Date June 30, 2023

View Audit 19875

Finding 23925 (2022-024)

Significant Deficiency 2022

City of Baltimore, Maryland

MD

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303 § 200.309

Finding 2022-024 U.S. Department of Health and Human Services AL No. 93.977 Totally Sexually Transmitted Diseases (STD) Prevention and Control Grants Significant Deficiency in Compliance and Internal Control over Period of Performance Repeat Finding: No Auditee?s Corrective Action Plan: B...

Finding 2022-024 U.S. Department of Health and Human Services AL No. 93.977 Totally Sexually Transmitted Diseases (STD) Prevention and Control Grants Significant Deficiency in Compliance and Internal Control over Period of Performance Repeat Finding: No Auditee?s Corrective Action Plan: BCHD will implement controls to allow only costs within the period of performance to be charged to the correct grant period within the general ledger. BCHD will ensure that if there are any exceptions that allow for costs to be charged outside the period of performance, the proper supporting documents will be kept. Baltimore City's new financial system, Workday, allows for all supporting documentation to be kept electronically in one system. Policies and procedures for internal controls will be updated to incorporate processes in Workday and the accounting staff will be trained appropriately. Contact Person: Chief Financial Officer ? Unyime Ekpa Completion Date: December 2023

View Audit 23759 Questioned Costs: $1

Finding 23922 (2022-005)

None 2022

City of Baltimore, Maryland

MD

Questioned Costs Material Weakness Equipment & Real Property Management

Finding 2022-005 Programs: All Material Weakness over Information Technology Security Repeat Finding: Yes Auditee?s Corrective Action Plan: We concur with the findings. The Baltimore City Office of Information & Technology (BCIT) has made significant progress in resolving this finding. Specific ...

Finding 2022-005 Programs: All Material Weakness over Information Technology Security Repeat Finding: Yes Auditee?s Corrective Action Plan: We concur with the findings. The Baltimore City Office of Information & Technology (BCIT) has made significant progress in resolving this finding. Specific improvements are below: Vulnerability Management Status: ? BCIT continues to make progress on addressing the backlog of vulnerabilities in our environment. ? We transitioned to a new vulnerability management tool, Tenable, to reduce the number of false positives and issues with reporting that we had with our original tool. ? We hired an experienced vulnerability lead to take over the planning tracking and monitoring of backlog initiatives. ? As we finish up current initiatives like Win 10 v1909, SMBv1 Workstation, Flash Uninstall and Internet Explorer - we tee up new initiatives. ? We are currently in the planning / scoping phase to remove old versions of Adobe Acrobat, Adobe Products and Mozilla Firefox. ? For operational patching, we are deploying 90% of patches on critical servers within 7 days, but we are only deploying 70% of workstation patches within 3 weeks. Upcoming Vulnerability Management Milestones: ? We have a funded position to hire a full-time workstation vulnerability engineer to ensure workstation patching is at 95% completion after 3 weeks. We have reviewed resumes, selected a slate and plan to have a person join the team in May 2023. ? We have diagnosed the reason we are deploying 90% of patches on critical servers. We patch the operating system consistently, but we are not always patching applications on the servers. The server patching team has begun patching applications. For April 2023 critical server patches, we achieved 100% in 7 days. We will continue to monitor our corrective action. Privileged Access Entitlement Review Status: ? Developed and implemented a process to review privileged credentials city-wide. o The user requesting admin privileges fills out a privilege access agreement (PAA) that documents the privileges required. o The admin?s manager signs the request. o The user signs an acknowledgement of their responsibilities and attaches to form a ticket. o The ticket results in computer-based training being assigned to the admin. o The ticket is forwarded to appropriate team in BCIT ? server or desktop for their review / approval. o When training is verified and BCIT approvals are completed, the user is authorized to continue using existing credentials or assigned the new credentials requested. ? BCIT leveraged this exercise to standardize admin account naming conventions aligned with best practices. We now require separate admin accounts for workstation or server administration. We are disabling / doing away with the legacy one size fits all generic admin accounts (P accounts). Upcoming Milestones: o Complete the review and cleanup of the final wave of agencies ? BCIT, BCHD, BCFD and some stragglers from DPW, DHR and DOF ? May 2023 o Disable all privileged accounts that have not been used within 180 days ? May 2023 o Review any remaining P accounts for disposition ? June 2023 o Seek feedback from agencies on the FY 2023 Privileged Account review process and develop process improvements ? 1st quarter FY 24 o Begin FY 24 Privilege entitlement review process ? 2nd quarter FY 24. Segregation of Duties: The Blue Hill vendor now has a designated full-time Team Lead to oversee the City of Baltimore?s contract. Now that we have a dedicated Blue Hill Team Lead, the VMLIB process and programmer rights will be modified to only allow the Blue Hill Team Lead or the BCIT Mainframe Manager to promote programs to production. Mainframe Restoration: To restore mainframe operations at the secondary data center, BCIT employs Blue Hill, who maintains an alternative backup site in New Jersey (BlueZone) should the main location in Pearl River, New York ever go down. o Every night the data and code are replicated and transmitted to the backup site. o Should a disaster occur, the backup (BlueZone) site will be operational in less than 48 hours. Contact Person: Todd Carter, CIO/CDO Baltimore City Completion Date: June 2024 and continuously reviewing.

