Corrective Action Plans

Finding 1221347 (2025-003)

Material Weakness 2025

OK

Student Financial Aid Subrecipient Monitoring Reporting

Corrective Action Plan (CAP): The College operates under a just- in-time (JIT) cash management model for Title IV funds, in which the disbursement date reported to COD and the date funds are credited to the student's ledger are intended to occur on the same day. Under this model, the CMN draws down ...

Corrective Action Plan (CAP): The College operates under a just- in-time (JIT) cash management model for Title IV funds, in which the disbursement date reported to COD and the date funds are credited to the student's ledger are intended to occur on the same day. Under this model, the CMN draws down Pell grant funds in conjunction with disbursing those funds to the student, rather than disbursing from institutional funds in advance of drawdown. This approach is designed to ensure the College does not hold excess cash on hand, consistent with cash management requirements under 34 CFR 668.164. The College has reviewed the six disbursements identified in this finding and confirmed that, in each instance, the COD submission was processed on schedule, but the corresponding batch process that credits funds to the student ledger ran four days later than intended, resulting in a misalignment between the reported disbursement date and the actual date the student was credited. The College has reviewed the timing and sequencing of COD submissions and ledger transactions with the Bursar's office and the Financial Aid office to ensure both are scheduled and performed on the same day. The existing weekly reconciliation process between Financial Aid and the Bursar's office will be expanded to include a verification that the disbursement date on the ledger matches the COD disbursement date. The College notes that this finding reflects a single disbursement- timing discrepancy across the sample, a reduction in both scope and recurrence compared to findings identified in prior audit periods, and reflects continued improvement in the College's cash management and COD reporting controls.

View Audit 405683

Finding 1221346 (2025-002)

Material Weakness 2025

College of the Muscogee Nation

OK

Student Financial Aid Subrecipient Monitoring Reporting

Corrective Action Plan (CAP): The College has identified that the dates of Return of Title IV Calculations and amounts (in one case) were out of compliance. The return calculations for both students identified through this audit have been completed and corrected to reflect the correct return amounts...

Corrective Action Plan (CAP): The College has identified that the dates of Return of Title IV Calculations and amounts (in one case) were out of compliance. The return calculations for both students identified through this audit have been completed and corrected to reflect the correct return amounts, if appropriate. Student 1: Student initiated an official withdrawal on October 5, 2024, and the withdrawal was processed on that date. A notification of student status was not received in the financial aid office in order to trigger an R2T4 calculation. This student's calculation was performed at the end of the fall 2024 term with the end of term processing, resulting in 89 days passing from notification to completion of R2T4. This instance resulted in an automatic trigger being built into the student information system, which sends an email to the financial aid office for each student when their status changes from active to withdrawal. Student 2: Student initiated an official withdrawal on February 13, 2025, and the withdrawal was processed on that date. The R2T4 calculation was not performed on this student until the end of spring 2025 term processing, resulting in 96 days passing from notification to completion of R2T4. Due to delayed calculations on these students, CMN will continue to work with financial aid staff and the registrar's office to streamline communication on withdrawals and students who complete the term with all F/NP grades, as indicated in CMN policy. CMN has already worked with Anthology (student information system) to provide electronic triggers to the financial aid office when a student status changes from active to drop/withdrawal. Additionally, Enrollment Management notifies all faculty by email at the beginning of the term and again prior to final grades being submitted that electronic notification must be sent by the faculty to financial aid in order to alert the financial aid office of the date of last academic engagement for students who earn an For NP grade. For the current audit period, the Director of Enrollment Management and the Financial Aid Coordinator work together to review a final grade report for all students and identify those who need R2T4 calculations based on that review. Both the director and coordinator sign the working documents to indicate that it has been reviewed by both parties. We will continue with this process and will refine as necessary, but we anticipate that this will resolve the issue of calculations not having been performed on students with all F/NP grades at the end of the term.

View Audit 405683

Finding 1221345 (2025-001)

Material Weakness 2025

College of the Muscogee Nation

OK

Student Financial Aid Subrecipient Monitoring Reporting

Corrective Action Plan (CAP): The College has identified that the dates of enrollment submissions and status changes for the two students identified in the audit were out of compliance (92 days and 66 days). The statuses of both students are correct with NSLDS. Student 1: Student earned all F grades...

