Corrective Action Plans

Finding 1208889 (2025-001)

Material Weakness 2025

Lapeer County

MI

Subrecipient Monitoring Reporting Significant Deficiency § 200.328

Certain matters were brought to our attention as a result of the audit process. These are described more fully in the Schedule of Findings and Questioned Costs. We evaluated the matters as noted below and have described our planned actions as a result. 2025-001: FINANCIAL REPORTING OF FEDERAL PROGRA...

Certain matters were brought to our attention as a result of the audit process. These are described more fully in the Schedule of Findings and Questioned Costs. We evaluated the matters as noted below and have described our planned actions as a result. 2025-001: FINANCIAL REPORTING OF FEDERAL PROGRAMS Management Assessment: We concur with the audit assessment regarding this matter. Planned Corrective Action: The County will implement procedures to help ensure required reports are submitted timely. Responsible Party: Moses Sanzo, Administrator/Controller and Jacky Bennett, Interim Chief Financial Officer Date of Planned Corrective Action: September 30, 2026

View Audit 399835

Finding 1208888 (2025-002)

Material Weakness 2025

Local Area Workforce Development South Central

PR

Reporting Significant Deficiency Internal Control / Segregation of Duties

The fiscal year 2024-2025 Single Audit Report will be submitted through the Federal Audit Clearinghouse (FAC) no later than April 30, 2026. In terms of the subsequent year Single Audit Report (FY 2025-2026), we engaged the audit services on March 24, 2026, and we are in the process to request profes...

The fiscal year 2024-2025 Single Audit Report will be submitted through the Federal Audit Clearinghouse (FAC) no later than April 30, 2026. In terms of the subsequent year Single Audit Report (FY 2025-2026), we engaged the audit services on March 24, 2026, and we are in the process to request professional services proposals to assist our Finance Department staff to compile the fiscal year 2025-2026 financial statements no later than December 31, 2026 to comply with fiscal year 2025-2026 Single Audit Report submission dateline. Implementation Date: March 31, 2027. Responsible Person: Mrs. Rosa J. La Torre Santiago, Executive Director

View Audit 399834

Finding 1208887 (2025-001)

Material Weakness 2025

Local Area Workforce Development South Central

PR

Material Weakness Reporting Internal Control / Segregation of Duties

We gave instructions to the Finance Department Director to strengthen internal procedures and controls to ensure submission of financial reports within the required timeframe. Implementation Date: July 1, 2026. Responsible Person: Mrs. Rosa J. La Torre Santiago, Executive Director

View Audit 399834

Finding 1208838 (2025-006)

Material Weakness 2025

Ridgeview Community Unit District No. 19

IL

Reporting Internal Control / Segregation of Duties § 200.512

The District acknowledges the finding. Upon internal review, it was determined that while the submission process for the 2024 fiscal year was initiated in a timely manner, it remained in a ""pending"" status because staff were unaware of the subsequent certification and submission steps required fol...

The District acknowledges the finding. Upon internal review, it was determined that while the submission process for the 2024 fiscal year was initiated in a timely manner, it remained in a ""pending"" status because staff were unaware of the subsequent certification and submission steps required following the initial data upload. To ensure all future submissions reach submitted status by the regulatory deadline, the District will implement the following corrective measures: ● Step-by-Step Submission Checklist: The Business Office will develop a Federal Submission Workflow Document. This checklist will outline the phases of the process to ensure no step is overlooked. ● Staff Cross-Training: To mitigate the risk of a single-point failure, two staff members will be trained on the portal requirements. This ensures that the technical knowledge of the multi-step certification process is maintained within the department despite any potential

View Audit 399736

Finding 1208837 (2025-003)

Material Weakness 2025

Bloom Township High School District 206

IL

Equipment & Real Property Management Reporting § 200.313

Finding Number: 2025-003 The District should create procedure to documents and maintain records related to physical inventories of equipment to exhibit compliance with Federal regulations. Response: A comprehensive physical inventory and asset verification is officially schedule for completion durin...

Finding Number: 2025-003 The District should create procedure to documents and maintain records related to physical inventories of equipment to exhibit compliance with Federal regulations. Response: A comprehensive physical inventory and asset verification is officially schedule for completion during the Summer of 2026. The imitative will reconcile existing records with physical counts to ensure accurate financial reporting's.

