Corrective Action Plans

Finding 501757 (2022-001)

Material Weakness 2022

Isuroon

MN

Internal Control / Segregation of Duties Material Weakness Reporting

We agree that due to the turnover of finance staff and the lack of consistent leadership in the finance department, we realized the need for strong leadership for our finance team. Consequently, the recruitment of an experienced Finance Director is in process, who has extensive experience working wi...

We agree that due to the turnover of finance staff and the lack of consistent leadership in the finance department, we realized the need for strong leadership for our finance team. Consequently, the recruitment of an experienced Finance Director is in process, who has extensive experience working with nonprofit organizations, the U.S. government, and the United Nations. This new hire will ensure the finance department has strong leadership with a deep understanding of GAAP standards and the complexities involved in nonprofit accounting. Additionally, existing staff members will receive comprehensive training on GAAP and other relevant financial procedures to ensure they have the necessary knowledge and skills to perform their duties accurately. This training will be ongoing to keep the staff updated on any changes in accounting standards and practices. Furthermore, Isuroon will engage a certified accounting firm to conduct monthly reviews of its books of accounts. This firm will provide regular feedback and guidance, identifying any discrepancies or areas needing improvement and suggesting best practices to ensure compliance with GAAP and the accuracy of financial reporting. By implementing these measures, we aim to establish robust internal controls over the financial closing process, ensuring all necessary adjustments are recorded and reviewed in a timely manner. This comprehensive approach will mitigate the risk of material misstatements, enhance the reliability of financial statements, and demonstrate a commitment to transparency and accountability in financial management.

View Audit 323854

Finding 501723 (2022-001)

Significant Deficiency 2022

Disability Rights California

CA

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

CORRECTIVE ACTION PLAN For the Year Ended September 30, 2022 Finding 2022-001 Program: Coronavirus State and Local Fiscal Recovery Funds CFDA No.: 21.027 Federal Agency: U.S. Department of the Treasury Organization's Response: DRC agrees with the finding. Views of Responsible Officials: DRC agre...

CORRECTIVE ACTION PLAN For the Year Ended September 30, 2022 Finding 2022-001 Program: Coronavirus State and Local Fiscal Recovery Funds CFDA No.: 21.027 Federal Agency: U.S. Department of the Treasury Organization's Response: DRC agrees with the finding. Views of Responsible Officials: DRC agrees with the finding and has taken steps to rectify the finding. The schedule of expenditures of federal awards has been updated to include the $1,114,429 federal expenditures for the Coronavirus State and Local Fiscal Recovery Funds. The total federal expenditures were updated from $17,824,221 to $18,938,650. The schedule of expenditures of state awards has been updated to not include the $1,114,429 federal expenditures. The total state expenditures were updated from $19,710,395 to $18,595,966. DRC is monitoring and performing evaluations of individual grants to ensure expenditures are accurately captured and reported on the schedule of expenditures of federal awards. In addition, DRC maintains a thorough review process for the preparation of the schedule of expenditures of federal awards. Name of Responsible Person: Karen Keene, Associate Executive Director of Finance and Administration Anticipated Completion Date: September 4, 2024

View Audit 323803

Finding 501721 (2022-001)

None 2022

Young Scholars for Academic Dba Truevolution Inc.

CA

Reporting § 200.512

Management’s Response and Action Plan Accounting 501 was brought onboard in fall of 2023 to expand the finance department. A significant amount of work was done to bring the current and historical financial reporting to a timely and accurate position. Financials and supporting schedules are currentl...

Management’s Response and Action Plan Accounting 501 was brought onboard in fall of 2023 to expand the finance department. A significant amount of work was done to bring the current and historical financial reporting to a timely and accurate position. Financials and supporting schedules are currently being produced on a monthly basis. The 2023 audit is on track to be completed on a reasonable timeline. Personnel Responsible: Gabriel Maldonado, Chief Executive Officer Anticipated Completion Date: September 2024

View Audit 323796

Finding 501647 (2022-001)

None 2022

Bread & Roses Community Fund

PA

Reporting Internal Control / Segregation of Duties § 200.152

Finding 2022-001 Condition Bread & Roses Community Fund did not submit its June 30, 2022 reporting package within the required timeframe. 2 CFR 200.152(c) requires that an entity submit the audited financial statements and data collection form ("reporting package") within the earlier of 30 calendar ...

