Corrective Action Plans

Finding 478606 (2024-001)

Significant Deficiency 2024

Presidio Gate Apartments 121-Eh 132-Np-Wah-L8

CA

HUD Housing Programs Reporting Questioned Costs

Corrective action plan for finding 2024-001 The company recognizes that the audit for Presidio Gate Apartments missed its official filing date in 2023. The delay in submitting the reports was due to a system conversion, staffing shortages and a delay in the auditor filing the financial statements in...

Corrective action plan for finding 2024-001 The company recognizes that the audit for Presidio Gate Apartments missed its official filing date in 2023. The delay in submitting the reports was due to a system conversion, staffing shortages and a delay in the auditor filing the financial statements in a timely manner. We have now been on our new system for a year and have staff allocated to working on timely and accurate financial reporting. We will work with new auditors to make sure late filings are not repeated. This corrective plan has resulted in the timely filing of the 2024 reports. Any questions on our corrective action you can contact: Joseph Miller, Director of Finance jomiller@frontporch.net (818) 254-1414

View Audit 315230

Finding 478174 (2024-001)

Significant Deficiency 2024

Village of Lawrence, Inc.

KS

HUD Housing Programs Reporting Significant Deficiency § 200.512

The Board of Directors will designate an individual to document financial statement preparation processes which ensure timely submission of the Single Audit Reporting Package.

View Audit 314842

Finding 403361 (2024-001)

Significant Deficiency 2024

Ott's Branch Elderly Housing, Inc.

SC

Questioned Costs Subrecipient Monitoring HUD Housing Programs

Finding #2024-001 Comments on Findings and Recommendation: During the year ended March 31, 2024, deposits to the reserve for replacements account were $236 less than the required amount. Management should transfer $236 from the operating account to the reserve for replacements account. Action(s) tak...

Finding #2024-001 Comments on Findings and Recommendation: During the year ended March 31, 2024, deposits to the reserve for replacements account were $236 less than the required amount. Management should transfer $236 from the operating account to the reserve for replacements account. Action(s) taken or planned on the finding: Management concurs with the finding and recommendation.

View Audit 310491 Questioned Costs: $1

Finding 403260 (2024-001)

Significant Deficiency 2024

Realife Cooperative of Bloomington

MN

Questioned Costs Reporting Internal Control / Segregation of Duties

Recommendation: We recommend that the Cooperative continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Action Taken: The Cooperati...

Recommendation: We recommend that the Cooperative continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Action Taken: The Cooperative will continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Planned Completion Date: Not Applicable

View Audit 310433

Finding 1236790 (2023-016)

Material Weakness 2023

US Helping Us, People Into Living, Inc.

DC

Reporting Allowable Costs / Cost Principles

o Calculate provisional indirect costs monthly. o Perform year-end indirect cost reconciliation. o Record true-up adjustments before financial statements are finalized. o Review indirect cost calculations prior to submitting federal reports. o Maintain documentation supporting all indirect cost calc...

o Calculate provisional indirect costs monthly. o Perform year-end indirect cost reconciliation. o Record true-up adjustments before financial statements are finalized. o Review indirect cost calculations prior to submitting federal reports. o Maintain documentation supporting all indirect cost calculations.

View Audit 412274

Finding 1236779 (2023-014)

Material Weakness 2023

US Helping Us, People Into Living, Inc.

DC

Subrecipient Monitoring Eligibility Reporting

o Develop a formal audit and compliance reporting calendar. o Identify all federal reporting deadlines and required submissions. o Assign responsibility for monitoring reporting deadlines. o Conduct periodic status meetings with finance staff and auditors. o Monitor audit progress regularly to ident...

o Develop a formal audit and compliance reporting calendar. o Identify all federal reporting deadlines and required submissions. o Assign responsibility for monitoring reporting deadlines. o Conduct periodic status meetings with finance staff and auditors. o Monitor audit progress regularly to identify and address delays. o Establish internal deadlines in advance of federal reporting due dates.

View Audit 412274

Finding 1236741 (2023-010)

Material Weakness 2023

US Helping Us, People Into Living, Inc.