View Audit 399714

Finding 1208833 (2025-002)

Material Weakness 2025

Bloom Township High School District 206

IL

Internal Control / Segregation of Duties Subrecipient Monitoring HUD Housing Programs

Finding Number: 2025-002 The District should review its reporting internal control processes and procedures and emphasis the need for timely reporting to ensure compliance. Response: Administration will implement a formal compliance calendar mandating the Grant Administrator to monitor and verify al...

Finding Number: 2025-002 The District should review its reporting internal control processes and procedures and emphasis the need for timely reporting to ensure compliance. Response: Administration will implement a formal compliance calendar mandating the Grant Administrator to monitor and verify all expenditure reports. This internal schedule will ensure all findings are submitted no later than 20th day following the close of each quarter to maintain compliance with reporting requirements.

View Audit 399714

Finding 1208829 (2025-004)

Material Weakness 2025

Bloom Township High School District 206

IL

Internal Control / Segregation of Duties Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303

Finding Number: 2025-004 It is recommended that that district review the design of its internal control over compliance to ensure the documentation requirements are incorporated into the control design. Response: To enhance internal controls to ensure the segregation of duties, the Assistant Directo...

Finding Number: 2025-004 It is recommended that that district review the design of its internal control over compliance to ensure the documentation requirements are incorporated into the control design. Response: To enhance internal controls to ensure the segregation of duties, the Assistant Director of Food Services will be responsible for the initial preparation and completion of all the claims. Subsequently, a secondary review and approvable will be preformed by either the Director or the Chief School Business Official (CSBO) prior to submission.

View Audit 399714

Finding 1208821 (2025-001)

Material Weakness 2025

Fahrney-Keedy Memorial Home, Inc.

MD

Reporting Matching / Level of Effort / Earmarking

Management agrees with the above finding and has implemented a plan to reduce expenses and increase cash flows going forward. Specifically, we have outlined the following steps that we are taking as an organization to get back on track:  Cash flow is monitored weekly and forecasted on a rolling 12-...

Management agrees with the above finding and has implemented a plan to reduce expenses and increase cash flows going forward. Specifically, we have outlined the following steps that we are taking as an organization to get back on track:  Cash flow is monitored weekly and forecasted on a rolling 12-week basis.  Existing vendor contracts were reviewed and changes made to reduce expenses moving forward into the 2026 fiscal year. Contracts are continually evaluated and renegotiated, where possible, for potential cost savings.  We implemented a robust and detailed budget development process to continue cost-cutting measures into 2026 and beyond. Directors are accountable to their budget guidelines to ensure expenses are appropriately managed.  The 36-unit Independent Living expansion project remains a high priority. The model home construction was completed in November 2025, with showings and open houses now underway. New homes are expected to commence construction in 2026. The sale and occupancy of these units are expected to generate substantial future cash flows for the organization.  We continue to prioritize aggressive staff recruitment to eliminate agency staffing needs. The steady decline in contract staff utilization continued in 2025, with a decrease in contract nursing costs of $317,000 or 15.6% compared to prior year. It is our goal to fully eliminate agency staffing in 2026. Rising labor costs continue to challenge cost savings measures; however, the organization is committed to managing labor costs appropriately and reducing expenses where possible. For example, in 2026, incentive bonuses for nursing shift pick-ups have been eliminated.  Management enacted a progressive plan to increase census in each of its business lines to increase revenue through focused marketing efforts and referral partnerships. Average daily census improved from 133 beds or 79% occupancy in 2024 to 145 beds or 92% occupancy in 2025. Looking ahead to 2026, the organization is focusing its efforts on achieving a more favorable skilled nursing payer mix while maintaining a strong occupancy.

View Audit 399704

Finding 1208793 (2025-001)

Material Weakness 2025

Arizona Technology Council Foundation

AZ

Procurement, Suspension & Debarment Subrecipient Monitoring Material Weakness

Item: 2025-001 Assistance Listing Number: 17.280 Program: WIOA Dislocated Worker National Reserve Demonstration Grants Federal Agency: U.S. Department of Labor Pass-Through Agencies: n/a Contract/Pass-Through Grantor Identifying Number: 23A60YP000003 Award Year: September 30, 2023 to September 30, 2...

