Corrective Action Plans

Finding 384451 (2023-004)

Material Weakness 2023

KS

Reporting Subrecipient Monitoring Material Weakness § 200.502

March 21, 2024 U.S. Department of Education Washington, D.C. Unified School District No. 321 respectfully submits the following corrective action plan for the year ended June 30, 2023. SSC CPAs, P.A. 3025 Cortland Circle, Suite 201 Salina, Kansas 67401 Audit period: Year ended June 30, 2023 Th...

March 21, 2024 U.S. Department of Education Washington, D.C. Unified School District No. 321 respectfully submits the following corrective action plan for the year ended June 30, 2023. SSC CPAs, P.A. 3025 Cortland Circle, Suite 201 Salina, Kansas 67401 Audit period: Year ended June 30, 2023 The findings from the June 30, 2023 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. Section I of the schedule, Summary of Audit Results, does not include findings and is not addressed. FINDINGS-FINANCIAL STATEMENT AUDIT 2023-001 Internal Controls over Financial Statement Presentation (Material Weakness) Recommendation: The Board of Education and management should review the financial reporting process. Once this review is complete, the District should then perform a risk assessment to determine the best way to implement appropriate internal controls over financial reporting to ensure conformity with the regulatory basis of accounting. Action Taken (Unaudited): Management plans to review the financial reporting process and implement appropriate internal controls over financial reporting to ensure conformity with the regulatory basis of accounting. Contact Name – Kristy Dyche Expected Completion Date - 06/30/2024 2023-002 Internal Controls over Adjustments to Expenditures (Material Weakness) Recommendation: The Board of Education and management should review the process of moving expenditures between funds so that negative (credit) balances are not reported in general ledger accounts. Adjustments to expenditure accounts in the general ledger should be supported by proper documentation and allocation of expenditures. Action Taken (Unaudited): Management plans to review the process of moving expenditures and develop appropriate internal controls to ensure adjustments to expenditure accounts in the general ledger are supported by proper documentation. Contact Name – Kristy Dyche Expected Completion Date - 06/30/2024 2023-003 Internal Controls over Compliance with Kansas Statutes (Significant Deficiency) Recommendation: The Board of Education and management should review the expenditures in funds to ensure that no indebtedness is created in excess of budget limits. Action Taken (Unaudited): Management plans to review the process or tracking expenditures and develop appropriate internal controls to ensure that no indebtedness is created in excess of budget limits in budgeted funds. FINDINGS-FEDERAL AWARD PROGRAMS AUDIT 2023-004 Preparation of and Internal controls over Schedule of Expenditures of Federal Awards Preparation (Material Weakness) Federal Agency: U.S. Department of Education Program Names: Child Nutrition Cluster Assistance Listing Numbers: 10.553, 10.555 and 10.559 Award Period: June 30, 2023 Recommendation: The Board of Education and management should review the financial reporting process. Once this review is complete, the District should then perform a risk assessment to determine the best way to implement appropriate internal controls over financial reporting to ensure that the District prepares the schedule conformity with Uniform Guidance. Action Taken (Unaudited): Management plans to develop proper written policies and procedures for the internal control over compliance to ensure accuracy and completeness in the preparation of the schedule as required by Uniform Guidance. Contact Name – Kristy Dyche Expected Completion Date - 06/30/2024 If the U.S. Department of Education has questions regarding this plan, please call Kristy Dyche at 785-437-2254. Sincerely yours, Kristy Dyche Board Clerk Unified School District No. 321

View Audit 297588

Finding 384450 (2023-001)

Significant Deficiency 2023

Roanoke Rapids Housing Authority

NC

Eligibility HUD Housing Programs Reporting

Corrective Action Plan For the year Ended June 30, 2023 Section II - Financial Statement Findings None reported. Section III – Federal Award Findings and Questioned Costs Significant Deficiency Finding 2023-001 Internal Control Over Compliance-Public and Indian Housing Name of Contact Person: Wil...

Corrective Action Plan For the year Ended June 30, 2023 Section II - Financial Statement Findings None reported. Section III – Federal Award Findings and Questioned Costs Significant Deficiency Finding 2023-001 Internal Control Over Compliance-Public and Indian Housing Name of Contact Person: William Bobbitt, Executive Director Corrective Action: We will review our intake and recertification procedures. We will also review our tenant file monitoring procedures. Proposed Completion Date: Management will implement the above procedure immediately.

