Corrective Action Plans

Finding 522464 (2021-007)

Significant Deficiency 2021

Saint Anthony Health Ministries and Subsidiaries

IL

Questioned Costs Reporting

Finding: U.S. GAAP requires that the effects of all subsequent events that provide additional evidence about conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements, be recognized in the financial statements. The Co...

Finding: U.S. GAAP requires that the effects of all subsequent events that provide additional evidence about conditions that existed at the date of the balance sheet, including the estimates inherent in the process of preparing financial statements, be recognized in the financial statements. The Corporation identified that subsequent events affecting accounts payable and accrued expenses as of June 30, 2021 were not considered by management. There were subsequent events that were identified which affected accounts payable and accrued expenses as of June 30, 2021 which were not considered by management. Corrective Actions Taken or Planned: A process has been established in July 2022 in which Management performs a detailed review of journal entries that are recorded in the subsequent fiscal year to determine whether any portion of such journal entries should be reflected in the prior fiscal year-end financial statements. Name of contact person responsible for corrective action: Caralton Brown, Assistant Controller and Jamie Mack, Vice President of Finance.

View Audit 341736

Finding 522460 (2021-006)

Significant Deficiency 2021

Saint Anthony Health Ministries and Subsidiaries

IL

Questioned Costs Reporting Internal Control / Segregation of Duties

Finding: In order to provide assurance that unauthorized or fraudulent journal entries are not posted within the Corporation’s financial system, journal entries should be subjected to review and approval by an individual independent of the preparer of the journal entry prior to posting. The Corporat...

Finding: In order to provide assurance that unauthorized or fraudulent journal entries are not posted within the Corporation’s financial system, journal entries should be subjected to review and approval by an individual independent of the preparer of the journal entry prior to posting. The Corporation’s system allowed the same individual to approve and post the same entry, and entries were posted with only one level of review. Corrective Actions Taken or Planned: A process has been established effective July 2022 where journal entries are reviewed by an individual with appropriate authority, different than the preparer of the journal entry. Jamie Mack, Vice President of Finance, will approve the journal entries of Caralton Brown, Assistant Controller, and Caralton Brown will review and approve the entries prepared by Jamie Mack and Michael Caddick, outside contractor. Name of contact person responsible for corrective action: Jamie Mack, Vice President of Finance.

View Audit 341736

Finding 520957 (2021-003)

Significant Deficiency 2021

Hoover Seniors

CA

Questioned Costs HUD Housing Programs Reporting

a. Comments on the Finding and Each Recommendation Management concurs with the finding and agrees with the recommendation. b. Action(s) Taken or Planned on the Finding Management will transfer excess funds from the operating account to the reserve for replacements account and continue to work toward...

a. Comments on the Finding and Each Recommendation Management concurs with the finding and agrees with the recommendation. b. Action(s) Taken or Planned on the Finding Management will 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 340847 Questioned Costs: $1

Finding 520683 (2021-003)

Material Weakness 2021

Russellville Hospital, Inc.

AL

Questioned Costs Allowable Costs / Cost Principles HUD Housing Programs § 200.303 § 200.512

Finding 2021-003-Reporting, Non-compliance (Material Weakness) Going forward, the hospital will work with an outside consultant with more in-depth understanding of the reporting requirements prior to additional submissions. We are also catching up on the audit submissions and will remain on task wi...

Finding 2021-003-Reporting, Non-compliance (Material Weakness) Going forward, the hospital will work with an outside consultant with more in-depth understanding of the reporting requirements prior to additional submissions. We are also catching up on the audit submissions and will remain on task with timely submission. Anticipated completion date: 01/31/25.

View Audit 340379

Finding 519947 (2021-007)

Material Weakness 2021

Health & Education Housing Service, INC

MA

HUD Housing Programs Questioned Costs Special Tests & Provisions

2021-007 - Special Tests and Provisions - Material Weakness Recommendation: Management should review the project budget to determine if nonessential costs can be cut or request a loan from the sponsor to ensure that the replacement reserve is funded in accordance with the terms of the regulatory ag...

