Corrective Action Plans

Finding 1220081 (2024-005)

Material Weakness 2024

Lake County

IN

Internal Control / Segregation of Duties Allowable Costs / Cost Principles Material Weakness § 200.1 § 200.303

FINDING 2024-005 Finding Subject: COVID-19 - Coronavirus State and Local Fiscal Recovery Funds - Reporting Contact Person Responsible for Corrective Action: Burzynski Thaddeus Contact Phone Number and Email Address: 219-755-3200, burzytx@lakecountyin.org Views of Responsible Officials: We concur wit...

FINDING 2024-005 Finding Subject: COVID-19 - Coronavirus State and Local Fiscal Recovery Funds - Reporting Contact Person Responsible for Corrective Action: Burzynski Thaddeus Contact Phone Number and Email Address: 219-755-3200, burzytx@lakecountyin.org Views of Responsible Officials: We concur with the finding Description of Corrective Action Plan: The County will develop and implement a proper system of internal controls and segregation of duties. This will ensure accuracy and correctness of all quarterly P & E Reports in the future. Anticipated Completion Date: December 2026

View Audit 405251

Finding 1220077 (2024-006)

Material Weakness 2024

Wetzel County Center for Children and Families

WV

Allowable Costs / Cost Principles Reporting § 200.403 § 200.430

Recommendations: Management should implement procedures to ensure that all payroll-related costs, including bonuses and stipends, are properly classified within the accounting system. Management should also establish review controls over coding of expenditures to ensure consistency with Uniform Guid...

Recommendations: Management should implement procedures to ensure that all payroll-related costs, including bonuses and stipends, are properly classified within the accounting system. Management should also establish review controls over coding of expenditures to ensure consistency with Uniform Guidance and grant reporting requirements. Views of responsible officials and planned corrective actions: Management agrees with the finding and indicates that it will strengthen review procedures over expense classification and ensure that compensation costs are properly recorded within payroll-related accounts going forward. Anticipated Completion Date: September 30, 2026

View Audit 405247

Finding 1219648 (2024-001)

Material Weakness 2024

Coastal Community Action, INC

NC

Material Weakness Reporting

To remediate this weakness and strengthen financial reporting, management will implement the following: 1. Monthly Close & Reconciliation Calendar – Establish a documented month-end close checklist with due dates and owners for all key reconciliations (cash, A/R, A/P, payroll liabilities, grants/gra...

To remediate this weakness and strengthen financial reporting, management will implement the following: 1. Monthly Close & Reconciliation Calendar – Establish a documented month-end close checklist with due dates and owners for all key reconciliations (cash, A/R, A/P, payroll liabilities, grants/grant receivables, fixed assets, debt, accrued expenses). 2. Trial Balance–to–GL Tie-Out – Implement a standardized tie-out package requiring each balancesheet account to be supported by a reconciliation that agrees to the detailed GL and the trial balance; variances >$0 must be researched and resolved before closing. 3. Document Standards – Adopt minimum documentation requirements (e.g., bank statements, reconciliations, inventory roll-forwards, grant schedules, amortization/support for accruals) and a centralized digital filing structure to ensure audit-ready support. 4. Adjusting Entry Controls – Require preparer/reviewer sign-off for all journal entries, with written support attached (calculation, source documents) and a monthly summary review by the CFO. 5. Grants & Receivables Subledger – Implement (or remediate) a grants/AR subledger that agrees monthly to the GL, including aging, award mapping, and reconciliation to external funder reports. 6. Training & Accountability – Provide training to finance staff on the close checklist, reconciliation standards, and documentation requirements; performance goals will include timely, accurate completion of assigned reconciliations. 7. Oversight & Governance – Provide the Audit/Finance Committee with a monthly close status report (checklist completion, unreconciled items, and corrective items) until the weakness is fully remediated. 8. Transitional Support – Engage temporary external accounting support, as needed, to clear priorperiod backlogs and to assist with initial implementation of the close process.

View Audit 405191

Finding 1219167 (2024-002)

Material Weakness 2024

Brooklyn Bureau of Community Service Dba Brooklyn Community Services

NY

Questioned Costs Reporting Significant Deficiency § 200.512

Reporting – Data Collection Form and Reporting Package (Significant Deficiency) U.S. Department of Education Adult Education – Basic Grants to States (Federal Assistance Listing #84.002) Federal Award Year: 2023-20 Responsible Officials Contact Information: 1) Archana Jayaram, CEO Telephone 718-310-...

