Corrective Action Plans

Finding 573969 (2023-008)

Material Weakness 2023

City of Biddeford

ME

Reporting Subrecipient Monitoring Allowable Costs / Cost Principles

Management’s Response and Corrective Action Plan: The City has implemented a procedure requiring the project manager to prepare required finance-based grant reports in conjunction with the finance director. The finance director must approve the required grant report before the project manager is au...

Management’s Response and Corrective Action Plan: The City has implemented a procedure requiring the project manager to prepare required finance-based grant reports in conjunction with the finance director. The finance director must approve the required grant report before the project manager is authorized to submit. The procedure includes timelines and authorizations requiring all grants to be entered into the City’s financial management software suite to ensure complete and timely project monitoring. All users have access to the financial software and have real-time access to all data.

View Audit 364578

Finding 573885 (2023-005)

Significant Deficiency 2023

Town of East Lyme, Connecticut

CT

Allowable Costs / Cost Principles Reporting Significant Deficiency

Type of Finding: Significant Deficiency in Internal Control over Compliance 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with reporting requirements. During our testing, we noted the Town did not have submit the Pr...

Type of Finding: Significant Deficiency in Internal Control over Compliance 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with reporting requirements. During our testing, we noted the Town did not have submit the Project and Expenditure report, that was due by April 30, 2023. Recommendation: CLA recommends the Town implement procedures to ensure compliance with all requirements under which the Town if obligated to comply as part of their grant agreements. Explanation of Disagreement with Audit Finding: There is no disagreement with the audit finding. Action Taken in Response to Finding: Management will implement procedures to ensure compliance with all requirements under which the Town if obligated to comply as part of our grant agreements. Name(s) of Contact Person(s) responsible for Corrective Active Plan: Kevin Gervais Jr. Planned completion date for corrective action plan: July 2025

View Audit 364541

Finding 573858 (2023-001)

None 2023

Midd-West School District

PA

Subrecipient Monitoring Reporting

The Federal Programs Director and the Business Manager have been attending the Monthly Federal Programs Virtual Trainings as well as the Fiscal Tech Office Hours offered by the PDE Division of Federal Programs. Both have been very informative and have offered us the opportunity to ask questions. The...

The Federal Programs Director and the Business Manager have been attending the Monthly Federal Programs Virtual Trainings as well as the Fiscal Tech Office Hours offered by the PDE Division of Federal Programs. Both have been very informative and have offered us the opportunity to ask questions. The Federal Program Director attended The Pennsylvania Association of Federal Program Coordinators annual conference in 2024 and 2025 and will attend yearly in the future. We are also in contact with our Regional Coordinator, Emily Johnson who has been able to assist as needed.

View Audit 364514

Finding 573855 (2023-002)

None 2023

Basic Health International

PA

Reporting § 200.512

BHI has engaged a professional research administration consulting firm to provide guidance on federal grants management activities, compliance requirements and policy and procedure development. BHI meets monthly with the grants management consultant. BHI has also engaged an audit firm to perform it...

BHI has engaged a professional research administration consulting firm to provide guidance on federal grants management activities, compliance requirements and policy and procedure development. BHI meets monthly with the grants management consultant. BHI has also engaged an audit firm to perform its federally-required federal financial statement and single audits each year. This reminder and timeline has been put on the BHI shared calendar so that this task is not missed in the future.

View Audit 364502

Finding 573854 (2023-001)

Material Weakness 2023

Basic Health International

PA

Reporting Material Weakness

BHI has engaged a professional research administration consulting firm to provide guidance on federal grants management activities, compliance requirements and policy and procedure development. BHI meets monthly with the grants management consultant. Furthermore, BHI has implemented procedures to ...

BHI has engaged a professional research administration consulting firm to provide guidance on federal grants management activities, compliance requirements and policy and procedure development. BHI meets monthly with the grants management consultant. Furthermore, BHI has implemented procedures to ensure adequate internal control over financial processes. For one, all the invoicing on all grant and contract accounts are done monthly. The BHI admin/program manager prepares all invoices on a monthly basis which are then reviewed by Chief Operating Officer and finally approved by the Principal Investigator. All financial transactions are recorded in QuickBooks so that bank and credit card accounts can be reconciled monthly. And lastly, an automated solution has been implemented to keep all bill payment and approvals strictly separate.

View Audit 364502

Finding 573841 (2023-002)

Material Weakness 2023

City of Tenino

WA

Subrecipient Monitoring Internal Control / Segregation of Duties Special Tests & Provisions

Finding ref number: 2023-002 Finding caption: The City did not have adequate internal controls with federal wage rate requirements. Name, address, and telephone of City contact person: Nancy Reddick, Clerk-Treasurer, 149 Hodgden St S, Tenino, WA 98589, (360) 264-2368. Corrective action the auditee p...