2021-007 - Special Tests and Provisions - Material Weakness Recommendation: Management should review the project budget to determine if nonessential costs can be cut or request a loan from the sponsor to ensure that the replacement reserve is funded in accordance with the terms of the regulatory agreement. Action Taken: The Managing Agent undertook an agency wide cost reduction beginning in March 2024, reducing project indirect costs by approximately 10-15%. Project direct costs cannot be reduced much further with most required services already being provided by city departments, and designated utility providers. The project has not had a budget increase since 2013, and while the project has a healthy replacement reserve balance in excess of $135k the project operating budget deficit is currently unable to fund those reserves without jeopardizing essential health and safety services. Management has sought and received multiple sponsor loans to address these shortfalls. The Management agent is presently prepared to submit for a required budget increase immediately following completion of all outstanding audits as required to secure the necessary rent increase.

View Audit 339373

Finding 519945 (2021-005)

Material Weakness 2021

Health & Education Housing Service, INC

MA

Internal Control / Segregation of Duties HUD Housing Programs Reporting

2021-005 - Reporting - Material Weakness Recommendation: Management should ensure timely completion of a Uniform Guidance audit, as required. Action Taken: Historically, Uniform Guidance Data Collection Form submissions were scheduled by the sponsor. In April 2019, the management agent experienc...

2021-005 - Reporting - Material Weakness Recommendation: Management should ensure timely completion of a Uniform Guidance audit, as required. Action Taken: Historically, Uniform Guidance Data Collection Form submissions were scheduled by the sponsor. In April 2019, the management agent experienced significant staff turnover including the Chief Financial Officer. The Entity's fiscal year fiscal year 2019 closed shortly thereafter. Management Agent Staff were unaware the required fiscal year 2019 and subsequent audit(s) had not been scheduled by the Sponsor; Covid 19 hit shortly thereafter. This issue went unaddressed throughout the pandemic, followed by the resignation of the Management Agent Accounting Manager in 2021, a position that remained vacant for nearly a year. The Management agent engaged with a CPA firm to conduct the 2019, 2020 and 2021 audits.

View Audit 339373

Finding 519942 (2021-002)

Material Weakness 2021

Health & Education Housing Service, INC

MA

Allowable Costs / Cost Principles HUD Housing Programs Questioned Costs

2021-002 - Allowable Costs/Cost Principles - Material Weakness Recommendation: We recommend that HES develop and implement procedures and controls to ensure management fee payment amounts are in accordance with the management agreement, and we recommend that funds be immediately returned to HES from...

2021-002 - Allowable Costs/Cost Principles - Material Weakness Recommendation: We recommend that HES develop and implement procedures and controls to ensure management fee payment amounts are in accordance with the management agreement, and we recommend that funds be immediately returned to HES from the management agent. Action Taken: This finding resulted from a single mischaracterized sponsor contribution, followed by the subsequent departure of competent accounting staff who could have corrected the issue. Corrective action was taken beginning in fiscal year 2022 when this issue was identified by competent accounting staff during which intercompany balances were reconciled and have been balanced routinely in subsequent fiscal years. The sponsor and management agent are in the process of developing a repayment plan.

View Audit 339373 Questioned Costs: $1

Finding 519216 (2021-004)

Significant Deficiency 2021

Foundation for Democratic Development

DC

Cash Management Questioned Costs Subrecipient Monitoring

2021-004 Cash Management Federal Program – All federal programs Criteria – Advances received on federal awards should be expended within 30 days of being drawn down to comply with relevant cash management requirements. Condition and Context – During the performance of our audit, we noted that th...

