Corrective Action Plans

Finding 1238513 (2025-006)

Material Weakness 2025

Interstate Renewable Energy Council, Inc.

NY

Allowable Costs / Cost Principles Subrecipient Monitoring Cash Management § 200.430

Management Response: Management and the outsourced accounting firm will establish documented procedures to reconcile personnel costs included in reimbursement requests to actual allowable compensation costs. When budgeted or agreed-upon rates are used for billing, the outsourced accounting firm will...

Management Response: Management and the outsourced accounting firm will establish documented procedures to reconcile personnel costs included in reimbursement requests to actual allowable compensation costs. When budgeted or agreed-upon rates are used for billing, the outsourced accounting firm will perform periodic after-the-fact reconciliations to actual payroll and time-and-effort support and will identify any differences requiring adjustment. Management will review and approve the reconciliation before submission of subsequent reimbursement requests and will promptly adjust future billings or arrange repayment with the pass-through entity, as appropriate. Evidence of reconciliation, review, approval, and resolution of any excess reimbursement will be retained in the grant files. Management will also ensure that agreed-upon billing rates are documented in writing and maintained with the award support. Proposed Completion Date – October 01, 2026 Contact – Ronny Sandoval, Board Chair Email: ronnys@irecusa.org

View Audit 413394

Finding 1238512 (2025-005)

Material Weakness 2025

Interstate Renewable Energy Council, Inc.

NY

Reporting Internal Control / Segregation of Duties Subrecipient Monitoring § 200.302 § 200.303

Management Response: Management will retain a complete support package for each Federal financial report, including the accounting records used at the time of preparation which will be provided by the outsourced accounting firm, the completed report, a reconciliation of reported amounts to the under...

Management Response: Management will retain a complete support package for each Federal financial report, including the accounting records used at the time of preparation which will be provided by the outsourced accounting firm, the completed report, a reconciliation of reported amounts to the underlying accounting records, and explanations for any reconciling items. The preparer will assemble and document the support package before submission. A knowledgeable individual other than the preparer, which may include management or the outsourced accounting firm, will review the report and reconciliation for completeness, accuracy, and consistency with award requirements. Evidence of review, approval, and resolution of any differences will be retained with the support of reporting. Management will also evaluate subsequent accounting adjustments to determine whether previously submitted reports require correction or follow-up with the Federal agency. Proposed Completion Date – October 01, 2026 Contact – Ronny Sandoval, Board Chair Email: ronnys@irecusa.org

View Audit 413394

Finding 1238509 (2025-002)

Material Weakness 2025

County of Cambria, Pennsylvania

PA

Student Financial Aid Reporting

Cambria County has continued with the following actions which include: maintaining a list of reporting due dates for all fiscal and administrative staff; engagement of external consultants and temporary fiscal staff to support reporting functions if there is staff departure; retain and support exist...

Cambria County has continued with the following actions which include: maintaining a list of reporting due dates for all fiscal and administrative staff; engagement of external consultants and temporary fiscal staff to support reporting functions if there is staff departure; retain and support existing County staff to maintain institutional knowledge until a dedicated competent Fiscal Officer who is invested in child welfare and county government employment is identified. The department will continue to ensure audit components are included for submissions. The department maintained and will continue communication with oversight entities to ensure transparency regarding reporting timelines, submission delays, fiscal status and corrective actions taken to uphold integrity. These delays were not due to negligence, but rather a strategic and collaborative effort to ensure accuracy and completeness of all required documentation. The department prioritized the integrity of submissions to meet federal audit standards and reimbursement eligibility. These submissions were completed to ensure compliance and to position the CYS department for improved timeliness in the 2025 audit year. The department prioritized accuracy and completeness, ensuring required audit components were included. Please note: Reviewing the audit findings and reporting processes from FY2024 & FY2025 demonstrates a significant improvement in the department’s fiscal operations and compliance efforts as well as to ensure federal audit standard. The accounting team has shown a strong commitment to improving the accuracy, timeliness, and quality of fiscal reporting. Through increased oversight, enhanced monitoring of reporting deadlines, and ongoing collaboration with administrative staff, the department has strengthened its internal controls and reporting practices.

