Corrective Action Plans

Finding 519903 (2023-002)

None 2023

ME

Reporting Internal Control / Segregation of Duties § 200.512

Management will work with the audit firm to plan, schedule, and begin the audit process to meet the deadline set by Uniform Guidance.

View Audit 339272

Finding 519884 (2023-001)

None 2023

Jo Daviess Residential Services

IL

HUD Housing Programs Reporting Matching / Level of Effort / Earmarking § 200.512

JO DAVIESS RESIDENTIAL SERVICES, INC. 521 S. WEST STREET GALENA, IL 61036 ...

JO DAVIESS RESIDENTIAL SERVICES, INC. 521 S. WEST STREET GALENA, IL 61036 CORRECTIVE ACTION PLAN January 20, 2025 U. S. Department of Housing and Urban Development Ralph Metcalfe Federal Building 77 West Jackson Boulevard Chicago, IL 60604-3507 Jo Daviess Residential Services, Inc. respectfully submits the following Corrective Action Plan for the year ended June 30, 2023. Bernard Robinson & Company, L.L.P. 1501 Highwoods Blvd., Suite 300 Post Office Box 19608 Greensboro, North Carolina 27419-9608 Period: Year ended June 30, 2023 The finding from the June 30, 2023 Schedule of Findings and Questioned Costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. Finding 2023-001: Supportive Housing for the Persons with Disabilities (Section 811), CFDA #14.181 Recommendation: We recommend management and the board of directors ensure that the audit and data collection forms are completed timely and the data collection form and required reporting package are submitted electronically to the FAC each fiscal year going forward. Management's Response: We agree with Finding 2023-001 and the recommendation described in the accompanying schedule of findings and questioned costs. Management will provide additional oversight to ensure the data collection forms are submitted electronically to the FAC each fiscal year going forward within required due dates. If HUD has questions regarding this corrective action plan, please call (815) 288-6691. Sincerely yours, Jeff Stauter Director Kreider Services, Inc. Managing Agent

View Audit 339217

Finding 519875 (2023-004)

Material Weakness 2023

Town of Lafontaine

IN

Matching / Level of Effort / Earmarking Material Weakness Reporting § 200.302 § 200.303 § 200.328 § 200.329

FINDING 2023 - 004 Finding Subject: Water and Waste Disposal System for Rural Communities - Reporting Summary of Finding: Material Weakness, Modified Opinion Contact Person Responsible for Corrective Action: Pamela Whitener Contact Phone Number and Email Address: 765-981-4591 clerk@lafontaine.in.gov...

FINDING 2023 - 004 Finding Subject: Water and Waste Disposal System for Rural Communities - Reporting Summary of Finding: Material Weakness, Modified Opinion Contact Person Responsible for Corrective Action: Pamela Whitener Contact Phone Number and Email Address: 765-981-4591 clerk@lafontaine.in.gov Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: We were of the understanding that Commonwealth filed these reports. Going forward the Clerk will submit the reports after review by the Deputy-Clerk and the Town Council. Anticipated Completion Date: January 2025

View Audit 339193

Finding 519849 (2023-001)

Significant Deficiency 2023

Anchorage Affordable Housing and Land Trust

AK

Reporting § 200.512

Name of Contact Person: Robin Ward Corrective Action Planned: Due to turnover of the start up of the Organization's rental operation, the accounting for the for the rental properties was performed by the managment company. The Organization was unable to have the annual audit completed within the req...

Name of Contact Person: Robin Ward Corrective Action Planned: Due to turnover of the start up of the Organization's rental operation, the accounting for the for the rental properties was performed by the managment company. The Organization was unable to have the annual audit completed within the required timeframe, and subsequently was late in submission of the FAC report. The Organization has contracted with the management company's accountants to combine all the accounting into one set of records and to conduct audit preparation and other financial services as requested. The Organization will work on getting financial information in a timely fashion and submit the reporting package in accordance with the guidelines. Anticipated completion date: January 2025.