2021-004 Cash Management Federal Program – All federal programs Criteria – Advances received on federal awards should be expended within 30 days of being drawn down to comply with relevant cash management requirements. Condition and Context – During the performance of our audit, we noted that the Organization had a significant amount of refundable advances on federal awards and had cash on hand that exceeded the anticipated expenses over the next 30 days. As a result of a conversion to a new accounting system, the impact of COVID-19, cash advances were not routinely reconciled during the year ended December 31, 2021. Questioned Costs – None. Effect – The Organization was not in compliance with the Uniform Guidance cash management requirements. Cause – With the conversion to a new accounting system, combined with the COVID-19, new accounting staff, refundable advances were not reconciled timely. Recommendation – The refundable advances of the Organization should be reconciled on a monthly basis, which will permit more accurate draws on federal awards. Views of Responsible Officials and Planned Corrective Actions Management partially agrees with this finding as, in certain instances, the Organization must comply with the payment schedules of our grantors, which typically are on a quarterly basis. In some cases, there are strict schedules of draws in our grant agreements and no requests to draw funds are made. In situations when the Organization has the ability to draw funds, we agree not to make additional draw requests until the Organization has expended the funds already received. In 2021, due to the pandemic and the uncertainty of when programs would continue, many programs were suspended while waiting for travel restrictions to be lifted so that the Organization’s programs could be implemented. We will take the following steps: We will improve procedures to ensure that the drawdown of funds, from those grantors who require drawdowns will not exceed the Organization’s immediate use and we will develop additional procedures, as necessary, to assist in monitoring cash management. Anticipated Completion Date: December 31, 2022 Contact Person: Natalia Arno, President, 916-849-3057

View Audit 337876

Finding 519215 (2021-003)

Significant Deficiency 2021

Foundation for Democratic Development

DC

Reporting Questioned Costs

2021-003 Reporting Federal Program – All federal programs Criteria – The data collection form must be completed and submitted within nine months of the Organization’s fiscal year end. Condition and Context – As a result of a conversion to a new accounting system, the impact of COVID-19, and reco...

2021-003 Reporting Federal Program – All federal programs Criteria – The data collection form must be completed and submitted within nine months of the Organization’s fiscal year end. Condition and Context – As a result of a conversion to a new accounting system, the impact of COVID-19, and reconciliation differences, the data collection form was not timely submitted for the year ended December 31, 2021. Questioned Costs – None. Effect – The Organization was not in compliance with the Uniform Guidance reporting requirements. Cause – With the conversion to a new accounting system, combined with the COVID-19, new accounting staff and reconciliation differences, the data collection form could not be timely completed and submitted. Recommendation – The financial records of the Organization should be reconciled and closed shortly after year-end, which will permit the timely submission of the data collection form. Views of Responsible Officials and Planned Corrective Actions Management agrees with this finding. We will anticipate being able to comply with this requirement effective with the FY2023 audit. Anticipated Completion Date: The financial records for the year ended December 31, 2022, will be reconciled and closed, permitting the audited financial statements, financial reporting package and data collection form to be filed timely by January 31, 2025. The financial records for the year ended December 31, 2023, will be reconciled and closed, permitting the audited financial statements, financial reporting package and data collection form to be filed timely by September 30, 2024. Contact Person: Natalia Arno, President, 916-849-3057

View Audit 337876

Finding 519156 (2021-003)

Significant Deficiency 2021

22nd District Agricultural Association

CA

Questioned Costs Reporting Significant Deficiency

Reference Number: 2021-003 Name of Contact Person: Carlene Moore, CEO Corrective Action: The 22nd DAA has procured new accounting (Activity HD) and human resources (BambooHR) software for proper electronic data retention and safekeeping. Electronic records are now backed up daily by the IT staff....