View Audit 23759

Finding 23921 (2022-004)

None 2022

City of Baltimore, Maryland

MD

Questioned Costs Procurement, Suspension & Debarment Material Weakness

Finding 2022-004 Programs: All Material Weakness over Fixed Asset Accounting 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 Work...

Finding 2022-004 Programs: All Material Weakness over Fixed Asset Accounting 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 implement the business asset module. This module will allow assets to be flagged during the purchase process and the majority of existing assets to be uploaded and depreciated by Workday. Specific improvements are as follows: ? Depreciation will be run monthly rather than at the end of the year, allowing for a more regular review of the fixed assets. ? Workday reports which reconcile the subsidiary fixed asset module to the general ledger will be run monthly and reviewed. ? A new Workday role within each agency, an asset tracking specialist, will be responsible for reviewing the fixed asset listing and working with the Department of Finance ensuring that assets are capitalized properly. ? A Capital Assets policy has been drafted and is expected to be reviewed and approved. ? The City has uploaded assets in to Workday thru fiscal year 2021 and has agreed these to the ACFR publication for fiscal year 2021. The City has also uploaded the fiscal year 2022 assets and is in the process of paralleling the FY 22 results. Additionally, fiscal year 2023 assets purchased thru Workday have been capitalized in Workday using Workday functionality. The City expects to use Workday to calculate the fiscal year 2023 depreciation. Contact Person: Michael Moiseyev, Chief Financial Officer, Baltimore City. Completion Date: December 2023

View Audit 23759

Finding 23920 (2022-003)

None 2022

City of Baltimore, Maryland

MD

Questioned Costs Material Weakness

Finding 2022-003 Programs: All Material Weakness over Water and Wastewater Billing Function Repeat Finding: Yes Auditee?s Corrective Action Plan: The Department of Public Works (DPW) took several steps to assess, evaluate, and improve water and wastewater billing functions, including the fol...