Finding 2022-001 Condition Bread & Roses Community Fund did not submit its June 30, 2022 reporting package within the required timeframe. 2 CFR 200.152(c) requires that an entity submit the audited financial statements and data collection form ("reporting package") within the earlier of 30 calendar days after receipt of the audit or nine months after the end of the audit period. Criteria Bread & Roses Community Fund is responsible for establishing internal controls to make sure the reporting package is submitted timely. Cause Bread & Roses Community Fund was not able to complete the reporting package by the required time period due to staffing issues. Effect Bread & Roses Community Fund did not submit its June 30, 2022 reporting package within the required timeframe. Recommendation Bread & Roses Community Fund should develop a reporting package timeline and submit the required documents within the earlier of 30 calendar days after receipt of the audit or nine months after the end of the audit period. View of Responsible Officials and Planned Corrective Action Management agrees with this recommendation. The COVID-19 pandemic presented significant challenges for Bread & Roses Community Fund. During the global pandemic, we doubled our commitment to the grassroots organizations we support and our stakeholders when other organizations paused programming. Despite key staff departures and substantial changes to service providers, we remained steadfast in our mission, working tirelessly to orchestrate fiscal operations and connect programmatic processes. This resulted in us needing more operational capacity to redirect resources to assist our 2 communities and those most affected by the pandemic. These shifts in operations contributed to a delay in submitting the reporting package for FY22. Management and the Board of Directors of Bread & Roses Community Fund are actively working to address the capacity challenges that lead to reporting delays through an extensive process review. The organization aims to build the necessary capacity to support and develop its fiscal infrastructure. In September 2023, Bread & Roses successfully hired our first internal Senior Director of Finance and Operations. Since then, Management has been diligently working to streamline processes, standardize procedures, and improve workflows between Bread & Roses's programmatic areas and finance. These improvements are designed to ensure operational efficiency, including the timely preparation and submission of the reporting package. We have established a routine month-end close through the checklist implementation completed by the Senior Director of Finance & Operations and reviewed by the Executive Director. The addition of this monthly process will ensure timely submission of the reporting package at year-end. While the work to develop BRCF's fiscal infrastructure is ongoing, we anticipate having a complete set of systems and controls to remediate findings by the end of FY25. Bread & Roses Community Fund Contact Person Tracy A. Jones 215.731.1107

View Audit 323681

Finding 501539 (2022-001)

Significant Deficiency 2022

Neighborhood Legal Services of Los Angeles County

CA

Reporting

July 29, 2024 The State Bar of California Office of Access and Inclusion 845 S. Figueroa Street Los Angeles, CA 90017 Neighborhood Legal Services of Los Angeles County (NLSLA) respectfully submits the following corrective action plan for the years ended December 31, 2022 and December 31, 2023 a...