DC

Allowable Costs / Cost Principles Cash Management Reporting

o Establish formal procedures for the preparation, review, and approval of federal drawdown requests. o Require drawdowns to be supported by documented eligible expenditures. o Require management review and approval of drawdown requests prior to submission. o Reconcile drawdown requests to expenditu...

o Establish formal procedures for the preparation, review, and approval of federal drawdown requests. o Require drawdowns to be supported by documented eligible expenditures. o Require management review and approval of drawdown requests prior to submission. o Reconcile drawdown requests to expenditures and accounting records. o Maintain documentation supporting drawdown calculations and approvals. Periodically review cash management practices for compliance with federal requirements.

View Audit 412274

Finding 1236732 (2023-009)

Material Weakness 2023

US Helping Us, People Into Living, Inc.

DC

Allowable Costs / Cost Principles Reporting

o Implement grant-specific tracking within the accounting system. o Establish separate project codes for each federal award. o Perform monthly reconciliations between grant expenditures, reimbursement requests, and accounting records. o Review grant activity regularly to ensure expenditures are accu...

o Implement grant-specific tracking within the accounting system. o Establish separate project codes for each federal award. o Perform monthly reconciliations between grant expenditures, reimbursement requests, and accounting records. o Review grant activity regularly to ensure expenditures are accurately recorded and reported. o Maintain supporting documentation for all expenditures charged to federal awards. o Conduct periodic management reviews to ensure compliance with federal reporting requirements.

View Audit 412274

Finding 1230047 (2023-001)

Material Weakness 2023

Monterey County Business Council

CA

Cash Management Reporting Significant Deficiency

Finding Reference: 2023-001 Description of Finding: Significant Deficiency in Internal Controls over Compliance. Identification of the Federal Program: U.S. Department of the Treasury CFDA 20.019 Criteria or Specific Requirement: Recipients of federal awards must establish internal controls over rep...

Finding Reference: 2023-001 Description of Finding: Significant Deficiency in Internal Controls over Compliance. Identification of the Federal Program: U.S. Department of the Treasury CFDA 20.019 Criteria or Specific Requirement: Recipients of federal awards must establish internal controls over reports that are prepared and submitted. Finding/Condition: Pursuant to the reporting requirement set forth by the Department of the Treasury, the Organization is required to submit the single audit to the Federal Audit Clearinghouse within 30 days of the issuance of the audit report or nine months after the end of the Organization’s fiscal year. During our reporting period we noted that the audit was not completed and filed timely. Cause: The Organization met the requirements for a single audit for the first time during the year ended December 31, 2023. Due to a lack of expertise in federal grant reporting requirements, the Organization overlooked the requirement to perform a single audit and file with the clearinghouse in a timely manner Corrective Action: In June 2025, Monterey County Business Council employed a CFO Consultant with 30+ years’ experience in finance and accounting who has performed a deep dive into the accounting framework. The Consultant has been engaged to assist the Organization in completing financial and single audits for the years ended December 31, 2022, 2023, and 2024. It is expected that the Organization will be caught up with federal clearinghouse filings by the end of 2025 or early 2026 at the latest. Under the consultant’s guidance, the Organization has made progress in financial reporting and will be filing the 2023 audit by September 30, 2026. Audits for subsequent years will be audited thereafter. Name of Responsible Person: Chris Steinbruner, CPA Questioned Cost: None Chris Steinbruner, CPA MCBC Board Member (831)-222-6111

View Audit 411327

Finding 1229908 (2023-003)

Material Weakness 2023

RAP INC

DC

Reporting Matching / Level of Effort / Earmarking § 200.339 § 200.501 § 200.510 § 200.516

U.S. Department of Housing and Urban Development 2023-003 Material Weakness in Internal Control over Compliance 14.218 – Community Development Block Grant District of Columbia, Department of Housing and Community Development Contract Number: 2019-009 and 2010-38 Condition: The $200,000 predevelopmen...

