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Finding 559143 (2023-002)
Significant Deficiency 2023
Name of Contact Person: Terri Brown, Director of Finance Corrective Action: Due to the extreme turnover within the Finance Director position in FY 22-23, there were more than normal accounting errors that were corrected by journal entries in the FY22 audit. The Executive Director addressed the turno...
Name of Contact Person: Terri Brown, Director of Finance Corrective Action: Due to the extreme turnover within the Finance Director position in FY 22-23, there were more than normal accounting errors that were corrected by journal entries in the FY22 audit. The Executive Director addressed the turnover by hiring a Finance Director with extensive non-profit finance and operation experience. In addition, training was provided on the accounting software. The Finance Director role has been occupied by one individual for multiple years. A Bookkeeping position was also created and filled which now allows for more separation of duties. A system of checks and balances have been established between the Bookkeeper, Administrative Assistant, Finance Director and Executive Director. This system includes the enhancement of protocols such as cash receipts, disbursements process and journal vouchers, monthly one on one in depth review of financials with Program Directors and Finance Director, and monthly Finance Director and Executive Director meetings. In addition, the Executive Director, Finance Director and Bookkeeper are now using the secured server to file digital copies of most financial documents. The Finance Director has monthly finance meetings with each Program Director to review their monthly actuals against budget. In addition, the accounting system is now remote which allows for access based on role for the Bookkeeper and Executive Director. The organization has created a third position, Accounts Receivable Coordinator to process all AR related duties. Proposed Completion Date: Immediately.
Illuminate Colorado has developed a new process for initiating federal grants that includes a review of Terms and Conditions by multiple individuals to ensure all required Terms and Conditions are identified and implemented. This process includes documentation of compliance with requirements for sub...
Illuminate Colorado has developed a new process for initiating federal grants that includes a review of Terms and Conditions by multiple individuals to ensure all required Terms and Conditions are identified and implemented. This process includes documentation of compliance with requirements for subrecipients. This process will be documented through a Standard Operating Procedure to ensure consistent implementation of the expectations. Standard Operating Procedure will include:  Process to accept federal awards including review of Notice of Award by at least two individuals  Process to identify standard terms and conditions, including requirements related to: o Compliance with Federal Laws o Debarment and Suspension o Federal Funding Accountability and Transparency Act  Process to identify and monitor vendors paid with Federal Funds, including vendor type (contractor, subrecipient), procurement method, and associated requirements  Development of a Face Sheet for subrecipients that includes required information such as Assistance Listing Number, Federal Award Information Number, Unique Entity Identifier, etc.  Process to identify any new or different terms and conditions
page 32 - Findings and Questioned Costs - Major Federal Program Audit Condition: The Organization has experienced significant delays in the preparation and issuance of the May 31, 2023, financial statements and its Single Audit required under the Uniform Guidance. Action: HH has provided the necessa...
page 32 - Findings and Questioned Costs - Major Federal Program Audit Condition: The Organization has experienced significant delays in the preparation and issuance of the May 31, 2023, financial statements and its Single Audit required under the Uniform Guidance. Action: HH has provided the necessary accounting personnel and contracts with an experienced accounting firm to ensure that the accounting functions are completed within nine months of the year end. The original delay is currently being worked through and HH personnel and an outside accounting firm are currently working to catch up on past due financial audits. FY2023-2024 and FY2024-2025 are expected to completed during FY2025-2026. page 33 - Prior Year Findings 2022-003: Internal Controls Over Cost Allocations and Administrative Costs Invoices and disbursements tested did not always indicate the allocation of costs between programs and grants. There were invoices that did not include approval for payment and some invoices were not available to be tested. Action - HH will continue to improve systems related to the cost allocation of grants funds to ensure that backup is included with the invoices at the time of payment.
2023-005 Material Weakness: See finding 2023-005. Recommendation: We recommend that management of the Authority review the deadlines for FDS submission and the financial statement submission and work with the newly retained fee accountant to ensure that these deadlines are met in the future. Mana...