Reporting – Data Collection Form and Reporting Package (Significant Deficiency) U.S. Department of Education Adult Education – Basic Grants to States (Federal Assistance Listing #84.002) Federal Award Year: 2023-20 Responsible Officials Contact Information: 1) Archana Jayaram, CEO Telephone 718-310-5626 ajayaram@wearebcs.org 2) Jodi Querbach, COO Telephone 718-310-1015 jquerbach@wearebcs.org View of Responsible Officials and Corrective Action Plan: Management agrees that the single audit reporting package was not submitted within the required timeframe due to key employee turnover coupled with staffing challenges subsequent to year end. This was also after a period of time when the organization’s finance functions were externally managed by an accounting firm. The former firm held the general ledger data for BCS and has been slow to turn it over in a manageable manner causing the delay in filing of the single audit report package. Frank Lei (current Chief Financial Officer) was hired in February of 2025 and has actively hired a new internal finance team, including a controller Daniel Pensante, hired in March of 2025. In our new configuration, BCS will: 1) own its financial software and data, 2) be sufficiently staffed to run its day-to-day financial operations, 3) be able to support program operations in an efficient manner, and 4) be able to respond and complete audits on time. Management will ensure that the single audit report package is submitted before the March 31, 2027 deadline.

View Audit 405096

Finding 1218997 (2024-002)

Material Weakness 2024

Capital Metropolitan Transportation Authority

TX

Reporting Internal Control / Segregation of Duties § 200.502 § 200.510

To address the finding, the Authority has implemented corrective actions that include establishing a formal year-end SEFA preparation and review process involving Accounting and Grant Program Mangers; reconciling federal expenditures reported on the SEFA to the general ledger and year end accruals, ...

To address the finding, the Authority has implemented corrective actions that include establishing a formal year-end SEFA preparation and review process involving Accounting and Grant Program Mangers; reconciling federal expenditures reported on the SEFA to the general ledger and year end accruals, reviewing active federal awards at fiscal year-end to identify eligible expenditures that may not have been reported; Revising the Grants Management Procedures Manual to formalize year-end cutoff, review, reconciliation, and approval procedures prior to SEFA issuance. These procedures will be incorporated into the FY26 year-end close and reporting process.

View Audit 404998

Finding 1218981 (2024-004)

Material Weakness 2024

Cheyenne and Arapaho Tribes

OK

Reporting Subrecipient Monitoring Significant Deficiency

Approval responsibility for both Project and Expenditure Reports and Obligation and Expenditure Reports were reassigned from the Lt. Governor to the Acting Treasurer to improve the timeliness of report review and submission. For financial reports, the Department has strengthened its reporting proces...

Approval responsibility for both Project and Expenditure Reports and Obligation and Expenditure Reports were reassigned from the Lt. Governor to the Acting Treasurer to improve the timeliness of report review and submission. For financial reports, the Department has strengthened its reporting process by requiring secondary review and approval prior to submission and will continue monitoring report preparation and filing to support timely compliance. Person Responsible: Kayla Tallbear, Acting Treasurer Estimated Completion Date: December 31, 2026

View Audit 404989

Finding 1218979 (2024-003)

Material Weakness 2024

Cheyenne and Arapaho Tribes

OK

Questioned Costs Procurement, Suspension & Debarment Material Weakness

The Treasury Department will continue strengthening year-end close, reconciliation, and financial reporting processes to support timely completion of future audits and Single Audit submissions. Management is working to improve the accuracy and timeliness of accounting records, implement a more struc...

The Treasury Department will continue strengthening year-end close, reconciliation, and financial reporting processes to support timely completion of future audits and Single Audit submissions. Management is working to improve the accuracy and timeliness of accounting records, implement a more structured closing process, and enhance audit preparation procedures to help ensure future reporting packages are submitted by required deadlines. Person Responsible: Kayla Tallbear, Acting Treasurer Estimated Completion Date: September 30, 2027

View Audit 404989

Finding 1218369 (2024-004)

Material Weakness 2024

Ventures

WA

Questioned Costs Allowable Costs / Cost Principles Reporting § 200.303

Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Recommendation: We recommend the Organization develop and implement formal policies and procedures or workflow restrictions that prevent employees from self‑approving their own timecards. Explanation of disagreement wi...

Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Recommendation: We recommend the Organization develop and implement formal policies and procedures or workflow restrictions that prevent employees from self‑approving their own timecards. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. During 2024, the Organization implemented BanbooHR to replace manual timekeeping and strengthen payroll controls. The self-approval issue occurred during initial system implementation and was identified through audit procedures. A corrective control has since been established whereby the Human Resources Manager reviews and approves the Executive Director's timecards, eliminating the ability for self-approval. In addition, payroll continues to be independently processed and reviewed by the Senior Director of Finanice, providing an additional layer of oversight. These control enhancements ensure proper segregation of duties and prevent self-approval of timecards going forward. Name(s) of the contact person(s) responsible for corrective action: Monique Valenzuela, Executive Director and Theo Everheart, Senior Director of Finance. Planned completion date for corrective action plan: May 2026

View Audit 404652

Finding 1218367 (2024-003)

Material Weakness 2024

Ventures

WA

Questioned Costs Subrecipient Monitoring Cash Management § 200.303 § 200.329

Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Recommendation: We recommend the Organization develop and implement formal policies and procedures to ensure required performance reports are prepared, reviewed, and submitted in a timely manner. Such procedures should...

Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Recommendation: We recommend the Organization develop and implement formal policies and procedures to ensure required performance reports are prepared, reviewed, and submitted in a timely manner. Such procedures should include clearly defined roles and responsibilities, tracking of reporting deadlines, and documented evidence of supervisory review and approval prior to submission. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The finding was related to a one-time ARPA grant during a period of staff transition, where performance reports were not consistently documented as reviewed and approved prior to submission. Since then, management has implemented formalized procedures for grant reporting. All performance reports are now prepared by designated program staff, tracked against reporting deadlines, and subject to supervisory review and approval by the Executive Director prior to submission. These procedures establish clear roles and responsibilities and ensure timely, documented review and submission of required reports. Name(s) of the contact person(s) responsible for corrective action: Monique Valenzuela, Executive Director and Theo Everhearts, Senior Director of Finance. Planned completion date for corrective action plan: June 2024

View Audit 404652

Finding 1218291 (2024-003)

Material Weakness 2024

Easton Area School District

PA

Reporting

Management Corrective Action Plan: The District acknowledges the finding regarding the untimely submission of required reports to the Pennsylvania Department of Education related to federal grant programs. Management recognizes the importance of timely and accurate reporting to ensure compliance wit...

Management Corrective Action Plan: The District acknowledges the finding regarding the untimely submission of required reports to the Pennsylvania Department of Education related to federal grant programs. Management recognizes the importance of timely and accurate reporting to ensure compliance with grant requirements and maintain effective oversight of federal funding. The delays in submission were primarily the result of staffing transitions within the Business Office and challenges associated with completing prior year financial information needed for reporting purposes. The District has worked cooperatively with the Pennsylvania Department of Education throughout this process and has taken steps to address outstanding reporting requirements. To address this matter, the District has begun implementing corrective actions which include: · Establishing internal reporting calendars and compliance deadlines for all required state and federal submissions; · Assigning specific staff responsibilities for grant reporting and monitoring; · Implementing supervisory review procedures to ensure reports are completed accurately and submitted timely; and · Providing additional oversight and coordination related to federal grant compliance and reporting requirements. Individual(s) Responsible: CFO, Finance Officer Anticipated Completion Date: Prior to issuance of the Fiscal Year 2025 Financial Statements

View Audit 404530

Finding 1218165 (2024-002)

Material Weakness 2024

Taller Educativo De Caguas, Inc.

PR

Internal Control / Segregation of Duties Subrecipient Monitoring Reporting

Management has implemented a formal procedure to ensure that future Single Audits are completed and submitted within the required timeframe. This procedure includes the following actions: First Quarter (January – March): The Purchasing Unit will initiate the procurement process for the independent a...

Management has implemented a formal procedure to ensure that future Single Audits are completed and submitted within the required timeframe. This procedure includes the following actions: First Quarter (January – March): The Purchasing Unit will initiate the procurement process for the independent auditors, in coordination with the Fiscal Manager, while year-end closing activities are being completed, to ensure timely engagement of audit services. Second Quarter (April – June): Once the auditor is engaged, the program will initiate the audit engagement and provide the required documentation in accordance with the established audit schedule.