U.S. Department of Housing and Urban Development 2023-003 Material Weakness in Internal Control over Compliance 14.218 – Community Development Block Grant District of Columbia, Department of Housing and Community Development Contract Number: 2019-009 and 2010-38 Condition: The $200,000 predevelopment and $3,800,000 construction loans from the District of Columbia Department of Housing and Community Development were financed with federal funding. Management and the prior auditors were not previously aware of the federal funding source, and the loan had not been evaluated for applicable federal compliance requirements under OMB Circular A-133 or the Uniform Guidance since the inception of the agreement. Recommendation: We recommend that management implement a formal process to review all loan, grant, and financing agreements to determine whether funding is derived from federal sources and whether the arrangement is subject to federal compliance or single audit requirements. This review should be performed at inception of each agreement and updated at least annually, with documentation maintained in the Organization’s debt and contract repository and reviewed by personnel responsible for compliance and financial reporting. Explanation of Disagreement with Audit Finding There is no disagreement with the audit finding. Action taken in response to finding: In addition to the steps mentioned in the related finding above (2023-002), management has also engaged CliftonLarsonAllen LLP to catch up with any official disclosures related to this issue including single audit compliance and any related or resulting compliance disclosures remaining to be completed. Name of the contact person responsible for corrective action: Dr. Deja Gilbert, PhD, MBA, FACHE, LPC, LMHC, President and CEO - dgilbert@gaudenzia.org Planned completion date for corrective action plan: December 31, 2026

View Audit 411134

Finding 1229674 (2023-012)

Material Weakness 2023

Municipality of Anchorage, Alaska

AK

Material Weakness Reporting Matching / Level of Effort / Earmarking § 200.303 § 200.512

Reporting - Deadline for Federal Single Audit - Noncompliance and Material Weakness in Internal Control Over Compliance Corrective Action Plan: The Municipality has begun strengthening year-end financial reporting and audit planning through formal close schedules, defined responsibilities, milestone...

Reporting - Deadline for Federal Single Audit - Noncompliance and Material Weakness in Internal Control Over Compliance Corrective Action Plan: The Municipality has begun strengthening year-end financial reporting and audit planning through formal close schedules, defined responsibilities, milestone tracking, enhanced interdepartmental coordination, and increased management oversight to support the timely completion of future Federal Single Audits. Management will evaluate the effectiveness of these improvements through completion of a full audit cycle. Anticipated Completion Date June 30, 2027

View Audit 410871

Finding 1229593 (2023-009)

Material Weakness 2023

Municipality of Anchorage, Alaska

AK

Material Weakness Reporting Matching / Level of Effort / Earmarking § 200.303

Reporting – Material Noncompliance and Material Weakness in Internal Control Over Compliance Corrective Action Plan: The Municipality has begun implementing an enterprise-wide corrective action strategy to strengthen grant administration and reporting processes. Corrective actions include developing...

Reporting – Material Noncompliance and Material Weakness in Internal Control Over Compliance Corrective Action Plan: The Municipality has begun implementing an enterprise-wide corrective action strategy to strengthen grant administration and reporting processes. Corrective actions include developing standardized policies and procedures, formalizing documentation and supervisory review requirements, improving subrecipient monitoring, strengthening cross-departmental coordination, and incorporating these processes into formal year-end close and audit planning activities. Management will evaluate the effectiveness of these controls through completion of a full audit cycle. Anticipated Completion Date March 31, 2027

View Audit 410871

Finding 1229423 (2023-002)

Material Weakness 2023

Neighborhoods, Inc. of Battle Creek

MI

Allowable Costs / Cost Principles Material Weakness Reporting

Finding 2023-002: Internal Control Over Financial Reporting – Internal Control Evidence Management’s Response Now that disbursements are 100% in-house, the President & CEO provides final written approval on all timecards and payables. Chairman of the Loan & Finance Committee remotely reviews journal...

Finding 2023-002: Internal Control Over Financial Reporting – Internal Control Evidence Management’s Response Now that disbursements are 100% in-house, the President & CEO provides final written approval on all timecards and payables. Chairman of the Loan & Finance Committee remotely reviews journal entries in accounting software monthly. Contact Person Responsible for Corrective Action: Whitney Wardell Anticipated Completion Date: 7/1/2024

View Audit 410819

Finding 1229422 (2023-001)

Material Weakness 2023

Neighborhoods, Inc. of Battle Creek

MI

Reporting Internal Control / Segregation of Duties

Finding 2023-001: Internal Control Over Financial Reporting – Account Reconciliations Management’s Response In 2021, senior management contracted with a CPA firm to handle all accounting functions. Processes and procedures that were expected to be completed by contractor were not. As of 7/1/23, mana...

