Corrective Action Plans

Finding 569972 (2023-001)

None 2023

Agricultural Enterprises Development Administration

PR

Reporting

AEDA started changes in the Finance Office to complete the Single Audit process in time to submit all financial reports on time.

View Audit 361241

Finding 569962 (2023-001)

Material Weakness 2023

International Institute of Wisconsin, Inc.

WI

Questioned Costs Allowable Costs / Cost Principles Reporting

AUDIT FINDINGS Currently, IIW is concluding an outside objective review of grants/contracts, since August 2022, to confirm the audit findings for 2022 and combined with the 2023 regular audit IIW should be able to determine the exact amounts, any payback through adjustments made by the state for sub...

AUDIT FINDINGS Currently, IIW is concluding an outside objective review of grants/contracts, since August 2022, to confirm the audit findings for 2022 and combined with the 2023 regular audit IIW should be able to determine the exact amounts, any payback through adjustments made by the state for subsequent payments after errors were made, and the nature of the over allocation of FTE’s. The reason for the need to combine the 2022 with 2023 audits is that the state and federal fiscal year beginning and ending overlap IIW’s fiscal year period. IIW does not dispute findings from the 2022 & 2023 audits. Corrective Actions: • Participating in close financial monitoring with granting agencies • IIW Audit Manual created and ratified by IIW Board • Improved Segregation of Financial Roles • Implemented new financial system to facilitate improvements in GAAP • Implemented new chart of accounts to facilitate improved reporting, reconciliation, and billing • Improved reconciliation for both bank and programs • Improved financial controls for banking and investment management • Began reimbursement of identified funds that are required to be paid back to granting agencies Sincerely yours, Paul F. Trebian, Ed.D., MBA/TM, MA, BS President & CEO International Institute of Wisconsin ptrebian@iiwisconsin.org 414-403-9735 Cell CST

View Audit 361224 Questioned Costs: $1

Finding 569961 (2023-003)

Material Weakness 2023

East Side Neighborhood Services, Inc.

MN

Material Weakness Reporting Internal Control / Segregation of Duties

Views of Responsible Officials and Planned Corrective Actions The Organization’s management is aware of this material weakness and has considered adding additional personnel to assist in the monthly reconciliations and financial statement preparation. Management reviews and approves the monthly int...

Views of Responsible Officials and Planned Corrective Actions The Organization’s management is aware of this material weakness and has considered adding additional personnel to assist in the monthly reconciliations and financial statement preparation. Management reviews and approves the monthly interim financial statements and uses the knowledge that management and the Board of Directors has of operations by having them review certain accounting records and reports. Also, management monitors the effectiveness of the above actions and makes changes as considered appropriate.

View Audit 361217

Finding 569960 (2023-002)

Material Weakness 2023

East Side Neighborhood Services, Inc.

MN

Reporting Significant Deficiency Internal Control / Segregation of Duties

Views of Responsible Officials and Planned Corrective Actions The Organization’s management is aware of this significant deficiency and addresses it by obtaining the auditor's assistance in the preparation of the Organization’s annual financial statements. Management reviews and approves the comple...

Views of Responsible Officials and Planned Corrective Actions The Organization’s management is aware of this significant deficiency and addresses it by obtaining the auditor's assistance in the preparation of the Organization’s annual financial statements. Management reviews and approves the completed statements and distributes them to the users.

View Audit 361217

Finding 569926 (2023-002)

Significant Deficiency 2023

Chicago Family Health Center, Inc.

IL

Reporting

The material weaknesses in the financial statements section of the Uniform Guidance Audit FY 2022, and the significant deficiency in grant award reporting section, are of extreme importance to Chicago Family Health Center, Inc (CFHC). They are the result of unattended bookkeeping during periods of t...

The material weaknesses in the financial statements section of the Uniform Guidance Audit FY 2022, and the significant deficiency in grant award reporting section, are of extreme importance to Chicago Family Health Center, Inc (CFHC). They are the result of unattended bookkeeping during periods of turnover and vacancies of positions in the finance team. The tardy fiscal audit affected various reporting, including the Uniform Guidance Audit timelieness. Management is in agreement with ORBA’s findings, and an action plan has already begun to address the weaknesses and deficiencies: - Tracking and updating an intrium SEFA with attributes for pass-through; contract number; and grant period. - Preparation and review of reconciliations for each balance sheet account - Rebalancing of staff workload to promote separation of duties. - Training all finance and operations staff involved in financial reporting on GAAP accounting and reporting standards - Following standard operating procedures with defined due dates for accounting cycles

View Audit 361168

Finding 569924 (2023-001)

Significant Deficiency 2023

Chicago Family Health Center, Inc.