Finding 2022-003 Programs: All Material Weakness over Water and Wastewater Billing Function Repeat Finding: Yes Auditee?s Corrective Action Plan: The Department of Public Works (DPW) took several steps to assess, evaluate, and improve water and wastewater billing functions, including the following: ? The Office of the Mayor led a review of unbilled properties that have no accounts established within the billing system. A minimal number of properties were found and, upon further investigation, the majority of those properties were improperly coded. ? Baltimore City and Baltimore County undertook a joint review of the entire water and wastewater utility, using a private consultant. This analysis provided a framework for how to improve the utility, including billing. Additionally, Baltimore City and Baltimore County have formed a strong partnership on utility-related issues, meeting every month. Both jurisdictions are tracking the findings of a joint Baltimore City and Baltimore County Office of Inspector General Report on billing-related issues. The City/County team continues to evaluate the issues identified in the OIG report with those identified by the consultant to find areas of overlap. ? There is an initiative to reform the DPW meter shop. This initiative involves a task force made up of DPW and Mayor?s Office staff who immersed themselves full-time in the meter shop. Thus far, vehicle issues, equipment issues, logistical issues, and some training issues have been assessed and resolved, leading to improved morale and more effective operations. ? In late November 2020, DPW optimized water billing cycles and schedules through a software program called Route Smart. City customers are billed monthly. Route Smart realigned the billing cycles so that customers were evenly divided into the 15 groups and were also located in the same geographic area of the City. This allows the meter technicians to stay in one region when addressing meter issues rather than wasting time traveling back and forth throughout the City. Since optimization, DPW averages 99% of bills being issued for each cycle on a regular basis. ? In July 2021, the Customer Support and Services Division (CSSD) implemented an Escalations and Adjustments committee to review all adjustments over $500. Any adjustment over $500 cannot be entered into UMAX without approval from this committee. Adjustments are audited weekly to ensure the integrity of the process. ? All CSSD and Meter Shop supervisors have completed training to write and document standard operating procedures (SOPs). SOPs will be revised for all Billing, Customer Service, and Meter Operations. DPW staff anticipate the SOPs will be completed and finalized by January 31, 2023. ? In July 2022, DPW launched an internal dashboard tracking a wide array of vital operational and performance metrics for CSSD and Meter Shop staff. Management is using the dashboard to benchmark and set KPIs for improving customer response times, work order completions, accurate billing, and revenue collections. ? Reorganization of CSSD and Meter Shop operations to include an Internal Process Improvement team (Quality Assurance) and a Data Team (Quality Control) for monthly billing and customer service response times. ? CSSD and the Meter Shop work collaboratively to ensure reads are entered and meters are fixed or replaced so that we can provide timely and accurate monthly billing ? In addition to the reactive training provided to CSSD staff from August 2021 to March 2022, CSSD has created a monthly training calendar to provide proactive and leadership development sessions since April 2022 to increase knowledge, skills, and abilities. Contact Person: Michael Moiseyev, Chief Financial Officer, Baltimore City Jason W. Mitchell, Director, Department of Publix Works Completion Date: Completed June 2022. Currently in support phase for ongoing improvements.

View Audit 23759

Finding 23919 (2022-002)

None 2022

City of Baltimore, Maryland

MD

Questioned Costs Cash Management Material Weakness

Finding 2022-002 Programs: All Material Weakness over Financial 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...

Finding 2022-002 Programs: All Material Weakness over Financial 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 went ?live? as of August 2022, the City is currently working to refine the software and fully utilize its functionality. The new system includes improved financial reporting and functionality. Specific improvements available are: ? Allocations which were calculated manually, such as overhead allocations, are being automatically calculated and created in Workday. ? There has been an extensive review of the chart of accounts, including the use of hierarchies, which more closely align the financial and budgetary reporting needs of the City. ? The City will be using ?control? accounts for accounts receivable and accounts payable, which requires the subsidiary systems to reconcile to the general ledger. ? The City will be using multi-book accounting, which will allow for GAAP entries to be entered into a separate ledger. ? The City is purchasing Workiva, a cloud-based software, which will interface with Workday and update the Annual Comprehensive Financial Report (ACFR) document. It will provide an audit trail for changes to the ACFR document. This implementation is slated to begin in June 2023, but full implementation may not occur until fiscal year 2024. Contact Person: Michael Moiseyev, Chief Financial Officer, Baltimore City Completion Date: December 2024

View Audit 23759

Finding 23918 (2022-001)

None 2022

City of Baltimore, Maryland

MD

Questioned Costs Material Weakness Reporting

Finding 2022-024 U.S. Department of Health and Human Services AL No. 93.977 Sexually Transmitted Diseases (STD) Prevention and Control Grants Significant Deficiency and Noncompliance over Period of Performance Repeat Finding: No Condition: For 4 of 40 expenditure transactions selected for t...