Finding 2023-001: Internal Control Over Financial Reporting – Account Reconciliations Management’s Response In 2021, senior management contracted with a CPA firm to handle all accounting functions. Processes and procedures that were expected to be completed by contractor were not. As of 7/1/23, management brought accounting functions in house to gain control of books, provide more oversight and ensure accuracy. Contact Person Responsible for Corrective Action: Whitney Wardell Anticipated Completion Date: 7/1/2024

View Audit 410819

Finding 1228733 (2023-003)

Material Weakness 2023

Activate Work Inc.

CO

Subrecipient Monitoring Procurement, Suspension & Debarment Reporting § 200.214 § 200.332

Action Taken in Response to Finding: A Subrecipient Monitoring Policy was implemented in May 2023 to establish processes for subrecipient identification, agreement requirements, invoice review, and ongoing monitoring. The policy was developed in alignment with guidance provided by the CDLE monitorin...

Action Taken in Response to Finding: A Subrecipient Monitoring Policy was implemented in May 2023 to establish processes for subrecipient identification, agreement requirements, invoice review, and ongoing monitoring. The policy was developed in alignment with guidance provided by the CDLE monitoring team. In subsequent years, the subrecipient monitoring framework was strengthened. As of February 2026, CLA’s grant management team has been engaged to further enhance subrecipient monitoring processes. Enhancements include: • Formalization and expansion of the Subrecipient Monitoring Policy, incorporated into the Financial Policies and Procedures, adopted May 2026 • Implementation of a standardized risk assessment process to evaluate subrecipient risk prior to award issuance • Implementation of a formal Subrecipient Monitoring Memorandum process to document monitoring activities • Implementation of a standardized monthly monitoring checklist to ensure consistent financial and compliance review (effective October 2025) • Establishment of a secondary review control requiring validation by the Chief Operating Officer or Chief Executive Officer in addition to the initial review by the Director of Finance & Operations (effective June 2026) These enhancements strengthened documentation, consistency, and oversight, and established a structured and audit-ready subrecipient monitoring framework. Control Enhancement: ActivateWork has strengthened its subrecipient monitoring practices through the implementation of a structured and documented framework that includes: A segregation of duties has been implemented within the monitoring framework, requiring preparer-level review by the Director of Finance & Operations and secondary review by executive leadership (Chief Operating Officer or Chief Executive Officer). These controls are integrated into ongoing financial operations to ensure subrecipient monitoring is consistently applied, documented, and reviewed. 1. Subaward Identification & FSRS Reporting Subawards are identified and tracked within the Subrecipient Determination Checklist. First-tier subaward reporting is completed in accordance with federal requirements. The Director of Finance & Operations is responsible for ensuring FSRS reporting is completed timely and accurately in accordance with federal deadlines, and documentation of submission is retained within the subrecipient file. 2. Suspension and Debarment (SAM.gov) Subrecipients are verified against SAM.gov prior to contract execution. Documentation of verification is retained in subrecipient files and is included as part of the Subrecipient Determination Checklist. 3. Risk Assessment (Pre-Award) A formal risk assessment is conducted prior to issuing subawards using a standardized scoring methodology that evaluates: • Experience with grants • Program complexity • Funding size • Documentation quality • Prior monitoring issues This assessment is documented within the Subrecipient Determination Checklist. 4. Ongoing Financial Monitoring Monthly invoice reviews are conducted, including: • Mathematical accuracy • Alignment with contract terms • Allowability, allocability, and reasonableness under 2 CFR Part 200 • Reconciliation to supporting documentation This is documented and maintained in the Subrecipient Monthly Monitoring Checklist. 5. Programmatic Monitoring Ongoing coordination is conducted between ActivateWork and subrecipient program staff to monitor: • Program delivery • Participant outcomes • Alignment with grant deliverables 6. Subrecipient Audit Review Subrecipient audit information is obtained and reviewed when applicable. The Director of Finance & Operations is responsible for review, and documentation is maintained within the Subrecipient Monthly Monitoring Checklist. 7. Subaward Agreement Requirements Subaward agreements include required federal award information, compliance expectations, and reporting requirements. The Director of Finance & Operations utilizes a subrecipient agreement template provided by the CDLE monitoring office and ensures all federal award information is complete. 8. Personnel Cost Monitoring (Payroll / Fringe) Personnel costs are reviewed based on documentation provided and evaluated for: • Alignment with program delivery • Reasonableness of allocations • Consistency with invoice detail Review is performed by the Director of Finance & Operations, with documentation maintained within the Subrecipient Monthly Monitoring Checklist. Monitoring & Review: • Monthly monitoring is conducted using a standardized checklist • All invoices are reviewed prior to approval and payment • Issues are documented and tracked through resolution Testing & Validation: • Beginning in June 2026, quarterly internal reviews will be conducted to validate that subrecipient monitoring controls are operating effectively • Monitoring documentation will be reviewed for completeness and compliance Documentation & Evidence: • Monitoring memorandums maintained for each subrecipient • Monthly monitoring checklists retained • Supporting documentation maintained in Teams / SharePoint Control Owner(s): • Director of Finance & Operations • Finance Team • Program Leadership Responsible Party: Director of Finance & Operations, with executive oversight by the Chief Executive Officer Anticipated Completion Date: All corrective actions will be implemented as of June 30, 2026. Ongoing monitoring, documentation, and quarterly validation will continue as part of standard operations. Status: • Subrecipient monitoring policy: Adopted May 2023 and updated annually • Monitoring documentation (memorandum and checklist): Implemented in 2024 and enhanced in Oct 2025 • Policy strengthened: May 2026 to incorporate enhanced documentation, standardized procedures, and secondary review controls • Quarterly internal reviews will be conducted to validate the subrecipient monitoring controls are operating effectively: Jun 2026

