Acknowledgment of Findings
We acknowledge the inadequacies in our internal controls over financial reporting that
necessitated the material audit adjustments. It is our understanding that these challenges
primarily resulted from staffing turnover and a lack of sufficient GAAP knowledge among our
for...
Acknowledgment of Findings
We acknowledge the inadequacies in our internal controls over financial reporting that
necessitated the material audit adjustments. It is our understanding that these challenges
primarily resulted from staffing turnover and a lack of sufficient GAAP knowledge among our
former team members.
Actions Taken and Planned
1. Staffing Assessment and Recruitment
We have experienced significant growth within our team over the past year. It is
important to note that the issues raised by the audit are reflective of previous personnel
rather than our current team members, who have taken on these responsibilities for the
fiscal year ending 2024. Furthermore, we have recognized the necessity for a dedicated
revenue cycle role and have recently appointed a Revenue Cycle Manager to this newly
defined position. This individual will be tasked with restructuring operational components
throughout the organization and redefining all related roles within the Finance
department to enhance our internal controls.
2. Enhancement of Staff Development
The finance department remains committed to the continuous education and training of
our dedicated team members to enhance their capabilities. This initiative includes
collaboration with both internal and external subject matter experts.
3. Ongoing Monitoring and Support
In September 2024, we initiated the implementation of an automated accounting
workflow software, FloQast (FQ). This system enables our team to streamline recurring
tasks, maintain checklists, and centralize documentation, thereby improving the
accuracy of our financial close data. For instance, FQ provides a consolidated view of
the reconciliation status of each account, including balance comparisons to the general
ledger, preparers, reviewers, and sign-off dates. Additionally, FQ automatically notifies team members when reconciliations are due or when items are ready for review and
alerts them to any unexpected discrepancies.
4. Alvis Staff Responsible: Makesha West, Behavioral Health Divisional Director; Abena
Oppong, Developmental Disability Divisional Director; and Jacqueline Neal, VP of
Finance.