Finding 2022-024 U.S. Department of Health and Human Services AL No. 93.977 Sexually Transmitted Diseases (STD) Prevention and Control Grants Significant Deficiency and Noncompliance over Period of Performance Repeat Finding: No Condition: For 4 of 40 expenditure transactions selected for testing, the transactions were incurred outside of the period of the performance for the grant. Criteria: In accordance with 2 CFR ?200.303: The non-Federal entity must: (a) Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. According to 2 CFR section 200.309, a non-Federal entity may charge to the Federal award only allowable costs incurred during the period of performance and any costs incurred before the Federal awarding agency or pass-through entity made the Federal award that were authorized by the Federal awarding agency or pass-through entity. Cause: There was a timing delay at the end of the fiscal year between the agency billing the grant and when the actual expenditure was recorded in the GL system to create the SEFA. Effect: The City was not in compliance with the period of performance requirements. Questioned Costs: $276,183. Recommendation: We recommend the City establish and implement internal controls that provide reasonable assurance that grant expenditures recorded in the general ledgers are recorded in the proper grant period. Auditee Response and Corrective Action Plan: Management agrees with the finding. Refer to the corrective action plan on current findings in Part V of this report. Auditor?s Conclusion: Finding remains as stated.

View Audit 23759

Finding 23867 (2022-001)

None 2022

Asi - Las Vegas, Inc.

MN

Questioned Costs HUD Housing Programs

ASI - LAS VEGAS, INC. HUD PROJECT NO. 121-HD003-NP-WPD CORRECTIVE ACTION PLAN YEAR ENDED DECEMBER 31, 2022 DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT ASI - Las Vegas, Inc. respectfully submits the following corrective action plan for the ye...

ASI - LAS VEGAS, INC. HUD PROJECT NO. 121-HD003-NP-WPD CORRECTIVE ACTION PLAN YEAR ENDED DECEMBER 31, 2022 DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT ASI - Las Vegas, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2022. Name and address of independent public accounting firm: Hinrichs & Associates, Ltd 1000 Shelard Parkway, Suite 110 Minneapolis, MN 55426 Audit Period: December 31, 2022 The findings from the December 31, 2022 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Section A of the schedule, Summary of Audit Results, does not include findings and is not addressed. FINDINGS - FINANCIAL STATEMENT AUDIT NONE FINDINGS - FEDERAL AWARD PROGRAMS AUDIT DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FINDING 2022-001: SECTION 811, ASSISTANCE LISTING NUMBER 14.181 The Project paid the expense of another project under common management. Recommendation: The Project should carefully review invoices before payment to make sure it pays the correct amount. Action Taken: The Project agrees with the finding. The accounts payable staff will be reminded to be careful when entering invoices for payment. If the Department of Housing and Urban Development has questions regarding this plan, please call Chuck Reuter at 651-645-7271.

View Audit 18453 Questioned Costs: $1

Finding 23860 (2022-023)

Significant Deficiency 2022

City of Baltimore, Maryland

MD

Reporting Questioned Costs Subrecipient Monitoring § 200.302 § 200.303

Finding 2022-023 U.S. Department of Health and Human Services AL No. 93.940 HIV Prevention Activities Health Department Based Significant Deficiency in Compliance and Internal Control Over Reporting Repeat Finding: No Auditee?s Corrective Action Plan: BCHD will implement controls to maint...