Reference Number: 2021-003 Name of Contact Person: Carlene Moore, CEO Corrective Action: The 22nd DAA has procured new accounting (Activity HD) and human resources (BambooHR) software for proper electronic data retention and safekeeping. Electronic records are now backed up daily by the IT staff. Proposed Completion Date: December 31, 2022

View Audit 337708 Questioned Costs: $1

Finding 519154 (2021-001)

Material Weakness 2021

22nd District Agricultural Association

CA

Reporting Questioned Costs Allowable Costs / Cost Principles

Reference Number: 2021-001 Name of Contact Person: Carlene Moore, CEO Corrective Action: As the 22nd DAA returned to financial stability, management hired and trained a combined 5 full-time employees to fill the needs in human resources and accounting departments. In the future, the 22nd DAA will ...

Reference Number: 2021-001 Name of Contact Person: Carlene Moore, CEO Corrective Action: As the 22nd DAA returned to financial stability, management hired and trained a combined 5 full-time employees to fill the needs in human resources and accounting departments. In the future, the 22nd DAA will engage subject matter experts when pursuing and obtaining any federal grant programs. Proposed Completion Date: December 31, 2022

View Audit 337708

Finding 513959 (2021-001)

Material Weakness 2021

City of Williamsport

PA

Allowable Costs / Cost Principles Equipment & Real Property Management Questioned Costs

During the audit period through 2022, there was a transition of fiscal and administrative personnel at the City of Williamsport. Due to findings of an internal financial investigation, the City communicated with appropriate parties and a grand jury was convened. The City has been an continues to be ...

During the audit period through 2022, there was a transition of fiscal and administrative personnel at the City of Williamsport. Due to findings of an internal financial investigation, the City communicated with appropriate parties and a grand jury was convened. The City has been an continues to be under state and federal criminal investigations since February of 2020. Numerous financial records, extending over a 10-year period, have been provided to investigators. In June of 2022, the City hired a consultant to provide fiscal oversight on an ongoing basis and reconcile, to the extent possible prior financial records. Since that time, the City has enhanced internal control and implemented policies to assure accurate financial reporting and compliance. The City anticipates a similar finding for the December 31, 2020, 2021, and 2022 audits, but with the exception of the results of the criminal investigations, expects to resolve this finding for the December 31, 2023 audit.

View Audit 332160

Finding 513714 (2021-014)

Material Weakness 2021

Wyoming County

PA

Questioned Costs Reporting

Community Development Block Grant - Assistance Listing No. 14.228 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Numbers - C000061477, C000063292, C000065043; C000070006; COVID-19 Emergency Rental Assistance Program - Assistance Listing No. ...

Community Development Block Grant - Assistance Listing No. 14.228 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Numbers - C000061477, C000063292, C000065043; C000070006; COVID-19 Emergency Rental Assistance Program - Assistance Listing No. 21.023 passed through the Pennsylvania Department of Human Services; Hazard Mitigation Grant - Assistance Listing No. 97.039 passed through the Pennsylvania Emergency Management Agency - Pass-through Grantor’s Number - 4100085508; Grant Period - Year Ended December 31, 2021. Recommendation: The data collection form should be completed and submitted by September 30. Planned Corrective Action: Data collection form will be completed and submitted by September 30. Person Responsible: Amber Franko, Chief Clerk Anticipated completion date: Immediately

View Audit 331626

Finding 513713 (2021-013)

Material Weakness 2021

Wyoming County

PA

Reporting Questioned Costs Student Financial Aid

Community Development Block Grant - Assistance Listing No. 14.228 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Numbers - C000061477, C000063292, C000065043; C000070006; COVID-19 Emergency Rental Assistance Program - Assistance Listing No. ...

Community Development Block Grant - Assistance Listing No. 14.228 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Numbers - C000061477, C000063292, C000065043; C000070006; COVID-19 Emergency Rental Assistance Program - Assistance Listing No. 21.023 passed through the Pennsylvania Department of Human Services; Hazard Mitigation Grant - Assistance Listing No. 97.039 passed through the Pennsylvania Emergency Management Agency - Pass-through Grantor’s Number - 4100085508; Grant Period - Year Ended December 31, 2021. Recommendation: The individuals who prepare and review the SEFA should ensure it meets the Uniform Guidance schedule requirements. Planned Corrective Action: SEFA will meet Uniform Guidance Schedule Requirements Person Responsible: Amber Franko, Chief Clerk Anticipated completion date: Immediately

