Corrective Action Plans

Finding 484836 (2022-002)

Material Weakness 2022

Loretto Hospital

IL

Material Weakness Reporting Significant Deficiency

Correction action planned: When HRSA opens the portal again the numbers will be updated to estimates using the gross revenues by payor and the yearly contractual adjustments amounts. If the portal does not open again the facility will calculate net patient revenues, using estimates, in a separate fi...

Correction action planned: When HRSA opens the portal again the numbers will be updated to estimates using the gross revenues by payor and the yearly contractual adjustments amounts. If the portal does not open again the facility will calculate net patient revenues, using estimates, in a separate file to be sent to HRSA upon request. Anticipated completion date: upon request. Contact person responsible for correction action: Tesa Anewishki, CEO.

View Audit 317757

Finding 484787 (2022-004)

Material Weakness 2022

City of Unadilla, Georgia

GA

Reporting

Reporting of 2021 Community Development Block Grant Condition: The City did not record revenue and expenditures for the 2021 Community Development Block Grant (CDBG) in a capital projects fund. The expenditure of CDBG funds was not included on the original schedule of expenditures of federal awards...

Reporting of 2021 Community Development Block Grant Condition: The City did not record revenue and expenditures for the 2021 Community Development Block Grant (CDBG) in a capital projects fund. The expenditure of CDBG funds was not included on the original schedule of expenditures of federal awards (SEFA). Correction Action Plan: The City agrees with this finding and will more closely review missing check numbers to ensure all revenue and expenditures are recorded.

View Audit 317719

Finding 484708 (2022-001)

Material Weakness 2022

Mark Twain Association for Mental Health Inc.

MO

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Cash Management § 200.302 § 200.430

May 3, 2024 Re: SAMHSA Notice of Award for 6H79SM083161-01M003 MTBH submitted our budget based on anticipated salary costs for new hires, which we believe stayed at or below our actual costs. We made available all necessary documentation requested from payroll, grant-related expenses, grant reports...

May 3, 2024 Re: SAMHSA Notice of Award for 6H79SM083161-01M003 MTBH submitted our budget based on anticipated salary costs for new hires, which we believe stayed at or below our actual costs. We made available all necessary documentation requested from payroll, grant-related expenses, grant reports and timekeeping records to Wade Stables P.C for review. We did not have the grant in our financial software as we were beginning a migration to new software during the early stages of the grant; therefore, we tracked that grant on an excel spreadsheet that annually was provided to our auditors. Most of the staff assigned to the grant were full-time staff, so time allocation was easily tracked. For the few staff that were part-time we had designated codes in our Electronic Medical Record to identify work done on behalf of the grant. In response to Finding 2022-001- B Allowable Costs, we agree with the Statement of Cause citing the exponential growth of the organization regarding preparedness for a first-time grant award of this size being our largest challenge. Initially we were informed we had not received the grant then, due to additional COVID funding, we were invited to participate in the grant with a very short turnaround to finalize budgets and hire staff. Our salaries are consistent with the positions designated in the grant and in a few cases our staff salaries exceeded the allowable costs; therefore, those allowable costs were used to calculate the drawdown. MTBH did not have an established de minimis rate; therefore, we used the 10% designated rate associated with the grant. The interactive Budget Narrative Form template, required per SAMHSA guidelines, had 10% built into the template. If afforded future opportunities to secure a SAMSHA grant, we would be better positioned to execute the financial management in our SAGE software to segregate costs for the purpose of tracking the expenditures associated agency grant operations. Currently all agency expenditures have transferred into SAGE by our Vice President of Finance, Jenny Haught MBA, which would also be the Responsible Official to fiscally manage future grants. Respectfully, Angela Caraway, VP of Clinical Operations

View Audit 317609

Finding 484704 (2022-003)

Material Weakness 2022

North Wheeler County Hospital District D/b/a Parkview Hospital

TX

Questioned Costs Allowable Costs / Cost Principles Reporting

Corrective Action Plan for Finding 2022-003 We are in receipt of the findings required to be reported by the single audit for Period 1 reporting for payments received from the Provider Relief Fund (PRF), specifically, regarding discrepancies in the reporting requirements and auditing for the above ...