July 29, 2024 The State Bar of California Office of Access and Inclusion 845 S. Figueroa Street Los Angeles, CA 90017 Neighborhood Legal Services of Los Angeles County (NLSLA) respectfully submits the following corrective action plan for the years ended December 31, 2022 and December 31, 2023 as a result of the Office of Access and Inclusion of the State Bar of California desk review of the Homelessness Prevention (HP) 3 Grants. Harrington Group Certified Public Accountants, LLP 2698 Mataro Street Pasadena, CA 91107 Audit period: January 1, 2022 – December 31, 2022; and January 1, 2023 – December 31, 2023 The findings from the 2022 and 2023 Schedule of Findings and Questioned Costs are discussed below. FINDING—FEDERAL AWARD PROGRAMS AUDITS Finding 2022-001 – Schedule of Expenditures of Federal Awards Reconciliation U.S Department of the Treasury Coronavirus State and Local Fiscal Recovery Funds—Assistance Listing No. 21.027 Significant Deficiency: The Schedule of Expenditures of Federal Awards (SEFA) was inaccurate and incomplete for the fiscal years-ended December 31, 2022 and 2023 as it did not include all programs that were federally funded. The original funding for the programs identified were not initially federally based. However, during COVID-19, the renewal of the programs continued through federal funding that were omitted from the SEFA reconciliation. Recommendation: Implement procedures to designate management members responsible for the completion and accuracy of the SEFA. All government grants and contracts should be thoroughly reviewed to determine the funding source. Those identified as federal should be included in the SEFA. Corrective Action: Under the direction of the Chief Financial Officer and as a new member of the fiscal team, the Director of Grants Management and Compliance will conduct a thorough review of all contracts, including renewal contracts, to confirm the funding source, whether NLSLA is the lead agency or a passthrough agency. If the renewal funding source is federally based, NLSLA will request a Notice of Federal Award to ensure proper inclusion in the annual SEFA and related Single Audit report. Under the direction of the Chief Financial Officer, the Controller will prepare the annual SEFA reconciliation to include all identified federally funded grants based on the contract agreements and provided Notice of Federal Awards. Person Responsible for Corrective Action: Chief Financial Officer Anticipated Completion Date for Corrective Action: The Corrective Action has been immediately implemented. If there are questions regarding this corrective action plan, please contact Lynne Hiortdahl, Chief Financial Officer, at (818) 291-1763 or LynneHiortdahl@nlsla.org. Sincerely, Lynne Hiortdahl Chief Financial Officer

View Audit 323594

Finding 501495 (2022-001)

Material Weakness 2022

National Harm Reduction Coalition

NY

Reporting

The National Harm Reduction Coalition (NHRC) leadership takes the findings seriously and concurs with the critical importance of understanding of and compliance with specific grant terms and consistency of reporting for all such grant agreements; including requisite polices and procedures to ensure ...

The National Harm Reduction Coalition (NHRC) leadership takes the findings seriously and concurs with the critical importance of understanding of and compliance with specific grant terms and consistency of reporting for all such grant agreements; including requisite polices and procedures to ensure compliance by appropriate personnel. NHRC acknowledges that significant turnover and vacancies within the finance department including the Senior Finance & Compliance Lead and other key leadership positions within the organization is the primary cause of the finding. In response to the audit finding, we have initiated corrective actions to address the identified deficiency as follows: 1. We established Post Grant Award meetings with personnel that are responsible for financial, contractual and programmatic reporting; identifying their requisite roles to ensure compliance within the project management platform. 2. We have established bi-monthly meetings with requisite staff to review and evaluate financial and program compliance performance. 3. We hired a Senior Finance & Compliance Lead very knowledgeable in Uniform Guidance. 4. NHRC is also requiring requisite staff to take Uniform Guidance training and annual updates as made available. 5. Implementing processes and controls that ensure a complete and accurate SEFA and other related compliance reporting.

View Audit 323564

Finding 501257 (2022-005)

Material Weakness 2022

First Ame Housing Association

WA

HUD Housing Programs Reporting

Finding 2022-005 -Federal Award Finding Name of Official Responsible for Corrective Action: Earl Richardson, First AME Housing Association Interim Executive Director Corrective Action Planned: We take this matter seriously and are committed to addressing and rectifying the identified issues. 1. Imme...

Finding 2022-005 -Federal Award Finding Name of Official Responsible for Corrective Action: Earl Richardson, First AME Housing Association Interim Executive Director Corrective Action Planned: We take this matter seriously and are committed to addressing and rectifying the identified issues. 1. Immediate Corrections: We have initiated immediate corrective actions to rectify the inaccuracies and deficiencies found in the waitlist. Our team is working diligently to update and maintain an accurate waitlist to ensure transparency and fairness in our processes. 2. Training and Awareness: Recognizing the importance of proper waitlist management, we are implementing additional training for relevant staff members involved in the waitlist maintenance process. This training will emphasize the importance of accuracy, timely updates, and compliance with organizational policies. 3. Enhanced Monitoring and Oversight: We are strengthening our internal monitoring mechanisms to ensure ongoing compliance with waitlist maintenance protocols. This includes implementing regular audits and reviews to identify and address emerging issues promptly. 4. Communication with Stakeholders: We understand the importance of transparent communication. We will inform CMS of the corrective measures implemented through our MOR finding correction response. We are committed to continuous improvement and appreciate the opportunity to enhance our processes based on your audit findings.

