Corrective Action Plans

Finding 1177168 (2025-038)

Material Weakness 2025

State of Colorado

CO

Student Financial Aid Reporting

The Colorado State University and Colorado State University – Pueblo campuses will strengthen their internal controls to ensure enrollment changes are reported within the required 60-day timeline for newly enrolled students. Additionally, the Colorado State University and Colorado State University –...

The Colorado State University and Colorado State University – Pueblo campuses will strengthen their internal controls to ensure enrollment changes are reported within the required 60-day timeline for newly enrolled students. Additionally, the Colorado State University and Colorado State University – Pueblo campuses will improve the documentation provided as part of compliance testing as both students referenced within the finding were unique situations. In both instances referenced, additional context was not provided during compliance testing for both students that was not captured on the provided National Student Loan Data System Campus Enrollment Details webpage that showed the appearance of reporting an enrollment status change outside of the 60-day requirement. For the Colorado State University, the student was reported with an effective date of the beginning of the Fall 2024 Semester but did not complete verification procedures until February 2025 and was then disbursed the Fall 2024 portion of their Pell Grant. For Colorado State University – Pueblo, the student was reported with an effective date of the beginning of the Fall 2024 Semester, but corrections were required on the student’s FAFSA before federal student financial aid could be disbursed. The campuses will improve documentation provided during compliance testing for when these unique situations with enrollment reporting occur.

View Audit 390975

Finding 1177053 (2025-001)

Material Weakness 2025

University of the Pacific

CA

Student Financial Aid Reporting

Subject: Corrective Action Plan for Federal Direct Student Loans Program Compliance The University of the Pacific acknowledges the findings outlined in the audit related to the reporting of student enrollment status to the National Student Loan Data System (NSLDS) for the Federal Direct Student Loan...

Subject: Corrective Action Plan for Federal Direct Student Loans Program Compliance The University of the Pacific acknowledges the findings outlined in the audit related to the reporting of student enrollment status to the National Student Loan Data System (NSLDS) for the Federal Direct Student Loans Program (Federal Assistance Listing Number: 84.268) for the award year July 1, 2024 – June 30, 2025. The audit identified a system-level transmittal configuration issue in which campus-level enrollment updates inadvertently overrode certain program-level enrollment status fields within NSLDS reporting. We take our responsibility to comply with the federal regulations under 34 CFR Section 685.309 very seriously and are committed to strengthening our internal controls and system governance processes to ensure accurate, complete, and timely reporting of enrollment changes at both the campus and program levels. Corrective Action Plan: To address the identified deficiency, Finding# 2025-001, related to program-level enrollment status reporting and to strengthen preventive controls over NSLDS submissions, the University has implemented the following measures, effective immediately (February 19, 2026): 1. Root Cause Isolation and System Logic Review: The University identified that a specific NSLDS transmittal file configuration resulted in campuslevel enrollment updates overriding program-level enrollment status fields. In collaboration with Information Technology, the Registrar’s Office has isolated the reporting logic and corrected the configuration to prevent program-level status fields from being overwritten by subsequent campus-level submissions. Documentation of the revised logic has been retained for audit purposes. 2. Full Population Review and Remediation: The University will conduct a comprehensive review of NSLDS records for the affected student population to confirm accuracy of program-level enrollment status. Where discrepancies are identified, corrected submissions will be transmitted promptly to NSLDS. Documentation of the review and any corrections will be maintained to ensure a complete audit trail. 3. Segregation of Campus-Level and Program-Level Reporting Logic: Enrollment reporting procedures have been updated to formally distinguish campus-level and program-level reporting workflows. Any future modifications to enrollment reporting logic will require documented change management review, regression testing, and joint approval from the Registrar’s Office and Information Technology prior to implementation. 4. Targeted Program-Level Monitoring Dashboard: In addition to existing monthly NSC and NSLDS reconciliations, the Registrar’s Office will implement a targeted monthly exception report specifically monitoring program-level enrollment status changes. This report will identify discrepancies between SIS records and transmitted data, including concurrent program records and recent status changes, to ensure ongoing data integrity. 5. Quarterly Compliance Sampling and Oversight: On a quarterly basis, an independent staff member not involved in file preparation will conduct a sampling review of transmitted NSLDS records to verify program-level status accuracy. Results will be documented and reviewed by the Registrar to ensure sustained compliance. 6. SOP Enhancement and Staff Training: The University has updated its Enrollment Reporting Standard Operating Procedures to incorporate explicit review steps for program-level data validation and transmission oversight. Targeted training has been provided to staff responsible for enrollment reporting to reinforce compliance expectations and system configuration awareness. The University remains committed to ensuring accurate and timely reporting of student enrollment data in full compliance with federal regulations. These enhanced preventive and governance controls build upon prior corrective actions and further strengthen the integrity of our Title IV reporting framework. Anticipated Completion Date: 6/30/26 Person Responsible: Michael Snyder, Associate University Registrar

