Corrective Action Plans

Finding 36611 (2022-011)

Material Weakness 2022

State of Georgia/state Accounting Office-Ein Noted

GA

Subrecipient Monitoring Allowable Costs / Cost Principles Material Weakness § 200.303

2022-011 Improve Controls over Transparency Act Reporting Federal Agency: U.S. Department of Education State Entity: Department of Education Corrective Action Plans: The Department of Education concurs with this audit finding. We hired additional staff during June 2022 to complete Federal Funding ...

2022-011 Improve Controls over Transparency Act Reporting Federal Agency: U.S. Department of Education State Entity: Department of Education Corrective Action Plans: The Department of Education concurs with this audit finding. We hired additional staff during June 2022 to complete Federal Funding Accountability and Transparency Act (FFATA) reporting to ensure the reports are submitted timely and accurately moving forward. Estimated Completion Date: June 30, 2023 Contact Person: Metsehet Ketsela, Assistant Director Telephone: 678-472-7898; E-mail: metsehet.ketsela@doe.k12.ga.us

View Audit 26105

Finding 36606 (2022-031)

Significant Deficiency 2022

State of Georgia/state Accounting Office-Ein Noted

GA

Reporting Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303

2022-031 Continue to Improve Internal Controls over Federal Financial Reporting Federal Agency: U.S. Department of the Treasury State Entity: Office of the Governor Corrective Action Plans: The Office of Planning and Budget shall maintain written documentation showing independent review and approv...

2022-031 Continue to Improve Internal Controls over Federal Financial Reporting Federal Agency: U.S. Department of the Treasury State Entity: Office of the Governor Corrective Action Plans: The Office of Planning and Budget shall maintain written documentation showing independent review and approval of data entered for reporting prior to submission of all federal reports. Estimated Completion Date: March 31, 2022 Contact Person: Stephanie Beck, Deputy Director Telephone: 678-245-0675; E-mail: stephanie.beck@opb.georgia.gov

View Audit 26105

Finding 36598 (2022-029)

Material Weakness 2022

State of Georgia/state Accounting Office-Ein Noted

GA

Reporting Special Tests & Provisions Subrecipient Monitoring § 200.303

2022-029 Improve Controls over the Identification, Recording, and Reporting of Overpayments Federal Agency: U.S. Department of Labor State Entity: Department of Labor (GDOL) Corrective Action Plans: The Georgia Department of Labor did not maintain adequate controls over the identification, recordin...

2022-029 Improve Controls over the Identification, Recording, and Reporting of Overpayments Federal Agency: U.S. Department of Labor State Entity: Department of Labor (GDOL) Corrective Action Plans: The Georgia Department of Labor did not maintain adequate controls over the identification, recording, and reporting of benefit overpayments associated with the Unemployment Insurance programs. GDOL Response: The Georgia Department of Labor disagrees with this finding. USDOL provides guidance and recommended procedures for crossmatches but does not dictate a frequency or cadence for performing them. The crossmatch process is conducted using third party software which runs a systematic check against weeks in a quarter for which benefits are paid and wages are reported during the same quarter. Although the program may detect weeks paid and wages reported, this alone is not indicative of an overpayment. Therefore, the process involves verification correspondence being sent to both the claimant and the employer, as applicable, to verify the status of employment, the wages earned as well as the weeks in which an individual worked and earned the wages. Based on responses, an assessment is made to determine if an overpayment exists and subsequent actions are taken accordingly. We are prohibited from assuming a match is an overpayment. It is not an overpayment until we have completed a full investigation and provided due process to all parties. The audit report indicates misinterpretation of the data reflected on the federal reports, specifically the ETA 227. The ETA 227 is for reporting of overpayment detection and recovery activities that the Agency performed in a quarter. It is not for reporting the amount of benefits overpaid for specific weeks during that quarter. A federal reporting team was created to accurately identify and track overpayments. The Department is taking necessary actions to complete the overpayment reconciliation for the ETA 227 and 902 reports. Federal regulations require an actual person to review and establish fraudulent overpayments. Due to the volume of claims and the number of cross matches to be performed on all state and federal pandemic programs, it would require multiple GDOL staffing levels to review all cross matches, requiring increased levels of state and federal funding. Summary GDOL has developed an aggressive plan to complete all remaining state and pandemic program cross matches. We have filled all of our budgeted positions for the Overpayment Unit and are utilizing non-overpayment staff to assist with identification and overpayment investigations. Additionally, we are utilizing temp agency staff to perform some clerical duties; however, federal regulations prohibit non-merit staff from adjudicating and releasing overpayment decisions. In early 2022, we started to freeze the overpayment data at the end of every month so that we can conduct periodic reconciliation of the overpayment records. GDOL is coordinating with USDOL to ensure the timely and accurate identification, tracking and reporting of overpayments. GDOL greatly appreciates the feedback and recommendations and will consider this information in future endeavors to modernize and update system and business processes. Estimated Completion Date: January 1, 2022 Contact Person: Crystal Singleton, Policy and Procedure Manager Telephone: 404-232-3183; E-mail: Crystal.Singleton@gdol.ga.gov

View Audit 26105

Finding 36594 (2022-026)

Significant Deficiency 2022

State of Georgia/state Accounting Office-Ein Noted

GA

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting § 200.303

2022-026 Improve Controls over Transparency Act Reporting Federal Agency: U.S. Department of Housing and Urban Development State Entity: Department of Community Affairs (DCA) Corrective Action Plans: Since the State audit, DCA has revised its processes and procedures related to the submission of th...