2023-005 Material Weakness: See finding 2023-005. Recommendation: We recommend that management of the Authority review the deadlines for FDS submission and the financial statement submission and work with the newly retained fee accountant to ensure that these deadlines are met in the future. Management’s response: We concur with the recommendation. The Authority has had some staff turnover over the past several years. A new executive director and a new account clerk were both hired within the past several years. Management was aware that its submissions were not timely. Management engaged the services of a fee-accountant subsequent to year-end who will assist with these submission going forward.
The Management Team of the Finance department will adhere to standards associated with monthend and year-end closing procedures. The Federal drawdowns will be timed in accordance with actual, immediate cash requirements. Reconciling the bank statements and payables will be completed monthly to assur...
The Management Team of the Finance department will adhere to standards associated with monthend and year-end closing procedures. The Federal drawdowns will be timed in accordance with actual, immediate cash requirements. Reconciling the bank statements and payables will be completed monthly to assure accuracy of cash and expense. We will review the Memphis Health Center chart of accounts to assure that all Journal Entries are designed to accumulate transactions in various departments and divisions. Contact person responsible for correction action, Dorothette Y White, CFO. As of December 2024, the correction actions have been completed.
We concur that the Fire Department did not submit the Performance Progress Report by the due date. When the County Grants Manager realized the report was not filed, it was corrected immediately and filed June 22, 2023. A dedicated Grants Division was recently established within the finance departmen...
We concur that the Fire Department did not submit the Performance Progress Report by the due date. When the County Grants Manager realized the report was not filed, it was corrected immediately and filed June 22, 2023. A dedicated Grants Division was recently established within the finance department during the second quarter of 2023 and has started the proper management of federal grants and reporting. In 2024, the Grants Division commenced full oversight of the entire grant lifecycle which included closeout. The Grants Division will closely monitor grant spending, compliance, record-keeping, budgeting, and financial oversight.
Corrective Action Plan Findings - Federal Award Program Audits Department of Education Finding 2023-003 - COVID-19 Education Stabilization Fund - Assistance Listing Number 84.425U, COVID-19 Education Stabilization Fund - Assistance Listing Number 84.425W Condition: The year-end financial reports...
Corrective Action Plan Findings - Federal Award Program Audits Department of Education Finding 2023-003 - COVID-19 Education Stabilization Fund - Assistance Listing Number 84.425U, COVID-19 Education Stabilization Fund - Assistance Listing Number 84.425W Condition: The year-end financial reports contained several errors related to the recording of receipts and expenses of the Major Federal Award Program. Auditors’ Recommendation: The District should implement a process that includes monitoring activity related to Federal Programs. It is recommended that individuals within the District obtain training related to internal control systems or consider the use of a 3rd party specialist. Planned Corrective Action: The District has had turnover since the completion of the previous audit (June 30, 2022), staff in key positions have turned over multiple times. As of the date of this report, the District has hired and implemented training for key staff to ensure proper grant management in the future.
Corrective Action Plan Findings - Federal Award Program Audits Department of Education Finding 2023-002 - Special Education Cluster (IDEA) - Special Education Grants to States - Assistance Listing Number 84.027, Special Education Preschool Grants - Assistance Listing Number 84.173 Condition: The...
Corrective Action Plan Findings - Federal Award Program Audits Department of Education Finding 2023-002 - Special Education Cluster (IDEA) - Special Education Grants to States - Assistance Listing Number 84.027, Special Education Preschool Grants - Assistance Listing Number 84.173 Condition: The year-end financial reports contained several errors related to the recording of receipts and expenses of the Major Federal Award Program. Auditors’ Recommendation: The District should implement a process that includes monitoring activity related to Federal Programs. It is recommended that individuals within the District obtain training related to internal control systems or consider the use of a 3rd party specialist. Planned Corrective Action: The District has had turnover since the completion of the previous audit (June 30, 2022), staff in key positions have turned over multiple times. As of the date of this report, the District has hired and implemented training for key staff to ensure proper grant management in the future.
Corrective Action Plan Findings - Federal Award Program Audits Department of Agriculture Finding 2023-001 - Child Nutrition Cluster - School Breakfast Program - Assistance Listing Number 10.553, National School Lunch Program - Assistance Listing Number 10.555, Summer Food Service Program for Chil...