View Audit 390968

Finding 1177038 (2025-002)

Material Weakness 2025

Claire Blue Health LLC

IN

Reporting Matching / Level of Effort / Earmarking

The Medical Center will create calendar appointments prior to required deadline for submission of the audited financial statements and annual budget for the responsible personnel including the chief financial officer.

View Audit 390925

Finding 1177037 (2025-001)

Material Weakness 2025

Baptist Memorial Health Care Corporation

TN

Reporting Cash Management Eligibility

Re: Finding 2025 001 – Significant Deficiency in Internal Control Over Financial Reporting – Preparation of the Schedule of Expenditures of Federal Awards (SEFA) The Corporation agrees with the recommendation. Management acknowledges that certain federal expenditures were not initially reported on t...

Re: Finding 2025 001 – Significant Deficiency in Internal Control Over Financial Reporting – Preparation of the Schedule of Expenditures of Federal Awards (SEFA) The Corporation agrees with the recommendation. Management acknowledges that certain federal expenditures were not initially reported on the Schedule of Expenditures of Federal Awards (SEFA) in the appropriate fiscal periods due to a misunderstanding of applicable Uniform Guidance requirements and reliance on prior audit treatment. Specifically, expenditures related to Federal Emergency Management Agency (FEMA) programs were not included on the SEFA until reimbursement was received, and certain per patient payments associated with federally funded research were not initially identified as SEFA reportable. To address this matter and strengthen internal controls over the preparation and review of the SEFA, management will implement the following corrective actions: • Future FEMA expenditures will be reported on the SEFA in the fiscal year in which the projects are obligated and eligible expenditures are incurred, regardless of the timing of reimbursement. • Per patient payments received in connection with federally funded research programs will be evaluated for SEFA reporting and included as required. • A formal Standard Operating Procedures related to the preparation of the SEFA will be developed and implemented to clarify reporting requirements for obligated expenditures, per patient grant activity, and other federal awards. • Review procedures will be enhanced to include confirmation by entity and corporate leadership that all federal awards and related expenditures have been identified, evaluated, and appropriately reported on the SEFA. • Management will evaluate opportunities to complete SEFA preparation and preliminary review earlier in the audit cycle to allow for timely identification and resolution of potential reporting issues. Management believes these actions will improve the accuracy and completeness of the SEFA and reduce the risk of similar issues in future reporting periods.

View Audit 390905

Finding 1176978 (2025-006)

Material Weakness 2025

Domestic Violence Crisis Center

ND

Allowable Costs / Cost Principles Cash Management Reporting

Contact Person Aaron Moss, Board President Corrective Action Plan The Center’s Office Manager will initial all invoices to signal that they have been reviewed and approved for payment. The Center’s employee supervisors will sign all of their subordinates’ time distributions to signal that they have ...

Contact Person Aaron Moss, Board President Corrective Action Plan The Center’s Office Manager will initial all invoices to signal that they have been reviewed and approved for payment. The Center’s employee supervisors will sign all of their subordinates’ time distributions to signal that they have been reviewed and approved for grant allocation. Completion Date The Center implemented an internal control in January 2025 to ensure all invoices are reviewed and approved by management. The Center will also ask employee supervisors to sign their subordinates’ time distributions through a desktop computer and avoid mobile approvals to reduce the number of glitches in saving.

View Audit 390817

Finding 1176976 (2025-004)

Material Weakness 2025

Domestic Violence Crisis Center

ND

Allowable Costs / Cost Principles Cash Management Reporting

Contact Person Aaron Moss, Board President Corrective Action Plan The Center’s Office Manager will initial all invoices to signal that they have been reviewed and approved for payment. The Center’s employee supervisors will sign all of their subordinates’ time distributions to signal that they have ...