Corrective Action Plan for Finding 2022-003 We are in receipt of the findings required to be reported by the single audit for Period 1 reporting for payments received from the Provider Relief Fund (PRF), specifically, regarding discrepancies in the reporting requirements and auditing for the above period for the PRF. Management does not dispute the finding. The district will work to develop policies over financial reporting for future periods for PRF reporting and auditing. The district will perform detailed analysis of the reporting requirements in accordance with the guidelines set forth by HRSA. The hospital CEO, Cecil Gaither, will oversee this to ensure that this is accomplished. The district will also provide its’ consultants any information to be submitted to HRSA for accuracy. The district has already begun implementing the new procedures and is confident that all future submissions will be correct. The District had enough expenditures for Period 1 and 4 funding received to cover any disqualified lost revenues that were utilized as a basis for the funds received. The corrective action plan will be implemented by May 31, 2024.

View Audit 317591 Questioned Costs: $1

Finding 484690 (2022-001)

Material Weakness 2022

Save the Children Federation, INC and Related Entities

CT

Reporting § 200.303 § 200.510

Finding: 2022-001 Material Weakness over SEFA Preparation Federal Agency: U.S. Department of State Federal Program: Overseas Refugee Assistance Program for Near East (ALN 19.519) Contact Person: Corey Dillow, Senior Managing Director, Financial Controller Criteria 2 CFR 200.510 (b)(3) requires ...

Finding: 2022-001 Material Weakness over SEFA Preparation Federal Agency: U.S. Department of State Federal Program: Overseas Refugee Assistance Program for Near East (ALN 19.519) Contact Person: Corey Dillow, Senior Managing Director, Financial Controller Criteria 2 CFR 200.510 (b)(3) requires non-Federal entities receiving Federal award to (at minimum) provide total Federal awards expended for each individual Federal program and the Assistance Listings Number. Internal controls around the identification of ALNs and reporting of the SEFA should ensure proper presentation for each ALN number. Condition and Context During our planning meetings with management, we were notified that an award was recorded to an incorrect ALN in the 2022 Schedule of Expenditures of Federal Awards. The 2022 Schedule of Expenditures of Federal Awards was corrected and an additional major program, Overseas Refugee Assistance Program for Near East (ALN 19.519), was identified. Corrective Action: As result of the finding, management will be implementing the below steps to further refine internal controls in the identification and reporting of ALNs in the SEFA by: 1. Reinforcing the importance of ALN assignment and tracking through training. 2. Including the ALN attribute as a required element for award setup reviews. 3. Conducting periodic checks of ALNs to source agreements. 4. Documenting and performing additional SEFA data quality checks. Anticipated Completion Date: July 2024

View Audit 317575

Finding 484631 (2022-004)

Material Weakness 2022

Corporacion Del Centro De Bellas Artes De Puerto Rico

PR

Subrecipient Monitoring Material Weakness Reporting § 200.512

Action Item Title 2022-004 – Reporting Compliance Requirement Reporting Status (Open: In-process) Condition: Pass-Through Entity Reporting Requirements – The Corporation submitted just two reports during the year, the first and second required submission. Single Audit Reporting Packages – The ...

Action Item Title 2022-004 – Reporting Compliance Requirement Reporting Status (Open: In-process) Condition: Pass-Through Entity Reporting Requirements – The Corporation submitted just two reports during the year, the first and second required submission. Single Audit Reporting Packages – The Corporation did not comply with the Single Audit Reporting Package submission requirements for the years ended June 30, 2022, and 2023. Identified root cause: Lack of understanding of reporting compliance requirements for federal awards. Fiscal year 2022 was the first year for the Corporation to be subjected to a single audit compliance requirement for receiving and expending COVID-19 public health emergency programs. Grantee resolution plan: Pass-Through Entity Reporting Requirements – On July 1, 2022, the Corporation began submitting the monthly requested reports, subject to the Puerto Rico Fiscal Agency and Financial Advisory (AAFAF, as its Spanish acronym), the pass-through entity, required guidelines when funds are obligated. Single Audit Reporting Packages – The Corporation will submit the outstanding Single Audit Reporting Packages. Completion Date: Pass-Through Entity Reporting Requirements - Corrected Single Audit Reporting Packages – August 2024 Name and Title of contact: Linnette Dávila Alemán- Financial and Budget Assistant Manager Phone: 787-724-4747 ext. 2105 Email: ldavila@cba.pr.gov Jetppeht Pérez de Corcho Morgado – General Manager Phone: 787-724-4747 ext. 2102 Email: jperez@cba.pr.gov