Item: 2025-001 Assistance Listing Number: 17.280 Program: WIOA Dislocated Worker National Reserve Demonstration Grants Federal Agency: U.S. Department of Labor Pass-Through Agencies: n/a Contract/Pass-Through Grantor Identifying Number: 23A60YP000003 Award Year: September 30, 2023 to September 30, 2026 Compliance Requirement: Reporting - FFATA Criteria: The Federal Funding Accountability and Transparency Act (FFATA), as implemented by OMB at 2 CFR Part 170, requires prime recipients of federal awards to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Condition: The Foundation did not complete the required FFATA reporting in FSRS for applicable first-tier subawards. Name of Contact Person Steve Zylstra, President & CEO Phone Number: (602) 422-9447 Anticipated Completion Date: July 31, 2026 Views of Responsible Officials and Corrective Actions: The Foundation has corrected missed FFATA reporting by submitting outstanding subaward information to FSRS as of February 2026. Additionally, the Foundation will establish and document a FFATA reporting policy that defines the FFATA threshold and timing requirements. The Foundation will also assign clear responsibility for FFATA compliance and implement a monthly reconciliation of subaward obligations to FSRS submissions. Lastly, the Foundation will provide periodic training to grants, procurement, and finance staff on FFATA requirements and FSRS processes.

View Audit 399659

Finding 1208774 (2025-002)

Material Weakness 2025

Boys and Girls Club of New Rochelle, Inc.

NY

Reporting Significant Deficiency Internal Control / Segregation of Duties § 200.512

Management plans to revamp procedures to ensure that the reports are filed in a timely manner in the future.

View Audit 399600

Finding 1208648 (2025-003)

Material Weakness 2025

Rialto Unified School District

CA

Subrecipient Monitoring Cash Management Material Weakness

The District will strengthen its internal control system to ensure that each entry within the Nutrition Services data management system meets required program criteria and is fully supported by appropriate documentation. A more robust process of review and verification will be implemented to safegua...

The District will strengthen its internal control system to ensure that each entry within the Nutrition Services data management system meets required program criteria and is fully supported by appropriate documentation. A more robust process of review and verification will be implemented to safeguard the integrity of originating data and prevent compromise. System access controls will also be reinforced to ensure that granted access is appropriate and used in accordance with established protocols. Ensuring the accuracy of meal data will support accurate revenue reporting and, in turn, reliable financial reporting. Moreover, the District will continue to foster a culture of integrity in which all allegations of fraud are taken seriously and addressed promptly. The District will also enhance the visibility and accessibility of its WeTip reporting system to ensure employees, students, and community members can report concerns.

View Audit 399592

Finding 1208639 (2025-001)

Material Weakness 2025

Nutley Senior Citizens Housing Corporation

NJ

Internal Control / Segregation of Duties HUD Housing Programs Reporting

Recommendation: Management should implement stronger internal controls to ensure surplus cash deposits are made in accordance with the required deadlines. This may include setting up automated reminders, improving oversight, or assigning clear responsibilities to ensure compliance. Views of Responsi...

Recommendation: Management should implement stronger internal controls to ensure surplus cash deposits are made in accordance with the required deadlines. This may include setting up automated reminders, improving oversight, or assigning clear responsibilities to ensure compliance. Views of Responsible Officials and Planned Corrective Actions: Management has reviewed the audit finding and acknowledges the delay in depositing surplus cash. Management has submitted a request to HUD to retain the surplus cash for future capital improvements to the property.

View Audit 399591

Finding 1208638 (2025-002)

Material Weakness 2025

Camino Real Regional Utility Authority

NM

Reporting § 200.512

Views of Responsible Officials and Planned Corrective Action CRRUA’s fiscal agent, Dona Ana County, implemented a new ERP system, along with key staff changes, that necessitated financial documentation being run several times which delayed complete financial information being provided to the audit t...