Corrective Action Plan Findings - Federal Award Program Audits Department of Agriculture Finding 2023-001 - Child Nutrition Cluster - School Breakfast Program - Assistance Listing Number 10.553, National School Lunch Program - Assistance Listing Number 10.555, Summer Food Service Program for Children - Assistance Listing Number 10.559 Condition: The year-end financial reports contained several errors related to the recording of receipts and expenses of the Major Federal Award Program. Auditors’ Recommendation: The District should implement a process that includes monitoring activity related to Federal Programs. It is recommended that individuals within the District obtain training related to internal control systems or consider the use of a 3rd party specialist. Planned Corrective Action: The District has had turnover since the completion of the previous audit (June 30, 2022), staff in key positions have turned over multiple times. As of the date of this report, the District has hired and implemented training for key staff to ensure proper grant management in the future.
As soon as this recommendation was verbally made to staff in 2024, staff implemented a procedure to have all journal entries reviewed and approved by a member of management. Staff has reviewed all 2022-23 journal entries to ensure the appropriate initials/signatures reflect review and approval by a ...
As soon as this recommendation was verbally made to staff in 2024, staff implemented a procedure to have all journal entries reviewed and approved by a member of management. Staff has reviewed all 2022-23 journal entries to ensure the appropriate initials/signatures reflect review and approval by a member of management.
Plan: The cost allocation policy has been implemented and submitted to outsourced auditing firms for review and approval by funders as of 2024. This policy is now actively in use. Anticipated Date of Completion: 4/26/2025 Name of Contact Persons: Ieesha Jones Management Response: BCPN successfull...
Plan: The cost allocation policy has been implemented and submitted to outsourced auditing firms for review and approval by funders as of 2024. This policy is now actively in use. Anticipated Date of Completion: 4/26/2025 Name of Contact Persons: Ieesha Jones Management Response: BCPN successfully implemented a new allocation policy for the year 2024.
Fraud was identified by board members of the Dover Interfaith Mission for Housing (DIMH) in November 2023 with respect to the Emergency Housing and Health programs, and an internal investigation ensued. Prior to this finding, a committee of the board reviewed the Executive Director’s (ED) financial ...
Fraud was identified by board members of the Dover Interfaith Mission for Housing (DIMH) in November 2023 with respect to the Emergency Housing and Health programs, and an internal investigation ensued. Prior to this finding, a committee of the board reviewed the Executive Director’s (ED) financial reporting and were confident in her documentation, which was also approved by the City of Dover manager of the Emergency Housing and Health programs. Briefly, the ED had invented invoices from motels and landlords along with applications from individuals and families who did not exist. In both programs, DIMH provided funds to cover motel stays and landlord payments and was reimbursed by the City of Dover. In practice, the ED simply took DIMH funds, deposited them into a personal account, and provided invented documents to the City that resulted in reimbursement to DIMH. This clever ruse had eluded both board and city personnel monitoring the expenditures and reimbursements. Once there was suspicion of fraud, board members not involved in prior program oversight actively reviewed files with the City’s program manager to ascertain its extent. A meeting was held between the board chair and the city’s program manager to review all files in order to determine the approximate extent of the fraud, which was clearly limited to these two grant programs. In early January 2024, DIMH board members arranged to meet with the Dover Police Department to provide an overview of the fraud. This led to police contact with local FBI and HUD inspector general offices along with the US attorney for Delaware, with the same board members providing all files and in-person descriptions of the scam. On February 28, 2025, the former ED met with federal officials to determine whether to endeavor to resolve the matter or to engage in litigation. She was given March 14, 2025 as a deadline for her decision. At that date, she agreed to work towards a settlement of resolution of the case and not to go to court. The details of this agreement are pending as of March 14, 2025. In early 2024, the DIMH board engaged a new external accounting firm and created a new control environment with significant internal controls and separation of duties developed in collaboration with the contracted CPA firm.
View Audit 354781 Questioned Costs: $1
Fraud was identified by board members of the Dover Interfaith Mission for Housing (DIMH) in November 2023 with respect to the Emergency Housing and Health programs, and an internal investigation ensued. Prior to this finding, a committee of the board reviewed the Executive Director’s (ED) financial ...