IL

Reporting Matching / Level of Effort / Earmarking

The accuracy of the Schedule of Expenditures of Federal Awards prepared by management of Chicago Family Health Center, Inc (CFHC) is very important. Management and accounting staff failed to implement effective internal controls that would allow accurate identification and period matching of all Fed...

The accuracy of the Schedule of Expenditures of Federal Awards prepared by management of Chicago Family Health Center, Inc (CFHC) is very important. Management and accounting staff failed to implement effective internal controls that would allow accurate identification and period matching of all Federal awards received and expended for FY 2023. This is still a cascading result of unattended bookkeeping during periods of turnover and vacancies of positions in the finance team that extended from FY 2022 to the beginning of FY 2024—with each prior period inaccuracy affecting the next. Management therefore is in agreement with ORBA’s findings, and an action plan has already begun to address the weaknesses and deficiencies: - Reconciling the Schedule of Expenditures of Federal Awards monthly as a control over contract number, pass-through entities, and specific grant periods. - Identifying, tracking, and reporting any unobligated balances - Reconciliation and sign-off of each balance sheet for Grants Receivable. - Rebalancing of staff workload to promote separation of duties. - Training all finance staff involved in financial reporting on GAAP accounting and reporting standards. - Developing, enhancing, then following Standard Operating Procedures (SOP) with defined due dates for accounting cycles

View Audit 361168

Finding 569705 (2023-001)

Material Weakness 2023

Veterans Community Project

MO

Reporting § 200.501 § 200.512 § 200.514

The Organization has remedied its controls and procedures to ensure the single audit is completed within the required timeline.

View Audit 361052

Finding 569663 (2023-004)

Significant Deficiency 2023

Community Foundation of Northern Nevada

NV

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

Federal Agency Name: Department of Treasury Assistance Listing Number: 21.027 Program Name: Coronavirus State and Local Fiscal Recovery Funds Finding Summary: The Foundation did not have internal controls to ensure proper review and approval (segregation of duties) between the preparer and reviewer ...

Federal Agency Name: Department of Treasury Assistance Listing Number: 21.027 Program Name: Coronavirus State and Local Fiscal Recovery Funds Finding Summary: The Foundation did not have internal controls to ensure proper review and approval (segregation of duties) between the preparer and reviewer of the quarterly financial reports. Corrective Action Plan: Previous reports were compiled by the Foundation’s vendors and submitted by the prior CFO. Future reports will be prepared by the Accountant and reviewed by the CFO prior to submission. Responsible Individuals: Alisha Kinnison, Accountant and Matt Lazar, CFO Anticipated Completion Date: July 2025

View Audit 361017

Finding 569184 (2023-003)

Material Weakness 2023

City of Neptune Beach

FL

Reporting Internal Control / Segregation of Duties

Management agrees with the recommendation and recognizes that consistent review of the payroll processing is critical to minimize the risk of material mistakes that may lead to economic loss. On the last quarter of FY 2023-2024, management acquired and deployed new payroll processing software and s...

Management agrees with the recommendation and recognizes that consistent review of the payroll processing is critical to minimize the risk of material mistakes that may lead to economic loss. On the last quarter of FY 2023-2024, management acquired and deployed new payroll processing software and started to process payroll in the first period of FY 2023-2024. In addition, new policies and procedures have been implemented to ensure that payroll reports are reviewed and approved by the CFO, delegated employee, or other City official in the even there is a gap in the Chief Financial Officer position.

View Audit 360783

Finding 568929 (2023-001)

Significant Deficiency 2023

Rural Coalition

DC

Reporting Internal Control / Segregation of Duties § 200.501

Rural Coalition has implemented clear, standardized procedures for all program and services. We have also implemented a comprehensive review of current resource allocation and set in place a more effective budget management plan so the grant funds can be managed efficiently removing the reporting ba...