Finding ref number: 2023-002 Finding caption: The City did not have adequate internal controls with federal wage rate requirements. Name, address, and telephone of City contact person: Nancy Reddick, Clerk-Treasurer, 149 Hodgden St S, Tenino, WA 98589, (360) 264-2368. Corrective action the auditee plans to take in response to the finding: The City will include the required wage rate provisions in future contracts and will require weekly certified payroll reports prior to paying the contractor for the appropriate periods. Anticipated date to complete the corrective action: Immediately

View Audit 364492

Finding 573834 (2023-008)

Material Weakness 2023

City of Cortland

NY

Reporting § 200.502

Corrective Action Plan Financial Statement Finding: 2023-008 Identification of Federal Awards and Preparation of a Complete and Accurate Schedule of Expenditures of Federal Awards (SEFA) Criteria: The Uniform Guidance requires the auditee to prepare a SEFA for the period covered by the auditee’s ...

Corrective Action Plan Financial Statement Finding: 2023-008 Identification of Federal Awards and Preparation of a Complete and Accurate Schedule of Expenditures of Federal Awards (SEFA) Criteria: The Uniform Guidance requires the auditee to prepare a SEFA for the period covered by the auditee’s financial statement. It is the responsibility of the auditee's management to design and implement internal controls that provide reasonable assurance over the completeness and accuracy of the SEFA. The SEFA is the basis for the auditor’s identification of major programs. Cause/Condition: The City does not have a method to accurately track the related expenditures for reporting. The City's initial SEFA provided for the audit was incomplete and contained inaccurate program expenditure amounts. In particular, there were multiple federal programs that were materially misstated; including the following major federal program for the year under audit: 1. ALN 14.228 Community Development Block Grants/State's Program and Non-Entitlement Grants in Hawaii In addition, there were multiple federal programs that were not identified on the initial SEFA for the year under audit: 1. ALN 20.600 / 20.616 Highway Safety Cluster 2. ALN 66.818 Brownfield Multipurpose, Assessment, Revolving Loan Fund, and Cleanup Cooperative Agreements 3. ALN 66.458 Capitalization Grants for Clean Water State Revolving Funds 4. ALN 93.568 Low-Income Home Energy Assistance 5. ALN 97.039 (COVID-19) Disaster Grants - Public Assistance (Presidentially Declared Disasters) Effect: A Uniform Guidance compliance audit is based on the premise that management must comply with federal statutes, regulations and the terms and conditions of the federal awards it receives. Without identifying the funds as federal, the auditee may not have complied with those requirements. In addition, there is increased risk regarding the accurate reporting of grant expenditures and noncompliance with policies and procedures surrounding the recording of federal awards. Recommendation: We recommend the City develop and implement procedures to ensure that information related to all federal awards is accumulated to assist in the preparation of the SEFA. In addition, we recommend management of the City verify the completeness and accuracy of the amounts reported on the SEFA. Response: The City agrees with the finding. Corrective Action Plan: The City will include tracking of federal awards in the Capital Project tracking process. Capital projects will be reflected in a separate budget alongside the operational budget beginning in FY 2026. Anticipated Completed Date: July 31, 2025 for the tracking process; December 20, 2025 for the budget. Responsible Contact Person: Elizabeth Greenwood, Director of Administration & Finance

View Audit 364485

Finding 573827 (2023-007)

None 2023

City of Cortland

NY

Allowable Costs / Cost Principles Reporting

Corrective Action Plan Financial Statement Finding: 2023-007 Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, ...

Corrective Action Plan Financial Statement Finding: 2023-007 Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2023. Effect: As a result, the entity is not incompliance with §200.512 of the Uniform Guidance. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Response: The City is still facing staffing shortages and is working to get the subsequent financial statements completed. It is expected the 2024 reporting package will be filed on time. Corrective Action Plan: The City has hired a full complement of staff in the Finance department, and anticipates timely filings going forward. Anticipated Completed Date: September 30, 2025. Responsible Contact Person: Elizabeth Greenwood, Director of Administration & Finance

View Audit 364485

Finding 573744 (2023-001)

Material Weakness 2023

Florence-Carlton School District 15-6

MT

Material Weakness Reporting Internal Control / Segregation of Duties § 200.512

We have reviewed the deficiencies and have included our responses to each below. 1. Finding # 2023-001 –Late filing of Financial and Audit. Reports had not been filed within nine months after the fiscal year end of Jun. 30, 2023, which should have been by Mar. 31, 2024. Management Response: Flore...