View Audit 413383

Finding 1238508 (2025-001)

Material Weakness 2025

County of Cambria, Pennsylvania

PA

Student Financial Aid Reporting

Cambria County has continued with the following actions which include: maintaining a list of reporting due dates for all fiscal and administrative staff; engagement of external consultants and temporary fiscal staff to support reporting functions if there is staff departure; retain and support exist...

Cambria County has continued with the following actions which include: maintaining a list of reporting due dates for all fiscal and administrative staff; engagement of external consultants and temporary fiscal staff to support reporting functions if there is staff departure; retain and support existing County staff to maintain institutional knowledge until a dedicated competent Fiscal Officer who is invested in child welfare and county government employment is identified. The department will continue to ensure audit components are included for submissions. The department maintained and will continue communication with oversight entities to ensure transparency regarding reporting timelines, submission delays, fiscal status and corrective actions taken to uphold integrity. These delays were not due to negligence, but rather a strategic and collaborative effort to ensure accuracy and completeness of all required documentation. The department prioritized the integrity of submissions to meet federal audit standards and reimbursement eligibility. These submissions were completed to ensure compliance and to position the CYS department for improved timeliness in the 2025 audit year. The department prioritized accuracy and completeness, ensuring required audit components were included. Please note: Reviewing the audit findings and reporting processes from FY 2024 & FY 2025 demonstrates a significant improvement in the department's fiscal operations and compliance efforts as well as to ensure federal audit standard. The accounting team has shown a strong commitment to improving the accuracy, timeliness, and quality of fiscal reporting. Through increased oversight, enhanced monitoring of reporting deadlines, and ongoing collaboration with administrative staff, the department has strengthened its internal controls and reporting practices.

View Audit 413383

Finding 1238490 (2025-002)

Material Weakness 2025

OM FISHER HOME INC

VT

Internal Control / Segregation of Duties Subrecipient Monitoring Reporting

Finding Reference Number: 2025-002 View of Responsible Officials and Planned Corrective Action Date: Corrective Action: Management will take appropriate corrective action to address the identified issue and strengthen internal controls. The organization has initiated a corrective action plan that in...

Finding Reference Number: 2025-002 View of Responsible Officials and Planned Corrective Action Date: Corrective Action: Management will take appropriate corrective action to address the identified issue and strengthen internal controls. The organization has initiated a corrective action plan that includes engaging an external accounting service to provide additional oversight and support for accounting functions. In addition, the Business Office Manager position is being restructured into two separate positions to provide clearer separation of duties, accountability, and internal controls. One of the new positions will be the Business Office and Accounting Coordinator, with defined responsibility for accounting-related functions and processes. The second position will focus on employee services and administrative responsibilities. These organizational changes are intended to strengthen oversight, improve segregation of duties, and reduce the risk of errors or inappropriate financial practices. Management will monitor implementation of these changes to ensure the corrective actions are effective and sustained. Name of Contact Person: Dawn Palowski, Executive Director Project Completion Date: December 31, 2026

View Audit 413371

Finding 1238461 (2025-004)

Material Weakness 2025

NDN COLLECTIVE

SD

Allowable Costs / Cost Principles Reporting § 200.430

Views of responsible officials and planned corrective actions: Management agrees with the recommendation. NDN Collective has strengthened its review procedures over payroll allocations charged to federal awards. When a Program Manager identifies a change to an employee's payroll allocation, the chan...

Views of responsible officials and planned corrective actions: Management agrees with the recommendation. NDN Collective has strengthened its review procedures over payroll allocations charged to federal awards. When a Program Manager identifies a change to an employee's payroll allocation, the change will be communicated directly to the Finance team for timely review and processing. The Finance team will review payroll allocations to ensure they are consistent with approved time-andeffort documentation prior to processing. In addition, there will be a secondary review of payroll allocations and supporting documentation to verify that charges to federal awards are accurate, properly supported, and consistently applied in accordance with Uniform Guidance requirements. These review procedures have been documented and incorporated into the Organization's payroll allocation process for all federal awards. Management believes these enhanced controls will strengthen compliance over allowable costs and reduce the risk of payroll allocation discrepancies in future reporting periods.