View Audit 297586

Finding 384438 (2023-004)

Material Weakness 2023

Linton-Stockton School Corporation

IN

Subrecipient Monitoring Internal Control / Segregation of Duties Matching / Level of Effort / Earmarking § 200.302 § 200.303 § 200.328 § 200.329 § 200.334

FINDING 2023-004 Finding Subject: COVID 19 - Education Stabilization Fund - Reporting Summary of Finding: The School Corporation failed, due to the lack of internal controls, to ensure that the ESSER annual data reports were complete and accurate prior to submission and that the reports had sufficie...

FINDING 2023-004 Finding Subject: COVID 19 - Education Stabilization Fund - Reporting Summary of Finding: The School Corporation failed, due to the lack of internal controls, to ensure that the ESSER annual data reports were complete and accurate prior to submission and that the reports had sufficient oversight to prevent, or detect and correct, errors. Contact Person Responsible for Corrective Action: Carla Gambill Contact Phone Number and Email Address: 812-847-6020 ext. 1004 cgambill@lssc.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: The Director of School Finance will prepare the annual data reports to be reported to the IDOE by using records that accumulate or summarize the data. Prior to the submission of the reports, the Superintendent, or his or her designee, will review the records and annual data report. The Director of School Finance and the Superintendent, or his or her designee, will initial and date a hard copy of the report to ensure accuracy and completeness. Anticipated Completion Date: This Corrective Action Plan will be put in effect April 2024 or when the next annual data reports are prepared.

View Audit 297573

Finding 384419 (2023-006)

Material Weakness 2023

Rush County Schools

IN

Subrecipient Monitoring Material Weakness Reporting § 200.302 § 200.303 § 200.328 § 200.329

FINDING 2023-006 Finding Subject: COVID-19 Education Stabilization Fund - Reporting Summary of Finding: During the audit period the School Corporation submitted two ESSER I reports, two ESSER II reports and two ESSER III reports, for a total of six reports. After the annual data reports were prepare...

FINDING 2023-006 Finding Subject: COVID-19 Education Stabilization Fund - Reporting Summary of Finding: During the audit period the School Corporation submitted two ESSER I reports, two ESSER II reports and two ESSER III reports, for a total of six reports. After the annual data reports were prepared, they were reviewed by a second knowledgeable individual; however, this process did not allow for the prevention, or detection and correction of errors prior to submission. Due to the lack of effective internal controls, two of the six annual data reports were not supported by the School Corporation’s records. Contact Person Responsible for Corrective Action: Nancy Schroeder Contact Phone Number and Email Address: 765-932-3901 schroedern@rushville.k12.in.us Views of Responsible Officials: We concur with the finding. Explanation and Reasons for Disagreement: N/A Description of Corrective Action Plan: Information in the ESSER III Year 1 and Year 2 reports were entered into incorrectly. The Superintendent or Corporation Treasurer will review all ESSER reports with the Grant Coordinator, Nancy Schroeder, to ensure accuracy. Anticipated Completion Date: April 2024

View Audit 297571

Finding 384408 (2023-001)

Material Weakness 2023

Wadsworth City School District

OH

Questioned Costs School Nutrition Programs Cash Management

Finding Number: 2023-001 Planned Corrective Action: In previous school years the Wadsworth City School District allowed a student to charge up to $10.00 before an alternative lunch was provided. At that time the Point of Sale (POS) system only allowed student accounts to go up to a negative $10.0...