Corrective Action Plan (CAP): The College has identified that the dates of enrollment submissions and status changes for the two students identified in the audit were out of compliance (92 days and 66 days). The statuses of both students are correct with NSLDS. Student 1: Student earned all F grades during the fall 2024 trimester. The student's status was changed to withdrawal in the internal student information system on January 17, 2025. This change was not communicated to NSLDS until the March 2025 enrollment report, due to issues with the February 2025 enrollment report. Student 2: Student was a non-returner in the spring 2025 trimester. The student's status was changed to withdrawal in the internal student information system on January 21, 2025. This change was not communicated to NSLDS until the March 2025 enrollment report, due to issues with the February 2025 enrollment report. The College acknowledges this repeat finding and recognizes that, although the gap was narrowed days beyond tolerance, the prior corrective action plan did not fully resolve the underlying cause of late NSLDS reporting. The previous plan relied primarily on manual identification and status-change processes within the student information system, which remained vulnerable to human error and processing delays. To address this gap, the college will implement a secondary review checkpoint that flags students with status changes in the student information system to ensure timely transmission to NSLDS. To prevent additional recurrences, the College has implemented a monthly reconciliation procedure between the Registrar's Office and the Financial Aid Office, replacing the prior plan's reliance on manual status-chang communication alone. Each month, the Registrar's Office provides a student status change report to the Financial Aid Office. The Financial Aid Office then reconciles each status change against the institution's NSLDS submission history to confirm timely and accurate reporting. This added verification step, paired with documented recordkeeping of each reconciliation cycle, directly addresses the root cause of the repeat finding by introducing a cross-office check that does not depend solely on a single manual status update being correctly carried through to NSLDS reporting.

View Audit 405683

Finding 1221292 (2025-004)

Material Weakness 2025

Cattaraugus County Project Head Start Inc.

NY

Allowable Costs / Cost Principles Subrecipient Monitoring Cash Management

Special Test and Provisions-Monthly Board Financial Reporting and Budgetary Comparisons. Auditor’s Recommendation: We recommend that management establish formal procedures requiring the preparation and review of monthly budget-to-actual financial reports and ensure that accurate financial statements...

Special Test and Provisions-Monthly Board Financial Reporting and Budgetary Comparisons. Auditor’s Recommendation: We recommend that management establish formal procedures requiring the preparation and review of monthly budget-to-actual financial reports and ensure that accurate financial statements are presented to the Board of Directors on a regular basis. Documentation of financial reports presented, discussions held, and actions taken should be maintained in meeting records to demonstrate compliance with Head Start governance and financial oversight requirements. Organization’s Response: Management acknowledges the finding related to governance reporting requirements not being consistently presented to the Board during fiscal year 2025 in report form. The Board had more robust discussions regarding financial statements, concentrated around the time of drawdowns and the use of funds. Effective 2026, management will implement a structured monthly reporting process to ensure the Board and Finance Committee receive timely financial statements, budget-to-actual reports, grant expenditure reports, and other required compliance updates. Board meeting agendas will include financial oversight as a standing item, and meeting minutes document the Board’s review and acceptance. The Finance Director and CEO are responsible for monitoring compliance with this process to ensure the condition does not recur.

View Audit 405658

Finding 1221291 (2025-003)

Material Weakness 2025

Cattaraugus County Project Head Start Inc.

NY

Allowable Costs / Cost Principles Subrecipient Monitoring Cash Management

Special Test and Provisions-Monthly Board Financial Reporting and Budgetary Comparisons. Auditor’s Recommendation: We recommend that management establish formal procedures requiring the preparation and review of monthly budget-to-actual financial reports and ensure that accurate financial statements...

Special Test and Provisions-Monthly Board Financial Reporting and Budgetary Comparisons. Auditor’s Recommendation: We recommend that management establish formal procedures requiring the preparation and review of monthly budget-to-actual financial reports and ensure that accurate financial statements are presented to the Board of Directors on a regular basis. Documentation of financial reports presented, discussions held, and actions taken should be maintained in meeting records to demonstrate compliance with Head Start governance and financial oversight requirements. Organization’s Response: Management acknowledges the finding related to governance reporting requirements not being consistently presented to the Board during fiscal year 2025 in report form. The Board had more robust discussions regarding financial statements, concentrated around the time of drawdowns and the use of funds. Effective 2026, management will implement a structured monthly reporting process to ensure the Board and Finance Committee receive timely financial statements, budget-to-actual reports, grant expenditure reports, and other required compliance updates. Board meeting agendas will include financial oversight as a standing item, and meeting minutes document the Board’s review and acceptance. The Finance Director and CEO are responsible for monitoring compliance with this process to ensure the condition does not recur.