View Audit 323534

Finding 501256 (2022-004)

Material Weakness 2022

First Ame Housing Association

WA

HUD Housing Programs Reporting

Finding 2022-004 -Federal Award Finding Name of Official Responsible for Corrective Action: Earl Richardson, First AME Housing Association Interim Executive Director Corrective Action Planned: We appreciate the audit team's diligence in reviewing our financial processes and acknowledge the finding r...

Finding 2022-004 -Federal Award Finding Name of Official Responsible for Corrective Action: Earl Richardson, First AME Housing Association Interim Executive Director Corrective Action Planned: We appreciate the audit team's diligence in reviewing our financial processes and acknowledge the finding related to the untimely reserve deposit. 1. Explanation: Example: "The delay in making the reserve deposit was primarily due to management not fully understanding HUD fund authorization per the HUD Handbook 4350. 2. Corrective Actions Taken: We have taken the following corrective actions: All reserve funds have been deposited in the appropriate reserve accounts at our bank. We have implemented a revised deposit schedule that will deposit reserve funds as required after receipt of direct deposit voucher payment from CMS. 3. Preventive Measures: To prevent a recurrence of this issue, we have instituted additional preventive measures, including producing monthly financial reports showing the deposits in a bank reconciliation line of the item and on the balance sheet. 4. Commitment to Compliance: We uphold the highest financial responsibility and compliance standards. Moving forward, we will remain vigilant to ensure timely reserve deposits and will continue to prioritize adherence to all relevant regulations and internal policies.

View Audit 323534

Finding 501255 (2022-003)

Material Weakness 2022

First Ame Housing Association

WA

HUD Housing Programs Reporting Eligibility

Finding 2022-003 Federal Award Finding Name of Official Responsible for Corrective Action: Earl Richardson, First AME Housing Association Interim Executive Director Corrective Action Planned: Explanation: We acknowledge the oversight and would like to provide context to understand better the circums...

Finding 2022-003 Federal Award Finding Name of Official Responsible for Corrective Action: Earl Richardson, First AME Housing Association Interim Executive Director Corrective Action Planned: Explanation: We acknowledge the oversight and would like to provide context to understand better the circumstances that led to the delay. We had internal challenges when our previous management company departed, leaving us with incomplete files and late recertifications or recertifications that never started, making it next to impossible to catch up promptly. Next, staff staffing issues contributed to the delays because staff members were not properly trained. Despite these challenges, we recognize the importance of adhering to HUD regulations and are committed to taking corrective measures. Corrective Actions Taken: We initiated immediate corrective actions to rectify the situation upon discovering the late recertifications. We have instituted the following measures to prevent the recurrence of late annual recertifications: 1. Created a recertification schedule and calendar with the annual recertification date, specific dates to notify residents that their annual recertification is due, and dates for submitting the information to CMS and to trac. The schedule and calendar are submitted to the executive director every two weeks to monitor progress, and a meeting is scheduled with staff every two weeks to review recertification issues. 2. We hired a consultant specializing in recertification to train the staff and work with staff daily to answer questions concerning our certification. Our recertification consultant is permanently on call to answer certification issues and continuous staff training. These measures are designed to ensure timely compliance with HUD regulations and to strengthen our internal processes.

View Audit 323534

Finding 501254 (2022-002)

Material Weakness 2022

First Ame Housing Association

WA

HUD Housing Programs Eligibility Reporting

Finding 2022-002 Federal Award Finding Name of Official Responsible for Corrective Action: Earl Richardson, First AME Housing Association Interim Executive Director Corrective Action Planned: Reviewing the audit report, we acknowledge discrepancies in our income calculation and verification processe...