Finding 2022-023 U.S. Department of Health and Human Services AL No. 93.940 HIV Prevention Activities Health Department Based Significant Deficiency in Compliance and Internal Control Over Reporting Repeat Finding: No Auditee?s Corrective Action Plan: BCHD will implement controls to maintain compliance with reporting requirements. 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 440 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 2023

View Audit 23759

Finding 23859 (2022-022)

Material Weakness 2022

City of Baltimore, Maryland

MD

Reporting Questioned Costs Subrecipient Monitoring § 200.303 § 200.309

Finding 2022-022 U.S. Department of Health and Human Services AL No. 93.940 HIV Prevention Activities Health Department Based Material Weakness over Period of Performance Repeat Finding: Yes Auditee?s Corrective Action Plan: BCHD will implement controls to allow only costs within the peri...

Finding 2022-022 U.S. Department of Health and Human Services AL No. 93.940 HIV Prevention Activities Health Department Based Material Weakness over Period of Performance Repeat Finding: Yes Auditee?s Corrective Action Plan: BCHD will implement controls to allow only costs within the period of performance to be charged to a grant. BCHD will ensure that if there are any exceptions that allow for costs to be charged outside the period of performance, the proper supporting documents will be kept. Baltimore City's new financial system, Workday, allows for all supporting documentation to be kept electronically in one system. Policies and procedures for internal controls will be updated to incorporate processes in Workday and the accounting staff will be trained appropriately. Contact Person: Chief Financial Officer ? Unyime Ekpa Completion Date: December 2023

View Audit 23759 Questioned Costs: $1

Finding 23792 (2022-001)

None 2022

Orlando Voa Elderly Housing, Inc. (silver Lakes Village Apts)

LA

Reporting Questioned Costs

Finding Reference Number: 2022-001 Concur or Do Not Concur: Concur Agree or Disagree with Auditor Recommendations: Agree Actions Taken or Planned on the Finding: Management agrees with the finding. The replacement reserve deficiency was funded on July 28, 2022, in the amount of $51,188. Managemen...

Finding Reference Number: 2022-001 Concur or Do Not Concur: Concur Agree or Disagree with Auditor Recommendations: Agree Actions Taken or Planned on the Finding: Management agrees with the finding. The replacement reserve deficiency was funded on July 28, 2022, in the amount of $51,188. Management will ensure that the replacement reserve deposits are made on a timely basis in the future. Completion Date: July 28, 2022

View Audit 19270

Finding 23788 (2022-011)

Significant Deficiency 2022

City of Baltimore, Maryland

MD

Subrecipient Monitoring Questioned Costs Cash Management § 200.303

Finding 2022-011 US Department of Housing and Urban Development AL No. 14.241 Housing Opportunities for Persons with AIDS Significant Deficiency over Special Tests - Housing Quality Standards- Housing Opportunities for Persons with AIDS Repeat Finding: No Auditee?s Corrective Action Plan: MOH...

Finding 2022-011 US Department of Housing and Urban Development AL No. 14.241 Housing Opportunities for Persons with AIDS Significant Deficiency over Special Tests - Housing Quality Standards- Housing Opportunities for Persons with AIDS Repeat Finding: No Auditee?s Corrective Action Plan: MOHS follows a recordkeeping process for its inspections. Inspection checklists are maintained in the participant records by calendar year. In some cases, the inspection may fall outside of when the participants annual recertification is due. During reviews, MOHS management will ensure that the staff are clear about providing inspection checklist for both years identified in the review period and not just the inspection for the annual recertification year. Additionally, during the period of review, the Inspections team experienced challenges with connecting into the City?s VPN system. Due to the connectivity issues, MOHS was not able to perform its inspections as required. MOHS has started the process to correct the connectivity issues. MOHS will be upgrading its? housing database to the web-based version. The new version will not require VPN access through Baltimore City?s network. The inspections team will be able to connect to the housing database via the web. MOHS anticipates the new database upgrade to be in place by Summer 2023. Contact Person: Compliance Supervisor ? Donata Patrick Completion Date: July 2023

View Audit 23759

Finding 23786 (2022-008)

Significant Deficiency 2022

City of Baltimore, Maryland

MD

Questioned Costs Eligibility HUD Housing Programs § 200.303

Finding 2022-008 U.S. Department of Housing and Urban Development (HUD) AL No. 14.241 Housing Opportunities for Persons with AIDS Significant Deficiency and Internal Control Deficiency over Eligibility Repeat Finding: No Auditee?s Corrective Action Plan: MOHS does have a written process in ...