Rural Coalition has implemented clear, standardized procedures for all program and services. We have also implemented a comprehensive review of current resource allocation and set in place a more effective budget management plan so the grant funds can be managed efficiently removing the reporting backlog we believe we will no longer face. Views of Responsible Officials and Planned Corrective Actions: In Fiscal Year 2023 we are still managing additional complex projects, and though we closed out our grant reporting and deliverables sooner, the delay in the start and therefore the completion of the FY 2022 still left us behind schedule. We completed the close out process much more quickly with new procedures in place, but we are still delayed. We also once again had an increased workload corresponding to additional grant funds, which coupled with the backlog we faced, we exacerbated the challenges surrounding this year’s year end closing process. We moved during late FY 2023 to a new credit card that allowed us to collect and code receipts as expenditures were made, and this helped us for 2024 get closer to a quicker closeout. Our FY 2024 audit is now underway and we believe for 2024 we will be able to complete the single audit in time to meet the deadline for submitting the single audit report to the Office of Management and Budget. We guarantee that in future years, the year-end closing will be completed earlier now that we have overcome the backlog and have developed and implemented the necessary systems. We also guarantee that we will start the single audit within 4 months after the fiscal year-end and that the single audit will be completed timely moving forward.

View Audit 360627

Finding 568870 (2023-003)

Significant Deficiency 2023

Schoolcraft Memorial Hospital

MI

Allowable Costs / Cost Principles Reporting Significant Deficiency § 200.303

Reporting Significant Deficiency in Internal Control over Compliance Department of Treasury Federal Assistance Listing #21.027 Coronavirus State and Loan Fiscal Recovery Funds Finding Summary: Lack of documentation of a secondary review on expense reports required to be submitted. Responsible Indivi...

Reporting Significant Deficiency in Internal Control over Compliance Department of Treasury Federal Assistance Listing #21.027 Coronavirus State and Loan Fiscal Recovery Funds Finding Summary: Lack of documentation of a secondary review on expense reports required to be submitted. Responsible Individuals: Eric Price, CFO Corrective Action Plan: Management has enhanced internal control policies and processes to ensure that a secondary review of expense report is taking place prior to submission and that those reviews are formally documented. Anticipated Completion Date: Ongoing

View Audit 360609

Finding 568813 (2023-006)

Significant Deficiency 2023

Northern Lakes Community Mental Health

MI

Subrecipient Monitoring Cash Management Reporting § 200.303

Fiscal Year 2023 Single Audit Corrective Action Plan Finding Number: 2023-006 Cash Management Condition: The CMHSP has established internal controls relating to approvals of cash requests. However, during testing we noted that cash requests did not contain evidence of required approvals. Planned Cor...

Fiscal Year 2023 Single Audit Corrective Action Plan Finding Number: 2023-006 Cash Management Condition: The CMHSP has established internal controls relating to approvals of cash requests. However, during testing we noted that cash requests did not contain evidence of required approvals. Planned Corrective Action: The CFO or Finance Manager will ensure that all cash requests are approved by the proper individuals. Contact Person: Kevin Hartley, CFO 231.633.2171 Kevin.hartley@nlcmh.org Anticipated Completion Date: 10-1-24

View Audit 360525

Finding 568812 (2023-005)

Material Weakness 2023

Northern Lakes Community Mental Health

MI

Reporting Subrecipient Monitoring Cash Management § 200.328

Fiscal Year 2023 Single Audit Corrective Action Plan Finding Number: 2023-005 Reporting Condition: The CMHSP did not reconcile financial expenditures shown in the Federal Financial Report to the total disbursement and charges in PMS. Planned Corrective Action: The CFO or Finance Manager will ensure ...

Fiscal Year 2023 Single Audit Corrective Action Plan Finding Number: 2023-005 Reporting Condition: The CMHSP did not reconcile financial expenditures shown in the Federal Financial Report to the total disbursement and charges in PMS. Planned Corrective Action: The CFO or Finance Manager will ensure that the financial expenditures shown in the Federal Financial Report reconciles to the total disbursement and charges in PMS. Contact Person: Kevin Hartley, CFO 231.633.2171 Kevin.hartley@nlcmh.org Anticipated Completion Date: 10-1-24

View Audit 360525

Finding 567967 (2023-001)

Significant Deficiency 2023

Community Action Partnership of Providence County

RI

Reporting Matching / Level of Effort / Earmarking

Finance team has hired an experience finance supervisor to help improve monthly and year end closing process, so organization can meet all its filing requirements without delays.