We have reviewed the deficiencies and have included our responses to each below. 1. Finding # 2023-001 –Late filing of Financial and Audit. Reports had not been filed within nine months after the fiscal year end of Jun. 30, 2023, which should have been by Mar. 31, 2024. Management Response: Florence Carlton School District 15-6 has historically filed audit reports in a timely manner to the respective agencies. The district experienced multiple key changes in financial management positions within a short period, which slowed down the audit process. Florence Carlton has filed our audit reports and data collection forms with the state, federal, and credit agencies, but this process also lacked training. Internal control procedures have been outlined and implemented for the future, including the Schedule of Federal Awards, and will continue to be implemented moving forward. The lack of Standard Working Instructions (SWI) contributes to the lack of consistency, compliance, and training. I have developed SWIs with Visual (photos or videos) directions for each step in all areas of a broad base of responsibility of the clerk position.

View Audit 364413

Finding 573734 (2023-001)

Significant Deficiency 2023

Iowa Northland Regional Housing Authority

IA

Reporting Significant Deficiency Internal Control / Segregation of Duties

The Authority has determined the cost of eliminating the deficiencies would exceed its benefit.

View Audit 364398

Finding 573733 (2023-007)

Material Weakness 2023

Village of New Waterford

OH

Reporting Subrecipient Monitoring § 200.328 § 200.329

The village is currently reviewing the Federal Requirement for reporting and how the village will be able to track and handle this reporting in the future. In regard to monthly reporting the village has a population of approximately 1500 residents and received approximately $50,000 SLFRF funds. Wel...

The village is currently reviewing the Federal Requirement for reporting and how the village will be able to track and handle this reporting in the future. In regard to monthly reporting the village has a population of approximately 1500 residents and received approximately $50,000 SLFRF funds. Well below the quarterly requirements and were only required to file yearly per the guidelines listed by the U.S. Department of Treasury’s own reporting guidelines. See below chart. Please take note that the Village has reported each year since 2022 as required. A copy of the yearly reports are available if needed.

View Audit 364392

Finding 573731 (2023-005)

Material Weakness 2023

Village of New Waterford

OH

Reporting § 200.502 § 200.510

As stated in the finding (2023-005) the Village was unaware of the monies being Federal Monies as they were received from a State of Ohio distribution, and after a discussion with the auditors the Village prepared the required reports. The village, being a small municipality, does not receive feder...

As stated in the finding (2023-005) the Village was unaware of the monies being Federal Monies as they were received from a State of Ohio distribution, and after a discussion with the auditors the Village prepared the required reports. The village, being a small municipality, does not receive federal funds routinely and I believe the Coronavirus funds will not be something the village anticipates receiving in the future. – Mayor M. Shane Patrone

View Audit 364392

Finding 573707 (2023-004)

Material Weakness 2023

Rogers County

OK

Reporting Internal Control / Segregation of Duties § 200.303 § 200.502 § 200.508 § 200.510

The Board of County Commissioners, with the cooperation of all elected officials and officers responsible for the receipt or expenditure of federal funds, will evaluate the processes and procedures currently in place to ensure the accuracy of SEFA reporting and detect potential inaccuracies and/or m...

The Board of County Commissioners, with the cooperation of all elected officials and officers responsible for the receipt or expenditure of federal funds, will evaluate the processes and procedures currently in place to ensure the accuracy of SEFA reporting and detect potential inaccuracies and/or misstatements.

View Audit 364370

Finding 573687 (2023-003)

Significant Deficiency 2023

State of Kosrae

FM

Reporting

Finding No. 2023-003 Area: Reporting Views of Auditee and Planned Corrective Action: We agree with this finding. Kosrae Project Management Office hired a Finance Officer in FY2024 and started preparing SF-425 reports for its infrastructure projects. The Office of Finance consolidates all SF-425 fo...

Finding No. 2023-003 Area: Reporting Views of Auditee and Planned Corrective Action: We agree with this finding. Kosrae Project Management Office hired a Finance Officer in FY2024 and started preparing SF-425 reports for its infrastructure projects. The Office of Finance consolidates all SF-425 forms for all Compact sector grants and sends them to the FSM National Government on a quarterly basis. Anticipated Completion Date: Ongoing Name of Contact Person: Mr. Palokoa George Finance Officer Kosrae Project Management Office Email: psgeorge@kosrae.gov.fm

View Audit 364317

Finding 573563 (2023-003)

Significant Deficiency 2023

Municipality of Morovis

PR

Reporting

All the municipal employees were assigned also to attend the Fiona effects in the community, delivery of goods, coordination and attending the immediate needs, therefore the municipal efforts were directed to assist in hurricane recovery and address the community needs rather than at focus on admini...