View Audit 410398

Finding 1228719 (2023-001)

Material Weakness 2023

Activate Work Inc.

CO

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Material Weakness § 200.302 § 200.403

Action Taken in Response to Finding: In 2023, invoices were submitted using a format aligned with initial guidance from the Colorado Department of Human Services (CDHS), reflecting a per-learner, activity-based approach. Beginning in October 2024, updated guidance required invoices to be based on ac...

Action Taken in Response to Finding: In 2023, invoices were submitted using a format aligned with initial guidance from the Colorado Department of Human Services (CDHS), reflecting a per-learner, activity-based approach. Beginning in October 2024, updated guidance required invoices to be based on actual costs incurred, supported by documentation such as timesheets and receipts. As of October 2025, CDHS no longer required supporting documentation at the time of submission; however, supporting documentation continues to be maintained and is provided upon request for monitoring or audit purposes. Standardized Excel-based tools provided by CDHS are utilized for reimbursement submission (Invoice and Ledger). Transaction-level cost tracking was implemented to ensure allowable and eligible costs are recorded and supported. Financial and grant-related policies were standardized and incorporated into Financial Policies and Procedures in May 2024, with a comprehensive grant management framework implemented in May 2026. Control Enhancement: Beginning in 2025, all grant-related expenditures are recorded and tracked at the transaction level within the accounting system. Each transaction must include appropriate supporting documentation and be coded to the correct funding source. A standardized payroll-to-invoice reconciliation process has been implemented to ensure that all costs charged to federal awards are allowable, allocable, and properly supported. Monitoring & Review: • Costs are reviewed by the Senior Accountant prior to inclusion in reimbursement requests • A secondary monthly review is performed by the Director of Finance & Operations to validate allowability, completeness, and alignment with funding requirements • Exceptions are documented and resolved prior to submission Testing & Validation: • Beginning in June 2026, quarterly internal reviews will be conducted to test a sample of transactions for compliance with documentation and allowability requirements • Results will be documented and tracked, and any identified deficiencies will require corrective action Documentation & Evidence: • Supporting documentation is maintained in Microsoft Teams / SharePoint • Review and approval are evidenced via email approval and retained as part of the audit record Control Owner(s): • Director of Finance & Operations • Finance Team Responsible Party: Helen Young Hayes, Founder / Chief Executive Officer, in coordination with the Finance Staff Anticipated Completion Date: All corrective actions will be implemented as of June 30, 2026. Ongoing monitoring, quarterly testing, and policy updates will continue.