Finding Number: 2023-001 Planned Corrective Action: In previous school years the Wadsworth City School District allowed a student to charge up to $10.00 before an alternative lunch was provided. At that time the Point of Sale (POS) system only allowed student accounts to go up to a negative $10.00. Recently the district changed this policy (due to donations from community members) to allow students to charge beyond the $10.00. However, instead of changing the $10.00 limit in POS a courtesy lunch option was created. This allowed the cashier to charge a courtesy lunch to the student. Later in the day the Food Service Supervisor would override the $10.00 limit and post all courtesy lunch charges to the student’s account. During the 2022-23 school year the Food Service Director was under the understanding that charged lunches could be reimbursed at the free lunch reimbursement rate. Therefore, the Food Service director was allocating all the courtesy lunches to free and the district was receiving the full reimbursement rate. Correction: 1) The district is aware that courtesy lunches are not eligible for free lunch rate reimbursement and the Food Service Supervisor is no longer reporting lunches in this manner beginning with the 2023-24 school year. 2) The courtesy button has been removed from the electronic cash register and the POS system now allows students to go beyond $10.00 for charging purposes. This eliminates the manual process that was being done each day and eliminates the possibility that paid or reduced lunch students are reported as free lunch students. Anticipated Completion Date: 1) The change for reporting courtesy lunches as free lunches occurred at the start of the 2023-24 school year. 2) The change removing the courtesy lunch button from the cash register and allowing students to charge more than $10.00 occurred on February 23, 2024 Responsible Contact Person: Douglas D. Beeman, Treasurer Kelly Gnap, Food Service Director

View Audit 297568 Questioned Costs: $1

Finding 384399 (2023-001)

Significant Deficiency 2023

Parc Developmental Homes, Inc., Project No 072-11104

IL

Internal Control / Segregation of Duties Reporting Significant Deficiency

U.S. Department of Housing and Urban Development 2023-001 Mortgage Insurance for the Purchase or Refinancing of Existing Multifamily Housing Projects – CFDA No. 14.155 Recommendation: Responsibilities and duties should be segregated whenever possible. When this condition exists, management's and the...

U.S. Department of Housing and Urban Development 2023-001 Mortgage Insurance for the Purchase or Refinancing of Existing Multifamily Housing Projects – CFDA No. 14.155 Recommendation: Responsibilities and duties should be segregated whenever possible. When this condition exists, management's and the board’s close supervision and review of accounting information can help to prevent or detect errors and irregularities. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Because the number of staff is inadequate to fully segregate duties, we feel that management staff must have the ability to record disbursement transactions and reconcile bank accounts with the general ledger, particularly for training purposes and periods when there are staff vacancies. Financial resources are insufficient to hire the additional staff to allow for greater segregation of responsibilities. Name(s) of the contact person(s) responsible for corrective action: Debbie Congdon Planned completion date for corrective action plan: In process

View Audit 297532

Finding 384397 (2023-001)

Significant Deficiency 2023

Parc Place, Inc., Project No. 072-Hd112

IL

Internal Control / Segregation of Duties Reporting Significant Deficiency

U.S. Department of Housing and Urban Development 2023-001 Section 811 – New Construction – Capital Advance Program – Supportive Housing for Persons with Disabilities – CFDA No. 14.181 Recommendation: Responsibilities and duties should be segregated whenever possible. When this condition exists, mana...

U.S. Department of Housing and Urban Development 2023-001 Section 811 – New Construction – Capital Advance Program – Supportive Housing for Persons with Disabilities – CFDA No. 14.181 Recommendation: Responsibilities and duties should be segregated whenever possible. When this condition exists, management’s and the board’s close supervision and review of accounting information can help to prevent or detect errors and irregularities. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Because the number of staff is inadequate to fully segregate duties, we feel that management staff must have the ability to record disbursement transactions and reconcile bank accounts with the general ledger, particularly for training purposes and periods when there are staff vacancies. Financial resources are insufficient to hire the additional staff to allow for greater segregation of responsibilities. Name(s) of the contact person(s) responsible for corrective action: Debbie Congdon Planned completion date for corrective action plan: In process

View Audit 297529

Finding 384396 (2023-001)

Significant Deficiency 2023

Parc Residential Options, Inc., Project No. 072-Hd045

IL

Internal Control / Segregation of Duties Reporting Significant Deficiency

U.S. Department of Housing and Urban Development 2023-001 Section 811 – New Construction – Capital Advance Program – Supportive Housing for Persons with Disabilities – CFDA No. 14.181 Recommendation: Responsibilities and duties should be segregated whenever possible. When this condition exists, mana...