View Audit 317516

Finding 484589 (2022-001)

Material Weakness 2022

La'i'opua 2020

HI

Reporting Internal Control / Segregation of Duties

In response to the negative finding of the prior year deficiency noted in the audits, immediate actions have been taken by L2020 to address the issues and prevent reoccurrence in the future. The individuals who were previously responsible for financial reporting and cash management during the audit ...

In response to the negative finding of the prior year deficiency noted in the audits, immediate actions have been taken by L2020 to address the issues and prevent reoccurrence in the future. The individuals who were previously responsible for financial reporting and cash management during the audit are no longer employed at L2020. Going forward, Rebecca “Kawehi” Inaba, appointed as the Executive Director in late 2021, will take charge of ensuring that L2020 remains compliant with all financial requirements, including conducting audits in a timely manner. The organization expresses confidence in her ability to keep L2020 up to date with all financial obligations. In an effort to enhance control and oversight, L2020 will be instituting a quality control review process for all forthcoming report submissions. This measure aims to identify any discrepancies or delays in submissions, enabling corrective actions to be taken promptly. L2020 remains dedicated to upholding transparency and accountability in their financial practices. These proactive steps are crucial in enhancing processes and performance. The organization appreciates understanding and support as they strive for improved financial management practices at L2020.

View Audit 317494

Finding 481434 (2022-001)

Material Weakness 2022

Pend Oreille County Public Hospital District No. 1

WA

Material Weakness Reporting Significant Deficiency

2022-001 Provider Relief Fund Reporting of Lost Revenue Corrective action planned: The District moved to a new EHR in the first quarter of 2021. The new system performs an automated allowance calculation; however, a manual distribution of the allowance is required to record the adjustment in the pr...

2022-001 Provider Relief Fund Reporting of Lost Revenue Corrective action planned: The District moved to a new EHR in the first quarter of 2021. The new system performs an automated allowance calculation; however, a manual distribution of the allowance is required to record the adjustment in the proper period. Unbilled receivables are not adjusted by the system; therefore, a manual journal entry is required to record the allowance. The District was not familiar with the system design and the distribution was not recorded in each month. A manual journal entry must be performed at the end of each month to distribute the allowance in the proper period. The District’s monthly closing procedures have been modified to record the allowance at the end of each month. Anticipated completion date: February 17, 2023 Contact person responsible for corrective action: Kim Manus, Chief Financial Officer

View Audit 317452

Finding 481401 (2022-001)

None 2022

Westside Family Healthcare

DE

Reporting

Westside Family Healthcare recognizes the importance of timely reporting, especially reporting required under the Uniform Guidance. Unusual circumstances were present durnig this audit period, including key staffing vacancies exacerbated by a change in accounting systems. The switch to a new account...

Westside Family Healthcare recognizes the importance of timely reporting, especially reporting required under the Uniform Guidance. Unusual circumstances were present durnig this audit period, including key staffing vacancies exacerbated by a change in accounting systems. The switch to a new accounting system was done in part to ensure reporting can be done efficiently and timely. The conversion to the new system is complete. In addition, staffing vacancies have been partially filled.

View Audit 317435

Finding 481368 (2022-001)

Material Weakness 2022

Monongalia Health System, Inc. and Subsidiaries

WV

Allowable Costs / Cost Principles Reporting Matching / Level of Effort / Earmarking § 200.303

Corrective Action Planned: Subsequent to the filing of the Period 1 reports Monongalia Health System, Inc. and Subsidiaries instituted new policies and procedures surrounding the use, tracking and reporting on federal funds, including the Provider Relief Fund and American Rescue Plan Act (ARP) Rural...