Views of Responsible Officials and Planned Corrective Action CRRUA’s fiscal agent, Dona Ana County, implemented a new ERP system, along with key staff changes, that necessitated financial documentation being run several times which delayed complete financial information being provided to the audit team. CRRUA has a new fiscal agent, the City of Sunland Park, for the upcoming fiscal year. CRRUA Board approval of fiscal agent happened in July 2026. CRRUA’s new fiscal agent, the City of Sunland Park, started providing services in FY26. Executive director and assistant director will work with the City of Sunland Park to ensure timely submission of information to the audit team. Finding resolution timeline: June 30, 2026 Designation of employee position responsible for meeting this deadline: Juan Carlos Crosby, Executive Director and David Espinoza, Assistant Director

View Audit 399589

Finding 1208574 (2025-001)

Material Weakness 2025

U.s. Committee for Refugees and Immigrants, Inc. and Related Entity

VA

Reporting

In connection with Identifying Number: 2025-001: U.S. Department of Health and Human Service ALN 93.566 - Refugee and Entrant Assistance - State/Replacement Designee Administered Programs; Grant Number 2402VARCMA and Grant Number 2306VARSSS; Budget period October 1, 2024 to September 30, 2025, CBIZ ...

In connection with Identifying Number: 2025-001: U.S. Department of Health and Human Service ALN 93.566 - Refugee and Entrant Assistance - State/Replacement Designee Administered Programs; Grant Number 2402VARCMA and Grant Number 2306VARSSS; Budget period October 1, 2024 to September 30, 2025, CBIZ made the following finding: Finding: USCRI was required to submit quarterly financial and performative reports, semi-annual Performance reports, annual performance reports, and final financial reports through the online web portal. Two reports were submitted late, resulting in a significant deficiency finding. USCRI Comments: USCRI submitted the reports, which were reviewed and approved by the funder. Given that the date of the actual late filing was the only issue in the finding, and not the substance of the filing or concerns raised by the funder, USCRI disagrees that there is a significant deficiency in the report filing process. Corrective Actions Plan: USCRI has hired a senior-level director of finance, Brian Bordenick, to oversee the government reporting process to ensure timely submission of all government required reports. Mr. Bordenick has been assigned responsibility for oversight of timely government reporting and has assumed responsibility for the tracking system that USCRI uses to track the submission of these reports. This enhanced control should mitigate the risk of late reporting in the future. Accordingly, it is management’s view that this finding has been remediated.

View Audit 399503

Finding 1208570 (2025-083)

Material Weakness 2025

State of Alaska

AK

Student Financial Aid Matching / Level of Effort / Earmarking Special Tests & Provisions § 200.303

Finding: 2025-083 - The University did not properly report student enrollment changes for - students who received federal student aid to the National Student Loan Data System. Questioned Costs: None Assistance Listing Number: 84.063, 84 268, 84.007, 84.033 Assistance Listing Title: SFAC Views of Res...

Finding: 2025-083 - The University did not properly report student enrollment changes for - students who received federal student aid to the National Student Loan Data System. Questioned Costs: None Assistance Listing Number: 84.063, 84 268, 84.007, 84.033 Assistance Listing Title: SFAC Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): There is no disagreement with the audit finding. Corrective Action (corrective action planned): The untimely enrollment reporting issue was related to gainful employment reporting and the use of National Student Clearinghouse as part of the reporting process. The process has since been corrected to ensure timely reporting going forward. The inconsistent effective date reported was related to an unofficial withdrawal. The office of Registrar is developing procedures to ensure the reported date of unofficial withdrawals aligns with the institutional records in the future. Completion Date (list anticipated completion date): May 31, 2026 Agency Contact (name of person responsible for corrective action): Holly McDonald, UAF Registrar, 907-474-6300

View Audit 399484

Finding 1208558 (2025-080)

Material Weakness 2025

State of Alaska

AK

Procurement, Suspension & Debarment Subrecipient Monitoring Reporting § 200.303

Finding: 2025-080 - The University did not have documentation of the Federal Funding - Accountability and Transparency Act (FFATA) reports submitted in a timely manner. Questioned Costs: None Assistance Listing Number: 10.237 Assistance Listing Title: From Learning to Leading: Cultivating the Next G...