Contact Person Aaron Moss, Board President Corrective Action Plan The Center’s Office Manager will initial all invoices to signal that they have been reviewed and approved for payment. The Center’s employee supervisors will sign all of their subordinates’ time distributions to signal that they have been reviewed and approved for grant allocation. Completion Date The Center implemented an internal control in January 2025 to ensure all invoices are reviewed and approved by management. The Center will also ask employee supervisors to sign their subordinates’ time distributions through a desktop computer and avoid mobile approvals to reduce the number of glitches in saving.

View Audit 390817

Finding 1176960 (2025-001)

Material Weakness 2025

Montclair State University

NJ

Equipment & Real Property Management Reporting § 200.313

Finding 2025-001: Equipment and Real Property Management – Compliance and Internal Control (Significant Deficiency) Research and Development Cluster View of Responsible Officials and Planned Corrective Action: The University concurs with the auditor’s finding. Management is conducting a comprehensiv...

Finding 2025-001: Equipment and Real Property Management – Compliance and Internal Control (Significant Deficiency) Research and Development Cluster View of Responsible Officials and Planned Corrective Action: The University concurs with the auditor’s finding. Management is conducting a comprehensive review of the matter to confirm full compliance with the requirements of 2 CFR 200.313(d)(2). As part of this process, the University is strengthening its internal controls and procedures related to federally funded equipment. Going forward, the University will ensure that all equipment acquired with federal grant funds is tagged, recorded, and supported by complete and applicable documentation. Additionally, procedures will be reinforced to ensure ongoing inventory verification and monitoring to maintain continued compliance with federal regulations. Name of Contact Person(s) Responsible for the Plan: Benjamin Durant, SVP/COO Finance & Administration durantb@montclair.edu Anticipated Completion Date: June 30, 2026

View Audit 390792

Finding 1176907 (2025-004)

Material Weakness 2025

Douglas School District

SD

Reporting

Finding No. 2025-004: Grant Tracking and Schedule of Expenditures of Federal Awards (SEFA) Adjustments Responsible Individuals: Trista Olney, Business Manager Corrective Action Plan: The District will continue efforts to prepare the SEFA accurately. Anticipated Completion Date: Fiscal year 2025

View Audit 390771

Finding 1176894 (2025-001)

Material Weakness 2025

Rhodes College

TN

Reporting

Finding No. 2025-001 Recommendation: The College shouId continue to review the process for reporting under the financial aid system to ensure accurate reporting of disbursement data to the COD system, focusing on eliminating manual updates. Management Response: The College concurs with this finding....

Finding No. 2025-001 Recommendation: The College shouId continue to review the process for reporting under the financial aid system to ensure accurate reporting of disbursement data to the COD system, focusing on eliminating manual updates. Management Response: The College concurs with this finding. College Corrective Plan: 1. Automation of Data lntegrations: The College has scheduled automated nightly integrations to ensure timely and accurate transfer of disbursement data between PowerFAIDS and Workday. These integrations will run in coordination with the 1 :00 a.m. nightly orchestration to maintain consistency across systems and reduce manual intervention. 2. Staff Training and Support: Rhodes will provide additional training and ongoing support for multiple members of the Financial Aid staff. This training will focus specifically on the processes required to transmit data from the PowerFAIDS system to the Common Origination and Disbursement (COD) system. Strengthening staff proficiency in these procedures will help ensure compliance, reduce transmission errors, and improve overall operational efficiency. Sincerely, Michael D. Morgan, Director of Financial Aid, Rhodes College

View Audit 390740

Finding 1176874 (2025-001)

Material Weakness 2025

City of Manhattan Beach

CA

Reporting § 200.502 § 200.510

Reference Number: 2025-001 Name of Contact Person: Julie Bondarchuk, Financial Controller Corrective Action: The expenditure occurred in calendar year 2020 and 2021. Since these funds were emergency funds, no deferred revenue was accrued since staff was uncertain of whether costs would be eligible f...