Finding 2022-002 Federal Award Finding Name of Official Responsible for Corrective Action: Earl Richardson, First AME Housing Association Interim Executive Director Corrective Action Planned: Reviewing the audit report, we acknowledge discrepancies in our income calculation and verification processes. We understand the critical importance of accurate income assessments in determining HUD HAP eligibility and share your commitment to maintaining the program's integrity. To rectify the identified issues, we have initiated the following corrective actions. 1. Review and Update Procedures: We have thoroughly reviewed our existing income calculation and verification procedures. Based on this review, we are revising and updating our procedures to ensure compliance with HUD regulations and guidelines. 2. Staff Training: Recognizing the importance of well-trained staff in accurately executing income verification processes, we are implementing a comprehensive training program. This program will cover HUD guidelines, income calculation methods, and verification protocols to enhance the skills of our staff involved in the eligibility determination process. 3. Internal Audits and HUD Compliance Control: We are implementing an internal audit and compliance control program to regularly review and assess our income calculation and verification This proactive approach will help identify and address potential issues before they escalate. We have hired an outside consultant skilled in HUD compliance to review all new applications for compliance and to communicate with staff the corrections needed before tenant applications are submitted to CMS and Trac for final approval and payment. 4. Enhanced Documentation: We understand the significance of maintaining detailed and accurate documentation. Our organization is implementing measures to enhance documentation practices, ensuring that all relevant information is recorded and readily available for audit purposes. By doing this, we assure you that this will not be a repeat finding. 5. Communication and Collaboration with HUD: We are committed to maintaining open lines of communication with the HUD office. Any changes to our procedures, policies, or protocols related to income calculation and verification will be promptly communicated to the HUD office for review and feedback. We aim to ensure that our organization fully complies with HUD requirements and that we continue to provide accurate and reliable information for HAP eligibility.

View Audit 323534

Finding 501251 (2022-001)

Significant Deficiency 2022

Village of Winnetka

IL

Reporting

Finding 2022 – 001: Data Collection Form Submission Condition: The FY2022 data collection form and audit package were not submitted timely. Plan: The Finance Director, along with staff, will review all Grant Agreements to determine the type of funding and evaluate the reporting requirements of all g...

Finding 2022 – 001: Data Collection Form Submission Condition: The FY2022 data collection form and audit package were not submitted timely. Plan: The Finance Director, along with staff, will review all Grant Agreements to determine the type of funding and evaluate the reporting requirements of all grants. Anticipated Date of Completion: September 30, 2024

View Audit 323531

Finding 501193 (2022-001)

Material Weakness 2022

Centro Deambulantes Cristo Pobre, Inc.

PR

Reporting § 200.512

Condition: The Institution did not submit its Single Audit report for the fiscal year ended June 30, 2022 to the Federal Audit Clearinghouse (FAC) within the required timeframe. The report was due within nine months after the end of the fiscal year, as per federal regulations. As of the report dat...

Condition: The Institution did not submit its Single Audit report for the fiscal year ended June 30, 2022 to the Federal Audit Clearinghouse (FAC) within the required timeframe. The report was due within nine months after the end of the fiscal year, as per federal regulations. As of the report date, has not been submitted. Best practices, as highlighted by the Government Finance Officers Association (GFOA) and the Council on Financial Assistance Reform (COFAR), recommend that entities establish internal processes to ensure compliance with federal reporting deadlines, such as implementing a calendar of key reporting dates and assigning specific responsibilities to team members to monitor and manage audit reporting submissions. Person responsible for Correction Action: Cristian Duarte, President & CEO Planned Corrective Action: We will submit the Single Audit report to the Federal Audit Clearinghouse (FAC) within the required timeframe. Anticipated Completion Date: On or before nine months after next fiscal year ended June 30, 2024.

View Audit 323456

Finding 500110 (2022-002)

Material Weakness 2022

Kendall Housing Authority

IL

HUD Housing Programs Material Weakness Reporting § 200.512

Condition 2: The Authority did not submit its audited financial statements to the Federal Audit Clearinghouse and to REAC by the required due dates. Corrective Action 2: The Authority has retained an accounting firm to serve as a fee accountant. Our fee accountants will complete the unaudited Financ...