View Audit 339112

Finding 519722 (2023-002)

Material Weakness 2023

Eau Claire Cooperative Health Center, Inc.

SC

Reporting

We have reviewed the comments provided herein and are in agreement with the comments and will remediate the findings as follows: We are reviewing the staffing of our finance department in an effort to ensure that on a go forward basis we reduce turnover and have individuals with adequate training ...

We have reviewed the comments provided herein and are in agreement with the comments and will remediate the findings as follows: We are reviewing the staffing of our finance department in an effort to ensure that on a go forward basis we reduce turnover and have individuals with adequate training and subject matter knowledge to perform assigned functions in accordance with appropriate standards and expectations. We are always receptive to positive constructive criticism in our effort to improve upon compliance and financial reporting. Sincerely yours, Sonja McCausland

View Audit 338825

Finding 519721 (2023-001)

Material Weakness 2023

Eau Claire Cooperative Health Center, Inc.

SC

Reporting Internal Control / Segregation of Duties

We have reviewed the comments provided herein and are in agreement with the comments and will remediate the findings as follows: We are reviewing the staffing of our finance department in an effort to ensure that on a go forward basis we reduce turnover and have individuals with adequate training ...

We have reviewed the comments provided herein and are in agreement with the comments and will remediate the findings as follows: We are reviewing the staffing of our finance department in an effort to ensure that on a go forward basis we reduce turnover and have individuals with adequate training and subject matter knowledge to perform assigned functions in accordance with appropriate standards and expectations. We are always receptive to positive constructive criticism in our effort to improve upon compliance and financial reporting. Sincerely yours, Sonja McCausland

View Audit 338825

Finding 519714 (2023-002)

Significant Deficiency 2023

Advent House Ministries, Inc.

MI

Allowable Costs / Cost Principles Reporting Significant Deficiency

January 7, 2025 Advent House Ministries, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2023. Auditor: Maner Costerisan 2425 E. Grand River Avenue, Suite 1 Lansing, MI 48912 Audit Period: The finding from the December 31, 2023 schedule of findings and ...

January 7, 2025 Advent House Ministries, Inc. respectfully submits the following corrective action plan for the year ended December 31, 2023. Auditor: Maner Costerisan 2425 E. Grand River Avenue, Suite 1 Lansing, MI 48912 Audit Period: The finding from the December 31, 2023 schedule of findings and questioned costs is discussed below. The finding is numbered consistently with the number assigned in the schedule. Findings - Financial Statement Audit Finding 2023-001 - Significant Deficiency Recommendation: Advent House Ministries, Inc. should consider obtaining the necessary skills, knowledge, or experience to prepare and/or review the footnotes related to the financial statements of the Organization. Action Taken: We concur with the recommendation, the Organization has contracted with an accountant in 2024 with the skills, knowledge, and experience to address the above recommendation. Finding - Federal audit Finding 2023-002 - Significant Deficiency Recommendation: Advent House Ministries, Inc. currently has procedures and controls in place to effectively monitor the status of the submission of the data collection form and the reporting package to ensure that the required information is submitted in a timely manner. The cause related to this finding was not due to failure in internal controls, therefore, we have no further recommendation for the Organization at this time. Action to be Taken: The Organization concurs with the facts of this finding and has procedures in place to ensure the timely submission of the data collection form and the reporting package. Sincerely yours, Susan Cancro, Executive Director

View Audit 338820

Finding 519623 (2023-001)

Material Weakness 2023

Longview School District No. 122

WA

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

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Longview School District No. 122 September 1, 2022 through August 31, 2023 This schedule presents the corrective action the District is planning to take for findings included in this report in accordance with Title 2 U.S. Code of F...