Reference Number: 2025-001 Name of Contact Person: Julie Bondarchuk, Financial Controller Corrective Action: The expenditure occurred in calendar year 2020 and 2021. Since these funds were emergency funds, no deferred revenue was accrued since staff was uncertain of whether costs would be eligible for reimbursement. Final revenues of $101,355 were received in FY2025, and staff recorded the revenue received on the SEFA, but not the expenditure. Going forward, staff will report expenditures on the SEFA when eligible expenditures are approved by FEMA. Proposed Completion Date: 6/30/2026

View Audit 390722

Finding 1176873 (2025-001)

Material Weakness 2025

Piedmont Housing Alliance

VA

Reporting

Real Estate Director to review submissions prior to due date to ensure reports are submitted on time. Calendar of submission due dates created to ensure proper review is done in a timely manner.

View Audit 390720

Finding 1176861 (2025-001)

Material Weakness 2025

Trees Atlanta, Inc.

GA

Reporting § 200.303

Federal Agency / Pass-Through Entity: U.S. Department of Agriculture / Georgia Forestry Commission Program: Inflation Reduction Act Urban & Community Forestry Program (Federal Assistance Number #10.727) 1. Description of Finding During the audit, it was noted for the three performance reports tested...

Federal Agency / Pass-Through Entity: U.S. Department of Agriculture / Georgia Forestry Commission Program: Inflation Reduction Act Urban & Community Forestry Program (Federal Assistance Number #10.727) 1. Description of Finding During the audit, it was noted for the three performance reports tested, there were no documented review procedures or approvals to validate the information reported to the funding agencies, violating 2 CFR §200.303(a). 2. Statement of Agreement The organization agrees with the finding. 3. Corrective Actions Planned Action 1: For all federally-funded awards, the Development team will provide a draft of each performance report to the Chief Operating Officer for review and approval prior to submission. Action 2: The Chief Operating Officer will request any necessary corrections and/or documentation before approving. Action 3: The Chief Operating Officer will document review and approval of the draft via email copying the Grant & Accounting Specialist on the approval notice. Action 4: The Grant & Accounting Specialist will save approval notices to the Federal Grant Management folder of the Finance shared drive. 4. Responsible Official Don Hemrick, Director of Development 5. Planned Completion Date February 28, 2026 6. Monitoring Plan The Contract CFO will review the approval notices quarterly until approval notices are collected for 100% of performance reports in two consecutive quarters. Trees

View Audit 390705

Finding 1176859 (2025-001)

Material Weakness 2025

Harrisburg Area Community College

PA

Internal Control / Segregation of Duties Student Financial Aid Subrecipient Monitoring

Corrective Action Plan Thursday, February 12, 2026 Harrisburg Area Community College respectfully submits the following corrective action plan for the year ended June 30, 2025. The findings from the June 30, 2025 audit report dated February 13, 2026 schedule of findings and questioned cost are discu...