View Audit 413336

Finding 1238441 (2025-001)

Material Weakness 2025

The Land Trust Alliance, Inc. and Affiliates

DC

Subrecipient Monitoring Reporting Significant Deficiency

Submitted to: U.S. Department of Agriculture The Land Trust Alliance, Inc. (“the Alliance”) respectfully submits the following corrective action plan for the year ended December 31, 2025. Name and address of independent public accounting firm: CBIZ CPAs 1899 L Street, NW, Suite 850 Washington, DC 20...

Submitted to: U.S. Department of Agriculture The Land Trust Alliance, Inc. (“the Alliance”) respectfully submits the following corrective action plan for the year ended December 31, 2025. Name and address of independent public accounting firm: CBIZ CPAs 1899 L Street, NW, Suite 850 Washington, DC 20036 Audit Period: January 1, 2025 through December 31, 2025 The finding from the December 31, 2025 schedule of findings is discussed below. The finding is numbered consistently with the number assigned in the schedule. FINDING – FEDERAL AWARD PROGRAM AUDIT U.S. Department of Agriculture 2025-001 - Federal Funding Accountability and Transparency Act (FFATA) Reporting – Assistance Listing No. 10.676, Forest Legacy Program Recommendation: The Alliance should implement a procedure to allow for the consistent, timely reporting of subaward obligations of $30,000 or more to the SAM system. Action Taken: The Alliance had already submitted the required reporting in SAM.gov for each of the three subawards on June 30, 2026. Execution of the required reporting was not fully aligned across the relevant teams, resulting in the late filing of the FFATA reporting. As a result of the detection of the misalignment, Management has implemented the following actions: 1. Enhanced federal awards training: The Alliance engaged “Management Concepts”, a third-party firm expert in federal grants management, to deliver a three-day training on federal award compliance requirements back in May 2026. All staff responsible for managing federal awards participated actively in the training. 2. Policy clarification: The Alliance has explicitly incorporated the applicable requirement into its Subaward Management Policy, providing clear and consistent guidance for staff responsible for subaward administration. 3. Strengthened end-to-end process and Standard Operating Procedures (SOP): The Alliance has established and communicated an enhanced process with clearly defined roles, responsibilities, and coordination points across internal teams to support consistent execution of FFATA reporting, when applicable. If the U.S. Department of Agriculture has questions regarding this plan, please contact Ashley Demosthenes at 202-638-4725 or ADemosthenes@lta.org

View Audit 413311

Finding 1238437 (2025-001)

Material Weakness 2025

Watts Healthcare Corporation

CA

Subrecipient Monitoring Reporting

Management concurs with the finding. Previous CFO submitted a SEFA based on revenue recognized without reconciling grant allowable expenses. To remediate the identified material weakness in financial reporting oversight, the CEO has initiated a restructuring of the fiscal leadership team. Effective ...

Management concurs with the finding. Previous CFO submitted a SEFA based on revenue recognized without reconciling grant allowable expenses. To remediate the identified material weakness in financial reporting oversight, the CEO has initiated a restructuring of the fiscal leadership team. Effective May 22, 2026, an interim CFO with extensive knowledge of healthcare accounting, GAAP and Uniform Guidance has been appointed. Corrective Action Plan: Senior accountants have been provided training on federal grant accounting procedures. Drawdowns are now performed after proper reconciliation of allowable expenses per grant budgets. Personnel responsible for implementation: Kristopher Zuniga Position of responsible personnel: Interim Chief Financial Officer Expected date of implementation: Implemented as of June 30, 2026.

View Audit 413304

Finding 1238422 (2025-001)

Material Weakness 2025

Grupo Nexos, Inc.

PR

Reporting § 200.328

CORRECTIVE ACTION PLAN For the Year Ended December 31, 2025 Finding No.: 2025-001 Federal Agency: U.S. Department of Health and Human Services Federal Program: 93.297 – Teenage Pregnancy Prevention Program (PROSa) Compliance Requirement: Reporting Responsible Entity: Grupo Nexos, Inc. – Finance Depa...