View Audit 331626

Finding 513241 (2021-007)

Material Weakness 2021

Republic of Palau

PW

Questioned Costs Special Tests & Provisions

2021-007 MHHS management concurs with finding and are working to change the conflicting law regarding the sliding fee On-going Sherilynn Madraisau Director Bureau of Public Health & Human Services Contact: 680-488-2552 Email: Sherilynn.madraisau@palauhealth.org

View Audit 331185 Questioned Costs: $1

Finding 513240 (2021-006)

Significant Deficiency 2021

Republic of Palau

PW

Special Tests & Provisions Questioned Costs Subrecipient Monitoring

2021-006 Program concurs and working with MOF management to correct the finding On-going Glendalynn Ngirmeriil Executive Director Palau WIOA Office Contact: 680-488-2513 Email: gngirmeriil.wioa@gmail.com

View Audit 331185

Finding 513239 (2021-005)

Material Weakness 2021

Republic of Palau

PW

Questioned Costs Subrecipient Monitoring Reporting

2021-005 Program concurs and working with MOF management to correct the finding On-going Glendalynn Ngirmeriil Executive Director Palau WIOA Office Contact: 680-488-2513 Email: gngirmeriil.wioa@gmail.com

View Audit 331185

Finding 513238 (2021-004)

Significant Deficiency 2021

Republic of Palau

PW

Questioned Costs Subrecipient Monitoring Eligibility

2021-004 Program concurs and working with MOF management to correct the finding On-going Glendalynn Ngirmeriil Executive Director Palau WIOA Office Contact: 680-488-2513 Email: gngirmeriil.wioa@gmail.com

View Audit 331185 Questioned Costs: $1

Finding 513237 (2021-003)

Material Weakness 2021

Republic of Palau

PW

Allowable Costs / Cost Principles Questioned Costs Subrecipient Monitoring § 200.303

2021-003 Program concurs and working with MOF management to correct the finding On-going Glendalynn Ngirmeriil Executive Director Palau WIOA Office Contact: 680-488-2513 Email: gngirmeriil.wioa@gmail.com

View Audit 331185 Questioned Costs: $1

Finding 512305 (2021-003)

Material Weakness 2021

American Indian Community Center Association

WA

Questioned Costs Eligibility Material Weakness

FINDING 2021-003 – Material Weakness and Material Noncompliance – Eligibility Views of responsible officials and planned corrective actions: Management agrees with the finding and will implement a regular training program to review grant requirements and uniform guidance. Management will also implem...

FINDING 2021-003 – Material Weakness and Material Noncompliance – Eligibility Views of responsible officials and planned corrective actions: Management agrees with the finding and will implement a regular training program to review grant requirements and uniform guidance. Management will also implement the following policies: •Related party transaction involving staff, or an immediate relative of a staff member will require a majority approval of the board •Implementing an eligibility questionnaire/form that will be required for any assistance payouts. •Review grant requirements and uniform guidance with staff and implement a annual training/review program Timeline: Updated policies and reviews have been completed. Responsible parties: Linda Lauch

View Audit 330075

Finding 512304 (2021-002)

Material Weakness 2021

American Indian Community Center Association

WA

Allowable Costs / Cost Principles Questioned Costs HUD Housing Programs § 200.303

FINDING 2023-002 – Equipment & Real Property Management; Material Weakness in Internal Control over Compliance and Instance of Material Noncompliance Views of responsible officials and planned corrective actions: Management agrees with the assessment and understands the importance of regular physica...

FINDING 2023-002 – Equipment & Real Property Management; Material Weakness in Internal Control over Compliance and Instance of Material Noncompliance Views of responsible officials and planned corrective actions: Management agrees with the assessment and understands the importance of regular physical inventories. The Organization has designed an internal control process that will be implemented by August 30th, 2024. Contact Persons: Ryan Berendsen, Chief Operating Officer Delana Kromer, Controller

View Audit 330075 Questioned Costs: $1

Finding 512107 (2021-002)

Material Weakness 2021

Urban Strategies, Inc.