Finding: 2025-080 - The University did not have documentation of the Federal Funding - Accountability and Transparency Act (FFATA) reports submitted in a timely manner. Questioned Costs: None Assistance Listing Number: 10.237 Assistance Listing Title: From Learning to Leading: Cultivating the Next Generation of Diverse Food and Agriculture Professionals Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): There is no disagreement with the audit finding. Corrective Action (corrective action planned): FFATA reporting is currently managed by UAF Office of Grants & Contracts Administration (OGCA). OGCA has developed procedures in place to ensure that all FFATA reports are submitted as soon as the awards are fully executed. In addition, OGCA will create a new report on SAM.gov for subaward amendments to provide clear and complete reporting documentation. Completion Date (list anticipated completion date): Completed Agency Contact (name of person responsible for corrective action): Brent Davis, UAF OGCA Grants and Contracts Officer, 907-474-1851

View Audit 399484

Finding 1208552 (2025-034)

Material Weakness 2025

State of Alaska

AK

Reporting Material Weakness Matching / Level of Effort / Earmarking § 200.303

Finding: 2025-034 - Three of seven randomly selected FY 25 Disaster Grants SF-425 reports tested had the following errors: one reported incorrect recipient share required and two reported incorrect federal shares of expenditures and incorrect recipient share of expenditures. Questioned Costs: None A...

Finding: 2025-034 - Three of seven randomly selected FY 25 Disaster Grants SF-425 reports tested had the following errors: one reported incorrect recipient share required and two reported incorrect federal shares of expenditures and incorrect recipient share of expenditures. Questioned Costs: None Assistance Listing Number: 97.036 Assistance Listing Title: Disaster Grants COVID- 19 Views of Responsible Officials (state whether your agency agrees or disagrees with the finding if you disagree, briefly explain why): DMVA concurs with the finding. Corrective Action (corrective action planned): Due to a change in FEMA’s grants management system, data reported in the SF-425 caused reporting errors in the state match amounts. DMVA will continue to revise the written procedures to ensure information is up to date for accurate reporting of the SF-425. DMVA expects the finding to be full corrected in FY 26. Completion Date (list anticipated completion date): 06/30 2026 Agency Contact (name of person responsible for corrective action): Pamela Wiederspohn

View Audit 399484

Finding 1208548 (2025-035)

Material Weakness 2025

State of Alaska

AK

Reporting Subrecipient Monitoring Material Weakness § 200.303

Finding: 2025-035 - Eight of 70 FY 25 subawards tested were not filed timely in the Federal Funding Accountability and Transparency Act (FFATA) Subaward Reporting System. An additional 32 subawards requiring FFATA reporting were not filed. Questioned Costs: None Assistance Listing Number: 97.036 Ass...

Finding: 2025-035 - Eight of 70 FY 25 subawards tested were not filed timely in the Federal Funding Accountability and Transparency Act (FFATA) Subaward Reporting System. An additional 32 subawards requiring FFATA reporting were not filed. Questioned Costs: None Assistance Listing Number: 97.036 Assistance Listing Title: Disaster Grants Views of Responsible Officials (state whether your agency agrees or disagrees with the finding if you disagree, briefly explain why): DMVA concurs with the finding. Corrective Action (corrective action planned): DMVA acknowledges the importance of timely reporting. The Administrative Director, in conjunction with the Homeland Security Director, will allocate appropriate resources to ensure the meet requirements. Completion Date (list anticipated completion date): 12/3 1 2026 Agency Contact (name of person responsible for corrective action): Bob Emisse, Bryan Fisher

View Audit 399484

Finding 1208531 (2025-053)

Material Weakness 2025

State of Alaska

AK

Reporting Internal Control / Segregation of Duties

Finding: 2025-053 - The State could not provide evidence that the FFY 24 ACF-204 annual report and two ACF-196R quarterly reports were completed or submitted to the federal agency. Questioned Costs: None Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials ...

Finding: 2025-053 - The State could not provide evidence that the FFY 24 ACF-204 annual report and two ACF-196R quarterly reports were completed or submitted to the federal agency. Questioned Costs: None Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): The Division of Public Assistance has hired an accountant dedicated to reviewing financial ACF reports, including the ACF- 1 96R, to ensure accuracy and timely finalization. Written procedures will be finalized to document roles and responsibilities, review and approval processes, submission timelines, and the retention of supporting documentation. The procedures will strengthen coordination between finance and program staff and further improve internal controls over federal reporting. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2026. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 399484

Finding 1208530 (2025-052)

Material Weakness 2025

State of Alaska

AK

Matching / Level of Effort / Earmarking Special Tests & Provisions Reporting

Finding: 2025-052 - Sixteen of the sixty cases tested had insufficient documentation to verify work hours which resulted in these work activities being reported inaccurately in the ACF- 199 report. Questioned Costs: None Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Respo...