CORRECTIVE ACTION PLAN For the Year Ended December 31, 2025 Finding No.: 2025-001 Federal Agency: U.S. Department of Health and Human Services Federal Program: 93.297 – Teenage Pregnancy Prevention Program (PROSa) Compliance Requirement: Reporting Responsible Entity: Grupo Nexos, Inc. – Finance Department and Program Management Reported Condition During the audit for the year ended December 31, 2025, it was identified that one (1) of the two (2) Federal Financial Reports (SF-425) selected as part of the audit sample was submitted five (5) days after the established due date. Management Response Grupo Nexos, Inc. acknowledges the finding and agrees with the need to maintain appropriate follow-up and monitoring procedures to ensure the timely preparation, review, and submission of all federal financial reports. The event identified during the 2025 audit occurred during the period in which the Organization was in the process of implementing the corrective measures related to Finding No. 2024-001. It is important to note that the scope of the conditions identified during 2025 was significantly reduced compared with the prior year. The other matters related to FFATA reporting and the Trans-NIH program identified in 2024 were corrected or did not result in similar findings during 2025. Corrective Actions 1. Centralized Compliance Calendar. An electronic calendar is maintained identifying the due dates for Federal Financial Reports (SF-425) and other reports required under each federal program. 2. Advance Alerts. Alerts have been established in advance of due dates to facilitate the timely preparation, review, and submission of reports. 3. Assignment of Responsibilities. Personnel have been designated as responsible for the preparation, follow-up, and submission of reports, along with backup personnel to ensure continuity in the event of an absence or staffing change. 4. Internal Review and Approval. Federal financial reports will be subject to internal review and approval by the Chief Financial Officer (CFO) prior to submission. 5.Documentation and Recordkeeping. Electronic evidence of the preparation, review, submission, and confirmation of receipt of each federal report will be maintained in a centralized compliance file. 6. Periodic Follow-Up. The Finance Department will periodically monitor the compliance calendar. Any situation that could result in a delay must be communicated to the CFO before the applicable due date. Status of Corrective Action The corrective measures related to this finding have been implemented and are part of Grupo Nexos, Inc.'s regular monitoring and compliance procedures. The Organization will continue to monitor the effectiveness of these controls to ensure that federal financial reports are prepared, reviewed, and submitted within the deadlines established by the federal awarding agencies. Implementation Date: 11/30/2025

View Audit 413286

Finding 1238407 (2025-002)

Material Weakness 2025

Hancock Rural Telephone Corporation

IN

Reporting Significant Deficiency § 200.510

Management understands and agrees with the finding. The Cooperative recognizes that expenditures reported to Hancock County for the fiscal year ended December 31, 2025, inadvertently included federal award expenditures related to the prior fiscal year, resulting in an improper cut-off. To address th...

Management understands and agrees with the finding. The Cooperative recognizes that expenditures reported to Hancock County for the fiscal year ended December 31, 2025, inadvertently included federal award expenditures related to the prior fiscal year, resulting in an improper cut-off. To address this, management has implemented and documented procedures to ensure that only expenditures incurred within the current fiscal year are included in amounts reported to Hancock County. These procedures include a cutoff checklist completed by the preparer prior to each submission, which documents the date range verified for each expenditure line and confirms that all amounts fall within the current grant period. Submission of expense reports to Hancock County will be held until the checklist is fully completed and signed off. These controls will be applied to any future federal grants to prevent recurrence.

View Audit 413272

Finding 1238380 (2025-001)

Material Weakness 2025

Elizabeth Seton Pediatric Center D/b/a Elizabeth Seton Children's Cent

NY

HUD Housing Programs Subrecipient Monitoring Reporting

1. Name of Contact person responsible for corrective action Carla Perruccio, Chief Financial Officer 300 Corporate Boulevard South Yonkers, NY 10701 (914) 294-6128 CPerruccio@setonchildrens.org 2. Corrective action planned Our organization will implement a documented checklist which will identify bo...

1. Name of Contact person responsible for corrective action Carla Perruccio, Chief Financial Officer 300 Corporate Boulevard South Yonkers, NY 10701 (914) 294-6128 CPerruccio@setonchildrens.org 2. Corrective action planned Our organization will implement a documented checklist which will identify both applicable filing deadlines—the earlier of 30 calendar days after receipt of the auditors’ reports or nine months after fiscal year-end—and will require management to document the calculated due date and submission confirmation. 3. Anticipated Completion Date This was completed in September 2026. 4. If the client does not agree with the findings or believes corrective action is not required, include an explanation and specific reasons. We agree with the finding reference # 2025-001

View Audit 413240

Finding 1238363 (2025-002)

Material Weakness 2025

CAPITAL CITY AREA COUNCIL FOR SPECIAL SERVICES

MO

Reporting Internal Control / Segregation of Duties

Recommendation: We recommend that the Board of Directors be aware of the internal control deficiencies over financial reporting. And, if possible, implement procedures to ensure that the Organization has the expertise necessary to prevent, detect and correct misstatements and be capable of drafting ...