View Audit 405658

Finding 1221289 (2025-003)

Material Weakness 2025

City of Oxford, Alabama

AL

Reporting

Staff will closely monitor all expenditures for a grant paid in future fiscal years and will record them properly on the Statement of Expenditures of Federal Awards

View Audit 405647

Finding 1221242 (2025-001)

Material Weakness 2025

The Young Men's Christian Association of Central Ohio

OH

Reporting § 200.328

Finding Number: 2025-001 Anticipated Completion Date: 6/30/26 Responsible Contact Person: Bradley L McCain, CFO Planned Corrective Action: Management agrees with the finding. The Association's annual Federal Financial Report (FFR) was submitted 22 days after the required due date, and the semi-annua...

Finding Number: 2025-001 Anticipated Completion Date: 6/30/26 Responsible Contact Person: Bradley L McCain, CFO Planned Corrective Action: Management agrees with the finding. The Association's annual Federal Financial Report (FFR) was submitted 22 days after the required due date, and the semi-annual FFR was submitted 65 days after the required due date. The delays resulted from staffing disruptions, including employee turnover and an extended employee leave under the Family and Medical Leave Act (FMLA), which impacted the Association's ability to complete and submit required reports within the prescribed deadlines. To address this issue, the Association has strengthened its internal controls over Federal reporting by establishing a formal reporting calendar that identifies all required Federal reports, due dates, responsible individuals, and internal review deadlines. The Director of Grant Compliance is responsible for preparing and submitting Federal financial reports, while the Executive Director of Data and Grants Administration performs a final review to ensure completeness, accuracy, and timely submission. Management has also implemented cross-training and documented reporting procedures to reduce the risk of future delays caused by staff absences or turnover. Internal due dates have been established in advance of Federal deadlines to allow sufficient time for review and submission. The effectiveness of these corrective actions has already been demonstrated, as the subsequent semi-annual Federal Financial Report was submitted by the required deadline. Compliance with Federal reporting deadlines will be monitored on an ongoing basis.

View Audit 405602

Finding 1220828 (2025-003)

Material Weakness 2025

Valentine Elementary School District No. 22

AZ

Questioned Costs Reporting Significant Deficiency

Planned Corrective Action: When required, the District will enter into an contract to have a single audit completed by the required due date. Anticipated Completion Date: June 30, 2027 Responsible Contact Person: Cliff Angle, Superintendent

View Audit 405557

Finding 1220804 (2025-001)

Material Weakness 2025

City of Pomona

CA

Subrecipient Monitoring HUD Housing Programs Reporting

Finding Reference Number: SA2025-001 Late Submission of FDS (Significant Deficiency) Contact Person: Raul Marquez, Accounting Supervisor Corrective Action Plan: Management will establish timelines and interim milestones for completion of the City’s Annual Comprehensive Financial Report (ACFR) that s...

Finding Reference Number: SA2025-001 Late Submission of FDS (Significant Deficiency) Contact Person: Raul Marquez, Accounting Supervisor Corrective Action Plan: Management will establish timelines and interim milestones for completion of the City’s Annual Comprehensive Financial Report (ACFR) that support timely completion and submission of the City’s audited FDS by the 3/31 deadline. Anticipated Completion Date: June 30, 2026

View Audit 405529

Finding 1220799 (2025-001)

Material Weakness 2025

Central Falls Housing Authority

RI

HUD Housing Programs Questioned Costs Subrecipient Monitoring

Name of Auditee: Central Falls Housing Authority Name of Audit Firm: EFPR Group, CPAs, PLLC Period Covered by the Audit: September 30, 2025 CAP Prepared by: Bridgett Duquette, Executive Director Phone: (401) 727-9090 (A) Current Finding on the Schedule of Findings and Questioned Costs (1) Finding 20...