Corrective Action Planned: Subsequent to the filing of the Period 1 reports Monongalia Health System, Inc. and Subsidiaries instituted new policies and procedures surrounding the use, tracking and reporting on federal funds, including the Provider Relief Fund and American Rescue Plan Act (ARP) Rural Distribution. Under the new policies and procedures the usage of all funds is accumulated and reviewed on a monthly basis, and all reporting is subjected to reviews by the VP’s of Finance prior to reporting. Name(s) of Contact Person(s) Responsible for Corrective Action: Kevin Gessler, VP of Finance and Rick Scherich, VP of Finance are responsible for effectuating updated procedures Anticipated Completion Date: Updated Policies and procedures were implemented on September 30, 2023

View Audit 317404

Finding 481302 (2022-007)

Material Weakness 2022

Dunseith Public School District No. 1

ND

Questioned Costs Internal Control / Segregation of Duties Cash Management

Contact Person Evan Peltier Planned Corrective Action Dunseith Public School Dist. #1 will implement the recommendation from Brady Martz. Planned Completion Date The planned completion date will be the start of FY-23.

View Audit 317381 Questioned Costs: $1

Finding 481293 (2022-006)

Material Weakness 2022

Dunseith Public School District No. 1

ND

Reporting

Contact Person Evan Peltier Planned Corrective Action Dunseith Public School Dist. #1 will implement the recommendation from Brady Martz. Planned Completion Date The planned completion date will be the start of FY-23.

View Audit 317381

Finding 481151 (2022-015)

Significant Deficiency 2022

Unity Health Care, Inc.

MD

Reporting Internal Control / Segregation of Duties

Management Response #2022-015: Due to staff turnover in prior years and inadequate handover procedures, the reporting requirements under the WIC program was not done as required. Corrective Action Plan: • Training will be provided for the WIC staff that clearly delineates roles and responsibilities...

Management Response #2022-015: Due to staff turnover in prior years and inadequate handover procedures, the reporting requirements under the WIC program was not done as required. Corrective Action Plan: • Training will be provided for the WIC staff that clearly delineates roles and responsibilities for each position in the WIC Dept. This training will separate the tasks of income verification and medical risk assessments under different job titles. Job descriptions and policy/procedures manuals will be updated to memorialize this update. • The Grants program management team will expand upon our current process to ensure eligibility determination is verified and documented. Responsible Party: Tracy Harrison, COO

View Audit 317252

Finding 481138 (2022-008)

Significant Deficiency 2022

Unity Health Care, Inc.

MD

Reporting

Management Response #2022-008: Staff turnover in FY2020-2021, saw a departure of key personnel that calculated and filed the SF-425 Federal Financial Report for the reporting period end date of December 31, 2021. In addition, the staff that was responsible for reviewing and approving the reports lef...

Management Response #2022-008: Staff turnover in FY2020-2021, saw a departure of key personnel that calculated and filed the SF-425 Federal Financial Report for the reporting period end date of December 31, 2021. In addition, the staff that was responsible for reviewing and approving the reports left the company in FY2021. Corrective Action Plan: In FY2022, the following steps were implemented to ensure there is proper support for the program income calculation and it is reviewed and approved prior to submission of the SF-425 reports. • The Vice President of Grants Management and Senior Director of Finance will work collaboratively with their teams to ensure that the program income calculation is supported and accurate. • Nitro or a similar tool to document their review and approval of the calculation and the supporting documentation. • The evidence of review and approval will be stored in a central repository. Responsible Party: Tamara Barnes, CFO

View Audit 317252

Finding 481131 (2022-012)

Significant Deficiency 2022

Unity Health Care, Inc.

MD

Reporting Internal Control / Segregation of Duties

Management Response #2022-012: Due to staff turnover in prior years and inadequate handover procedures, the Federal Funding Accountability and Transparency Act (FFATA) reports were not filed with the granting agencies as required. Corrective Action Plan: The Grants program department will develop p...