Finding 2022-008 U.S. Department of Housing and Urban Development (HUD) AL No. 14.241 Housing Opportunities for Persons with AIDS Significant Deficiency and Internal Control Deficiency over Eligibility Repeat Finding: No Auditee?s Corrective Action Plan: MOHS does have a written process in place for review of participant eligibility. The Housing Coordinator performs quality assurance reviews of participant eligibility and verifies documentation is maintained in the records. During the review period, the Housing Coordinator position was vacant. MOHS has started the process to fill the position. MOHS anticipates the Housing Coordinator position will be filled by Summer 2023. Contact Person: Compliance Supervisor ? Donata Patrick Completion Date: July 2023

View Audit 23759

Finding 23720 (2022-003)

Material Weakness 2022

Charter Township of Redford

MI

Questioned Costs Material Weakness Reporting § 200.303

Finding Number: 2022-003 Condition: During the audit of federal expenditures, it was noted that the Charter Township incorrectly reported project expenditure categories to Treasury. Planned Corrective Action: The Township will put procedures into place to ensure appropriate layers of review are perf...

Finding Number: 2022-003 Condition: During the audit of federal expenditures, it was noted that the Charter Township incorrectly reported project expenditure categories to Treasury. Planned Corrective Action: The Township will put procedures into place to ensure appropriate layers of review are performed when reporting expenditures. Contact person responsible for corrective action: Finance Director Anticipated Completion Date: 3/31/2023

View Audit 19680

Finding 23717 (2022-002)

Material Weakness 2022

Ramsey Community Unit School District #204

IL

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

Finding No.: 2022-_ 002_ Condition: District personnel were unaware of their requirement to ensure that employees of vendors used on projects exceeding $2,000 and paid with federal funds were paid prevailing wage rates. Plan: Annually District personnel should read...

Finding No.: 2022-_ 002_ Condition: District personnel were unaware of their requirement to ensure that employees of vendors used on projects exceeding $2,000 and paid with federal funds were paid prevailing wage rates. Plan: Annually District personnel should read the 2 CFR Part 200, Appendix XI, Compliance Supplement for all federal programs received by the District to ensure they are aware of all applicable compliance requirements. Anticipated Date of Completion: 06/30/2023 Name of Contact Person: Melissa Ritter Management Response: Management will implement the auditor's recommendation in the year ended June 30, 2023.

View Audit 18738

Finding 23714 (2022-038)

Significant Deficiency 2022

State of Michigan

MI

Reporting Questioned Costs Subrecipient Monitoring

Finding 2022-038 WIOA Cluster, ALN 17.258, 17.259, and 17.278 - FFATA Reporting Management Views LEO agrees with the finding. Planned Corrective Action LEO Finance will implement a tracking log to record FFATA reporting deadlines and will send reminders to staff on upcoming deadlines. In addition,...

Finding 2022-038 WIOA Cluster, ALN 17.258, 17.259, and 17.278 - FFATA Reporting Management Views LEO agrees with the finding. Planned Corrective Action LEO Finance will implement a tracking log to record FFATA reporting deadlines and will send reminders to staff on upcoming deadlines. In addition, LEO Finance will establish a timeline with staff responsible for FFATA reporting that allows ample time for supervisory review and approval prior to submission. Anticipated Completion Date September 30, 2023 Responsible Individual(s) Lora MacKay, LEO

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Finding 23713 (2022-010)

Significant Deficiency 2022

State of Michigan

MI

Questioned Costs Subrecipient Monitoring Cash Management § 200.303

Finding 2022-010 MARS User Access Management Views The Department of Labor and Economic Opportunity (LEO) agrees with the finding. LEO Administrative Services continues to experience challenges related to staffing shortages and competing priorities but recognizes the importance of maintaining sound...