View Audit 404355

Finding 1218155 (2024-003)

Material Weakness 2024

Urban Indian Center of Salt Lake

UT

Cash Management Questioned Costs Reporting § 200.305

FINDING 2024-003 Criteria: Recipients of federal awards must minimize the time elapsing between the receipt of funds from the U.S. Treasury and disbursement by the Organization set out at 2 CFR section 200.305(b). Audit Recommendation: We recommend that the Organization 1) maintains timely and accur...

FINDING 2024-003 Criteria: Recipients of federal awards must minimize the time elapsing between the receipt of funds from the U.S. Treasury and disbursement by the Organization set out at 2 CFR section 200.305(b). Audit Recommendation: We recommend that the Organization 1) maintains timely and accurate recording of disbursements in its job-costing system and 2) regularly request grant funds based on amounts expended as report in the Organization’s job-costing system. Auditee Response: UICSL revised its job costing system to better comply with these requirements and had overlap from previous programs/grants within its old QuickBooks Accounting system. UICSL now has a credit card tracking system by class code, ensures an invoice is allocated, and has focused on reimbursement method invoicing. Corrective Action Plan: Invoices and transactions will not be processed without approval and proper coding. Prior grant personnel and leadership are no longer within the organization. Monthly and quarterly invoices are sent according to each grant / contract agreement will be enforced by the GDCM and DFO in compliance with 2 CFR section 200.305(b). UICL is in active good status with all its current grantors, specifically Indian Health Servies (IHS). Person Responsible: Som Chivukula, Finance Director; Matt Poss, Executive Director Timeline: UICSL removing QuickBooks and switching to Oracle NetSuite in 2025/2026. Scheduling monthly check-ins and expenditure reports reviewed with department leads upon hiring of new Finance Director. All invoices reviewed with grant/project leads and logged appropriately. Staff accountant hired in late 2024 to help provide additional checks but also ensure UICSL focuses on reimbursement (post-expense).

View Audit 404346

Finding 1218124 (2024-001)

Material Weakness 2024

Clayton County Community Services Authority, Inc.

GA

Allowable Costs / Cost Principles Reporting

The management of Clayton County Community Services Authority, Inc. has reviewed the above referenced finding and fully agrees with the recommendation that all financial reporting and submission requirements and deadlines required by federal and state regulation be adhered to for future periods. The...

The management of Clayton County Community Services Authority, Inc. has reviewed the above referenced finding and fully agrees with the recommendation that all financial reporting and submission requirements and deadlines required by federal and state regulation be adhered to for future periods. The organization will work diligently with the audit firm to complete the fiscacl year 2025 audit. With the completion of the fiscal year 2024 audit, the organization and audit firm immediately began the preparation for fiscal year 2025. The subsequent year's audits have been prioritized and will be completed and submitted as soon as possible in order to bring the organization current and in compliance with this finding. The anticipated timeline for the completion of the fiscal year 2025 audit is August 31, 2026. With the completion of the FY2025 audit, the agency will be in full compliance with the Annual Audit requirements as set forth by federal and state regulations. This will bring the agency into full compliance for this finding.

View Audit 404323

Finding 1218093 (2024-003)

Material Weakness 2024

Renaissance Social Services, Inc.

IL

Questioned Costs Reporting

Management concurs with the findings. Delays in the completion of the year-end financial close process, audit preparation, and related reporting requirements contributed to the untimely submission. Management recognizes the importance of timely compliance with federal reporting requirements and is c...

Management concurs with the findings. Delays in the completion of the year-end financial close process, audit preparation, and related reporting requirements contributed to the untimely submission. Management recognizes the importance of timely compliance with federal reporting requirements and is committed to strengthening procedures to ensure future submissions are completed within the prescribed deadlines. Corrective Action Plan: • Develop a comprehensive audit and reporting timeline and checklist that identifies key milestones for year-end closing, financial statement preparation, audit fieldwork, management review, and Federal Audit Clearinghouse submission. • Establish internal deadlines that precede regulatory due dates to allow adequate time for review, corrections, and final submission. • Strengthen coordination between finance personnel and external auditors through periodic planning meetings and status updates throughout the audit process. Contact person – Maura McCauley, CEO and Mindy Wade, Board Treasurer Date corrections were implemented – June 2026 and ongoing

View Audit 404272

Finding 1218091 (2024-001)

Material Weakness 2024

Renaissance Social Services, Inc.