View Audit 360311

Finding 567928 (2023-004)

None 2023

Appalachian Headwaters INC

WV

Reporting § 200.512

Management stated they intend to complete and submit all future audits prior to the required deadline. Management stated the failure was due solely to delays by the auditor. The auditor disagrees with this assertion, based upon the audit timeline evidenced in the audit documentation.

View Audit 360261

Finding 567927 (2023-003)

Significant Deficiency 2023

Appalachian Headwaters INC

WV

Questioned Costs Procurement, Suspension & Debarment Allowable Costs / Cost Principles § 200.430

Management stated they will purchase a professional time tracking software program to help all employees track their work hours and activities.

View Audit 360261 Questioned Costs: $1

Finding 567926 (2023-002)

Significant Deficiency 2023

Appalachian Headwaters INC

WV

Reporting

Management stated that they disagree with the audit finding. Management notes that all expenses are documented in spreadsheets, invoice form, and available for review. However, management indicates that it will begin reclassifying federal grant expenditures in the accounting software. Auditor notes ...

Management stated that they disagree with the audit finding. Management notes that all expenses are documented in spreadsheets, invoice form, and available for review. However, management indicates that it will begin reclassifying federal grant expenditures in the accounting software. Auditor notes that this is consistent with the auditor’s finding that the entity lacks a means to efficiently determine that expenses charged to the grant are included in the general ledger, and the auditor’s recommendation to consider incorporating a chart of accounts specifically used for federal grant expenditures.

View Audit 360261

Finding 566907 (2023-006)

Material Weakness 2023

City of Compton

CA

HUD Housing Programs Internal Control / Segregation of Duties Special Tests & Provisions § 200.303

Management Response and Corrective Action Plan City's Response: The City concurs with the recommendation. Corrective Action Plan: The recommendations are included in the new grants policy. The City Manager shall review and approve it for implementation by September 2025. Planned Implementation Date:...

Management Response and Corrective Action Plan City's Response: The City concurs with the recommendation. Corrective Action Plan: The recommendations are included in the new grants policy. The City Manager shall review and approve it for implementation by September 2025. Planned Implementation Date: September 2025 Responsible Person(s): City Manager

View Audit 359774

Finding 566905 (2023-004)

Material Weakness 2023

City of Compton

CA

HUD Housing Programs Subrecipient Monitoring Reporting

Management Response and Corrective Action Plan City's Response: The City concurs with the recommendation. Corrective Action Plan: The City Controller’s Office drafted a grants policy that is currently under review by City Management. Community development staff will ensure a succession plan is in pl...

Management Response and Corrective Action Plan City's Response: The City concurs with the recommendation. Corrective Action Plan: The City Controller’s Office drafted a grants policy that is currently under review by City Management. Community development staff will ensure a succession plan is in place for any staff turnover and for report preparation compliance. Planned Implementation Date: September 2025 Responsible Person(s): City Manager, City Controller, and Community Development Director

View Audit 359774

Finding 566036 (2023-003)

Material Weakness 2023

West Burlington Independent School District

IA

Internal Control / Segregation of Duties Reporting

We will review our procedures and implement changes to improve internal control, as we deem necessary.

View Audit 359688

Finding 566032 (2023-001)

Material Weakness 2023

Horizon Health Services, Inc. and Affiliates

NY

Reporting

Re: The Horizon Corporations Report on Internal Control over Compliance for Federal Programs Dopkins & Company, LLP completed an updated report on internal control over financial reporting and on compliance and other matters based on an audit of combined financial statements performed in accordance...

Re: The Horizon Corporations Report on Internal Control over Compliance for Federal Programs Dopkins & Company, LLP completed an updated report on internal control over financial reporting and on compliance and other matters based on an audit of combined financial statements performed in accordance with Government Auditing Standards for federal programs for the operating period January 1, 2023 to December 31, 2023. Upon completion of the audit procedures, one finding was identified. The following is a response to this finding: Finding: The Companies' internal control over review of the Schedule of Expenditures of Federal Awards failed to detect $1,224,086 of federal award expenditures. The Companies should enhance their internal controls over intake and tracking of grants, including identification of federal awards, to produce a complete and accurate Schedule of Expenditures of Federal Awards. Horizon Response: In response to the finding, Horizon updated our procedures regarding completion of the Schedule of Expenditures of Federal Awards to the following: begin with the prior year audited schedule, update continuing awards with current year expenditures, remove concluded awards, and add new program expenditures. New programs will be identified via an internal tracking spreadsheet of all awards that will be updated monthly throughout the year by the Finance Manager and reviewed by the VP of Finance. This tracking spreadsheet will include funding source and, where applicable, CFDA/ ALN designations. At year end, this tracking spreadsheet will be reconciled to the SEFA.