Fraud was identified by board members of the Dover Interfaith Mission for Housing (DIMH) in November 2023 with respect to the Emergency Housing and Health programs, and an internal investigation ensued. Prior to this finding, a committee of the board reviewed the Executive Director’s (ED) financial reporting and were confident in her documentation, which was also approved by the City of Dover manager of the Emergency Housing and Health programs. Briefly, the ED had invented invoices from motels and landlords along with applications from individuals and families who did not exist. In both programs, DIMH provided funds to cover motel stays and landlord payments and was reimbursed by the City of Dover. In practice, the ED simply took DIMH funds, deposited them into a personal account, and provided invented documents to the City that resulted in reimbursement to DIMH. This clever ruse had eluded both board and city personnel monitoring the expenditures and reimbursements. Once there was suspicion of fraud, board members not involved in prior program oversight actively reviewed files with the City’s program manager to ascertain its extent. A meeting was held between the board chair and the city’s program manager to review all files in order to determine the approximate extent of the fraud, which was clearly limited to these two grant programs. In early January 2024, DIMH board members arranged to meet with the Dover Police Department to provide an overview of the fraud. This led to police contact with local FBI and HUD inspector general offices along with the US attorney for Delaware, with the same board members providing all files and in-person descriptions of the scam. On February 28, 2025, the former ED met with federal officials to determine whether to endeavor to resolve the matter or to engage in litigation. She was given March 14, 2025 as a deadline for her decision. At that date, she agreed to work towards a settlement of resolution of the case and not to go to court. The details of this agreement are pending as of March 14, 2025. In early 2024, the DIMH board engaged a new external accounting firm and created a new control environment with significant internal controls and separation of duties developed in collaboration with the contracted CPA firm.
View Audit 354781 Questioned Costs: $1
Finding 2023-003--General Oversight--Significant Deficiency Recommendation: We recommend that the Organization create policies and procedures to ensure proper oversight of the financial reporting function. In addition, we would recommend the Organization to consider the costs and benefits of restr...
Finding 2023-003--General Oversight--Significant Deficiency Recommendation: We recommend that the Organization create policies and procedures to ensure proper oversight of the financial reporting function. In addition, we would recommend the Organization to consider the costs and benefits of restructuring the finance department. This could include allocating additional resources to hire additional employees, reallocation of responsibilities within the organization and less reliance on the contracted accounting services. View of Responsible Officials and Planned Corrective Actions: The Executive Director has worked to reduce the reliance on outside contracted accounting services. Beginning in Q1 2022, agency leadership took necessary action to begin restructuring the Finance Department following a change in staffing with the contracted accounting service. In Q2 2022, the agency promoted a long-tenured staff member to the newly-created Director of Grants and Finance position, which separated and removed all finance duties from the Director of Administration. To support the Director of Grants and Finance, a full-time Grants and Finance Specialist staff position was created in Q3 of 2022 To further strengthen financial oversight and ensure timely access to grant funds, the organization implemented a structured monthly grant billing schedule. This process ensures that vouchering is completed on time, reducing delays in reimbursements and mitigating cash flow disruptions. As a result, grant reimbursements have been received more consistently, alleviating financial strain and improving overall fiscal stability. Joseph’s House has created a 21-page Accounting Policies and Procedures Manual to ensure proper oversight of all fiscal functions. Changes are currently in process and will be sent for review by the Board’s Finance Committee followed by a final review and approval of the full Board of Directors. The organization has scaled back reliance on the contracted accounting service and has ensured that all claims, with the implementation of personnel time-tracking systems, are submitted through our Finance Department. We continue to use a contracted accounting service for higher-level accounting duties and for on-going advisement that supplements, instead of replaces, the work of internal staff. We are confident these changes have improved the agency’s ability to provide adequate management oversight in the financial reporting process. This was completed in Q2 of 2023.
The Municipality will take all necessary administrative measures to promptly address and correct the situation. I will instruct the Finance Department to submit all required financial information promptly to our financial consultant and external auditor to meet the deadline for submitting the Singl...
The Municipality will take all necessary administrative measures to promptly address and correct the situation. I will instruct the Finance Department to submit all required financial information promptly to our financial consultant and external auditor to meet the deadline for submitting the Single Audit Report for the year 2024. Expected completion date : April 30, 2026.