Corrective Action Plan Thursday, February 12, 2026 Harrisburg Area Community College respectfully submits the following corrective action plan for the year ended June 30, 2025. The findings from the June 30, 2025 audit report dated February 13, 2026 schedule of findings and questioned cost are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Agency: (Federal Agency per Finding): U.S. Department of Education Audit Period: July 1, 2024 – June 30, 2025 Name and Address of independent public accounting firm: Smith Elliott Kearns & Company, LLC, Certified Public Accountants & Consultants, 804 Wayne Avenue, Chambersburg, Pennsylvania 17201 Finding Type: (per Finding) Federal Awards: Material Weakness in Internal Control over Compliance and Noncompliance Internal Control Type: (please choose the type per the finding)  Material Weakness(es) o Significant Deficiencies Audit Finding No.: 2025-001 Federal Program: (per Finding) Student Financial Assistance Cluster Compliance Requirement: (per Finding) Return of Title IV Funds Audit Finding Title/Statement of Condition: (copy from audit findings documentation): The College did not comply with federal requirements related to the timely return of Title IV funds. Specifically, the College failed to return aid for four students who never attended within the 30-day period required under 34 CFR 668.21(b). In addition, the College did not return funds for one student who began attendance but subsequently required a refund within the 45-day timeframe mandated under 34 CFR 668.173(b). Auditor Recommendation: (copy from audit findings documentation) The College should strengthen its internal controls and monitoring procedures to ensure compliance with federal return-of-funds requirements. This should include timely verification that calculated refund amounts match what is actually returned, improved review processes to confirm that students who never attended are identified promptly, and training for relevant staff to ensure consistent understanding and execution of federal aid return requirements. Specific steps to be taken to correct the situation [including a timetable for performance of the CAP] or reason why corrective action is not necessary (including disagreement with the finding). The College has made several enhancements that should prevent future problems with the return of funds. 1) In fall 2025, the College instituted a new process for collecting data for attendance/participation of students. This process includes a data collection approximately one week into the part of term (the “Academic Participation Data Collection) – and before the disbursement of Title IV aid. It also includes follow up with faculty at several intervals throughout the semester to encourage them to withdraw students who have stopped attending. This improved process gives us clearer and more transparent data on attendance/participation so that aid recalculations and returns can be managed in a more timely manner 2) As of January 2025, the College has implemented a process to prevent the disbursement of Title IV (TIV) aid to students who are not enrolled in a future semester or are not considered actively attending. For example, if a student attended the Fall semester but is not enrolled for the Spring semester, Title IV funds cannot be disbursed if the aid was not originated before the student became ineligible. This process applies in both directions, as disbursement includes both paying funds to a student’s account and reversing funds when appropriate. Accordingly, the Previous Semester Fund Request process is designed to ensure that Title IV funds are either paid or reversed in compliance with federal requirements. 3) The Financial Aid team will continue processing returns at the time that an R2T4 occurs to prevent miscommunications and ensure timely completion. 4) The Financial Aid team and Finance teams will collaborate and engage Bank Mobile to improve the processing of stale checks and timed out funds. Anticipated Completion Date: May 1, 2026 Name(s) and Title(s) of contact person(s) responsible for correction action: Tim Barshinger, Associate Vice-president of Student Enrollment Services Juan Cordoba, Financial Aid Director

View Audit 390704

Finding 1176831 (2025-004)

Material Weakness 2025

Silver Creek School Corporation

IN

Cash Management Internal Control / Segregation of Duties Subrecipient Monitoring § 200.208 § 200.302 § 200.303 § 200.305 § 200.328

FINDING 2025-004 Subject: COVID -19 - Education Stabilization Fund - Cash Management Contact Person Responsible for Corrective Action: Allison Vanover, Corporation Treasurer. Contact Phone Number 812-246-3375 Email Address: avanover@scsc.school Views of Responsible Officials: We concur with the find...

FINDING 2025-004 Subject: COVID -19 - Education Stabilization Fund - Cash Management Contact Person Responsible for Corrective Action: Allison Vanover, Corporation Treasurer. Contact Phone Number 812-246-3375 Email Address: avanover@scsc.school Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: The Corporation will implement and consistently apply a standardized two-level review and approval process for all grant reimbursements to ensure proper accounting, documentation, and compliance. The grants administrator (or designee) will prepare and conduct the initial review of each grant reimbursement to verify that all expenses and receipts contain the correct accounting information, are properly documented, and are recorded in the appropriate accounts within the Financial Management System (FMS). The Corporation Treasurer (or designee) will perform an independent secondary review of all grant reimbursements, including a review of supporting documentation and account coding, and will provide final approval and signature as evidence of authorization. On a monthly basis, grant accounts will be reviewed by the grants administrator for accuracy and completeness, with the Corporation Treasurer (or designee) conducting a secondary monthly review to confirm accuracy and compliance. This two-level review process ensures adequate segregation of duties, strengthens internal controls, and provides documented oversight of all grant reimbursement activity. Anticipated Completion Date: The ESSER grant is finished. If we were to receive this grant in the future, Silver Creek School Corporation would apply the procedures in the corrective action plan.

View Audit 390679

Finding 1176820 (2025-001)

Material Weakness 2025

Lewis-Clark State College

ID

Student Financial Aid Reporting Significant Deficiency

Student Financial Aid Cluster: Federal Supplemental Educational Opportunity Grant – Assistance Listing No. 84.007 Federal Work Study Program – Assistance Listing No. 84.033 Federal Perkins Loan Program– Assistance Listing No. 84.038 Federal Pell Grant Program – Assistance Listing No. 84.063 Federal ...