Condition 2: The Authority did not submit its audited financial statements to the Federal Audit Clearinghouse and to REAC by the required due dates. Corrective Action 2: The Authority has retained an accounting firm to serve as a fee accountant. Our fee accountants will complete the unaudited Financial Data Schedule submission and provide workpapers to the auditors to enable a timely audited submission. Completion Date: September 30, 2023

View Audit 322949

Finding 499589 (2022-002)

None 2022

Ronin Institute for Independent Scholarship

NJ

Reporting Subrecipient Monitoring § 200.512

Corrective Action: Management of the Institute did not provide any planned corrective actions for this finding. Person Responsible: Management of the Institute did not identify an individual responsible for corrective action for this finding. Completion Date: Management of the Institute has not esta...

Corrective Action: Management of the Institute did not provide any planned corrective actions for this finding. Person Responsible: Management of the Institute did not identify an individual responsible for corrective action for this finding. Completion Date: Management of the Institute has not established a completion date for corrective action for this finding.

View Audit 322455

Finding 499300 (2022-004)

Material Weakness 2022

Rmi Ports Authority

MH

Reporting Subrecipient Monitoring

1. Management will delegate temporarily to the CFO to oversee the reporting requirements with the Federal funded projects until the Deputy Director will be filled in. 2. Management will establish internal control policies and procedures to properly and systematically administer the reporting require...

1. Management will delegate temporarily to the CFO to oversee the reporting requirements with the Federal funded projects until the Deputy Director will be filled in. 2. Management will establish internal control policies and procedures to properly and systematically administer the reporting requirements of Federal Aviation Administration.

View Audit 322122

Finding 499189 (2022-001)

Material Weakness 2022

King County Public Hospital District #2 Dba Evergreen Healthcare

WA

Reporting Matching / Level of Effort / Earmarking § 200.303 § 200.502 § 200.510

AUDIT FINDINGS 2022-001: There were not adequate controls related to the reporting of expenditures on the schedule of expenditures of federal awards (Schedule) for the COVID-19 Disaster Grants – Public Assistance (Presidentially Declared Disasters) program (FEMA). Specifically, review controls over ...

AUDIT FINDINGS 2022-001: There were not adequate controls related to the reporting of expenditures on the schedule of expenditures of federal awards (Schedule) for the COVID-19 Disaster Grants – Public Assistance (Presidentially Declared Disasters) program (FEMA). Specifically, review controls over the accuracy and completeness of the Schedule were not designed to operate at an appropriate level of precision for the discretely presented component unit. As a result, $1,795,854 of FEMA expenditures was inadvertently omitted from the December 31, 2022 Schedule. Name of Contact Person: Daria Heimerman, Director of Financial Reporting, dtheimerman@evergreenhealthcare.org Corrective Action Planned: Implement a control of management review at an appropriate level of precision for the discretely presented component unit in order to ensure the accuracy and completeness of the Schedule. Anticipated Completion Date: September 2023 Statement of Concurrence or Nonconcurrence: Management concurs with audit finding 2022-001.

View Audit 321987

Finding 499020 (2022-001)

Material Weakness 2022

The Atlanta Botanical Garden, Inc.

GA

Reporting Subrecipient Monitoring Material Weakness § 200.512

The Garden’s Uniform Guidance Audit for the year ended December 31, 2022 was delayed as Garden management was unare that that their federal expenditures exceeded the audit requirement threshold for the first time. Going forward, Garden management will ensure the data collection form and reporting pa...

The Garden’s Uniform Guidance Audit for the year ended December 31, 2022 was delayed as Garden management was unare that that their federal expenditures exceeded the audit requirement threshold for the first time. Going forward, Garden management will ensure the data collection form and reporting package are submitted within the earlier of 30 calendar days after receipt of the auditor’s report or nine months after the end of the audit period.

View Audit 321803

Finding 498823 (2022-004)

Significant Deficiency 2022

Norman County

MN

Reporting Significant Deficiency Internal Control / Segregation of Duties § 200.303

Finding Number: 2022-004 Finding Title: Reporting Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds (AL No. 21.027) Name of Contact Person Responsible for Corrective Action: David Stene, CFO Corrective Action Planned: Have the report reviewed by other county staff prior to sendin...