Management Response #2022-012: Due to staff turnover in prior years and inadequate handover procedures, the Federal Funding Accountability and Transparency Act (FFATA) reports were not filed with the granting agencies as required. Corrective Action Plan: The Grants program department will develop procedures to ensure that we are compliant in the timely submission of the Federal Funding Accountability and Transparency Act (FFATA) reports. This will be monitored and audited by the Vice President of the grants program at regular intervals. In additional the grants program staff will provide monthly updates to the Finance grants team as to the status of submission as well as copying the team on all submission. Responsible Party: Erin Flior, CSDO

View Audit 317252

Finding 481116 (2022-007)

Significant Deficiency 2022

Unity Health Care, Inc.

MD

Reporting

Management Response #2022-007: The pandemic and subsequent shift to remote work saw a disruption on the previous workflow of reviewing and approval of federal programs financial reports prior to submission to the granting agency. Staff turnover in key financial positions also contributed to the depa...

Management Response #2022-007: The pandemic and subsequent shift to remote work saw a disruption on the previous workflow of reviewing and approval of federal programs financial reports prior to submission to the granting agency. Staff turnover in key financial positions also contributed to the departure in following the processes that were in place and I sufficiently documented. This practice continued into FY2021 which also had similar issues. Corrective Action Plan: In FY2022, the following steps were implemented to ensure there is proper review and approval of reports required under the federal programs prior to submission. • The Vice President of Grants Management and Senior Director of Finance, which reside in two different departments, will work collaboratively with their teams to ensure that federal financial and programmatic reports are accurate and have adequate support and thereby strengthen the internal controls. • All federal and programmatic reports will go through an approval process requiring the signature of a senior programmatic leader and a senior finance leader. Responsible Party: Tamara Barnes, CFO

View Audit 317252

Finding 481113 (2022-004)

Material Weakness 2022

Unity Health Care, Inc.

MD

Reporting § 200.512

Management Response #2022-004: Due to staff shortages and turnover in FY2020-21 and continuing into FY2022, the company did not have adequate personnel in place to properly monitor or document grant activity. Formal documentation of policies and procedures were also deficient. Corrective Action Pla...

Management Response #2022-004: Due to staff shortages and turnover in FY2020-21 and continuing into FY2022, the company did not have adequate personnel in place to properly monitor or document grant activity. Formal documentation of policies and procedures were also deficient. Corrective Action Plan: The following action items have been established. • In 2022, the finance team delineated and expanded positions whose primary responsibility is to monitor and manage all grant activities. • In 2022 Project Budget Reports have been created for each federal award. These reports include the budget, expenses foreach month and the revenue (drawdown) incurred foreach month. The reports will be reviewed and reconciled by the grants administration staff and finance monthly to ensure all agree with the allocated costs and that costs follow compliance and grant regulations. This will allow timely reconciliation of grants before year end for FFRs, SEFA preparation, audit, reporting package and data collection for FAC. Responsible Party: Tamara Barnes, CFO

View Audit 317252

Finding 481107 (2022-009)

Significant Deficiency 2022

National Casa Association

WA

Subrecipient Monitoring Reporting § 200.303

Responsible: Denice Hairston, Chief Quality, Compliance and Accountability Officer Corrective Actions: Update FFATA reporting procedures to document and maintain documentation of Supervisory review and approval of FFATA data preparation. Completion Date: March 29, 2023 Explanation: Management c...

Responsible: Denice Hairston, Chief Quality, Compliance and Accountability Officer Corrective Actions: Update FFATA reporting procedures to document and maintain documentation of Supervisory review and approval of FFATA data preparation. Completion Date: March 29, 2023 Explanation: Management concurs that although it already enhanced policies to comply with an OJJDP/OCFO recommendation resolved in 2023, which included a two-step review and approval process for subrecipient awards involving the Executive Team, grantor procedures will be updated as recommended to include a third step to specify review and approval of subrecipient FFATA data prior to submission. The Supervisor or member of the Executive Team will capture review and approval of FFATA data with an email including the approved list attached. When FFATA reporting is submitted by staff, the list will be updated with the date submitted and returned to the Supervisor to confirm timeliness. Regarding the 12 subrecipient awards for Court Appointed Special Advocates selected for testing FFATA submission requirements, 9 out of 12 reports were submitted by the last day of the month following the start of the grant period.