Name of Auditee: Central Falls Housing Authority Name of Audit Firm: EFPR Group, CPAs, PLLC Period Covered by the Audit: September 30, 2025 CAP Prepared by: Bridgett Duquette, Executive Director Phone: (401) 727-9090 (A) Current Finding on the Schedule of Findings and Questioned Costs (1) Finding 2025-001 (a) Comments on the finding and recommendation - The Authority agrees with the finding. The Authority also agrees with the recommendations, please see below for action taken. (b) Action taken - The Authority will submit all required documentation to HUD. (c) Planned implementation date of corrective action - Completed by September 30, 2026.

View Audit 405513

Finding 1220797 (2025-001)

Material Weakness 2025

Tacoma-Pierce County Chamber of Commerce

WA

Internal Control / Segregation of Duties Reporting Matching / Level of Effort / Earmarking

All grants are to be labeled as federal and non-federal when entered into the Chamber’s general ledger (Emily), and when grant documents are saved internally (Chamber Staff). Expenses associated with federal grants are to be coded and classed to those grants for accurate entry on the SEFA (Emily). T...

All grants are to be labeled as federal and non-federal when entered into the Chamber’s general ledger (Emily), and when grant documents are saved internally (Chamber Staff). Expenses associated with federal grants are to be coded and classed to those grants for accurate entry on the SEFA (Emily). The Executive Director (Tom) will be involved in the preparation of the SEFA to ensure only federal grant expenses are included, and that no expenses are omitted.

View Audit 405509

Finding 1220716 (2025-001)

Material Weakness 2025

Rockville Housing Enterprises

MD

HUD Housing Programs Special Tests & Provisions Eligibility

Finding No. 2025-001: Missing Deadlines for Recertifications and Inspections (Significant Deficiency) Corrective Action Plan: Our goal is to address the underlying cause of the delayed recertifications and inspections identified in Finding 2025-001. Regarding the recertifications, my analysis of the...

Finding No. 2025-001: Missing Deadlines for Recertifications and Inspections (Significant Deficiency) Corrective Action Plan: Our goal is to address the underlying cause of the delayed recertifications and inspections identified in Finding 2025-001. Regarding the recertifications, my analysis of the delays indicates that our Housing Voucher team remains understaffed. We have a five-person Housing Voucher Team with well over 900 vouchers to administer across a variety of different programs, including HCV, PBV, Mainstream, VASH, Foster Youth, Port-In1, etc. Additionally, we have 80 public housing units and are administering an additional 80 project-based tenant-protection vouchers in partnership with Montgomery Housing Partnership (MHP) for a senior-housing rehab project (Bethany House) begun this year (2026). In short, we need to expand our housing voucher team, especially since only one member of the team, Eve Garcia Jiminez, specializes in port-ins. Additionally, while Ms. Garcia Jiminez and Ms. Rebecca Niaba, the Housing-Voucher Team Manager, both have considerable experience with HUD programs, the remaining three team members – who handle resident casework, recertifications, waitlist management, inspections, etc. – are relatively junior, all with less than five years of experience. Since RHE’s leadership turnover in late August 2025, we have attempted to supplement the Housing Voucher Team with interns from our YouthBuild program. While this has helped somewhat lessen the burden, the RHE Management Team has determined that we need at least one additional mid-career Housing-Voucher Team member (minimum 5+ years of experience managing HUD voucher programs). We are considering a variety of options, including recruiting a Deputy for the Housing Voucher Team or promoting one of our Team Members to Deputy Director and backfilling a mid-career position. We have also begun discussions with WorkSource Montgomery and AmeriCorps Maryland to potentially supplement the initial costs of onboarding new Voucher Team members. For the inspections finding, we have been having discussions since the RHE leadership turnover about the performance of our current vendor, Gilson Housing Partners. They have been increasingly unreliable since we selected them as our inspections vendor in February 2025. Just in the last few weeks, we havedetermined that we need to terminate the vendor, particularly after we received a video of an inspection where the Gilson representative spent approximately 80 seconds in the unit, never left the entryway, and only asked the resident a few questions before leaving. We have already received one proposal from Archer-Greenwood Companies and expect 2-3 more proposals in the next few weeks, at which point we will submit a notice of termination to Gilson. Responsible Person: James Hedrick, Interim Executive Director Anticipated Completion Date: Recertifications & Voucher Team Hiring - AmeriCorps Maryland – Applications due July 1, 2026. Participants’ terms begin August/September 2026 and last for one year – extendable as full-time employee after the AmeriCorps subsidy. - Housing-Voucher Team Deputy Director/Mid-Career Port-In Specialist – The position requires a particular set of skills and experience in a specialized area. Recruitment and advertisement are expected to take some time. Advertising for the position will begin late Summer 2026, hiring expected before year-end 2026. Inspections Vendor Replacement - Have already received proposals from one potential inspection replacement firm: Archer- Greenwood. We have reached out to additional vendors and expect proposals within the next few weeks. We will send a letter of termination and fully transition to the new vendor by the end of FY2026 (September 30, 2026).