MO

Questioned Costs Subrecipient Monitoring Eligibility

Finding: 2021-002 Personnel Responsible for Corrective Action: Rachel Webb, Controller at Urban Strategies, Inc. Anticipated Completion Date: June 30, 2023 Corrective Action Plan: Urban Strategies, Inc. acknowledges the lack of record retention after an employee left the organization. After a thorou...

Finding: 2021-002 Personnel Responsible for Corrective Action: Rachel Webb, Controller at Urban Strategies, Inc. Anticipated Completion Date: June 30, 2023 Corrective Action Plan: Urban Strategies, Inc. acknowledges the lack of record retention after an employee left the organization. After a thorough review of allowable costs, all were deemed materially correct. Urban Strategies, Inc. communicated to the departments involved the necessary improvements to the internal controls that were agreed upon in order to prevent the deficiencies from occurring in the future. Urban Strategies, Inc. is refining procedures to ensure all reviews and communications are performed, reviewed and documented timely and accurately, as well as ensuring all review documentation is properly retained.

View Audit 329833

Finding 512105 (2021-001)

Material Weakness 2021

Urban Strategies, Inc.

MO

Questioned Costs Subrecipient Monitoring Eligibility

Finding: 2021-001 Personnel Responsible for Corrective Action: Rachel Webb, Controller at Urban Strategies, Inc. Anticipated Completion Date: June 30, 2023 Corrective Action Plan: Urban Strategies, Inc. acknowledges the lack of record retention after an employee left the organization. After a thoro...

Finding: 2021-001 Personnel Responsible for Corrective Action: Rachel Webb, Controller at Urban Strategies, Inc. Anticipated Completion Date: June 30, 2023 Corrective Action Plan: Urban Strategies, Inc. acknowledges the lack of record retention after an employee left the organization. After a thorough review of allowable costs, all were deemed materially correct. Urban Strategies, Inc. communicated to the departments involved the necessary improvements to the internal controls that were agreed upon in order to prevent the deficiencies from occurring in the future. Urban Strategies, Inc. is refining procedures to ensure all reviews and communications are performed, reviewed and documented timely and accurately, as well as ensuring all review documentation is properly retained.

View Audit 329833

Finding 508342 (2021-006)

Significant Deficiency 2021

Elle Foundation

LA

Questioned Costs Eligibility

Corrective Action Planned: SSVF Policies and Procedure Guide will be updated at the agency CARF retreat to reflect the process of transactions related to SSVF and updated retention polices and documentation requirements. Contact Person: Cassandra Montgomery, Executive Director Anticipated Comple...

Corrective Action Planned: SSVF Policies and Procedure Guide will be updated at the agency CARF retreat to reflect the process of transactions related to SSVF and updated retention polices and documentation requirements. Contact Person: Cassandra Montgomery, Executive Director Anticipated Completion Date: All staff training was held on Wednesday, May 3, 2023 @11:00AM.

View Audit 328912

Finding 508341 (2021-005)

Significant Deficiency 2021

Elle Foundation

LA

Questioned Costs Reporting

Corrective Action Planned: SSVF Policies and Procedure Guide will be updated at the agency CARF retreat to reflect the process of transactions related to SSVF and updated retention polices and documentation requirements. Contact Person: Cassandra Montgomery, Executive Director Anticipated Comple...

Corrective Action Planned: SSVF Policies and Procedure Guide will be updated at the agency CARF retreat to reflect the process of transactions related to SSVF and updated retention polices and documentation requirements. Contact Person: Cassandra Montgomery, Executive Director Anticipated Completion Date: All staff training was held on Wednesday, May 3, 2023 @11:00AM.

View Audit 328912

Corrective Action Plans

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