Finding 2023-004 Compliance Requirement: Reporting Material Weakness Assistance Living Number 93.224 Health Center Programs Grant Award Number H80CS00112 US Department of Health and Human Services Condition: The report for the year ended December 31, 2023, was not filed within the required report ...
Finding 2023-004 Compliance Requirement: Reporting Material Weakness Assistance Living Number 93.224 Health Center Programs Grant Award Number H80CS00112 US Department of Health and Human Services Condition: The report for the year ended December 31, 2023, was not filed within the required report submission period. Action Planned in Response to the Finding: The organization will prioritize the financial reporting cycle to ensure the timely preparation, review, and audit of financial statements. This action will support ongoing compliance with all applicable reporting requirements and enhance the accuracy and reliability of financial information. Official Responsible for Ensuring the CAP: Harold Minor Planned Completion Date: December 2024
This issue may still exist FY 2024 and FY 2025, however, in early FY 2026 the City will appropriate additional resources to complete "catch up" bookkeeping necessary to achieve the timely closing of the books and performance of the audit in FY 2026.
This issue may still exist FY 2024 and FY 2025, however, in early FY 2026 the City will appropriate additional resources to complete "catch up" bookkeeping necessary to achieve the timely closing of the books and performance of the audit in FY 2026.
Finding 555797 (2023-003)
Significant Deficiency 2023
Description of Finding: IYT did not submit its FY22-23 Single Audit and Audited Financial tatements to the federal audit clearinghouse by the required deadline of March 31, 2024. The delay was attributed to internal capacity constraints and staff turnover, which resulted in late preparation of the S...
Description of Finding: IYT did not submit its FY22-23 Single Audit and Audited Financial tatements to the federal audit clearinghouse by the required deadline of March 31, 2024. The delay was attributed to internal capacity constraints and staff turnover, which resulted in late preparation of the Schedule of Expenditures of Federal Awards and other key audit deliverables. Statement of Concurrence or Nonconcurrence: We concur with the audit finding. Corrective Action: IYT acknowledges the late submission of the FY22-23 Single Audit and recognizes delays in the FY23-24 audit timeline as well. This reflects a breakdown in internal ownership and process awareness related to the Single Audit. The CFAO is taking full responsibility for implementing new internal systems, including a detailed audit readiness timeline, early preparation of the SEFA, and clear role assignments.. IYT is also evaluating whether additional staff capacity or process changes are needed to ensure future compliance with federal reporting deadlines. Name of Contact Person: Macarena O’Brien, Chief Financial & Administrative Officer (480)993-4764 | macarena@improveyourtomorrow.org Projected Completion Date: March 31, 2026
We have executed strategic process improvements and personnel adjustments within the Finance function specifically designed to facilitate more efficient and timely completion of month-end, quarter-end, and year-end close procedures. These improvements include standardized workflows, clearly defined ...
We have executed strategic process improvements and personnel adjustments within the Finance function specifically designed to facilitate more efficient and timely completion of month-end, quarter-end, and year-end close procedures. These improvements include standardized workflows, clearly defined responsibilities, and process automation. Additionally, the finance team has committed to ensuring adequate time allocation for all audit activities. We have established a proactive planning framework that incorporates appropriate buffer periods to guarantee completion well in advance of regulatory deadlines. Furthermore, we commit to conducting all fieldwork within the initially scheduled timeframes to prevent timeline extensions.
The Finance Team has developed and deployed a comprehensive month-end close process that includes: • A detailed procedural checklist with clearly defined responsibilities • Specific deadlines for each critical task in the close sequence • Formal approval requirements at key control points • A target...
The Finance Team has developed and deployed a comprehensive month-end close process that includes: • A detailed procedural checklist with clearly defined responsibilities • Specific deadlines for each critical task in the close sequence • Formal approval requirements at key control points • A targeted completion timeline of 30 days post month-end To support this enhanced process, we have strategically increased resources within the finance function, including additional staff allocation to high-priority areas. Furthermore, we are conducting a thorough assessment of automation opportunities throughout our accounting workflow to improve efficiency, reduce manual processing, and accelerate the completion of key accounting tasks.