View Audit 405483

Finding 1220623 (2025-001)

Material Weakness 2025

The Salvation Army Golden State Division

CA

Material Weakness Reporting Internal Control / Segregation of Duties § 200.303

Finding – 2025-001 Reporting – Material Weakness in Internal controls over compliance, Material Non-Compliance Federal Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Year(s): 2025 Federal Agency: US Department of Treasury Corrective Action: Divi...

Finding – 2025-001 Reporting – Material Weakness in Internal controls over compliance, Material Non-Compliance Federal Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Year(s): 2025 Federal Agency: US Department of Treasury Corrective Action: Division will continue to enforce the policy where every grant is sent to the Finance Department for review/approval before the report is submitted to the granting agency(ies). This action will be facilitated and enforced by the Divisional Accounting Manager/Compliance Director. 1. Internal process to be continued throughout FY 2026. 2. The program directors will save a copy of all reporting to the regional internal digital file storage system, as well as send a copy of the finance department for review/approval/storage for audit purposes and the finance department will lastly make sure it is filled out and fulfills the requirement of the contract, as a last line of grant requirement fulfillment. 3. Continued training of field staff and program directors to occur. Anticipated Completion Date: 10/01/2026 Responsible Contact Person: Kendall Phillips, Grants & Contracts Accountant

View Audit 405453

Finding 1220320 (2025-001)

Material Weakness 2025

Jewish Family Service of Western Ma, Inc. & Lenox Charitable Fund, INC

MA

Reporting § 200.512

The Organization reviewed its current process and determined that procedures can be implemented when unforeseen circumstances arise to ensure the single audit reporting package is submitted by the 9 month deadline. The Organization has implemented new procedures which will ensure the reporting packa...

The Organization reviewed its current process and determined that procedures can be implemented when unforeseen circumstances arise to ensure the single audit reporting package is submitted by the 9 month deadline. The Organization has implemented new procedures which will ensure the reporting package is filed by the nine month deadline, when unforeseen circumstances arise, which include if the CEO or COO are both unable to file the reporting package by the 9 month deadline, another member of the leadership team will be responsible for making sure the reporting package is filed in a timely manner. The corrective action has been implemented as of June 29, 2026.

View Audit 405410

Finding 1220313 (2025-001)

Material Weakness 2025

Stt-Stj Div. of Lutheran Housing Assoc. for the Elderly of the V

VI

Questioned Costs Special Tests & Provisions HUD Housing Programs

2025-001 Special Test & Provisions – Contract Rent Adjustment Corrective Action: Currently, we are reviewing scheduling priorities to be able to submit the budget within the mandated time.. Proposed Completion Date: April 9, 2026 Contact Person: Dasil Thomas-Williams, Director of Financial Affairs T...

2025-001 Special Test & Provisions – Contract Rent Adjustment Corrective Action: Currently, we are reviewing scheduling priorities to be able to submit the budget within the mandated time.. Proposed Completion Date: April 9, 2026 Contact Person: Dasil Thomas-Williams, Director of Financial Affairs Telephone Number: (340) 772-4099 ext. 106

View Audit 405382

Finding 1220246 (2025-001)

Material Weakness 2025

Washington County, Minnesota

MN

Questioned Costs Cash Management Reporting

Type of Finding: Significant Deficiency in Internal Control Over Financial Reporting Criteria or Specific Requirement: County management should be aware if the need to have adequate policies and procedures in place for timely reimbursement requests for highway projects. Condition: Policies and proce...