Recommendation: We recommend that the Board of Directors be aware of the internal control deficiencies over financial reporting. And, if possible, implement procedures to ensure that the Organization has the expertise necessary to prevent, detect and correct misstatements and be capable of drafting the financial statements, related footnote disclosures and SEFA in accordance with the accounting principles generally accepted in the United States of America (U.S. GAAP).

View Audit 413199

Finding 1238363 (2025-002)

Material Weakness 2025

CAPITAL CITY AREA COUNCIL FOR SPECIAL SERVICES

MO

Reporting Internal Control / Segregation of Duties

Views of responsible officials and planned corrective actions: The Board believes it has personnel who possess suitable skill, knowledge, or experience to oversee services the auditor provides in assisting with financial statement presentation which requires a lower level of technical knowledge than...

Views of responsible officials and planned corrective actions: The Board believes it has personnel who possess suitable skill, knowledge, or experience to oversee services the auditor provides in assisting with financial statement presentation which requires a lower level of technical knowledge than the competence required to prepare the financial statements, related footnote disclosures and SEFA in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP).

View Audit 413199

Finding 1238359 (2025-004)

Material Weakness 2025

Open Cities Health Center, Inc. and Affiliate

MN

Material Weakness Reporting

Finding 2025-004 Compliance Requirement: Reporting Material Weakness Assistance Living Number 93.224 Community Health Centers Grant Award Number H80CS00112 US Department of Health and Human Services Condition: The report for the year ending December 31, 2024, was not filed within the required report...

Finding 2025-004 Compliance Requirement: Reporting Material Weakness Assistance Living Number 93.224 Community Health Centers Grant Award Number H80CS00112 US Department of Health and Human Services Condition: The report for the year ending December 31, 2024, was not filed within the required report submission period. Action Planned in Response to the Finding: The new management team has established transparency with the Finance Committee and the Governing Board to increase accountability and have established a regiment which includes timely audit engagement and monthly and annual checklists that ensure deadlines are met. Implementation of this new process was completed after the 2024 audit report was due. Official Responsible for Ensuring the CAP: Bruce Craven Planned Completion Date: December 2025 Planned Completion Date: December 2025

View Audit 413186

Finding 1238340 (2025-003)

Material Weakness 2025

Bronx Community Health Network, Inc.

NY

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

Bronx Community Health Network, Inc. (“BCHN”) Corrective Action Plan For the Year Ended December 31, 2025 Health Resources and Services Administration (“HRSA”) Federal Award Finding Finding 2025-003 – Reporting Description of Finding: There was no evidence of the review and approval of the Uniform D...

Bronx Community Health Network, Inc. (“BCHN”) Corrective Action Plan For the Year Ended December 31, 2025 Health Resources and Services Administration (“HRSA”) Federal Award Finding Finding 2025-003 – Reporting Description of Finding: There was no evidence of the review and approval of the Uniform Data System (UDS) before its submission. Statement of Concurrence: We concur with the finding above. Corrective Action: Management has implemented a formal UDS review and approval process requiring management review and documented approval by the designated responsible official prior to submission. In this process, the CFO will email the draft UDS report to the CEO for review. Once the UDS is reviewed, the CEO will email the CFO approving the UDS report. Then the CFO will submit the report. Evidence of the review and approval will be maintained and retained with the final UDS submission documentation to ensure accuracy, completeness, and compliance with reporting requirements. Completion Date: 09/10/2026 Name of Contact Person: Alicia Tenny Chief Financial Officer Tel. No.: (917) 364-1156 E-mail: atenny@bchnhealth.org If HRSA has questions regarding this Corrective Action Plan, please call Alicia Tenny at (917) 364-1156. Sincerely yours, _________________________ Alicia Tenny Chief Financial Officer

View Audit 413181

Finding 1238301 (2025-001)

Material Weakness 2025

Hands of Healing Residential Treatment Center, Inc.