CORRECTIVE ACTION PLAN FOR FINDINGS REPORTED UNDER UNIFORM GUIDANCE Longview School District No. 122 September 1, 2022 through August 31, 2023 This schedule presents the corrective action the District is planning to take for findings included in this report in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Finding ref number: 2023-001 Finding caption: The District did not have adequate internal controls for ensuring compliance with federal wage rate requirements. Name, address, and telephone of District contact person: Joan Parsons, Lead Accountant 2715 Lilac St Longview, WA 98632 (360)575-7177 Corrective action the auditee plans to take in response to the finding: The District has now enhanced its process surrounding collection and verification of certified payroll reports to include sending a weekly inquiry to the point of contact for the prime contractor for each federally-funded construction project. The inquiry requests the prime contractor to: • disclose if the prime contractor performed any work on the project that would be subject to Davis-Bacon prevailing wage requirements and if so, supply the certified payroll reports • identify any subcontractors who performed work on the project that would be subject to Davis-Bacon prevailing wage requirements, and if so, supply the certified payroll reports This communication is sent via email, read receipt requested, and the prime contractor’s response (or lack thereof) is documented and followed up on as necessary. Anticipated date to complete the corrective action: This process was implemented June 2024.

View Audit 338730

Finding 519523 (2023-002)

Material Weakness 2023

Fort Defiance Housing Corporation D/b/a Sandstone Housing

NM

Reporting Subrecipient Monitoring Material Weakness

Submission of Single Audit Reports (Material Weakness) (Repeat Finding 2022-001) Criteria – Section 200.512 of the Uniform Guidance states that the single audit shall be completed and the data collection form and reporting package shall be submitted within the earlier of 30 calendar days after rece...

Submission of Single Audit Reports (Material Weakness) (Repeat Finding 2022-001) Criteria – Section 200.512 of the Uniform Guidance states that the single audit shall be completed and the data collection form and reporting package shall be submitted within the earlier of 30 calendar days after receipt of the auditor’s report, of nine months after the end of the audit period. Condition and Context – The organization did not complete its single audit and submit its data collection form and reporting package for the year ended December 31, 2023 by the required deadline. Cause and Effect – Due to a delay in the finalization of the Schedule of Expenditures of Federal Awards and the compiling of records and supporting documentation relation to the financial statement audit and compliance audit, the Organization was late in completing its single audit and submitting its data collection form and reporting package to the Federal Audit Clearinghouse. Questioned Costs – None noted. Recommendation – We recommend that the organization improve its financial reporting close process in order to complete its annual single audit and submit the data collection form and reporting package to the Federal Audit Clearinghouse by the required deadline. Corrective Action Plan – FDHC provided all items requested by auditors on or before the required deadline (typically within 24 hours of request). Due to circumstances out of FDHC’s control, FDHC received a default judgement close to the time of audit issuance. This default judgement was based upon an ongoing court case that began in 2019. Once the auditors were notified of default judgement, the auditors made the decision not to issue until they could thoroughly review all relevant court documents related to the default judgement. The late issuance of the audit was not due to the readiness of FDHC accounting team. We do not feel that this will be an issue going forward. FDHC CEO, Shelby Garcia, and FDHC legal counsel will continue to keep auditors updated on any future court proceedings.

View Audit 338530

Finding 519520 (2023-001)

Material Weakness 2023

Fort Defiance Housing Corporation D/b/a Sandstone Housing

NM

Reporting Procurement, Suspension & Debarment Material Weakness

Improve Procedures over the Preparation of the Schedule of Expenditure of Federal Awards (Material Weakness) As part of our audit procedures, we audit the completeness and the accuracy of the Schedule of Expenditures of Federal Awards. Management is responsible for the preparation of the Schedul...