View Audit 317239

Finding 481099 (2022-007)

Significant Deficiency 2022

National Casa Association

WA

Subrecipient Monitoring Reporting § 200.512

Responsible: Thomas Hoover, CFO Corrective Actions: Upload the 2022 reporting package to the Federal Audit Clearinghouse. Completion Date: August 14, 2024 Explanation: Management concurs that the reporting package was not submitted to the Federal Award Clearinghouse within the deadline due to t...

Responsible: Thomas Hoover, CFO Corrective Actions: Upload the 2022 reporting package to the Federal Audit Clearinghouse. Completion Date: August 14, 2024 Explanation: Management concurs that the reporting package was not submitted to the Federal Award Clearinghouse within the deadline due to the completion of the closeout of a joint OJJDP/OCFO October 2022 monitoring visit report that resulted in a delay in the FY22 Single Audit being conducted and completed.

View Audit 317239

Finding 481085 (2022-003)

Material Weakness 2022

National Casa Association

WA

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.430

Responsible: Thomas Hoover, CFO Corrective Actions: 1) Update Finance policies to document and maintain the documentation of Supervisory review and approval of journal entries charging payroll costs to federal grants; 2) Update Finance policies to review estimates of accrued costs charged to feder...

Responsible: Thomas Hoover, CFO Corrective Actions: 1) Update Finance policies to document and maintain the documentation of Supervisory review and approval of journal entries charging payroll costs to federal grants; 2) Update Finance policies to review estimates of accrued costs charged to federal grants at calendar/fiscal year end to determine whether true-ups to actual costs are necessary. Completion Date: March 29, 2023 Explanation: 1) Review of allocated payroll costs: Payroll processing and recording of costs charged to federal grants has in practice, consistently involved multiple review and approval steps by at least two employees. Detailed records of these steps are maintained in Finance records for each payroll, including the allocated grant costs. However, Management acknowledges that an additional step be added to capture the documentation of review and approval of the payroll journal entries that allocate payroll costs to federal grants. This step was put in place in 2023 to resolve a recommendation from OJJDP/OCFO. Supervisor review and approval is captured directly in the general ledger system. Finance policies have been updated to codify this additional step as recommended. 2) Procedure for trueing up estimates: Three of sixty transactions tested showed that payroll costs were accrued at year end based on the approved grant budget but were not trued up in the new accounting period based on actual costs. The total variance of the three transactions was $6.20. Finance policies have been updated to include evaluating year-end accruals to determine whether a true-up is necessary in the new period as recommended.

View Audit 317239

Finding 481081 (2022-002)

Significant Deficiency 2022

National Casa Association

WA

Subrecipient Monitoring Reporting

Responsible: Sally Erny, Deputy CEO Corrective Action: Document and maintain documentation of Supervisory review and approval of grant reports. Completion Date: July 10, 2024 Explanation: Since the inception of National CASA/GAL receiving federal funding, procedures and practices were in place f...

Responsible: Sally Erny, Deputy CEO Corrective Action: Document and maintain documentation of Supervisory review and approval of grant reports. Completion Date: July 10, 2024 Explanation: Since the inception of National CASA/GAL receiving federal funding, procedures and practices were in place for the review and approval of performance reports and SF-425s (FFRs). This practice includes the involvement of multiple staff in the organization participating in the development and review of these documents and a knowledgeable staff member with appropriate authority approving the document. There are many points of approval through the development of the reports. In terms of the FFRs, the Accounting Director is responsible for preparing a Pivot table showing the expenses for the grant for both the quarterly and inception to date periods and to update the data worksheet for the quarterly FFR report. The Controller confirms that the cumulative expenses indicated on the quarterly FFR report data worksheet match the inception to date information in the accounting ledger and then approves the report. The Accounting Director submits the FFR report through the Grants Management System. In 2023 a policy, as part of the Operations SOPs, was put in place that in addition to the various staff who work on developing the performance report, OJJDP performance reporting would be reviewed and approved and documented as such, by the Project Manager and appropriate Chief Officer. This policy formalized what had been happening in practice over many years. While we acknowledge that this policy of documentation was not in place in 2022, the practice of review and approval was. In 2023 and going forward, we have improved documenting the approval processes for the FFRs and performance reports.