TX

Reporting Internal Control / Segregation of Duties

Management understands that annual performance reports are required to be submitted no later than 90 days after the end of each budget period. Management understands that final performance reports are required to be submitted no later than 90 days after the end of the project period. To ensure compl...

Management understands that annual performance reports are required to be submitted no later than 90 days after the end of each budget period. Management understands that final performance reports are required to be submitted no later than 90 days after the end of the project period. To ensure compliance, , management will delegate oversight responsibilities for completion of all PRPs to the Chief Financial Officer (CFO). The CFO will be responsible for reading the Notice of Awards and calendaring out all PRP due dates and ensure timely completion by program staff. Contact Person Responsible for Corrective Action: Mr. Victor Weetly, President. Anticipated Completion Date: The corrective action plan will be completed by September 30, 2026.

View Audit 413174

Finding 1238299 (2025-004)

Material Weakness 2025

Marquette County

WI

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

Finding 2025-004 Repeat of Finding 2024-004 Program Federal Assistance Listing and Title: 93.778 Medicaid Cluster Federal Agency: U.S. Department of Health and Human Services Pass-Through Agency: 62, 284, 878, 560152, 560155 State Program ID Number and Title: 437.3561/3681 CW Children and Families S...

Finding 2025-004 Repeat of Finding 2024-004 Program Federal Assistance Listing and Title: 93.778 Medicaid Cluster Federal Agency: U.S. Department of Health and Human Services Pass-Through Agency: 62, 284, 878, 560152, 560155 State Program ID Number and Title: 437.3561/3681 CW Children and Families State Agency: Wisconsin Department of Children and Families State Program ID Number and Title: 435.560100 ADRC 435.000561/000681 Basic County Allocation State Agency: Wisconsin Department of Health Services State Program ID Number and Title: 395.168 Specialized Transit County Operating Aids (Elderly & Disabled) State Agency: Wisconsin Department of Transportation State Program ID Number and Title: 435.000283 IMAA State Share State Agency: Wisconsin Department of Health Services Award Numbers: Unknown Criteria: 2 CRF 200.303 Internal Controls requires that non-federal entities receiving federal awards establish and maintain internal control designed to reasonably ensure compliance with federal laws, regulations and program compliance requirements. The State Single Audit Guidelines (SSAG) require that local entities receiving State awards establish and maintain internal control designed to reasonably ensure compliance with laws, regulations and program compliance requirements. To minimize the risk of errors, internal controls should be in place for all program compliance requirements, including appropriate review and approval of expenditures. Condition/Context: During our testing, we were unable to view approval for the following number of payroll expenditures in each program: 93.778: 9 out of 19 expenditures tested. 435.000561/000681, 437.3561/3681: 12 out of 40 expenditures tested. 435.560100: 9 out of 19 expenditures tested. For programs 395.168 and 435.000283, these are carried over from the prior year as controls have not changed within the system. These samples were not statistically valid. Corrective Action Plan Corrective Action Planned: In response to Finding 2025-004 regarding Internal Control Over Financial Reporting, note that the County is aware that there is lack of coovnetrr iotsls y ear-end financial reporting process. The County will endeavor to evaluate the need to increase additional staff to meet the deficiencies noted in the finding. However, due to its size, the County does not feel it is cost-effective to hire the number of employees needed to complete these task in house at this point in time and will rely on an outside audit firm. Administration is aware the current payroll and financial system allows to only go back to view payroll approvals within one year. Name(s) of Contact Person(s) Responsible for Corrective Action: Ron Barger, Marquette County Administrator Anticipated Completion Date: Administration will examine the lack of internal financial reporting on a yearly ongoing basis.

View Audit 413169

Finding 1238295 (2025-001)

Material Weakness 2025

Ferry County

WA

Subrecipient Monitoring Allowable Costs / Cost Principles Material Weakness

Finding ref number: 2025-001 Finding caption: The County did not have adequate internal controls and did not comply with federal wage rate requirements. Name, address, and telephone of County contact person: Ben Davies 350 E. Delaware Avenue, Suite 2 Republic, WA 99166-9747 Corrective action the aud...