IL

Reporting

Management concurs with the findings. Due to staffing transitions and competing priorities during the year-end close process, certain accounting adjustments were not identified and recorded until audit fieldwork commenced. While the adjustments were subsequently recorded and reflected in the final f...

Management concurs with the findings. Due to staffing transitions and competing priorities during the year-end close process, certain accounting adjustments were not identified and recorded until audit fieldwork commenced. While the adjustments were subsequently recorded and reflected in the final financial statements, management recognizes that all significant year-end adjustments should be identified, reviewed, and posted prior to the start of the audit. Management will strengthen year-end financial reporting procedures to ensure all material adjustments are identified and recorded before audit fieldwork begins. Specific actions include: • Developing and implementing a comprehensive year-end closing checklist that includes all required reconciliations, accruals, estimates, and financial statement review procedures. • Establishing formal timelines for completion and review of year-end account reconciliations and adjusting journal entries.

View Audit 404272

Finding 1218082 (2024-005)

Material Weakness 2024

CITY OF ADAMS

WI

Cash Management Subrecipient Monitoring Reporting

Finding #2024-005 – Lack of Written Grant Procedures over Federal Programs Criteria: Under Federal Uniform Guidance, all non-Federal subrecipient entities must establish and maintain written policies and procedures over Federal programs. Written grant procedures are required in the areas of verifyin...

Finding #2024-005 – Lack of Written Grant Procedures over Federal Programs Criteria: Under Federal Uniform Guidance, all non-Federal subrecipient entities must establish and maintain written policies and procedures over Federal programs. Written grant procedures are required in the areas of verifying allowable costs, cash management, and conflicts of interest, while procurement, subrecipient monitoring, and reporting procedures should also be included. Condition: During their audit procedures, the auditors noted that the City did not have comprehensive written grant procedures governing key compliance areas. Cause: The City’s management has relied on informal practices and institutional knowledge rather than formulating a grant procedures manual. Effect: Without written procedures, there is an increased risk of noncompliance with Uniform Guidance, including improper cost charging, non-compliant procurement, untimely drawdowns or cash on hand, inadequate subrecipient oversight, and ineffective internal controls. This exposes the City to the risk of questioned costs, potential repayment of federal funds, audit findings, and other possible impacts. Recommendation: The auditors recommend that the City develop, approve, and implement a consolidated Federal grant procedures manual. The procedures should not be a replication of the Federal requirements but instead step-by-step processes that are necessary to be in compliance with the Federal guidelines. Response: The City will begin the process of drafting and approving a Federal grant procedures manual in order to be in compliance with Federal requirements going forward.

View Audit 404246

Finding 1218079 (2024-002)

Material Weakness 2024

Maine Rural Water Association

ME

Reporting

The Association agrees with this finding and is in the process of setting up this procedure. The Association also feels that hiring a CFO will provide additional oversight over this calculation and posting of journal entries for indirect costs. Once the procedures have been set up and implemented th...

The Association agrees with this finding and is in the process of setting up this procedure. The Association also feels that hiring a CFO will provide additional oversight over this calculation and posting of journal entries for indirect costs. Once the procedures have been set up and implemented the Association believes it will be in a much better position to attain accurate financial reporting.

View Audit 404238

Finding 1218064 (2024-005)

Material Weakness 2024

Community Health Service, Inc.

MN

Reporting § 200.328

Type: Significant Deficiency Corrective Actions: - Establish compliance calendar and tracking system. - Assign responsibility and require supervisory review. - Monitor reporting timelines. Responsible Parties: Chief Executive Officer and Chief Financial Officer

View Audit 404217

Finding 1218030 (2024-004)

Material Weakness 2024

Papa Ola Lokahi

HI

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.512 § 200.514

Views of Responsible Officials and Planned Corrective Action The Organization concurred with the prior year (2023-004) and current year renumbered recommendation (2024-004), acknowledging that the unexpected resignation of the former independent auditor (January 2023), and the domino effect of a del...