Finding Number: 2022-004 Finding Title: Reporting Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds (AL No. 21.027) Name of Contact Person Responsible for Corrective Action: David Stene, CFO Corrective Action Planned: Have the report reviewed by other county staff prior to sending in the report. Anticipated Completion Date: 12/31/2023

View Audit 321563

Finding 498568 (2022-003)

Material Weakness 2022

Wishek Hospital Clinic Association D/b/a South Central Health

ND

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

Contact Person Megan Rath 2022-003 Corrective Action Plan The USDA was made aware that the financial statements had errors and were unaudited at the time of the submission of the RD 442-2 and RD 442-3 for 2022. The Association’s audited financial statements are now up to date. Proper checks and ba...

Contact Person Megan Rath 2022-003 Corrective Action Plan The USDA was made aware that the financial statements had errors and were unaudited at the time of the submission of the RD 442-2 and RD 442-3 for 2022. The Association’s audited financial statements are now up to date. Proper checks and balances have been put into place to ensure ongoing complete and accurate financial data for USDA reporting. Completion Date The corrective action plan steps are planned to be sufficiently in place prior to the beginning of the 2023 USDA required reporting.

View Audit 321317

Finding 498564 (2022-002)

Material Weakness 2022

Wishek Hospital Clinic Association D/b/a South Central Health

ND

Reporting § 200.512

Contact Person Megan Rath 2022-002 Corrective Action Plan The Association’s audited financial statements are now up to date. Proper checks and balances have been put into place to ensure ongoing complete and accurate financial data to avoid delinquent audits and data collection forms. Completion D...

Contact Person Megan Rath 2022-002 Corrective Action Plan The Association’s audited financial statements are now up to date. Proper checks and balances have been put into place to ensure ongoing complete and accurate financial data to avoid delinquent audits and data collection forms. Completion Date The data collection form will be submitted to the Federal Audit Clearinghouse by September 30, 2024.

View Audit 321317

Finding 498241 (2022-003)

None 2022

Hogar Fortaleza Del Caido, Inc.

PR

Reporting § 200.512

Full text of the Corrective Action Plan includes a chart, table or footnotes.

View Audit 320980

Finding 498223 (2022-003)

Significant Deficiency 2022

Organic Seed Alliance

WA

Reporting Matching / Level of Effort / Earmarking § 200.303

Criteria or specific requirement: 2 CFR 200.303(a) requires non federal entities receiving Federal awards to "Establish and maintain internal controls over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statut...

Criteria or specific requirement: 2 CFR 200.303(a) requires non federal entities receiving Federal awards to "Establish and maintain internal controls over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award." Per the United States Department of Agriculture SF-425 FAQs, SF-425 Reports are to be submitted within 90 days of the anniversary date of the award. Condition: During testing it was noted that the financial report tested was filed after the required filing deadline. In addition, there was no evidence of review or approval over the report filing prior to submission to the granting agency. Questioned costs: None Context: A sample of 1 was made from a population of 1 financial report (entire population). The financial report did not have documentary evidence of review and approval. In addition, the report was filed after the submission deadline date. Cause: Documentary evidence of supervisor review and approval of the SF-425s is not retained. Rather, such approval is only communicated verbally. In addition, the Organization does not currently have monitoring procedures in place to ensure reports are submitted timely. Effect: Not filing reports on a timely basis can present risks, such as outdated and unreliable information or the inability to detect potential fraud or irregularities. In addition, delayed reports can impede regulatory authorities' ability to monitor compliance, detect patterns or trends, and assess risks in a timely manner. Without adequate documentary evidence around the review of financial reports, there is an increased risk of errors and fraud in the reporting process, which could result in inaccurate financial reporting and misappropriation of funds. Repeat Finding: No Recommendation: CLA recommends for the Organization to place emphasis on stronger controls around the timely filing of required reports, such as retaining a monthly checklist of required reconciliations and reports. CLA also recommends implementing a procedure that documents the supervisor's review (another individual who did not prepare the report) and approval of the Federal Financial Reports (SF-425s), whether that be via an email chain or retaining a copy that also includes the supervisor's signature on the report. Views of responsible officials: Management agrees with the finding. Action Taken in Response to Finding: In response to these findings, OSA has reviewed its formal review and approval procedures to ensure that documentation of review and approval occurs with every federal expense and invoice, and all federal reports are submitted accurately and on-time. In response to this review, OSA has implemented the following: ● Adherence to a current and accurate Financial Management Policy Manual. The manual documents OSA’s policy and procedures regarding this finding: ○ Monthly close/reconciliation reviewed by Executive Director and Board of Directors. ○ Review of federal grant requirements by OSA Leadership Team to support the finance manager, to ensure all federal financial reports are filed accurately and on time. ○ Review and approval of all allowable federal expenditures and invoices by the OSA Executive Director. ○ Archiving a digital copy of review and approvals for every invoice submitted, including review and approval for all supporting documentation including approved timesheets. Name(s) of the Contact Person Responsible for Corrective Action: Laurajean Lewis, Executive Director, at laurajean@seedalliance.org Planned Completion Date for Corrective Action Plan: 06/01/2024