Finding ref number: 2025-001 Finding caption: The County did not have adequate internal controls and did not comply with federal wage rate requirements. Name, address, and telephone of County contact person: Ben Davies 350 E. Delaware Avenue, Suite 2 Republic, WA 99166-9747 Corrective action the auditee plans to take in response to the finding: The County will strengthen internal controls to ensure compliance with federal wage rate requirements. This will include obtaining the federal certified payroll reports, as well as implementing effective monitoring processes to collect and review all weekly certified payroll reports from contractors and subcontractors. The County will provide training to ensure staff overseeing compliance with federal programs are aware of all applicable requirements. Anticipated date to complete the corrective action: 03/31/2027

View Audit 413153

Finding 1238289 (2025-004)

Material Weakness 2025

Geisinger Health

PA

Allowable Costs / Cost Principles Reporting Subrecipient Monitoring § 200.303 § 200.403 § 200.406

Finding: The terms and conditions for recipients of Disaster Grants - Public Assistance (Presidentially Declared Disasters) require that federal funds be used only for eligible emergency protective measures and other eligible work. Emergency work is defined as work that must be performed immediately...

Finding: The terms and conditions for recipients of Disaster Grants - Public Assistance (Presidentially Declared Disasters) require that federal funds be used only for eligible emergency protective measures and other eligible work. Emergency work is defined as work that must be performed immediately to save lives, protect public health and safety, or avert or lessen the threat of a major disaster. Status: Management agrees with the finding and the following corrective actions were taken to minimize future risks. Management will continue to monitor FEMA guidance and determinations related to COVID-19 Public Assistance funding. Management will evaluate the impact of subsequent FEMA reviews or determinations on amounts reported on the SEFA and adjust, as appropriate. Contact Person: Erin Fitzgerald, VP Chief Accounting Officer Anticipated Completion Date: Q1 2026

View Audit 413143

Finding 1238179 (2025-003)

Material Weakness 2025

County of Fulton New York

NY

Reporting

The Accountant is working closely with departments to make sure end of year invoices are properly paid in the correct fiscal year before soft closing the fund. This includes having departments reach out to vendors for invoices to make sure expenses are correctly booked prior to year-end cutoff.

View Audit 413128

Finding 1238176 (2025-001)

Material Weakness 2025

Loretto Rest Realty Corporation

NY

HUD Housing Programs Internal Control / Segregation of Duties Subrecipient Monitoring

Management has implemented procedures internally to track HUD filing deadlines and monitor and submit the REAC FDS timely. Management has ensured multiple individuals within the organization have appropriate access to HUD systems to ensure appropriate coverage is available as needed in the future.

View Audit 413124

Finding 1238175 (2025-002)

Material Weakness 2025

Lana'i Community Health Center and Subsidiary

HI

Reporting Cash Management

Condition: During our audit, we identified material errors in the financial records used to prepare and submit required federal financial reports (SF-425). Specifically, the Organization failed to record certain allowable expenditures, accrued liabilities, related grant receivables, and federal reve...

Condition: During our audit, we identified material errors in the financial records used to prepare and submit required federal financial reports (SF-425). Specifically, the Organization failed to record certain allowable expenditures, accrued liabilities, related grant receivables, and federal revenue associated with federal awards. As a result, expenditures reported on previously submitted SF-425 reports were materially understated. Additionally, the Organization did not submit drawdown requests for certain allowable expenditures incurred during the award period. Consequently, federal expenditures reported to the awarding agency did not agree to the underlying accounting records after correction of the identified errors.Recommendation: Management should strengthen controls over federal reporting by: • Implementing procedures to identify and record all allowable federal expenditures on a timely basis. • Performing periodic reconciliations between grant expenditures, reimbursement requests, general ledger balances, and SF-425 reports. • Establishing documented supervisory review of all federal reports prior to submission. • Monitoring unreimbursed grant expenditures and submitting reimbursement requests promptly. • Providing additional training to personnel responsible for federal grant accounting and reporting requirements. Action Taken: Since the date of receipt of the draft audit, Lanai Community Health Center has reviewed existing policies, specifically, “Federal Award Fund Management” and is committed to adhering to the procedures dictated therein which would address the recommendations above. Further, Lanai Community Health Center will enhance their policy to include a four-way reconciliation between grant expenditures, reimbursement requests, general ledger and SF-425 reports at least quarterly.