Finding 2022-010 MARS User Access Management Views The Department of Labor and Economic Opportunity (LEO) agrees with the finding. LEO Administrative Services continues to experience challenges related to staffing shortages and competing priorities but recognizes the importance of maintaining sound access controls over the Michigan Administrative Review System (MARS). Accordingly, within LEO Administrative Services, the LEO Internal Controls Unit will assist the LEO Finance Unit in the interim with implementing corrective action until a permanent assignment is made. Planned Corrective Action LEO Administrative Services will continue to work with LEO Workforce Development to correct these exceptions. LEO will establish and fully implement a policy, procedure, and routine that addresses the following: a. Ensuring that LEO reviews MARS user access semiannually for privileged accounts or annually for all other accounts. b. Ensuring timely disabling of inactive user accounts (those not accessed in over 60 days). Anticipated Completion Date September 30, 2023 Responsible Individual(s) Lora MacKay, LEO Allen Williams, LEO

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Finding 23711 (2022-036)

Significant Deficiency 2022

State of Michigan

MI

Eligibility Questioned Costs Subrecipient Monitoring § 200.303

Finding 2022-036 Crime Victim Assistance, ALN 16.575 - Subrecipient Eligibility Management Views MDHHS agrees with the finding. Planned Corrective Action MDHHS Division of Victim Services (DVS) has distributed a comprehensive checklist to all Victims of Crime Act (VOCA) grant applicants that will...

Finding 2022-036 Crime Victim Assistance, ALN 16.575 - Subrecipient Eligibility Management Views MDHHS agrees with the finding. Planned Corrective Action MDHHS Division of Victim Services (DVS) has distributed a comprehensive checklist to all Victims of Crime Act (VOCA) grant applicants that will require certification of eligibility for funding by the applicant and DVS prior to awarding funds. This checklist has been incorporated into the rollover application for fiscal year 2024. Anticipated Completion Date The checklist will be certified by all grant applicants and DVS by October 1, 2023, for the fiscal year 2024 award period. Responsible Individual(s) Twanisha Glass, MDHHS Patsy Baker, MDHHS

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Finding 23706 (2022-035)

Significant Deficiency 2022

State of Michigan

MI

Subrecipient Monitoring Questioned Costs Reporting

Finding 2022-035 Community Development Block Grants/State?s Program, ALN 14.228 - FFATA Reporting Management Views MSF agrees with the finding. Planned Corrective Action MSF subsequently reported the two Community Development Block Grant subawards noted in the finding, and potential grantees are n...

Finding 2022-035 Community Development Block Grants/State?s Program, ALN 14.228 - FFATA Reporting Management Views MSF agrees with the finding. Planned Corrective Action MSF subsequently reported the two Community Development Block Grant subawards noted in the finding, and potential grantees are now required to have a Unique Entity Identifier as part of the grant application process. MSF also routinely reconciles the data that is reported in the Federal Subaward Reporting System to its financial and program reporting systems to ensure accuracy. MSF Financial Services will update existing procedures to ensure ongoing compliance with FFATA reporting requirements. In addition, MSF Financial Services will conduct supervisory oversight of the process, including a monthly comparison to the information reported on USASpending.gov to the monthly data upload file obtained from the MSF program reporting system to ensure accuracy, completeness, and timely submission. Anticipated Completion Date September 30, 2023 Responsible Individual(s) Alex Fox, MSF Paul Onan, MSF

View Audit 20093

Corrective Action Plans

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