Views of Responsible Officials and Planned Corrective Action The Organization concurred with the prior year (2023-004) and current year renumbered recommendation (2024-004), acknowledging that the unexpected resignation of the former independent auditor (January 2023), and the domino effect of a delay in securing a new independent auditor (April 2023) continue to challenge the Organization, however, the Organization notes the status and progress of the following single audits: • June 30, 2022, filed in the Federal Audit Clearinghouse (FAC) in February 2025. • June 30, 2023, filed in the FAC in March 2026. • June 30, 2024, final review by Board in progress, projected filing in the FAC in June 2026. • June 30, 2025, engagement field work in progress with projected filing date no later than September 2026. • June 30, 2026, engagement letter signed with scheduled field work to commence after the June 30, 2025, audit FAC filing; projected to be completed with related FAC filing, no later than March 2027. The Organization notes the corrective actions that have been implemented, regarding internal controls to ensure compliance with the Uniform Guidance with respect to the submission deadline of single audit reports and the Data Collection Form: A. Internal Controls in Practice Since Inception of New Auditor Engagement – April 2023. As noted in the prior year corrective action response, the Organization established internal compliance controls related to the timely submission of single audit reports. Such process and review controls are implemented by the director of administrative operations, chief of staff (since December 2024), and chief executive officer; and subsequently communicated to the Board finance sub-committee and full Board, including the documented Board action(s) taken (e.g., Board agenda, minutes). B. Financial Policies and Procedures – May 2025. By May 2025, the Organization completed financial policies related to: implementation of significant accounting policies, internal control environment, cash and banking, cash disbursements and check issuance, payroll processes, procure to pay and revenue recognition policies, processes and procedures. Note the internal control policy of the Organization documents process and review controls, which were already in practice, applying to the timely filing of single audit reports. The current practices of the Organization, to the present period of the report dated June 17, 2026 is consistent with established process and review controls for timely submission of single audit reports.

View Audit 404207

Finding 1217998 (2024-015)

Material Weakness 2024

Pittsfield School District

NH

Reporting § 200.302 § 200.303 § 200.334

The District concurs with the finding and acknowledges the importance of maintaining complete and accessible documentation to support federal expenditures, compliance activities, reimbursement requests, and financial reporting in accordance with Uniform Guidance requirements. The condition identifie...

The District concurs with the finding and acknowledges the importance of maintaining complete and accessible documentation to support federal expenditures, compliance activities, reimbursement requests, and financial reporting in accordance with Uniform Guidance requirements. The condition identified in the audit resulted from grant management, documentation retention, and accounting practices that existed prior to the current administration. During fiscal year 2025-2026, the District implemented significant corrective measures to strengthen federal grants management, financial oversight, documentation retention, and compliance monitoring. The District established enhanced grant administration procedures designed to improve the organization, retention, and accessibility of grant records. Grant expenditures, reimbursement requests, budget monitoring documents, approval records, and supporting documentation are now maintained in centralized electronic files to improve audit readiness and support compliance monitoring activities. In addition, the District strengthened coordination among program administrators, the Business Office, and District administration to improve oversight of federal grant activity. Grant budgets, expenditures, reimbursements, and compliance requirements are reviewed on an ongoing basis to ensure expenditures are properly supported, allowable, and consistent with grant requirements. The District has also implemented procedures to improve grant-level tracking and monitoring of revenues and expenditures and has worked to ensure that grant activity is supported by documentation sufficient to demonstrate compliance with applicable federal requirements. Efforts have been made to strengthen record retention practices, improve financial reporting by grant award, and maintain documentation necessary to support future audit and monitoring activities. The District will continue to formalize written procedures governing federal grant administration, accounting, reconciliation, reimbursement processing, documentation retention, and compliance monitoring. Staff responsible for grant administration will continue to receive guidance and training regarding documentation and record retention requirements. The District believes that the corrective actions implemented during FY26 have substantially strengthened internal controls over federal grants management, documentation retention, and financial reporting and have significantly improved the District's ability to demonstrate compliance with federal program requirements.

View Audit 404193

Finding 1217924 (2024-002)

Material Weakness 2024

Maureen & Mike Mansfield Foundation

MT

Reporting Questioned Costs Subrecipient Monitoring

Mansfield Foundation Corrective Action Plan Summary Reviewed and Approved: Frank Jannuzi, Sara Harriger, Lisa Hosegood May 28, 2026 Action 1: Relevant to single audit finding 2024-001: Use external controller services support to ensure timely submission of Required Federal Financial Reports. Planned...