Type of Finding: Significant Deficiency in Internal Control Over Financial Reporting Criteria or Specific Requirement: County management should be aware if the need to have adequate policies and procedures in place for timely reimbursement requests for highway projects. Condition: Policies and procedures in place for timely reimbursement requests will ensure that the County is receiving funds it is owed. In addition, this will ensure there are no cash flow shortages and increase opportunities for investment earnings. Cause: The County had one highway project for which costs were incurred in October and November 2024, and the related reimbursement was submitted and approved in June 2025. Possible Effect: By submitting untimely reimbursement requests, the County is not receiving funds it is owed in a timely manner, which has the potential to cause cash flow shortages. Repeat Finding: No. Recommendation: We recommend County management review internal controls currently in place and design and implement procedures to request reimbursements in a timelier fashion and to submit requests for reimbursements on at least a quarterly basis. Views of Responsible Officials: There is no disagreement with the audit finding. The County will implement procedures to ensure timely submission of reimbursement requests. Anticipated Completion Date: December 31, 2026.

View Audit 405347

Finding 1220241 (2025-002)

Material Weakness 2025

Clay County Rural Telephone Cooperative, Inc.

IN

Reporting Material Weakness

Federal Agency Name: Department of Treasury Pass-through Agency: State of Indiana Office of Community and Rural Affairs Assistance Listing Number: 21.029 Program Name: Coronavirus Capital Projects Fund Finding Summary: The Entity does not have an internal control system designed to provide for a com...

Federal Agency Name: Department of Treasury Pass-through Agency: State of Indiana Office of Community and Rural Affairs Assistance Listing Number: 21.029 Program Name: Coronavirus Capital Projects Fund Finding Summary: The Entity does not have an internal control system designed to provide for a complete and accurate schedule of expenditures of federal awards (the schedule) being audited. We requested our auditors to assist with the preparation of the schedule and accompanying notes to the schedule . Responsible Individuals: Sara Morris, Chief Financial Officer and Jay Watkins, Sr. Vice President of Broadband Services Corrective Action Plan: It is not cost effective to have an internal control system designed to prepare the schedule of expenditures of federal awards. We requested that our auditors, Eide Bailly LLP, to assist with the preparation of the schedule of expenditures of federal awards. We have designated a member of management to review the drafted schedule of expenditures of federal awards, and we have reviewed with and agree with the final Schedule of Expenditures of Federal Awards. Anticipated Completion Date: Ongoing

View Audit 405335

Finding 1220240 (2025-004)

Material Weakness 2025

Council on Aging for Southeastern Vermont, Inc.

VT

Reporting § 200.510

Finding Reference Number: 2025-04 View of Responsible Official and Planned Corrective Action Date: Corrective Action: The Organization acknowledges the importance of preparing a complete and accurate Schedule of Expenditures of Federal Awards (SEFA) in accordance with Uniform Guidance requirements. ...

Finding Reference Number: 2025-04 View of Responsible Official and Planned Corrective Action Date: Corrective Action: The Organization acknowledges the importance of preparing a complete and accurate Schedule of Expenditures of Federal Awards (SEFA) in accordance with Uniform Guidance requirements. Management will strengthen internal controls over the identification, tracking, reconciliation, review, and reporting of federal awards to ensure all federal expenditures are properly captured and rep01ted in future periods. 1. Develop and implement a fom1al year-end SEFA preparation checklist that identifies all required information, including federal agency, pass-through entity, Assistance Listing Number, program name, award amount, expenditures, and any amounts passed through to subrecipients 2. Review all revenue sources, grant agreements, reimbursement activity, and general ledger accounts at least quarterly lo identify any federal awards that must be included on the SEFA. 3. Perform a documented reconciliation of SEFA expenditures to the general ledger and supporting grant records before the SEFA is submitted for audit. 4. The SEFA will be prepared by the third party outside accountant and reviewed by the Finance Director to ensure that all federal awards are accurately reported. Name of Contact Person: Susan Phelps, Finance Director Projected Completion Date: September 30, 2026

View Audit 405334

Finding 1220239 (2025-003)

Material Weakness 2025

Council on Aging for Southeastern Vermont, Inc.