All the municipal employees were assigned also to attend the Fiona effects in the community, delivery of goods, coordination and attending the immediate needs, therefore the municipal efforts were directed to assist in hurricane recovery and address the community needs rather than at focus on administrative duties. Also, we still are working with the work integration of finance and administrative after the COVID Pandemic, we still have some employees that prefer to work on a remote status and part time basis. Part of these conditions had caused some of the delays in recording and submissions, however these are not intentionally situations.Such situations are in process of analysis and improvement taking into consideration the size of the municipality and its actual financial and budgetary resources.EXPECTED IMPLEMENTATION DATE: For the fiscal year ending on June 30, 2025

View Audit 364287

Finding 573523 (2023-003)

Significant Deficiency 2023

Centro Para La Reconstruccion Del Habitat, Inc.

PR

Procurement, Suspension & Debarment Allowable Costs / Cost Principles Cash Management

The Organization initially had difficulty identifying a qualified firm to carry out the Single Audit for the year ended December 31, 2023. During the first half of 2024, the Organization contacted a total of 17 firms to request quotes, in a process that proved especially difficult given that many di...

The Organization initially had difficulty identifying a qualified firm to carry out the Single Audit for the year ended December 31, 2023. During the first half of 2024, the Organization contacted a total of 17 firms to request quotes, in a process that proved especially difficult given that many did not have experience auditing Non-Profit entities or did not respond. The Organization also consulted with peer Non-Profits entities with similar budgets to obtain recommendations, and from all these efforts only one proposal was received. This prolonged search process significantly delayed the start of the audit. Nevertheless, the Organization entered into a formal agreement with a certified public accounting (CPA) firm to perform the Single Audit. In addition, as this was the Organization’s first audit, additional time was required to compile the requested documents. With a clear understanding now of the documentation requirements, the process is expected to be significantly quicker in future audits. Furthermore, the Organization has already agreed with the same firm to perform the Single Audit for subsequent years going forward.

View Audit 364247

Finding 573437 (2023-004)

Material Weakness 2023

Athens Metropolitan Housing Authority

OH

HUD Housing Programs Subrecipient Monitoring Reporting § 200.328

Finding Number: 2023-004 Planned Corrective Action: The extension was granted and the housing authority kept in contact by email to HUD in regard to the lengthy audit process due to former executive director. Our plan is to be timelier once these issues are rectified. Anticipated Completion Date: Ma...

Finding Number: 2023-004 Planned Corrective Action: The extension was granted and the housing authority kept in contact by email to HUD in regard to the lengthy audit process due to former executive director. Our plan is to be timelier once these issues are rectified. Anticipated Completion Date: May 31, 2025 Responsible Contact Person: Sherrie Boudinot, Zackary Dye

View Audit 364184

Finding 573390 (2023-010)

Material Weakness 2023

Batavia Local School District

OH

Reporting Subrecipient Monitoring Material Weakness § 200.414 § 200.502 § 200.510

The School District will review the Uniform Guidance requirements and ensure all expenditures are accurately reported on the School District’s Schedule of Expenditures of Federal Awards.

View Audit 364161

Finding 573316 (2023-001)

Significant Deficiency 2023

Task Force on Domestic Violence, Hope Inc.

WV

Reporting § 200.512 § 200.512(A)

MANAGEMENT OF TASK FORCE ON DOMESTIC VIOLENCE, HOPE, INC. WILL TAKE THE NECESSARY STEPS TO ENSURE THAT YEAR-END FINANCIAL STATEMENTS ARE PREPARED TIMELY SO THAT THE REPORTING PACKAGE AND DATA COLLECTION FORM CAN BE SUBMITTED AS REQUIRED BY THE UNIFORM GUIDANCE.

View Audit 364115

Finding 573313 (2023-003)

Material Weakness 2023

Steelton-Highspire School District

PA

Reporting Internal Control / Segregation of Duties

The District agrees with the finding and through education and training of staff, the District has implemented procedures to ensure that all required reports are prepared accurately and agree to the activity recorded on the District’s general ledger

View Audit 364108

Finding 573312 (2023-003)

Significant Deficiency 2023

City of Needles

CA

Period of Performance Subrecipient Monitoring Reporting

Consistent with Management’s Response to Audit Finding SA 2023-002, the City’s grant processes have been updated to ensure that grants administration and reporting are compliant with individual grant requirements and that there is interdepartmental coordination to ensure appropriate monitoring, revi...