Mansfield Foundation Corrective Action Plan Summary Reviewed and Approved: Frank Jannuzi, Sara Harriger, Lisa Hosegood May 28, 2026 Action 1: Relevant to single audit finding 2024-001: Use external controller services support to ensure timely submission of Required Federal Financial Reports. Planned Implementation An external accounting/controller firm has been engaged to provide oversight and ensure that all bookkeeping and reporting tasks are completed on time. They report to the Vice President and President and work directly with the Director of Finance. They will provide weekly and monthly monitoring of financial procedures, regular financial reporting to management, and track grant reporting deadlines. This arrangement will continue for the foreseeable future. Responsible Party Outsourced CFO; Director of Finance Target Completion Ongoing Action 2: Relevant to single audit finding 2024-001: Apply an internal tracking system to ensure timely submission of Required Federal Financial Reports. Planned Implementation A reporting calendar will be established and maintained by the Director of Programs, with deadlines flagged 30 days in advance. Automated reminders will be circulated to responsible staff one month, two weeks, and one week prior to each filing deadline Responsible Party Outsourced CFO; Director of Finance, Director of Programs Target Completion Implement within three months Action 3: Relevant to single audit finding 2024-001: Implement a management review system to ensure timely submission of Required Federal Financial Reports. Planned Implementation The Vice President will verify completion of each report prior to submission. The President will receive confirmation that the report was submitted on or before the required deadline. Responsible Party President, Vice President, Director of Finance Target Completion Implement within three months Action 4: Relevant to single audit finding 2024-001: Implement a regular briefing to leadership to ensure compliance and monitor timely submission of Required Federal Financial Reports. Planned Implementation Twice annually, the Director of Finance will brief leadership on the status of required reports and confirm compliance. Responsible Party Outsourced CFO, Director of Finance Target Completion Implement within three months Action 5: Relevant to single audit finding 2024-001: Assign clear lines of responsibility to ensure timely submission of Required Federal Financial Reports. Planned Implementation The President and Vice President are ultimately accountable for submission of timely reports and will provide adequate resources and support, monitor regular bookkeeping and grant deadlines, and hold staff accountable for preparation of the reports. The Directors of Programs and of Finance will be the primary lead for monitoring deadlines, gathering information, and effectuating the timely preparation and submission of all financial reports. Responsible Party President, Vice President, Director of Programs, Director of Finance Target Completion Ongoing Action 6: Develop and formally document a standardized month‑end and year‑end close checklist, including required reconciliations, review sign‑offs, and reporting deadlines. Planned Implementation Management will implement a formal month‑end and year‑end close checklist that outlines key close activities, required account reconciliations, documentation standards, review and approval sign‑offs, and established reporting timelines. The checklist will clearly assign responsibility for each task to designated finance personnel to ensure accountability and consistency in execution. Responsible Party Outsourced CFO; Director of Finance Target Completion Implement for the next fiscal quarter close Action 7: Establish documented review procedures for key balance sheet accounts, including independent review of reconciliations and journal entries. Planned Implementation Management will implement formal, documented review procedures requiring monthly balance sheet reconciliations for all accounts, prepared on a timely basis and reviewed by appropriate Finance lead. In addition, management will require review and approval of journal entries associated with period‑end close activities to strengthen oversight and reduce the risk of error or misclassification. These review procedures will be integrated into the month‑end and year‑end close process and retained as part of the Foundation’s accounting records. Responsible Party Outsourced CFO; Director of Finance Target Completion Ongoing Action 8: Implement a formal budget‑to‑actual review process with documented explanations and periodic reporting to the Board of Directors Planned Implementation Management will establish a standardized budget‑to‑actual review process to be performed on a recurring Quarterly basis. This process will include preparation of variance analyses with documented explanations for significant differences between actual results and the approved budget. These reviews will be completed timely and used as a monitoring control to identify unexpected trends or potential misstatements requiring further review. Responsible Party Outsourced CFO; Director of Finance, Director of Programs Target Completion Implement within three months Action 9: Implement a structured system for tracking grants and contributions, including documentation of donor intent, restriction classification, and release schedules Planned Implementation Management will implement formal grant and contribution tracking procedures designed to document donor and grantor restrictions at the time of receipt and to monitor those restrictions throughout the life of the award. These procedures will support appropriate classification of net assets with and without donor restrictions and timely recognition of releases from restriction in accordance with donor intent and applicable GAAP rules. Responsible Party Outsourced CFO; Director of Finance Target Completion Implement within three months Action 10: Establish procedures for timely identification and release of donor‑restricted funds in accordance with donor and grantor requirements Planned Implementation Management will implement documented procedures to ensure that donor‑imposed restrictions and grantor requirements are identified at the time of receipt and tracked throughout the life of the contribution or grant. These procedures will include quarterly review of restricted net asset balances to ensure that restrictions are released in a timely manner when the applicable purpose or time requirements are satisfied. Responsible Party Outsourced CFO; Director of Finance Target Completion Ongoing Action 11: Strengthen technical accounting review through training, cross‑training, and use of qualified external resources as needed. Planned Implementation To address this recommendation, management has engaged an outsourced accounting team to provide technical accounting support and to assist with the development and documentation of formal finance policies and standard operating procedures (SOPs). These SOPs and policies will establish consistent accounting practices, clarify review and approval responsibilities, and provide appropriate documentation to support accounting judgments and GAAP‑compliant financial reporting. In addition, management will implement targeted training and cross‑training within the finance function to strengthen internal technical accounting knowledge and reduce reliance on single individuals for critical accounting functions. Periodic technical review by qualified internal and external personnel will be incorporated into the close and review process to support accurate application of accounting standards. Responsible Party Outsourced CFO; Director of Finance Target Completion Ongoing Action 12: Improve segregation of duties and compensating controls where full segregation is not feasible Planned Implementation To strengthen segregation of duties within the finance function, management has hired a full‑time Finance Associate, which will allow for clearer separation of transaction processing, review, and reconciliation responsibilities. In addition, management has engaged a part‑time, outsourced accounting firm to provide supplemental support, oversight, and review of selected accounting activities. Responsible Party Vice President, Outsourced CFO; Director of Finance, Finance Assistant Target Completion Within six months Action 13: Continued segregation of duties Planned Implementation Where limited staffing continues to constrain full segregation, management will implement and document compensating controls, including review of reconciliations, journal entries, and financial reports by qualified personnel. Management believes these actions will enhance the design and operating effectiveness of internal controls, reduce reliance on single‑person processes, and support more accurate and reliable financial reporting in accordance with GAAP. Responsible Party Vice President, Outsourced CFO; Director of Finance, Finance Assistant Target Completion Within six months