VT

Allowable Costs / Cost Principles Internal Control / Segregation of Duties Reporting § 200.302 § 200.403

Finding Reference Number: 2025-03 View of Responsible Official and Planned Corrective Action Date: Corrective Action: The Finance Director has created additional cost centers for specific federal awards within the financial management system. FY26 YTD expenditures related to the specific grants will...

Finding Reference Number: 2025-03 View of Responsible Official and Planned Corrective Action Date: Corrective Action: The Finance Director has created additional cost centers for specific federal awards within the financial management system. FY26 YTD expenditures related to the specific grants will be reviewed and re-allocated. All future expenditures will be coded at the time costs are incurred. Name of Contact Person: Susan Phelps, Finance Director Projected Completion Date: September 30, 2026

View Audit 405334

Finding 1220231 (2025-005)

Material Weakness 2025

Council on Aging for Southeastern Vermont, Inc.

VT

Reporting Internal Control / Segregation of Duties Questioned Costs

Finding Reference Number: 2025-05 View of Responsible Official and Planned Corrective Action Date: Corrective Action: Management recognizes the importance of maintaining current written policies and procedures, clearly defined job responsibilities, appropriate segregation of duties, and documented r...

Finding Reference Number: 2025-05 View of Responsible Official and Planned Corrective Action Date: Corrective Action: Management recognizes the importance of maintaining current written policies and procedures, clearly defined job responsibilities, appropriate segregation of duties, and documented review controls over financial reporting. The Organization will take corrective action to strengthen internal control documentation, reduce reliance on informal processes, and ensure that information prepared by third-party service providers is reviewed and approved by management before use in quarterly reporting, annual reporting, the SEFA, and the financial statements. l. The Organization will update and maintain a fom1al policies and procedures manual that documents key accounting, grant management, financial reporting, and SEFA preparation processes. The manual will identify responsible positions, required approvals, review procedures, supporting documentation requirements, and backup responsibilities. Management will also evaluate current duties and implement additional segregation of duties where practical. Where staffing limitations prevent full segregation, compensating review controls will be documented and performed by management. 2. Management will document the established review process for all quarterly and annual reports prepared by third-party service providers. This review will include reconciliation to internal accounting records, verification of significant assumptions and supporting schedules, and evidence of management approval prior to submission or inclusion in the financial statements. 3. Finance personnel will be cross-trained on critical accounting, grant reporting, and SEFA responsibilities to ensure continuity of operations if key employees are unavailable or leave the Organization. Name of Contact Person: Susan Phelps, Finance Director Projected Completion Date: September 30, 2026

View Audit 405334

Finding 1220230 (2025-002)

Material Weakness 2025

Council on Aging for Southeastern Vermont, Inc.

VT

Reporting Internal Control / Segregation of Duties Questioned Costs

Finding Reference Number: 2025-02 View of Responsible Official and Planned Corrective Action Date: Corrective Action: Management recognizes the importance of maintaining current written policies and procedures, clearly defined job responsibilities, appropriate segregation of duties, and documented r...

Finding Reference Number: 2025-02 View of Responsible Official and Planned Corrective Action Date: Corrective Action: Management recognizes the importance of maintaining current written policies and procedures, clearly defined job responsibilities, appropriate segregation of duties, and documented review controls over financial reporting. The Organization will take corrective action to strengthen internal control documentation, reduce reliance on informal processes, and ensure that information prepared by third-party service providers is reviewed and approved by management before use in quarterly reporting, annual reporting, the SEFA, and the financial statements. 1. The Organization will update and maintain a formal policies and procedures manual that documents key accounting, grant management, financial reporting, and SEFA preparation processes. The manual will identify responsible positions, required approvals, review procedures, supporting documentation requirements, and backup responsibilities. Management will also evaluate current duties and implement additional segregation of duties where practical. Where staffing limitations prevent full segregation, compensating review controls will be documented and performed by management. 2. Management will document the established review process for all quarterly and annual reports prepared by third-party service providers. This review will include reconciliation to internal accounting records, verification of significant assumptions and supporting schedules, and evidence of management approval prior to submission or inclusion in the financial statements. 3. Finance personnel will be cross-trained on critical accounting, grant reporting, and SEFA responsibilities to ensure continuity of operations if key employees are unavailable or leave the Organization. Name of Contact Person: Susan Phelps, Finance Director Projected Completion Date: September 30, 2026

View Audit 405334

Finding 1220211 (2025-003)