View Audit 317239

Finding 481028 (2022-001)

Significant Deficiency 2022

American Baptist Theological Seminary

TN

Reporting

The College does not dispute this finding. The finding pertains to the College’s efforts to renovate its historic library to make it more accessible and user-friendly. To fund the project's initial phase, the renovations required the aggregation and carry-over of Title IIIB funds over multiple fisca...

The College does not dispute this finding. The finding pertains to the College’s efforts to renovate its historic library to make it more accessible and user-friendly. To fund the project's initial phase, the renovations required the aggregation and carry-over of Title IIIB funds over multiple fiscal year periods. Before the commencement of construction, the Title IIIB program officer was informed of the College’s intent to dedicate the aggregated funds to the project. There was no indication from the Department of Education that such use would be an inappropriate practice. Because no blueprints or other construction documents were available for the mid-1950s era building, the College, and the construction professionals it utilized, anticipated that the project would experience unknown conditions and unanticipated material and equipment supply delays during the construction period that would increase the cost of the project. Some unknown conditions included a significant floor height discrepancy between building sections and extensive rock formations in the excavation area. The recording and reconciliation errors noted by the auditor above reflect the College’s attempt to ensure that it had sufficient cash on hand during the project to meet both anticipated and unanticipated expenses. Additionally, a second phase of the library modernization project involving HVAC, window system, and flooring upgrades was planned even before the beginning of the initial phase of construction. While few of the second-phase improvements were ultimately included in the initial stage, the College has proceeded with the remaining second-phase enhancements, including replacing existing windows and flooring. These items will be expensed in the next quarter (October-December 2022). The College now recognizes that the approach described above is unallowable, and will confine its future drawdowns of federal funds to actual, not speculative, expenditures. The Board will implement the above procedure immediately.

View Audit 317146

Finding 481007 (2022-004)

Significant Deficiency 2022

City of Groton

SD

Internal Control / Segregation of Duties Reporting Significant Deficiency

Finding 2022-004 Finding Summary: In our testing of reporting, we did not have a documented control in place to review reports prior to submission for reporting directly to Department of Treasury. Responsible Individuals: Douglas Heinrich, Finance Officer Corrective Action Plan: We will adopt contro...

Finding 2022-004 Finding Summary: In our testing of reporting, we did not have a documented control in place to review reports prior to submission for reporting directly to Department of Treasury. Responsible Individuals: Douglas Heinrich, Finance Officer Corrective Action Plan: We will adopt controls to have a review process added before the required reports for federal programs are submitted to federal or state agencies. Anticipated Completion Date: December 31, 2024

View Audit 317109

Finding 480993 (2022-002)

Material Weakness 2022

Brookfield Local School District

OH

Subrecipient Monitoring Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.414 § 200.502 § 200.510

All future federal expenditures will be reconciled to the disbursement ledger.

View Audit 317104

Finding 480963 (2022-002)

Material Weakness 2022

Town of Southampton

MA

Internal Control / Segregation of Duties Material Weakness Reporting

Planned Corrective Action: The Town will adopt policies pertaining to federal awards, specifically ARPA, that have been effective and useful in other municipalities. Using established policies from other municipalities will expedite bringing Southampton into compliance. The new policies will esta...

Planned Corrective Action: The Town will adopt policies pertaining to federal awards, specifically ARPA, that have been effective and useful in other municipalities. Using established policies from other municipalities will expedite bringing Southampton into compliance. The new policies will establish controls setting responsibilities and deadlines for timely and accurate submissions. With ARPA funding moving towards an expiration date, these policies will be important to finalize and close-out any awards.

View Audit 317084

Corrective Action Plans

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