View Audit 404058

Finding 1217887 (2024-001)

Material Weakness 2024

Philadelphia Housing Development Corporation

PA

Reporting Internal Control / Segregation of Duties

Person(s) Responsible for the Corrective Action: April Samuels, VP of Finance Corrective Action Plan: Implement monthly reconciliation between PHDC and DHCD to identify and resolve any discrepancies in real time. Anticipated Completion Date: June 30, 2026

View Audit 403972

Finding 1217814 (2024-001)

Material Weakness 2024

Philadelphia Housing Development Corporation

PA

Reporting Internal Control / Segregation of Duties

Person(s) Responsible for the Corrective Action: April Samuels, VP of Finance Corrective Action Plan: Implement monthly reconciliation between PHDC and DHCD to identify and resolve any discrepancies in real time. Anticipated Completion Date: June 30, 2026

View Audit 403923

Finding 1217742 (2024-002)

Material Weakness 2024

Boys & Girls Clubs of Southcentral Alaska

AK

Reporting Material Weakness § 200.512

The Boys and Girls Clubs of Southcentral Alaska has contracted with a national accounting firm, Fohrman and Fohrman, to reconcile the 2025 books and implement a simpler accounting structure. There will still be significant findings in 2025 as the organization ultimately closed due to financial insta...

The Boys and Girls Clubs of Southcentral Alaska has contracted with a national accounting firm, Fohrman and Fohrman, to reconcile the 2025 books and implement a simpler accounting structure. There will still be significant findings in 2025 as the organization ultimately closed due to financial instability. The new system will be implemented in 2026. Fohrman and Fohrman will continue on contract to ensure adequate financial reporting and reporting to the Board.

View Audit 403865

Finding 1217585 (2024-002)

Material Weakness 2024

Washington County Arkansas

AR

Reporting

In response to the finding of a misstatement on the 2024 Schedule of Federal Awards document submitted to Frost PLLC, The County has established a cycle of training for new and existing staff withing the Grants department as well as created a multi-step review process in order to identify and correc...

In response to the finding of a misstatement on the 2024 Schedule of Federal Awards document submitted to Frost PLLC, The County has established a cycle of training for new and existing staff withing the Grants department as well as created a multi-step review process in order to identify and correct errors prior to beginning the auditing process. This process includes coordinating with other County departments to make sure all activities are recorded in the proper periods on the Schedule of Federal Awards document.

View Audit 403725

Corrective Action Plans

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