Student Financial Aid Cluster: Federal Supplemental Educational Opportunity Grant – Assistance Listing No. 84.007 Federal Work Study Program – Assistance Listing No. 84.033 Federal Perkins Loan Program– Assistance Listing No. 84.038 Federal Pell Grant Program – Assistance Listing No. 84.063 Federal Direct Student Loans – Assistance Listing No. 84.268 Teacher Education Assistance for College and Higher Education Grants– Assistance Listing No. 84.379 Nursing Student Loans – Assistance Listing No. 93.364 Recommendation: We recommend that the College work with their third-party servicer and implement procedures to ensure that enrollment data, changes in status and effective dates within NSLDS are reported accurately and timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: During the short time the Financial Aid Office has had direct oversight of this process, we have substantially reduced the number of incidents. Enrollment Reporting is a top priority. Like our colleagues at other Idaho institutions, we are striving to eliminate all issues with enrollment reporting. Enrollment reports will continue to be submitted monthly. The data is reviewed at various intervals during the process by Registrar and Financial Aid staff, and the reviews are documented. Corrections and updates are provided and submitted as required. Procedures have been updated to reflect all changes and validations. Additional focus will be on the reports that overlap semesters. Timelines will be reviewed and adjusted as determined necessary Name(s) of the contact person(s) responsible for corrective action: Laura Hughes, Soo Lee Bruce-Smith, Travis Osburn, Kim Tuschhoff, and John Bender Planned completion date for corrective action plan: Immediate Implementation

View Audit 390663

Finding 1176813 (2025-003)

Material Weakness 2025

Rural Resources Community Action

WA

Internal Control / Segregation of Duties Subrecipient Monitoring Material Weakness

FINDING 2025-003 – Reporting Material Weakness in Internal Control over Compliance and Instance of Material Noncompliance Views of responsible officials and planned corrective actions: Management agrees with the assessment. To address this issue, management has reinforced and formalized its reportin...

FINDING 2025-003 – Reporting Material Weakness in Internal Control over Compliance and Instance of Material Noncompliance Views of responsible officials and planned corrective actions: Management agrees with the assessment. To address this issue, management has reinforced and formalized its reporting reconciliation controls. All financial and performance reports submitted for WIOA programs will be reconciled to supporting documentation prior to submission. Management has clarified roles and responsibilities to ensure that report preparation and review are performed by separate individuals. All reports required by contract must be submitted timely and must include two levels of documented review. Reports will be reviewed by the preparer’s Director (or their designee); if the Director is the preparer, the review will be conducted by the Chief Operating Officer or in their absence, the Chief Executive Officer. All financial reports required by contract must have documented review by a member of the fiscal department. Supporting documentation related to report reconciliations will be retained to ensure traceability and availability for review. During the year, the department experienced a leadership transition, and the new Director is receiving additional training on reporting requirements and internal control expectations. Management will also provide periodic training to staff involved in report preparation and review to reinforce control requirements and expectations. Management expects significant improvement for the fiscal year ending in 2026. Contact Persons: Ryan Berendsen, Chief Operating Officer Delana Kromer, Controller

View Audit 390662

Finding 1176789 (2025-002)

Material Weakness 2025

Rural Resources Community Action

WA

Reporting Internal Control / Segregation of Duties

FINDING 2025-002 - Reporting Significant Deficiency in Internal Control over Compliance Views of responsible officials and planned corrective actions: Management agrees with the assessment. To address this repeat finding, management has revised its approach to reporting oversight by implementing ful...

FINDING 2025-002 - Reporting Significant Deficiency in Internal Control over Compliance Views of responsible officials and planned corrective actions: Management agrees with the assessment. To address this repeat finding, management has revised its approach to reporting oversight by implementing full department-level responsibility for report preparation, review, and submission. Each department is responsible for maintaining its own reporting timeline in accordance with grant and contract requirements. Departments have clarified internal roles and responsibilities for report preparation, review, and submission. All reports required by contract must be submitted timely and must include two levels of documented review. Reports will be reviewed by the preparer’s Director (or their designee); if the Director is the preparer, the review will be conducted by the Chief Operating Officer or in their absence, the Chief Executive Officer. All financial reports required by contract must have documented review by a member of the fiscal department. Report backup documentation and proof of timely submission must be retained by the department. Departments will ensure that staff involved in reporting are knowledgeable of applicable requirements and deadlines. Management will conduct periodic reviews at the executive level to confirm that reporting controls are operating as revised and that required reports are submitted timely in accordance with grant agreements. Management expects significant improvement in reporting for the fiscal year ending in 2026. Contact Persons: Ryan Berendsen, Chief Operating Officer Delana Kromer, Controller