U.S. Department of Housing and Urban Development 2023-001 Section 811 – New Construction – Capital Advance Program – Supportive Housing for Persons with Disabilities – CFDA No. 14.181 Recommendation: Responsibilities and duties should be segregated whenever possible. When this condition exists, management’s and the board’s close supervision and review of accounting information can help to prevent or detect errors and irregularities. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Because the number of staff is inadequate to fully segregate duties, we feel that management staff must have the ability to record disbursement transactions and reconcile bank accounts with the general ledger, particularly for training purposes and periods when there are staff vacancies. Financial resources are insufficient to hire the additional staff to allow for greater segregation of responsibilities. Name(s) of the contact person(s) responsible for corrective action: Debbie Congdon Planned completion date for corrective action plan: In process

View Audit 297525

Finding 384358 (2023-001)

Material Weakness 2023

Eastern University

PA

Student Financial Aid Material Weakness Reporting

Untimely Returns of Title IV Funds (R2T4) Planned Corrective Action: Determining the last date of academically related activity for Return of Title IV Funds was identified as a finding from last audit year (2021-2022). A Department of Education review was completed and once this was done and deter...

Untimely Returns of Title IV Funds (R2T4) Planned Corrective Action: Determining the last date of academically related activity for Return of Title IV Funds was identified as a finding from last audit year (2021-2022). A Department of Education review was completed and once this was done and determined that we made the proper adjustments for 21-22, a complete and detailed review for 22-23 to correct any incorrect R2T4’s was completed. This resulted in untimely returns but has since been resolved. Person Responsible for Corrective Action Plan: Andrea Ruth, Director of Financial Aid Anticipated Date of Completion: August 2023

View Audit 297474

Finding 384352 (2023-003)

Significant Deficiency 2023

University of Denver

CO

Subrecipient Monitoring Reporting Special Tests & Provisions

Condition: During testing to determine if the required quarterly reports were both timely and accurate/supported by the University’s books and records, we noted that quarterly reports were not being filed timely. Of the report ultimately submitted, confirmation of the submission was not maintained,...

Condition: During testing to determine if the required quarterly reports were both timely and accurate/supported by the University’s books and records, we noted that quarterly reports were not being filed timely. Of the report ultimately submitted, confirmation of the submission was not maintained, and we could not test the accuracy of the submission. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action in Response to Finding: When new grants and awards are received, the University should designate ownership of compliance, including reporting requirements. Processes and controls should be implemented to ensure accurate and timely reporting occurs as required by grant requirements. In addition, reports and supporting documentation should be retained for audit and review purposes. The Office of Research and Sponsored Programs (ORSP) has identified an employee in the Morgridge College of Education who will be responsible for preparing and submitting the quarterly reports due on January 5, 2024, April 5, 2024, and July 5, 2024, after which the program will be complete and subsequently, the July 5, 2024, quarterly report will be final. The department will be required to submit a copy of the quarterly reports to ORSP to be stored in our Electronic Research Administration system (InfoEd). Name of the contact person responsible for corrective action: Julie Cunningham, Senior Director of Sponsored Programs Administration. Planned completion date for corrective action plan: Effective immediately.

View Audit 297469

Finding 384341 (2023-001)

Significant Deficiency 2023

Chatham County Partnership for Children

NC

Cash Management Reporting

a. Comments on the Finding and Each Recommendation The finding is due to circumstances of the lead employee for the task, the Finance Assistant. This staff member was taken ill during the holiday and did not notify the Executive Director. The notification from the bank of the deposit of funds was ov...

a. Comments on the Finding and Each Recommendation The finding is due to circumstances of the lead employee for the task, the Finance Assistant. This staff member was taken ill during the holiday and did not notify the Executive Director. The notification from the bank of the deposit of funds was overlooked by other staff who were on vacation with family for the Christmas holiday. As soon as the oversight was detected by the Food Program Manager, the payment was initiated and transferred within 7 days of receipt, 2 days longer than it should have been. b. Action(s) Taken or Planned on the Finding A communication process was initiated so that the 3 staff involved in the payment process (the ED, Finance Assistant, and the Food Program Manager), coordinate their time off so that one is designated to be on the lookout for bank notifications. Also, there is better communication with the NEW Finance Assistant about illness and time off so that alternate coverage for bank notification and payment processing can be put in place.

View Audit 297458

Finding 384321 (2023-002)

Significant Deficiency 2023

Erikson Institute

IL

Student Financial Aid Reporting Matching / Level of Effort / Earmarking § 200.303

Finding 2023-002: Enrollment Reporting For two out of four students tested (50%) who withdrew from the Institute, the students’ enrollment status reported to the National Student Loan Data System (NSLDS) did not match the institution’s records. Corrective Action Plan The Director of Research, Reg...