View Audit 359678

Finding 565829 (2023-102)

Material Weakness 2023

Human Services Campus, INC

AZ

Reporting Cash Management Matching / Level of Effort / Earmarking

Finding 2023-102 - Grants and contracts - Identification of expenses and reconciliation and analysis Determination - Material Weakness in Internal Controls over Compliance Responsible Party: Ervin Reed, Director of Finance Anticipated Completion Date: September 30, 2025 Planned Action: Designed a ...

Finding 2023-102 - Grants and contracts - Identification of expenses and reconciliation and analysis Determination - Material Weakness in Internal Controls over Compliance Responsible Party: Ervin Reed, Director of Finance Anticipated Completion Date: September 30, 2025 Planned Action: Designed a cost center structure where program direct and indirect costs are tagged. Additionally, identify all relevant funding sources for each program. Configure the accounting system (Quickbooks for FY24 and NetSuite for FY25) to use multiple segments to track both revenue and expenses - one segment for program, one segment for funding source. An 'unfunded' code will be used to capture costs not billable to specific grants.

View Audit 359538

Finding 565827 (2023-101)

Significant Deficiency 2023

Human Services Campus, INC

AZ

Cash Management Reporting HUD Housing Programs

Finding 2023-101 - Grants and Contracts - Identification of expenses and reconciliation Determination - Significant Deficiency in Internal Controls over Compliance & Allowable CostsResponsible Party: Ervin Reed, Director of Finance Anticipated Completion Date: September 30, 2025 Planned Action: Des...

Finding 2023-101 - Grants and Contracts - Identification of expenses and reconciliation Determination - Significant Deficiency in Internal Controls over Compliance & Allowable CostsResponsible Party: Ervin Reed, Director of Finance Anticipated Completion Date: September 30, 2025 Planned Action: Designed a cost center structure where program direct and indirect costs are tagged. Additionally, identify all relevant funding sources for each program. Configure the accounting system (Quickbooks for FY24 and NetSuite for FY25) to use multiple segments to track both revenue and expenses - one segment for program, one segment for funding source. An 'unfunded' code will be used to capture costs not billable to specific grants.

View Audit 359538

Finding 565826 (2023-002)

Material Weakness 2023

My Project USA

OH

Reporting Internal Control / Segregation of Duties

Federal Audit Clearinghouse Filing – My Project USA recognizes the importance of timely filing of the Federal Audit Clearinghouse report. To address this issue, Uzair Qidwai, Ramy El- Asal, and Executive Director Zerqa Abid will ensure the audit is completed promptly and the reporting is done within...

Federal Audit Clearinghouse Filing – My Project USA recognizes the importance of timely filing of the Federal Audit Clearinghouse report. To address this issue, Uzair Qidwai, Ramy El- Asal, and Executive Director Zerqa Abid will ensure the audit is completed promptly and the reporting is done within the specified timeframe.

View Audit 359537

Finding 565825 (2023-001)

Material Weakness 2023

My Project USA

OH

Material Weakness Reporting Equipment & Real Property Management

Prior Period Restatement – My Project USA acknowledges the importance of accurately reporting transactions within the appropriate accounting periods and recognizes the internal control weaknesses that contributed to this finding. To address this issue, Uzair Qidwai, Ramy El-Asal, and Executive Direc...

Prior Period Restatement – My Project USA acknowledges the importance of accurately reporting transactions within the appropriate accounting periods and recognizes the internal control weaknesses that contributed to this finding. To address this issue, Uzair Qidwai, Ramy El-Asal, and Executive Director Zerqa Abid will review the organization's processes and internal controls to ensure they are up-to-date and robust enough to instill full confidence in the organization's ability to report transactions in a timely and accurate manner. Additionally, new measures will be implemented to provide a comprehensive overview of all grants, thereby enhancing the understanding of the overall grant environment.

View Audit 359537

Corrective Action Plans

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