View Audit 390662

Finding 1176726 (2025-001)

Material Weakness 2025

Pennsylvania College of Art & Design

PA

Student Financial Aid Reporting Significant Deficiency

Pennsylvania College of Art & Design Management’s Corrective Action Plan 6/30/25 Finding: Tuition revenue reported on the FISAP did not agree to the final audited general ledger due to timing of preparation and lack of documented reconciliation. Management Response and Corrective Action Plan: Manage...

Pennsylvania College of Art & Design Management’s Corrective Action Plan 6/30/25 Finding: Tuition revenue reported on the FISAP did not agree to the final audited general ledger due to timing of preparation and lack of documented reconciliation. Management Response and Corrective Action Plan: Management concurs with the finding. During the fiscal year, the Director of Financial Aid prepared the FISAP using tuition data obtained from the Bursar’s office in early September in order to meet the October 1 filing deadline. At that time, not all year-end adjusting journal entries had been recorded by the Controller, and a formal reconciliation of the FISAP tuition amount to the final general ledger had not been performed. To remediate this issue and strengthen internal controls over federal reporting, the College has implemented the following corrective actions: Formal Reconciliation Requirement Effective immediately, all financial data reported on the FISAP will be reconciled to the final general ledger balances after year-end adjusting entries are posted. Defined Roles and Review Process The Director of Financial Aid will prepare the FISAP using tuition revenue from the Controller-approved general ledger. The Controller will prepare and document a reconciliation between: FISAP tuition revenue General ledger tuition revenue The Chief Financial Officer will review and sign off on the reconciliation prior to FISAP submission. Responsible Officials: Controller (reconciliation), Director of Financial Aid (FISAP preparation), CFO (final review) Implementation Date: Effective for the June 30, 2026 reporting cycle.

View Audit 390636

Finding 1176710 (2025-001)

Material Weakness 2025

Sherrill-Kenwood Community Retirement Housing Corporation

NY

Reporting § 200.512

Finding #2025-001 Prior Year Reporting Package and Data Collection Not Filed Timely: Recommendation: We recommend that management implement procedures to ensure that reporting packages and data collection forms are filed timely in the future. Action taken: Sherrill-Kenwood Community Retirement Housi...

Finding #2025-001 Prior Year Reporting Package and Data Collection Not Filed Timely: Recommendation: We recommend that management implement procedures to ensure that reporting packages and data collection forms are filed timely in the future. Action taken: Sherrill-Kenwood Community Retirement Housing Corporation agrees with the auditor’s recommendations and will implement procedures to ensure timely filing in the future. For questions regarding this corrective action plan, please contact Dawn Olmstead, VP – Director of Asset Management, at (315) 337-1401.

View Audit 390609

Finding 1176687 (2025-002)

Material Weakness 2025

Minooka Community High School District #111

IL

Reporting Internal Control / Segregation of Duties

The Assistant Superintendent, along with staff, will review the capital asset schedules as part of the audit preparation process to prepare fully adjusted financial statements prior to audit fieldwork.

View Audit 390566

Finding 1176686 (2025-001)

Material Weakness 2025

Minooka Community High School District #111

IL

Reporting Internal Control / Segregation of Duties

The District implemented a new capital asset appraisal in order to have accurate historical records of all assets owned by the District. These schedules will be updated on an annual basis to reflect accurate reporting requirements.

View Audit 390566

Finding 1176676 (2025-003)

Material Weakness 2025

Community Mental Health Affilates, Inc.

CT

Cash Management Reporting Significant Deficiency § 200.516

Corrective Action Planned: Management will enhance internal control processes related to grants to include controls for proper lines of communication with granting agencies to ensure all required reporting requirements are identified and adhered to. Name(s) of Contact Person(s) Responsible for Corre...