Finding 2023-002: Enrollment Reporting For two out of four students tested (50%) who withdrew from the Institute, the students’ enrollment status reported to the National Student Loan Data System (NSLDS) did not match the institution’s records. Corrective Action Plan The Director of Research, Registration, & Records, who oversees the Registration & Records office has taken steps to ensure timely and accurate reporting moving forward. In summer 2023, a new full-time Registrar was hired to oversee the office. Additionally, Erikson has updated the functioning of its student information system in ways that are compatible with timely and accurate reporting. Changes to the system have been tested and implemented. Lastly, Erikson created a new Business Analyst position and is in the process of hiring to oversee administration and maintenance of the student information system in ways that will continue to facilitate timely reporting and data integrity. Contact Person Leanne Beaudoin Ryan, PhD Director of Research, Registration, & Records lbeaudoinryan@erikson.edu Anticipated Completion Date Updates to processes and procedures were completed in September 2023. Transition from outsourced staffing to the newly-created position is expected by May 2024.

View Audit 297439

Finding 384307 (2023-002)

Significant Deficiency 2023

Desert Community College District

CA

Student Financial Aid Reporting Significant Deficiency

The District concurs with the finding. The District will establish new procedures to verify student Enrollment Reporting Roster data before submission. This will allow the district to identify discrepancies and make necessary adjustments and to ensure accurate information is reflected in the NSLDS w...

The District concurs with the finding. The District will establish new procedures to verify student Enrollment Reporting Roster data before submission. This will allow the district to identify discrepancies and make necessary adjustments and to ensure accurate information is reflected in the NSLDS website.

View Audit 297438

Finding 384289 (2023-002)

None 2023

Trinity Bible College and Graduate School

ND

Student Financial Aid Reporting Internal Control / Segregation of Duties

2023-002 FISAP Reporting Planned Corrective Action: Trinity Bible College and Graduate School has implemented policies and procedures to address the gaps in reporting Perkins information related to the FISAP report. A new director of Financial Aid has been put in place to help ensure proper reporti...

2023-002 FISAP Reporting Planned Corrective Action: Trinity Bible College and Graduate School has implemented policies and procedures to address the gaps in reporting Perkins information related to the FISAP report. A new director of Financial Aid has been put in place to help ensure proper reporting. Person Responsible for Corrective Action Plan: Executive Vice President Vaughn Jordan, Director of Financial Aid Wesley Brothers, and Coordinator of Financial Aid Shannon Pool. Anticipated Date of Completion: CAP has already been implemented regarding this issue.

View Audit 297426

Finding 384267 (2023-002)

Significant Deficiency 2023

Upland Unified School District

CA

Subrecipient Monitoring Reporting Significant Deficiency

The District will ensure that supporting documentation is maintained and saved on the shared drive for all expenditure reporting. These records should be maintained for a period of three years from the date of submission of the reports to the awarding agency or pass-through entity.

View Audit 297403

Finding 384250 (2023-001)

Material Weakness 2023

Manhattan School of Music

NY

Reporting

Over the course of the past few fiscal years, the Finance Department experienced unprecedented turnover in critical positions including multiple CFOs and Controllers. That employee turnover even with accounting contractors challenged the School to maintain effective controls throughout its accountin...

Over the course of the past few fiscal years, the Finance Department experienced unprecedented turnover in critical positions including multiple CFOs and Controllers. That employee turnover even with accounting contractors challenged the School to maintain effective controls throughout its accounting and financial reporting functions. The accounting and financial reporting results were ultimately achieved; however, the manner to arrive at the outcome lacked sufficient control aspects. Absent a Bursar which will soon be searched, the Finance Department is now fully staffed with experienced professionals with an Interim SVP and CFO since October 2023; Associate Vice President of Finance and Controller since September 2023; Assistant Controller since November 2023, and a Senior Accountant since January 2024. The roles and responsibilities have been or will be designated and in such a way that the concept of preparer, detail reviewer, and final reviewer will be embedded within the culture of the Finance Department

View Audit 297400

Finding 384240 (2023-001)

Significant Deficiency 2023

Santa Ana Unified School District

CA

Reporting Internal Control / Segregation of Duties Subrecipient Monitoring

1) The HR Master is the source report that will be used to report FTEs. The report is accessible through the Human Resources module as a download request, and has been modified to reflect a column for actual FTEs with a disclaimer of what positions to exclude from that report to generate the correct...