Finding: 2025-052 - Sixteen of the sixty cases tested had insufficient documentation to verify work hours which resulted in these work activities being reported inaccurately in the ACF- 199 report. Questioned Costs: None Assistance Listing Number: 93.558 Assistance Listing Title: TANF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with the finding. Corrective Action (corrective action planned): The Division of Public Assistance will continue to perform case reviews and meet with applicable staff to go over results and offer training and coaching as needed. The division will incorporate targeted reviews that focus on work hour verification and documentation. Completion Date (list anticipated completion date): The department anticipates the finding will be resolved in FY2027. Agency Contact (name of person responsible for corrective action): Pam Halloran, Assistant Commissioner

View Audit 399484

Finding 1208526 (2025-060)

Material Weakness 2025

State of Alaska

AK

Subrecipient Monitoring Procurement, Suspension & Debarment Reporting § 200.303

Finding: 2025-060 - DEC did not fully comply with Federal Funding Accountability and Transparency Act reporting requirements applicable to FY 25 Congressionally Mandated Projects subawards. Questioned Costs: None Assistance Listing Number: 66.202 Assistance Listing Title: CMP Views of Responsible Of...

Finding: 2025-060 - DEC did not fully comply with Federal Funding Accountability and Transparency Act reporting requirements applicable to FY 25 Congressionally Mandated Projects subawards. Questioned Costs: None Assistance Listing Number: 66.202 Assistance Listing Title: CMP Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): DEC agrees with the finding 2025-060. The errors and omissions were due to staff turnover, limitations of the legacy FSRS.gov reporting system, and insufficient review procedures. The FSRS platform allowed only one user per grant and lacked visibility for other staff, which contributed to reliance on PDF backups without timestamps. The incorrect subaward action dates were due to insufficient review procedures during the migration to the new and unfamiliar SAM.gov platform. DEC acknowledges the need for stronger internal controls and improved processes. Corrective Action (corrective action planned): DEC has taken steps to address the issues identified in the FFATA reporting process. To strengthen internal controls, DEC has further enhanced its existing written procedure by incorporating a visual verification checklist to ensure all data entry fields are accurate and submissions are complete. Staff have been trained on the new SAM.gov reporting and verification process to reduce the risk of errors. DEC will also implement a secondary review by verifying data entry directly in Sam.gov rather than relying on the PDF reports. As a final level of review the agency will conduct random audits on a sample of reports to verify compliance. Completion Date (list anticipated completion date): February 27, 2026. Agency Contact (name of person responsible for corrective action): Myra Pugh, Division of Water Administrative Operations Manager

View Audit 399484

Finding 1208525 (2025-059)

Material Weakness 2025

State of Alaska

AK

Reporting Internal Control / Segregation of Duties § 200.303 § 200.328

Finding: 2025-059 - Unliquidated obligations as reported in two of three tested SF-425 Federal Financial Reports were inaccurate. Questioned Costs: None Assistance Listing Number: 66.202 Assistance Listing Title: Congressionally Mandated Projects (CMP) Views of Responsible Officials (state whether y...

Finding: 2025-059 - Unliquidated obligations as reported in two of three tested SF-425 Federal Financial Reports were inaccurate. Questioned Costs: None Assistance Listing Number: 66.202 Assistance Listing Title: Congressionally Mandated Projects (CMP) Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): DEC agrees with the finding 2025-059. The department has established procedures and supervisory reviews in place for the preparation and submission of SF-425 Federal Financial Reports. The reporting errors identified relate to 2024 reporting activity and resulted from a misapplied filter within the encumbrance pivot tables, which caused State appropriations to be included in the federal share of unliquidated obligations. Corrective Action (corrective action planned): Revised reports were submitted to the EPA on December 26, 2025. To prevent future errors, DEC will reinforce existing SF-425 preparation procedures by documenting required report logic, including validation of pivot table filters and exclusion of State appropriations from federal reporting. Procedures will require confirmation that only the federal share of unliquidated obligations is included prior to submission. The department will also provide refresher guidance and targeted training for staff responsible for SF-425 preparation, including proper use of encumbrance tabs, pivot tables, and filters. This will ensure continuity of established procedures and reduce reliance on manual assumptions. Completion Date (list anticipated completion date): March 31, 2026 Agency Contact (name of person responsible for corrective action): Christina McCoskey, DEC Finance Officer

View Audit 399484

Finding 1208521 (2025-011)

Material Weakness 2025

State of Alaska

AK

Reporting Internal Control / Segregation of Duties Significant Deficiency § 200.303

Finding: 2025-011 - Alaska State Agency for Surplus Property (AKSASP) lacked internal controls for the preparation and submission of the quarterly General Services Administration 3040 State Agency Monthly Donation Report of Surplus Personal Property. Questioned Costs: None Assistance Listing Number:...