View Audit 410398

Finding 1228547 (2023-005)

Material Weakness 2023

Mental Health Kokua

HI

Allowable Costs / Cost Principles Reporting Internal Control / Segregation of Duties § 200.512

Management agrees with the finding. The Organization will implement procedures to monitor reporting deadlines and assign responsibility for the timely submission of the single audit reporting package and Data Collection Form to the Federal Audit Clearinghouse. Management will also establish a review...

Management agrees with the finding. The Organization will implement procedures to monitor reporting deadlines and assign responsibility for the timely submission of the single audit reporting package and Data Collection Form to the Federal Audit Clearinghouse. Management will also establish a review process to ensure all future filings are completed within the required timeframe. Anticipated Completion Date: September 30, 2026.

View Audit 410168

Finding 1228511 (2023-004)

Material Weakness 2023

Developmental Opportunities INC Dba Starpoint

CO

Reporting

Finding 2023-004 Head Start Reporting Contact person responsible for corrective action: Bryana Marsicano, Chief Executive Officer Anticipated completion date: October 31, 2026 Corrective Action: Management agrees with the finding and will implement the following reporting controls: • Maintain a fede...

Finding 2023-004 Head Start Reporting Contact person responsible for corrective action: Bryana Marsicano, Chief Executive Officer Anticipated completion date: October 31, 2026 Corrective Action: Management agrees with the finding and will implement the following reporting controls: • Maintain a federal reporting calendar listing each required report, including the quarterly and annual SF-425, the SF-429 where applicable, and the annual single audit reporting package, together with the reporting period covered, the due date, the assigned preparer, and the assigned reviewer. • Assign a primary and a backup preparer for each report so that submissions are not dependent on a single individual. • Require documented supervisory review and approval of each report before submission. • Retain the submission confirmation for every report filed through the Payment Management System, the Head Start Enterprise System, and the Federal Audit Clearinghouse. • Review the reporting calendar monthly to confirm that upcoming filings are assigned and that completed filings were submitted by their due dates. • Submit the reporting package for the year ended June 30, 2023 to the Federal Audit Clearinghouse promptly upon issuance of the audit report.

View Audit 410150

Finding 1228510 (2023-003)

Material Weakness 2023

Developmental Opportunities INC Dba Starpoint

CO

Reporting Material Weakness

Finding 2023-003 Material Audit Adjustments Contact person responsible for corrective action: Bryana Marsicano, Chief Executive Officer Anticipated completion date: June 30, 2027 Corrective Action: Management agrees with the finding and will strengthen its month-end and year-end closing processes as...

Finding 2023-003 Material Audit Adjustments Contact person responsible for corrective action: Bryana Marsicano, Chief Executive Officer Anticipated completion date: June 30, 2027 Corrective Action: Management agrees with the finding and will strengthen its month-end and year-end closing processes as follows: • Adopt a written month-end and year-end close calendar identifying each required procedure, the assigned preparer, the reviewer, and the due date. • Reconcile all significant balance sheet accounts on a monthly or quarterly basis, including cash, fees and grants receivable, property and equipment, accrued payroll and related liabilities, and refundable advances. • Reconcile the fixed asset subledger to the general ledger at least annually, including the fixed asset clearing account, and document the reconciliation. Prepare a schedule of refundable advances by funding source at each reporting date, reconciled to the executed award, cumulative expenditures, and cumulative amounts drawn. • Review all clearing and suspense accounts monthly, clear them to zero, and document any balance that remains. • Require documented supervisory review of journal entries above an established dollar threshold before posting. • Complete and review a year-end close checklist before the trial balance is released to the auditors. Corrective action already taken: The fixed asset subledger has been rebuilt and reconciled to the general ledger, and the land account has been reconciled in full from inception. Reconciliations of deferred and refundable grant balances by funding source have been prepared and provided to the auditors.