1) The HR Master is the source report that will be used to report FTEs. The report is accessible through the Human Resources module as a download request, and has been modified to reflect a column for actual FTEs with a disclaimer of what positions to exclude from that report to generate the correct count and/or sum of FTE totals. This revised HR Master reports is being shared with staff who are responsible for fulfilling FTE count requests. Having everyone informed of what source document to use for FTE reporting ensures that errors in FTE reporting are averted and minimized. 2) Requests for FTE counts should come directly to the Position Control office. The request must include specific instructions as to what FTE counts are being requested and what the purpose for the request is. Where applicable, the requesting department must provide the Position Control office with an excerpt of the report delineating the type of FTE counts request for the pertinent figures to be provided. 3) If the Position Control office staff is out, Human Resources is responsible for providing FTE counts to the requesting department by generating the HR Master report above, for the date range being requested; a copy of that report must be saved in a centralized electronic repository (Business Shared drive) with the corresponding program label and date range of the data requested. The downloaded reports serving as supporting documentation will then be accessible for providing to auditors, upon request, and the source documentation must be retained in compliance with federal/state/local program retention policies (in this instance, for subsequent 3 years. 4) As an added preventative measure, the department tasked with filing reports should always seek supporting documentation (if not already provided), and save it on the designated shared drive. This practice ensures accessibility for new staff members responsible for a particular program, allowing them to review past actions. It is essential to consistently attach supporting documentation to the filed report to preserve the audit trail and record-keeping procedures. Management understands the importance of addressing these issues promptly and effectively to ensure the integrity of our internal controls and compliance processes. Our team is fully committed to implementing the corrective actions above.

View Audit 297392

Finding 384232 (2023-005)

Significant Deficiency 2023

Western Piedmont Regional Transit Authority

NC

Reporting Subrecipient Monitoring Significant Deficiency

Name of Contact Person: Scott Cook Corrective Action/Management's Response: WPRTA will implement policies and procedures to ensure reports are submitted timely. Proposed Completion Date: Immediately and ongoing

View Audit 297376

Finding 384226 (2023-003)

None 2023

Hannibal-Lagrange University

MO

Reporting Student Financial Aid Eligibility

Enrollment Reporting to National Student Loan Data System (NSLDS) Planned Corrective Action: A representative from the Registrar’s Office will meet monthly with a representative of the Financial Aid Office to provide spot-checks and quality assurance to the student information uploaded to NSLDS. St...

Enrollment Reporting to National Student Loan Data System (NSLDS) Planned Corrective Action: A representative from the Registrar’s Office will meet monthly with a representative of the Financial Aid Office to provide spot-checks and quality assurance to the student information uploaded to NSLDS. Student information is uploaded to the NSLDS monthly, so this should provide another layer of assurance each time information is submitted. An internal deadline and standing meeting will be established to ensure consistent compliance. Person Responsible for Corrective Action Plan: Joseph D. Garner III, Registrar Anticipated Date of Completion: The new process will begin April, 2024.

View Audit 297334

Finding 384220 (2023-001)

Significant Deficiency 2023

Electric Division - Bowling Green Municipal Utilities

KY

Reporting Internal Control / Segregation of Duties

The following is the Management's Response to Auditor's Findings, Summary Schedule of Prior Audit Findings and Corrective Action Plan. This document was prepared by management of Bowling Green Municipal Utilities.Significant deficiency in lnternal Control, resulting from adjusting entries relating t...