Finding: 2025-011 - Alaska State Agency for Surplus Property (AKSASP) lacked internal controls for the preparation and submission of the quarterly General Services Administration 3040 State Agency Monthly Donation Report of Surplus Personal Property. Questioned Costs: None Assistance Listing Number: 39.003 Assistance Listing Title: Donation of Federal Surplus Personal Property Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): SSOA/OPPM, State Property Office agrees with this finding Corrective Action (corrective action planned): The State Property Office has implemented a procedure that will ensure all GSA reports are reviewed for accuracy prior to submission by the State Property Manager. The reviewer will initial the report prior to it being filed. In addition, The State Property Office conducted internal staff training on the updated internal control procedures in December 2025. Completion Date (list anticipated completion date): The new GSA Report review process was implemented on September 30, 2025, internal staff training was completed in December 2025, with the State Plan of Operations also being updated. Agency Contact (name of person responsible for corrective action): Jonathon Harshfield State of Alaska Property Manager

View Audit 399484

Finding 1208519 (2025-027)

Material Weakness 2025

State of Alaska

AK

Reporting Internal Control / Segregation of Duties Subrecipient Monitoring § 200.303

Finding: 2025-027 - For two of two CCPF 2025 Quarterly Obligations and Expenditure Reports reviewed, key line items for current period obligation and current period expenditures were inaccurate, and actual square footage of completed projects was unsupported. Questioned Costs: None Assistance Listin...

Finding: 2025-027 - For two of two CCPF 2025 Quarterly Obligations and Expenditure Reports reviewed, key line items for current period obligation and current period expenditures were inaccurate, and actual square footage of completed projects was unsupported. Questioned Costs: None Assistance Listing Number: 21.029 Assistance Listing Title: CCPF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with this finding. Corrective Action (corrective action planned): The department will review obligation and expenditure totals for all CCPF quarterly reporting periods and submit necessary corrections in the 2025 Q4 CCPF Financial and Performance Report. DCCED verified subrecipients actual completed project square footages and will include these figures in the 2025 Q4 CCPF Performance Report. Completion Date (list anticipated completion date): This finding was corrected in the Q4 2025 CCP Financial and Performance Report, submitted on January 30, 2026. Agency Contact (name of person responsible for corrective action): Kevin Bartley, Grants Administration Manager, Division of Community and Regional Affairs.

View Audit 399484

Finding 1208518 (2025-026)

Material Weakness 2025

State of Alaska

AK

Reporting Internal Control / Segregation of Duties Subrecipient Monitoring § 200.303

Finding: 2025-026 - During FY 25, DCCED did not have procedures for the preparation and submission of reports under the Federal Funding Accountability and Transparency Act for Coronavirus Capital Projects Fund (CCPF) subrecipients. Questioned Costs: None Assistance Listing Number: 21.029 Assistance ...

Finding: 2025-026 - During FY 25, DCCED did not have procedures for the preparation and submission of reports under the Federal Funding Accountability and Transparency Act for Coronavirus Capital Projects Fund (CCPF) subrecipients. Questioned Costs: None Assistance Listing Number: 21.029 Assistance Listing Title: CCPF Views of Responsible Officials (state whether your agency agrees or disagrees with the finding; if you disagree, briefly explain why): The department agrees with this finding. Corrective Action (corrective action planned): The Division of Community and Regional Affairs will draft FFATA reporting procedures. Completion Date (list anticipated completion date): This corrective action plan was completed on December 15, 2025. Agency Contact (name of person responsible for corrective action): Kevin Bartley, Grants Administration Manager, Division of Community and Regional Affairs.

View Audit 399484

Corrective Action Plans

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