Consistent with Management’s Response to Audit Finding SA 2023-002, the City’s grant processes have been updated to ensure that grants administration and reporting are compliant with individual grant requirements and that there is interdepartmental coordination to ensure appropriate monitoring, reviews, and reporting. Training will also be provided to all departmental managers and Finance staff involved in grants administration, accounting, and reporting. Responsible Personnel Name and Position: Jill Taura, Interim Finance Director Expected Implementation Date of Corrective Action Plan: Fiscal year 2026

View Audit 364102

Finding 573311 (2023-002)

Significant Deficiency 2023

City of Needles

CA

Internal Control / Segregation of Duties HUD Housing Programs Reporting § 200.303 § 200.328

Management has instructed the department managers involved with grants to work with the Finance Director and Senior Accountant for all future grant accounting and reporting to ensure that grant expenditures are properly recorded and reported in the correct period. The Senior Accountant will complete...

Management has instructed the department managers involved with grants to work with the Finance Director and Senior Accountant for all future grant accounting and reporting to ensure that grant expenditures are properly recorded and reported in the correct period. The Senior Accountant will complete GFOA’s Generally Accepted Accounting Principles for Grants in August 2026. As of the date of this letter, Management is working to identify other grants-related training appropriate for the Senior Accountant, the Utility Manager, and the Director of Development Services and Capital Projects, all of whom are involved in grant proposals, management, expenditures, accounting and required reporting. Meetings with all three department managers will be scheduled to coordinate administration and deadlines for the City’s new and existing grants as grant reporting deadlines occur. Responsible Personnel Name and Position: Jill Taura, Interim Finance Director Expected Implementation Date of Corrective Action Plan: Fiscal year 2026

View Audit 364102

Finding 573276 (2023-002)

Significant Deficiency 2023

City of Sapulpa

OK

Reporting

The finance department will continue current processes in place to accurately handle Federal Funds and Grants by separating the accounting of such funds. In addition, the Finance Director will prepare and present a report to the council the status of all grants on a quarterly basis. This action en...

The finance department will continue current processes in place to accurately handle Federal Funds and Grants by separating the accounting of such funds. In addition, the Finance Director will prepare and present a report to the council the status of all grants on a quarterly basis. This action ensures the acknowledgement of outstanding funds and/or expenditures.

View Audit 364067

Finding 573194 (2023-002)

Significant Deficiency 2023

Rusk County

TX

Reporting Significant Deficiency Internal Control / Segregation of Duties § 200.303 § 200.328

Finding 2023-002: Information on the Federal Program: Coronavirus State and Local Fiscal Recovery Funds (SLFRF) – 21.027 Compliance Requirements: Reporting – Timely Submission Type of Finding: Significant deficiency. Criteria: In accordance with 2 CFR 200.328 and the U.S. Department of the Treas...

Finding 2023-002: Information on the Federal Program: Coronavirus State and Local Fiscal Recovery Funds (SLFRF) – 21.027 Compliance Requirements: Reporting – Timely Submission Type of Finding: Significant deficiency. Criteria: In accordance with 2 CFR 200.328 and the U.S. Department of the Treasury’s SLFRF Compliance and Reporting Guidance, recipients must submit accurate and timely Project and Expenditure Reports by the due dates established by Treasury. Additionally, under 2 CFR 200.303, recipients must establish and maintain effective internal controls over compliance with federal award requirements. Condition: The County did not submit two quarterly Project & Expenditure Reports to the U.S. Department of the Treasury within the required deadlines during 2023 for the SLFRF program. Questioned Costs: $0 Effect: Noncompliance with federal reporting requirements. However, the reports were ultimately submitted and accepted. Cause: Internal control process failure. Repeat Finding: No Recommendation: Management should implement procedures to ensure timely submission of all required SLFRF reports. Action taken in response to finding: Management will implement procedures to ensure timely submission of all required SLFRF reports.

View Audit 364017

Finding 573175 (2023-003)

Significant Deficiency 2023

Arapahoe Public Schools District No. 18

NE

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

The District relies on the auditor to propose adjustments necessary to prepare the financial statements including the related note disclosures. The District reviews such financial statements and approves all adjustements. The District also uses analytic procedures, and other procedures determined ne...

The District relies on the auditor to propose adjustments necessary to prepare the financial statements including the related note disclosures. The District reviews such financial statements and approves all adjustements. The District also uses analytic procedures, and other procedures determined necessary.

View Audit 364006

Corrective Action Plans

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