The following is the Management's Response to Auditor's Findings, Summary Schedule of Prior Audit Findings and Corrective Action Plan. This document was prepared by management of Bowling Green Municipal Utilities.Significant deficiency in lnternal Control, resulting from adjusting entries relating to grants received which were not made prior to audit process. Finding Summary: During the 2023 audit, auditors identified adjusting entries relating to grants received by certain divisions of BGMU, which were proposed and recorded through the audit process but not prior to audit performance Explanation of Agreement/Disagreement: Management concurs with the finding and understands that adjusting entries should be made timely for proper financial statement reporting. Because the Electric division of BGMU, which is where these expenditures occurred, is regulated by FERC, grant monies are not recorded as an income item on the income statement. The adjustment in question merely moved the dollars subject to FEMA reimbursement from the Construction in Progress account to a grant receivable account, both balance sheet asset accounts. The subsequent receipt of the funds were recorded against the CIP asset, therefore there was no bottom line effect. Officials Responsible for Ensuring Corrective Action: The BGMU CFO and Controller will be responsible for corrective and future action Planned Completion for Corrective Action: September,2022 Plan to Monitor Completion of Corrective Action: BGMU management will review and record all adjusting journal entries throughout the year, including fiscal year-end journal entries, prior to the beginning of the audit engagement.

View Audit 297324

Finding 384216 (2023-003)

Material Weakness 2023

Hill Top Home of Comfort, Inc.

ND

Reporting Material Weakness Matching / Level of Effort / Earmarking

Finding 2023-003 Federal Agency Name: Department of Agriculture Program Name: Community Facilities Loans and Grants CFDA #10.766 Finding Summary: Eide Bailly assisted in the preparation of our draft schedule of expenditures and federal awards and accompanying notes to the consolidated schedule of ...

Finding 2023-003 Federal Agency Name: Department of Agriculture Program Name: Community Facilities Loans and Grants CFDA #10.766 Finding Summary: Eide Bailly assisted in the preparation of our draft schedule of expenditures and federal awards and accompanying notes to the consolidated schedule of expenditures and federal awards. Responsible Individuals: Gerry Leadbetter, Administrator Corrective Action Plan: It is not cost effective to have an internal control system designed to provide for a complete and accurate schedule of expenditures and federal awards. We requested that our auditors, Eide Bailly LLP, assist in the preparation of the schedule of expenditures. We have designated a member of management to review the drafted schedule of expenditures. Anticipated Completion Date: Ongoing

View Audit 297302

Finding 384203 (2023-001)

Significant Deficiency 2023

Illinois Wesleyan University

IL

Student Financial Aid Reporting Significant Deficiency

2023-001 Student Financial Assistance Cluster – Assistance Listing No. 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.038 (Federal Perkins Loan Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program),...

2023-001 Student Financial Assistance Cluster – Assistance Listing No. 84.007 (Federal Supplemental Educational Opportunity Grants Program), 84.033 (Federal Work Study Program), 84.038 (Federal Perkins Loan Program), 84.063 (Federal Pell Grant Program), 84.268 (Federal Direct Student Loans Program), 93.364 (Nursing Student Loans) Recommendation: We recommend the University review its reporting procedures to ensure that students’ statuses are accurately and timely reported to NSLDS as required by regulations. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: When a graduation has been confirmed outside of the normal timeframe due to later grade reporting, the Assistant Registrar will include the Director of Financial Aid and the Associate Director of Financial Aid in an email along with the standard process of notifying the Associate Registrar. The Associate Director of Financial Aid will go directly to NSLDS and enter the graduation date in NSLDS. The Associate Registrar will continue the normal reporting process with the Clearinghouse but this will alleviate challenges that come when the Associate Registrar is resolving discrepancies and can’t report the graduation immediately. Name(s) of the contact person(s) responsible for corrective action: Scott Seibring Planned completion date for corrective action plan: This process will be implemented starting with the Spring 2024 semester.

View Audit 297294

Finding 384172 (2023-002)

Significant Deficiency 2023

Capitol Technology University

MD

Student Financial Aid Matching / Level of Effort / Earmarking Reporting

Finding 2023-002 Significant Deficiency over Special Tests and Provisions - Enrollment Reporting The University acknowledges that there was 1 out of the 14 students selected that the change in , - 0 enrollment status was reported by the University more than 60 days after the enrollment status change...