2023-003 – All Federal Programs – Compliance – Data Collection Form Finding: For the fiscal year ended September 30, 2022, the Village did not submit the data collection form to the Federal Clearinghouse by the required due date of June 30, 2023, in accordance with the federal requirements. In addit...
2023-003 – All Federal Programs – Compliance – Data Collection Form Finding: For the fiscal year ended September 30, 2022, the Village did not submit the data collection form to the Federal Clearinghouse by the required due date of June 30, 2023, in accordance with the federal requirements. In addition, due to the late issuance of the 2023 fiscal year audit, the submission deadline for FY 2023 of June 30, 2024 has passed and as such, the Village did not meet the submission deadline. Correction Action: The Village will ensure the data collection form for the fiscal year ending September 30, 2024 is submitted at the completion of the audit. Responsible Parties: Village Administrator, Community and Economic Development Coordinator and Accounting Supervisor. Anticipated Completion Date: June 2025
The Vice President of Administrative Services will seek to add staff to the finance department to support grant initiatives. During FY 24‐25 a grant policy will be developed and effort be made to communicate each grant initiative as it becomes available, to the Executive Council. This process and st...
The Vice President of Administrative Services will seek to add staff to the finance department to support grant initiatives. During FY 24‐25 a grant policy will be developed and effort be made to communicate each grant initiative as it becomes available, to the Executive Council. This process and staffing update will help the college provide more detail, accuracy and controls over grants. This will be accomplished by 8‐1‐2025.
The County did experience issues with the reporting portal for these funds.  When we requested assistance, we received generic responses and little assistance from the Treasury.  It wasn’t until November 2024 that we were finally able to gain the assistance we needed to gain full access to the Treas...
The County did experience issues with the reporting portal for these funds.  When we requested assistance, we received generic responses and little assistance from the Treasury.  It wasn’t until November 2024 that we were finally able to gain the assistance we needed to gain full access to the Treasury portal as well as some guidance on the reports.  On January 1, 2025, the Treasury provided guidance that is helpful to us in understanding the reporting requirements.  Now that we have the access and guidance we need, all reports will be submitted accurately and on time.
2023‐009 Reporting Annual Project and Expenditures Report (Material Weakness): The City did complete the Project and Expenditures Report but just not timely as a result of staff turnover during the actual fiscal year. Since taking office in fiscal year 2024, the current Finance Director has prioriti...
2023‐009 Reporting Annual Project and Expenditures Report (Material Weakness): The City did complete the Project and Expenditures Report but just not timely as a result of staff turnover during the actual fiscal year. Since taking office in fiscal year 2024, the current Finance Director has prioritized compliance with federal reporting requirements. As of fiscal year 2025, all required project and expenditures reporting has been completed and submitted in accordance with U.S. Department of Treasury guidelines. To prevent future occurrences, the Finance Department has implemented internal controls ensuring multiple staff members are responsible for federal reporting. Specifically, both the Finance Director and the Financial Analyst now share the responsibility and authority to complete and submit these annual reports. This new process ensures continuity in reporting, even in the event of staff turnover, and strengthens the City’s commitment to compliance with federal funding requirements. In addition, The City’s Procurement officer now maintains responsibility for grants from award to reversion date. A tracking file is maintained for all active grants at the point it is awarded, expended, and reimbursement received to ensure this process is properly managed. Additionally, the Finance Director oversees this responsibility so there are now multiple controls to ensure timely completion.
2023-008 Single Audit Report Submission (Noncompliance) (Repeat/Modified): The City is working to get current with the accounting processes and financials that would enable the timely performance of the annual financial audit. The Director of Finance has contracted a public accounting firm for assis...
2023-008 Single Audit Report Submission (Noncompliance) (Repeat/Modified): The City is working to get current with the accounting processes and financials that would enable the timely performance of the annual financial audit. The Director of Finance has contracted a public accounting firm for assistance to accelerate this process and ensure future timely audit completion. In addition, the Finance Department has implemented multiple monthly and annual reconciliation processes to ensure the general ledger is accurate and financial operations sound. Training of City staff on completion of monthly processes is ongoing and will continue with oversight by the Director of Finance.
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