View Audit 320973

Finding 498124 (2022-002)

Significant Deficiency 2022

City of Middleton

WI

Reporting Special Tests & Provisions

Finding 2022-002: Significant Deficiency and Compliance with Reporting Provisions Corrective Action Plan: The City reviewed the updated guidelines for FEMA projects and worked with its auditors and Wisconsin Emergency Management to clarify the reporting requirements and timeline. When it was deter...

Finding 2022-002: Significant Deficiency and Compliance with Reporting Provisions Corrective Action Plan: The City reviewed the updated guidelines for FEMA projects and worked with its auditors and Wisconsin Emergency Management to clarify the reporting requirements and timeline. When it was determined that FEMA expenditures should be reported once the projects were obligated and costs incurred, the City proceeded to prepare and submit a 2022 single audit. Responsible Personnel: William Burns, Assistant City Administrator/ Finance Director Time Frame for Completion: September 30, 2024

View Audit 320800

Finding 497900 (2022-003)

None 2022

Total Community Action, Inc.

LA

Reporting Internal Control / Segregation of Duties § 200.512

1. Agency under the leadership of the CEO/CFO has invested and prioritized staff development in federal and state grant fiscal trainings, in support of timely and accurate financial statements. 2. CEO working with CFO will assure that all accounting and fiscal staff have access and support necessa...

1. Agency under the leadership of the CEO/CFO has invested and prioritized staff development in federal and state grant fiscal trainings, in support of timely and accurate financial statements. 2. CEO working with CFO will assure that all accounting and fiscal staff have access and support necessary to perform their assigned tasks and the segregation of duties. 3. CEO continues to assume full accountability to ensuring compliance with Board policy for monthly, quarterly fiscal reconciliations and reporting, supporting timely preparation of audit-ready financial statements, annual closeouts, and auditing. 4. Agency will issue RFP for independent auditor for FY 2024-2029 in September 2024, assuming that independent audotors will be engaged timely for the FY 2024 audit.

View Audit 320476

Finding 497575 (2022-002)

Material Weakness 2022

City of Owen

WI

Reporting Material Weakness

Annual Financial Reporting Under Generally Accepted Accounting Principles (GAAP) Fiscal Year: 2022 City’s Response: We concur. Views of Responsible Officials and Corrective Action: We have determined we cannot afford to hire additional staff that is required to properly prepare financial sta...

Annual Financial Reporting Under Generally Accepted Accounting Principles (GAAP) Fiscal Year: 2022 City’s Response: We concur. Views of Responsible Officials and Corrective Action: We have determined we cannot afford to hire additional staff that is required to properly prepare financial statements, disclosures, supplemental information, schedule of expenditures of federal awards and schedule of state financial assistance per generally accepted accounting principles in the United States of America. We feel that it makes more sense to work closely with our auditors to meet that criteria. Name of Responsible Person: Tracy Rau, Clerk/Treasurer Projected Implementation Date: Estimated, July 2024

View Audit 320339

Corrective Action Plans

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