Finding 2023-002 Significant Deficiency over Special Tests and Provisions - Enrollment Reporting The University acknowledges that there was 1 out of the 14 students selected that the change in , - 0 enrollment status was reported by the University more than 60 days after the enrollment status change. Effective with the Student Enrollment Roster received from NSLDS in 2024 the business practice has changed with the implementation of the modernized NSLDS Professional Access website. Upon receipt of the Student Enrollment Roster, the file is updated by an updated algorithm using data from the University’s CRM, Jenzabar. The resulting spreadsheet is uploaded to NSLDS for verification and submittal. The accepted records are updated in NSLDS' database and are removed from the resulting spreadsheet produced by NSLDS. The records that error-out are listed on the resulting spreadsheet. This file is maintained for audit purposes. To ensure accurate enrollment status updates, the records listed on the resulting spreadsheet are updated manually on the NSLDS website. The manual entries are updated in real-time. In addition, the University is updating enrollment status changes manually upon receipt of Action Forms initiated by the student instead of waiting for the next Enrollment Report from NSLDS. This should correct the issue where a change in student status was not captured by NSLDS and reasonably ensure compliance with Federal status. Contact Person: Kim Wittler, AVP, Enrollment and Financial Aid Completion Date: March 1, 2024

View Audit 297272

Finding 384162 (2023-001)

Significant Deficiency 2023

Capitol Technology University

MD

Reporting Internal Control / Segregation of Duties

Finding 2023-001 Significant Deficiency over Financial Reporting Management agrees with the finding. Corrective action plan follows. The College acknowledges that it did not complete a full close and review of the trial balance accounts by the start of the audit and that multiple trial balances we...

Finding 2023-001 Significant Deficiency over Financial Reporting Management agrees with the finding. Corrective action plan follows. The College acknowledges that it did not complete a full close and review of the trial balance accounts by the start of the audit and that multiple trial balances were generated. It acknowledges that net assets were not properly rolled at year end and the balance did not reconcile to the trial balance, and that trial balance adjustments were booked after the close process was completed. Management has reviewed its yearend close procedures and has implemented the following guidelines to ensure an accurate and timely close: The College can better prepare for yearend close by reinforcing its month end close procedures. Month end close procedures and reconciliations were inconsistent throughout the year. The College has established a checklist of monthly processes, recurring journal entries, and the support needed to complete the reconciliation process. Reconciling accounts on a monthly basis allows for the identification and correction of errors in a timely manner. Monthly reconciliations are kept on a shared network and can be accessed by all Business Office team members. The VP of Finance will review monthly bank reconciliations to ensure accuracy and timeliness. Net Assets have been reviewed and agreed to the prior year audit report. The College has a detailed yearend checklist which includes a list of yearend journal entries, and a detailed list of the schedules provided to auditors. The College will prepare a close schedule identifying important dates, activities and responsibilities to ensure items are completed in a timely manner and that all necessary deadlines are met. Yearend schedules are on a shared network drive so that progress and accuracy can be monitored. The VP of Finance will hold regular meetings with the Business Office team to monitor yearend close progress. Once the yearend close has been established, all reports will be reviewed and compared to previous year’s figures to identify any unexpected changes, and agreed to the final trial balance prior to uploading to the audit portal. No adjustments will be allowed once the trial balance has been finalized without consultation with the auditors. The Business Office team will continue to reevaluate any processes or systems used during the previous yearend closes and update them as needed, such as setting up new accounts, reviewing current statements for accuracy, or revising account coding. Contact Person: Kathleen Werner, Interim VP Finance Completion Date: June 30, 2024

View Audit 297272

Finding 384146 (2023-002)

Significant Deficiency 2023

Lyon College

AR

Student Financial Aid Reporting Significant Deficiency

Corrective Action: The "Timely Reporting" issue resulted from a misunderstanding in the Registrar's Office regarding the requirements of what had to be reported and by when. We have discussed this issue with that office's personnel and established procedures designed to prevent it from happening i...

Corrective Action: The "Timely Reporting" issue resulted from a misunderstanding in the Registrar's Office regarding the requirements of what had to be reported and by when. We have discussed this issue with that office's personnel and established procedures designed to prevent it from happening in the future. The "Funds Not Returned Timely" reflects continued improvements resultig from policies already established to enhance compliance with attendance reporting and tracking of those reports by the Registrar and Financial Aid Offices. The College will continue to reinforce procedures for active monitoring of those reports by these two offices. In particular, the process of evaluating whether students who are on the two-week absence report in any one class are in fact at risk of falling out of enrollment status overall. Proposed Completion Date: June 30, 2024

View Audit 297270

Corrective Action Plans

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