Improve Procedures over the Preparation of the Schedule of Expenditure of Federal Awards (Material Weakness) As part of our audit procedures, we audit the completeness and the accuracy of the Schedule of Expenditures of Federal Awards. Management is responsible for the preparation of the Schedule of Expenditures of Federal Awards in accordance with the requirements of the Uniform Guidance. This schedule is an integral component of the Organization’s reporting in accordance with the Uniform Guidance as it identifies total federal awards expended for each individual federal program and it serves as the primary basis for the auditor’s major program determination. During our audit, we became aware of evidence which indicated that in a prior year loans that had been thought to be forgiven by USDA were in fact repurchased by USDA. The debt should have been reflected on the Schedule of Expenditures of Federal Awards under the Section 538 program. The Schedule of Expenditures of Federal Awards was Corrected during the audit, however, it appears the errors were made due to a lack of sufficient Internal controls over the preparation of the Schedule of Expenditures of Federal Awards. Recommendation – We recommend that the Organization implement adequate procedures, including Staff training and formal review and verification process by supervisory personnel, as part of its annual process to prepare the Schedule of Expenditures of Federal Awards in order to ensure its accuracy. Corrective Action Plan – The repurchase of the loans occurred in 2022 and all documents regarding the Repurchase of the loans were provided to FDHC who then provided all documents to auditors. At that time it was not made clear to FDHC that the repurchase of the loans should be included on the Schedule of Expenditures of Federal Awards under the Section 538 program. The repurchase was not included on the 2022 Schedule of Expenditures of Federal Awards under the Section 538 program and this was not an issue on FDHC’s 2022 audit which was also provided to and reviewed by USDA. It was not until 2024 that this came into question. FDHC reached out to USDA to verify if this repurchase should be included on the Schedule of Expenditures of Federal Awards under the Section 538 program. After going through multiple channels of USDA, it was determined that FDHC should include the repurchase of the Schedule of Expenditures of Federal Awards under the Section 538 program. Now that FDHC has been made aware that this needs to be included, CEO, Shelby Garcia, FDHC will get written confirmation from USDA as to the nature of any future debt restructurings/forgiveness, and the corrective action plan has been in place since the start of the fiscal year.

View Audit 338530

Finding 519481 (2023-001)

Material Weakness 2023

Mental Health Resource of Texas, Inc.

TX

Questioned Costs Internal Control / Segregation of Duties Allowable Costs / Cost Principles

I. VIA HOPE 2023 MANAGEMENT CORRECTIVE ACTION PLAN: ► BACKGROUND: CONTINUATION, ADDRESS MULTI-YEAR FRAUD: STRENGTHEN INTERNAL CONTROLS: Management and staff continue to work with the insurance carrier and local law enforcement agencies to restore funds and strengthen its internal controls. ► Update:...