Corrective Action Planned: Management will enhance internal control processes related to grants to include controls for proper lines of communication with granting agencies to ensure all required reporting requirements are identified and adhered to. Name(s) of Contact Person(s) Responsible for Corrective Action: Veronica Bochain, Director of Finance Anticipated Completion Date: For FY26 procedures have been put in place to maintain a schedule of reporting due dates that are reviewed monthly to ensure timely submissions.

View Audit 390542

Finding 1176675 (2025-002)

Material Weakness 2025

Community Mental Health Affilates, Inc.

CT

Cash Management Reporting Significant Deficiency § 200.516

orrective Action Planned: Management will enhance internal control processes related to grants to include controls for proper lines of communication with granting agencies to ensure all required reporting requirements are identified and adhered to. Name(s) of Contact Person(s) Responsible for Correc...

orrective Action Planned: Management will enhance internal control processes related to grants to include controls for proper lines of communication with granting agencies to ensure all required reporting requirements are identified and adhered to. Name(s) of Contact Person(s) Responsible for Corrective Action: Veronica Bochain, Director of Finance Anticipated Completion Date: For FY26 procedures have been put in place to maintain a schedule of reporting due dates that are reviewed monthly to ensure timely submissions.

View Audit 390542

Finding 1176665 (2025-001)

Material Weakness 2025

Owens Valley Career Development Center

CA

Reporting

Finding 2025-001: Reporting Management’s Response: The Center acknowledges the finding and recognizes that inadequate monitoring of federal financial reporting deadlines resulted in untimely submissions to the granting agencies. We understand that timely reporting is critical to ensure the goals and...

Finding 2025-001: Reporting Management’s Response: The Center acknowledges the finding and recognizes that inadequate monitoring of federal financial reporting deadlines resulted in untimely submissions to the granting agencies. We understand that timely reporting is critical to ensure the goals and purposes of federal grants are achieved and to maintain compliance with federal award requirements. Action: The Center will implement the following corrective actions to address the reporting compliance deficiency: Action 1: Development of Comprehensive Federal Reporting Calendar The Grants Manager and Director of Finance will create and maintain a detailed federal reporting calendar that includes: • All federal award identification numbers and grant periods • Complete listing of all required reports (quarterly, semi-annual, annual, and final) • Report due dates calculated based on grant agreement requirements Action 2: Implementation of Automated Reminder System The Center will establish a digital tracking system with automated reminders: • Utilize calendar management software to set automated email alerts • Configure reminders to be sent 30 days, 15 days, 7 days, and 2 days before each deadline Action 3: Enhanced Document Retention and Verification Process To ensure submission verification, the Center will: • Maintain a centralized electronic filing system for all federal reports • Retain submission confirmation emails and system-generated receipts Responsible Official: Shelley Mayhugh, Director of Finance Date of Completion: 06/30/2026

View Audit 390527

Finding 1176647 (2025-002)

Material Weakness 2025

Vanderbilt University Medical Center

TN

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting § 200.303

Federal Program: Department of Homeland Security Assistance Listing: 97.036 Federal Agency: COVID-19 Disaster Grants – Public Assistance (Presidentially Declared Disasters) (FEMA) Pass-Through Entity: State of Tennessee Grant Award Number: All FEMA Projects (Projects 435263,550461, 684580) Award Per...

Federal Program: Department of Homeland Security Assistance Listing: 97.036 Federal Agency: COVID-19 Disaster Grants – Public Assistance (Presidentially Declared Disasters) (FEMA) Pass-Through Entity: State of Tennessee Grant Award Number: All FEMA Projects (Projects 435263,550461, 684580) Award Period: Project 435263: 1/1/2020-7/31/2021 Project 550461: 1/1/2020-7/31/2021 Project 684580: 8/1/2020-6/30/2022 Management understands that additional audit evidence must be retained at a detailed enough level to allow the auditor to meet their reperformance standard. All expenses claimed were eligible and were reviewed by management prior to the submission. The control issue identified is due to the lack of evidence to support approval. Should management have a future FEMA claim we will retain additional audit evidence to enable auditor reperformance of the controls regarding approval of expenditures. Paula Yarbrough, VUMC Director – Grants and Contracts will be responsible for the implementation by fiscal year-end 2026.

View Audit 390522

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