View Audit 410150

Finding 1228433 (2023-007)

Material Weakness 2023

Sayre Health Center

PA

Reporting

Finding No. 2023-007: Inadequate System to Ensure Timely Filing and Review of Required Reports As the previous employees responsible for these functions did not perform them effectively, the organization now has such in place, whereas the timely filing and review of required reports (e.g., Federal F...

Finding No. 2023-007: Inadequate System to Ensure Timely Filing and Review of Required Reports As the previous employees responsible for these functions did not perform them effectively, the organization now has such in place, whereas the timely filing and review of required reports (e.g., Federal Financial Report (FFRs)) are now expected to be filed according to the prescribed deadline(s).

View Audit 410104

Finding 1228266 (2023-004)

Material Weakness 2023

Puerto Rico Public Private Partnerships Authority

PR

Reporting

Management Response: The data collection form and reporting package for the year ended June 30, 2022, was submitted to the Federal Audit Clearinghouse (FAC) on June 18, 2025, and the year ended June 30, 2023, is expected to be submitted on or before August 31, 2026. Corrective Action Plan: Continuin...

Management Response: The data collection form and reporting package for the year ended June 30, 2022, was submitted to the Federal Audit Clearinghouse (FAC) on June 18, 2025, and the year ended June 30, 2023, is expected to be submitted on or before August 31, 2026. Corrective Action Plan: Continuing our workplan to be up to date with our Single Audit for the fiscal year ended June 30, 2026, which deadline is March 31, 2027. Contact Persons: Efrain Morales, Finance Associate Director and Tatiana Lorenzo, Compliance Director Anticipated Completion Date: March 31, 2027

View Audit 410006

Finding 1228079 (2023-005)

Material Weakness 2023

Town of Vinton, Va

VA

Reporting Internal Control / Segregation of Duties Material Weakness

Management acknowledges the auditors’ findings and will develop and implement a formal internal control over the preparation and review of the Schedule of Expenditures of Federal Awards to ensure accuracy and compliance with Uniform Guidance. SEFA preparation will be assigned to designated staff, wi...

Management acknowledges the auditors’ findings and will develop and implement a formal internal control over the preparation and review of the Schedule of Expenditures of Federal Awards to ensure accuracy and compliance with Uniform Guidance. SEFA preparation will be assigned to designated staff, with a separate supervisory review to verify completeness, proper classification, and reconciliation to the general ledger. Written procedures, checklists, and documented reviews will be established, along with staff training on federal award requirements. These actions will reduce the risk of errors and strengthen the reliability of the Town’s federal award reporting

View Audit 409909

Finding 1228064 (2023-002)

Material Weakness 2023

Csra Economic Opportunity Authority, INC

GA

Reporting Internal Control / Segregation of Duties Allowable Costs / Cost Principles § 200.302 § 200.327 § 200.328 § 200.510 § 200.516

August 20, 2026 To: Clausell & Associates, P.C. From: Mary Harrison, Executive Director of CSRA Economic Opportunity Authority, Inc. Below is the Authority’s corrective action plan as it relates to the findings for the fiscal year ending September 30, 2023, Single Audit Act audit. Comment #2023-001 ...