I. VIA HOPE 2023 MANAGEMENT CORRECTIVE ACTION PLAN: ► BACKGROUND: CONTINUATION, ADDRESS MULTI-YEAR FRAUD: STRENGTHEN INTERNAL CONTROLS: Management and staff continue to work with the insurance carrier and local law enforcement agencies to restore funds and strengthen its internal controls. ► Update: History and Board Actions: In FY 2021, Via Hope experienced a significant loss of revenue due to the ending of contracts from its two primary funding streams – the Health and Human Services Commission and the Hogg Foundation for Mental Health. This loss of revenue resulted in the Board recommending and approving the reduction of staff and the departure of the CEO. In FY 2022, the Board recommended and approved the termination of its Accounts Manager and the former Board Chairman stepped in to voluntarily manage the finances until the organization could make other arrangements. The former chairman stepped down from his role and an election of officers was held to install a new Chair. By January 2022, with new revenue coming into the organization, the Board selected a new CEO and in December 2022, a new accounts manager was hired. Once the new accounts manager began reconciling the accounts, a pattern of questionable expenditures became evident with PayPal and other accounts. The CEO and staff informed the Board of what appeared to have happened and recognizing its fiduciary responsibility, the Board approved the engagement of a forensic audit by an external audit firm, The Wesley Peachtree Group (WPG) of Atlanta, Georgia. The forensic audit resulted in findings that fraudulent activity in the amount of $233,000 was likely to have occurred. As a result, the CEO was instructed to file an insurance claim with Frost Insurance. To process the claim, Frost required the involvement of law enforcement which was approved by the Board. Formal investigations were launched and remain ongoing with the Austin Police Department and the Travis County District Attorney's office. Recently, law enforcement met with the Board and provided an update on the investigation. Subsequently, the CEO was requested to follow up with the insurance carrier and state regulatory agencies to ensure the prompt receipt of its insurance claim from PayPal and other potential sources. II. FINDINGS AND RECOMMENDATIONS: Finding 2023-001 - Internal Control Deficiencies (Material Weakness) a) Time and Effort, Payroll and Human Resource Forms and Contracts - In response to the finding, Management will require monthly Time and Effort reports for each employee, develop new human resource forms, and update staff contracts at the beginning of the fiscal year. b) Drawdowns and Written Approvals - With the addition of the new Finance staff member in January 2025, management will initiate a written approval process. All payroll adjustments, drawdowns, credit card purchases, and payments will require invoices, receipts, and written approvals before payment is made. The Accounting Manager will also work with the CEO to ensure that staff provide receipts promptly and that journal entries are recorded on a monthly basis. c) Receipts, Written Approvals, PP&E Schedule - Receipts and written approvals were addressed in Response (C). While the organization maintains an equipment log, we will establish a formal Property, Plant, and Equipment Schedule (PP&E), particularly noting equipment purchased with federal funds. d) Paypal, Frost, Forte - Management continues to work with law enforcement to obtain misappropriated funds from PayPal, and other potential accounts. As indicated, investigators met with the CEO, staff, Frost Bank, and the Board to obtain information regarding these accounts. It is our understanding that they may meet with prior Via Hope executives as well. We will update the auditors when more information is provided. e) Segregation of Duties - Management has begun the process of interviewing qualified staff to segregate duties in the Finance office. This will ensure that one individual will no longer be responsible for handling funds, payments, reconciliations, and General Ledger (GL) postings. The individual will be in place by January 2025.

View Audit 338449 Questioned Costs: $1

Finding 519404 (2023-002)

Significant Deficiency 2023

Crawford County Board of Education

GA

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring § 200.303 § 200.403 § 200.415

FA 2023-002 Strengthen Budgetary Controls over Expenditures Internal Control Impact: Significant Deficiency Compliance Impact: Activities Allowed or Unallowed Allowable Costs/Cost Principle Prior Year Finding: None Description: A review of expenditures charged to the Elementary and Secondary ...

FA 2023-002 Strengthen Budgetary Controls over Expenditures Internal Control Impact: Significant Deficiency Compliance Impact: Activities Allowed or Unallowed Allowable Costs/Cost Principle Prior Year Finding: None Description: A review of expenditures charged to the Elementary and Secondary School Emergency Relief Fund program revealed instances in which expenditures has not been properly approved by the pass- through entity. Corrective Action Plans: the School District will work with all entities to confirm that all existing controls are adhered to by developing and implementing an improved monitoring process. This process will ensure that all expenditures comply with all applicable policies and regulations. Estimated Completion Date: June 30, 2024 Contact Person: Daisy M. Prather, Finance Director Telephone: (478) 836-3131 extension 106 Email: daisy.prather@crawfordschools.org

View Audit 338350 Questioned Costs: $1

Finding 519402 (2023-001)

Material Weakness 2023

Crawford County Board of Education

GA

Subrecipient Monitoring Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking § 200.302 § 200.303

FA 2023-001 Improve Controls over Financial Reporting Internal Control Impact: Material Weakness Compliance Impact: Material Noncompliance Prior Year Finding: None Description: The accounting procedures of the School District were insufficient to provide adequate internal controls over multipl...