Material Weakness 2025

City of Weslaco

TX

Internal Control / Segregation of Duties Reporting Matching / Level of Effort / Earmarking § 200.328

2025-003: Reporting Compliance Requirement The City will review the current procedures for maintaining documentation for when quarterly project and expenditures reports are completed, reviewed and submitted. Contact Person: Rosie Cavazos, CFO Proposed implementation date: September 30, 2026

View Audit 405320

Finding 1220210 (2025-027)

Material Weakness 2025

Government of the District of Columbia

DC

Reporting § 200.302 § 200.303 § 200.502 § 200.510

The Homeland Security and Emergency Management Agency (HSEMA) agrees with the conditions and recommendations of this finding. From PSJC’s perspective, this finding includes prior year (FY2020) approved expenditures not reported in FY2025 SF-425. We believe there was a transparency gap, as the discre...

The Homeland Security and Emergency Management Agency (HSEMA) agrees with the conditions and recommendations of this finding. From PSJC’s perspective, this finding includes prior year (FY2020) approved expenditures not reported in FY2025 SF-425. We believe there was a transparency gap, as the discrepancies between the SF-425 reports and the SEFA expenditure totals should have been identified, disclosed and brought to our attention in prior audit engagements. Overall, we concur with the findings. The SEFA was adjusted in fiscal 2020 for expenditures that were not approved, however we did not capture the approved expenditures in the following years on SF425. Management will ensure that SEFA expenditure and SF 425 cash disbursements are aligned. We will perform first and second level review of the SF425 and SEFA. Management also concurs with the fact that the subrecipient passthrough on the SEFA should be non-district agencies. We will review the SEFA and report only non-district agencies as pass through to subrecipients.

View Audit 405318

Finding 1220209 (2025-026)

Material Weakness 2025

Government of the District of Columbia

DC

Reporting Subrecipient Monitoring § 200.303 § 200.502 § 200.510

The Department of Behavioral Health (DBH) Office of the Chief Financial Officer (OCFO) concurs with this finding. FFATA Reporting Compliance: In February 2026, the DBH Grants Management Office created an FFATA procedure to ensure compliance with timely FFATA reporting. As a result of this finding, t...

The Department of Behavioral Health (DBH) Office of the Chief Financial Officer (OCFO) concurs with this finding. FFATA Reporting Compliance: In February 2026, the DBH Grants Management Office created an FFATA procedure to ensure compliance with timely FFATA reporting. As a result of this finding, the procedure has been updated to report bi-weekly rather than monthly to ensure reporting under 30 days. The GMO Director will also provide continuous training to staff outside of the GMO to ensure staffing will not become a barrier, as experienced in early 2026. As of June 1, 2026, all FFATA entries as of the May 25th purchase order (R071) report have been reported. Additionally, as we plan for the forthcoming electronic grants management system (eGMS) we’re in discussion to add a report feature that will provide needed info for FFATA entry i.e., UEI, FAIN, award amount and purchase order # to automate the process. SEFA Reporting Compliance: Prior to the submission of the SEFA, the grant expenditures will be reviewed with the Accounting Officer, The AFO, and the Grants Program Manager for a detailed review of the SEFA to confirm expenditures are correctly categorized by fund and grants, reconciles to the DIFS R019 report and reflects the amount expended for sub-recipients. Effective FY26, subrecipient totals are uniquely identified with an account number that will reflect in the R019 report as a subset of total expenditures. This report will be used to complete the SEFA going forward.

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Finding 1220207 (2025-025)

Material Weakness 2025

Government of the District of Columbia

DC

Subrecipient Monitoring Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303 § 200.508

The Department of Behavioral Health (DBH) agrees with the findings and will put controls in place to resolve the issue. On May 20, 2026, DBH trained all grants staff on how to use combo codes in the timekeeping system (Peoplesoft) so that individuals whose time is split across grants or split betwee...

The Department of Behavioral Health (DBH) agrees with the findings and will put controls in place to resolve the issue. On May 20, 2026, DBH trained all grants staff on how to use combo codes in the timekeeping system (Peoplesoft) so that individuals whose time is split across grants or split between grant and local projects can record their time to each funding source. This new process will be rolled out starting June 12, 2026.

View Audit 405318

Corrective Action Plans

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