August 20, 2026 To: Clausell & Associates, P.C. From: Mary Harrison, Executive Director of CSRA Economic Opportunity Authority, Inc. Below is the Authority’s corrective action plan as it relates to the findings for the fiscal year ending September 30, 2023, Single Audit Act audit. Comment #2023-001 INTERNAL CONTROLS OVER FINANCIAL STATEMENT PREPARATION, GRANT CLOSE-OUT, AND COMPLIANCE WITH RELATED PROVISIONS OF GRANTS AND CONTRACTS SHOULD BE IMPROVED GENERAL Views of Responsible Officials and Planned Corrective Actions: We concur with this finding. Management is in the process of assessing the organizational structure and capacity to provide adequate financial reporting. With Board review and approval of the Authority’s financial funding sources, the Authority will require additional specialize training for fiscal staff and improve in the segregation of duties to ensure adequate internal controls are fully implemented. The Executive Director will have the overall responsibility of properly reconciling and closing out the accounting system and grant activity each month in an efficient and timely manner to eliminate the risk of significant errors occurring. Budget-to-actual schedules will be an integral part of the grant accountant analyst’s basic responsibilities. The fiscal policies and procedures will be updated with the enhancements implemented within the fiscal department. Staff will be trained on revised policies and procedures and Uniform Guidance regulations. The Executive Director will take the lead in financial reporting to ensure that all reporting meet GAAP and GAS requirements and to provide informative reports for Board and Management. All enhancements will be implemented by September 30, 2026. Concerning the preparation of external reports required by various funding sources (i.e., SF-425, DHS’s reports for LIHEAP, etc.), the Authority will ensure adequate training is performed to improve the skills and knowledge of key personnel. Policies and procedures will also be revised to support external reporting. Implementation Date: The plan correction date will be completed no later than September 30, 2026 Responsible Person: Mary Harrison, Executive Director, will be responsible for the corrective action. Comment #2023-002 INTERNAL CONTROLS OVER FINANCIAL STATEMENT PREPARATION, GRANT CLOSE-OUT, AND COMPLIANCE WITH RELATED PROVISIONS OF GRANTS AND CONTRACTS SHOULD BE IMPROVED HEAD START AND SUPPORTIVE SERVICES FOR VETERAN FAMILIES PROGRAM FAL # 93.600 AND 64.003 (Questioned Costs - None) Views of Responsible Officials and Planned Corrective Actions: We concur with the finding. Management and staff are in the process of assessing and updating the policies and procedures over the accounting and reporting of federal and state grants and contracts. In connection with training staff on grant accounting, we are providing ongoing training on the requirements of the Uniform Guidance and the specific requirements for each individual grant award as outlined in each applicable Compliance Supplement issued by Office of Management and Budget (OMB). We are currently reconciling all cash accounts and completing and amending, where necessary, all SF-425 reports and other external reports required by each funding source (state and federal). We anticipate completing this corrective action by September 30, 2026. See also the response to Comment #2023-001. Implementation Date: The plan correction date will be completed no later than September 30, 2026. Responsible Person: Mary Harrison, Executive Director, will be responsible for the corrective action.

View Audit 409906

Finding 1228043 (2023-006)

Material Weakness 2023

City of Nenana

AK

Reporting Material Weakness § 200.512

Finding 2023-006: Late Reporting and Noncompliance with Reporting Requirements Name of Contact: Josh Verhagen, Patricia Jirsa Corrective Action Plan: This issue will be resolved as the City now has greater capacity to spread out the workload and keep up with things as a much more streamlined trackin...

Finding 2023-006: Late Reporting and Noncompliance with Reporting Requirements Name of Contact: Josh Verhagen, Patricia Jirsa Corrective Action Plan: This issue will be resolved as the City now has greater capacity to spread out the workload and keep up with things as a much more streamlined tracking, reporting and approval process has been implemented. Proposed Completion Date: December 2026.

View Audit 409787

Finding 1227857 (2023-004)

Material Weakness 2023

Island Health, Inc.

MA

HUD Housing Programs Material Weakness Reporting

Item 2023.004 – Reporting Recommendation The Center should establish controls to ensure all accounting records are analyzed and proper support is available in order to ensure that the financial statement audit is submitted on a timely basis to the Federal government. Repeat Finding Yes Action Taken ...

Item 2023.004 – Reporting Recommendation The Center should establish controls to ensure all accounting records are analyzed and proper support is available in order to ensure that the financial statement audit is submitted on a timely basis to the Federal government. Repeat Finding Yes Action Taken Island Health Care will take the following actions to address this recommendation: • Ensure proper analysis and support of accounting records through a monthly financial close process that enforces standards for supporting documentation, and internal review and approval • Ensure timely submission of financial statement audit by establishing a Master Calendar for the organization's required submissions. Depending on the required submission deadline, we would ensure that we properly allocate time and tasks into a schedule that would assist us in making our submission on a timely basis.

View Audit 409789

Corrective Action Plans

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