FA 2023-001 Improve Controls over Financial Reporting Internal Control Impact: Material Weakness Compliance Impact: Material Noncompliance Prior Year Finding: None Description: The accounting procedures of the School District were insufficient to provide adequate internal controls over multiple control categories. Corrective Action Plans: Management will review, design, and implement procedures to strengthen the internal controls over the accounting functions to ensure transactions are properly processed and reported. Estimated Completion Date: June 30, 2024 Contact Person: Daisy M. Prather, Finance Director Telephone: (478) 836-3131 extension 106 Email: daisy.prather@crawfordschools.org

View Audit 338350

Finding 519349 (2023-005)

None 2023

Thornton Township High School District 205

IL

Questioned Costs Reporting Procurement, Suspension & Debarment

Condition: The District did not claim expenditures in conformity with the approved detail budget. Plan: Management will review its policies and procedures and implement changes to strengthen internal control over federal reporting. Anticipated Date of Completion: June 30, 2024. Name of Contact Perso...

Condition: The District did not claim expenditures in conformity with the approved detail budget. Plan: Management will review its policies and procedures and implement changes to strengthen internal control over federal reporting. Anticipated Date of Completion: June 30, 2024. Name of Contact Person: Dr. Albert Holmes. Management Response: The District will continue to monitor and review all expenditures to ensure that internal controls are applied as allowable costs and reporting required by federal and state guidelines.

View Audit 338190 Questioned Costs: $1

Finding 519340 (2023-004)

None 2023

Thornton Township High School District 205

IL

Reporting Subrecipient Monitoring

Condition: The District did not comply with the requirements of filing quarterly and final reports by the due dates set by ISBE for 7 reports. Plan: Management will review its policies and procedures and implement changes to strengthen internal control over federal reporting. Anticipated Date of Com...

Condition: The District did not comply with the requirements of filing quarterly and final reports by the due dates set by ISBE for 7 reports. Plan: Management will review its policies and procedures and implement changes to strengthen internal control over federal reporting. Anticipated Date of Completion: June 30, 2024. Name of Contact Person: Dr. Albert Holmes. Management Response: Management will work together with staff to verify that reporting deadlines are met moving forward.

View Audit 338190

Finding 519339 (2023-003)

None 2023

Thornton Township High School District 205

IL

Reporting Subrecipient Monitoring

Condition: The District did not comply with the requirements of filing quarterly and final reports by the due dates set by ISBE for 11 reports. Plan: Management will review its policies and procedures and implement changes to strengthen internal control over federal reporting. Anticipated Date of Co...

Condition: The District did not comply with the requirements of filing quarterly and final reports by the due dates set by ISBE for 11 reports. Plan: Management will review its policies and procedures and implement changes to strengthen internal control over federal reporting. Anticipated Date of Completion: June 30, 2024. Name of Contact Person: Dr. Albert Holmes. Management Response: Management will work together with staff to verify that reporting deadlines are met moving forward.

View Audit 338190

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

2023-004 – Filing with the Federal Audit Clearinghouse took place more than 9 months subsequent to the fiscal year end

View Audit 338168

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

Auditor’s Recommendation:

View Audit 338168

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

It is recommended that The Coalition implement the following measures to address the identified deficiency:

View Audit 338168

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

· Enhance internal controls over the financial reporting process to ensure timely submission of all required reports.

View Audit 338168

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

· Provide training to financial staff and the Board of Directors on federal reporting requirements and deadlines.

View Audit 338168

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

· Establish a compliance calendar to track all reporting deadlines and ensure timely submissions.

View Audit 338168

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

· Conduct periodic reviews of the reporting process to identify and address any potential delays or issues proactively.

View Audit 338168

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

By taking these actions, The Coalition can improve its compliance with federal regulations and enhance the reliability and timeliness of its financial reporting.

View Audit 338168

Finding 519322 (2023-004)

Significant Deficiency 2023

Ohio Hispanic Coalition Institute of Diversity Services

OH

Reporting

Views of Responsible Officials and Planned Corrective Actions:

View Audit 338168

Corrective Action Plans

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