View Audit 413118

Finding 1238174 (2025-001)

Material Weakness 2025

Rwj Barnabas Health, Inc.

NJ

Allowable Costs / Cost Principles Reporting § 200.303 § 200.403 § 200.426

Management concurs with the finding. Due to an administrative error, JCMC included certain ineligible patient clinical laboratory testing costs, recorded as bad debt expense, in federal grant expenditures. Although management consulted with the Program administrator, the County of Hudson, prior to s...

Management concurs with the finding. Due to an administrative error, JCMC included certain ineligible patient clinical laboratory testing costs, recorded as bad debt expense, in federal grant expenditures. Although management consulted with the Program administrator, the County of Hudson, prior to seeking reimbursement and received approval to include these costs, JCMC acknowledges its responsibility to ensure federal funds are not used to reimburse unallowable services. Going forward, JCMC will strengthen its review process to exclude unallowable bad debt costs from grant expenditures. Management has reviewed the applicable Uniform Guidance cost principles with Program grant personnel and supporting analysts to reinforce compliance. Responsible Official: Alexander Filipak, VP Finance, Jersey City Medical Center Email: Alexander. Filipiak@rwjbh.org. Anticipated Completion Date: December 31, 2026

View Audit 413106

Finding 1238160 (2025-003)

Material Weakness 2025

TOWN OF WHEATLAND

IN

Internal Control / Segregation of Duties Allowable Costs / Cost Principles Period of Performance § 200.303

Craig Jones, Town Clerk/Treasurer 400 E Adams St., Wheatland, Indiana, 47597 FINDING 2025-003 Finding Subject: Coronavirus State and Local Fiscal Recovery Funds - Internal Controls Contact Person Responsible for Corrective Action: Craig Jones Contact Phone Number and Email Address: (812) 321-2340, c...

Craig Jones, Town Clerk/Treasurer 400 E Adams St., Wheatland, Indiana, 47597 FINDING 2025-003 Finding Subject: Coronavirus State and Local Fiscal Recovery Funds - Internal Controls Contact Person Responsible for Corrective Action: Craig Jones Contact Phone Number and Email Address: (812) 321-2340, clerk@townofwheatland.in Views of Responsible Officials: We concur with the findings. Description of Corrective Action Plan: We understand the importance of internal controls over federal funds and for the future we will establish the following procedures for advanced grants. The board will be presented with a plan for expenditures of the grant and the clerk treasurer will account for the grant in a separate fund. Before payment is made the board will be presented with all invoices for review to ensure it meets all activities allowed, allowable costs/cost principles and period of performance. We will establish the following procedures for future reimbursable grants. The reimbursement request prepared by the clerk/treasurer office with supporting documentation will be reviewed by the Town Board for activities allowed, allowable costs/cost principles and period of performance. and approved for submission. Any reports required by grantor agency will be prepared by the clerk/treasures office and reviewed by the town board before submission Anticipated Completion Date: 08/2026

View Audit 413100

Finding 1238158 (2025-001)

Material Weakness 2025

Coordinated Living of Southern Nevada, Inc.

NV

Internal Control / Segregation of Duties Reporting

Beneficiary Reporting Auditor’s Recommendation: We recommend that a responsible employee review and approve all HOME Program Housing Beneficiary Reports for accuracy prior to their submission to the applicable oversight agency. The review should contain procedures to match the income amounts per the...

Beneficiary Reporting Auditor’s Recommendation: We recommend that a responsible employee review and approve all HOME Program Housing Beneficiary Reports for accuracy prior to their submission to the applicable oversight agency. The review should contain procedures to match the income amounts per the HOME Program Housing Beneficiary Reports with the specific tenant income certification forms and the rent roll. We recommend that the reviewer document the date of the income certification form for each unit as well as the initials of the reviewer. Action Taken: The Organization has hired a new Director of Compliance, who will implement internal controls and documentation of those controls over the review process of the HOME Program Housing Beneficiary Reports for accuracy prior to their submission to the applicable oversight agency. The review process will include reviewing of each tenant income certification form and the rent roll. A package with the supporting documentation included on the HOME Program Housing Beneficiary Reports will be maintained to document the review process.

View Audit 413093

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