2022-026 Improve Controls over Transparency Act Reporting Federal Agency: U.S. Department of Housing and Urban Development State Entity: Department of Community Affairs (DCA) Corrective Action Plans: Since the State audit, DCA has revised its processes and procedures related to the submission of the Federal Funding Accountability and Transparency Act (FFATA) for all federal programs, including CDBG-DR and CDBG-MIT. These processes include a formal review and approval of the report by the Office Director and the Division Director prior to submission. Estimated Completion Date: February 3, 2023 Contact Person: Nina Gyasi, Financial Ops and Reporting Manager Telephone: 404-679-5820; E-mail: nina.gyasi@dca.ga.gov

View Audit 26105

Finding 36589 (2022-026)

Significant Deficiency 2022

State of Texas C/o Comptroller of Public Accounts

TX

Allowable Costs / Cost Principles Special Tests & Provisions Subrecipient Monitoring § 200.303

Corrective action plan: For the annual UI access review, TWC will monitor the annual CAPPS Systems Access Privileges Certification in CAPPS to ensure timely completion. For the code developer/promoter system roles, IT will implement a new quarterly review of developer roles to ensure no staff memb...

Corrective action plan: For the annual UI access review, TWC will monitor the annual CAPPS Systems Access Privileges Certification in CAPPS to ensure timely completion. For the code developer/promoter system roles, IT will implement a new quarterly review of developer roles to ensure no staff member has both roles assigned to ensure separation of duties in the system roles. We are also looking at potential technical solutions that would automate and prevent staff being assigned certain roles based on separation of duties. Implementation date(s): February 28,2023 Responsible Persons: Heather Hall, CIO

View Audit 28519

Finding 36588 (2022-016)

Significant Deficiency 2022

State of Texas C/o Comptroller of Public Accounts

TX

Matching / Level of Effort / Earmarking Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

Corrective action plan: The OOG?s Public Safety Office (PSO) Performance and Records Coordinator staff position, which is the position responsible for submitting the FFATA reports into the federal reporting system, was vacant at the time the May 2022 report was due. This position is now filled and...

Corrective action plan: The OOG?s Public Safety Office (PSO) Performance and Records Coordinator staff position, which is the position responsible for submitting the FFATA reports into the federal reporting system, was vacant at the time the May 2022 report was due. This position is now filled and PSO updated the written policy and procedure to include additional staff positions that will prepare the FFATA report in the event the Coordinator is unavailable. In addition, the FFATA policy has been updated to include dates by which certain steps in the process should be met. See excerpt from revised PSO Policy 5.40 FFATA: ?FFATA Reports are prepared by the Grants Administration Performance and Records Coordinator and will be reviewed by the appropriate Program Manager(s). The Grants Administration Director will review and approve reports prior to submission in the FFATA Subaward Reporting System (FSRS). In the event the Performance and Records Coordinator is not available to prepare the FFATA reports, either the Grants Administration Business Operations Specialist or the Grants Administration Compliance and Operations Administrator will prepare and route the reports for review. On or about the 5th day of the month in which the report is due, the Performance and Records Coordinator, or backup, will pull new award data and grant adjustment data from eGrants. On or about the 10th day of the month in which the report is due, the Records and Performance Coordinator, or backup, will route the report to the appropriate Program Manager(s) for review. On or about the 15th day of the month the report will be routed to the Grants Administration Director for review and approval. Monthly reports will be prepared and submitted at https://www.fsrs.gov/ no later than the last day of the current month for awards made during the prior month.? Implementation date(s): The vacant Performance and Records Coordinator position was filled in July 2022. The FFATA policy was updated February 3, 2023. Responsible persons: Zach Lohbauer, Performance and Records Coordinator Angie Martin, Director of Grants Administration

View Audit 28519

Finding 36571 (2022-002)

None 2022

Greater Johnstown Area Vocational Technical School

PA

Allowable Costs / Cost Principles Reporting

Responsible Individual: Matthew Zern, Financial Officer Corrective Action Plan: Due to the retirement of Greater Johnstown Area Vocational Technical School?s long time business manager and the sudden resignation of the replacement, the audit was unable to be completed timely. Greater Johnstown Are...

Responsible Individual: Matthew Zern, Financial Officer Corrective Action Plan: Due to the retirement of Greater Johnstown Area Vocational Technical School?s long time business manager and the sudden resignation of the replacement, the audit was unable to be completed timely. Greater Johnstown Area Vocational Technical School currently has a business manager in place and is expected to file its audit timely beginning with the June 30, 2023, fiscal year ending. Anticipated Completion Date: November 30, 2023.

View Audit 27025

Finding 36568 (2022-002)

Significant Deficiency 2022

Springfield Metropolitan Housing Authority

OH

HUD Housing Programs Reporting Internal Control / Segregation of Duties

2. Current Findings on the Schedule of Finding, Questioned Cost and Recommendation b. Finding 2022-002. U.S. Department of Housing and Urban Development Housing Choice Voucher Cluster. Financial Statements The year-end financial statements generated from the general ledger, that were prepared an...

2. Current Findings on the Schedule of Finding, Questioned Cost and Recommendation b. Finding 2022-002. U.S. Department of Housing and Urban Development Housing Choice Voucher Cluster. Financial Statements The year-end financial statements generated from the general ledger, that were prepared and presented for the audit contained inconsistencies, in comparison to the financial statements submitted to the Auditor of State, via the Hinkle Submission and the Entity Wide Balance Sheet and Entity Wide Revenue and Expense Summary, submitted via the Financial Assessment Subsystem. (1) Comments on the Finding and Each Recommendation. Management concurs with the finding and the auditor?s recommendation that the Public Housing Authority should assess the adequacy of the design of its policies and procedures related to preparation of financial statements and the design appropriate controls as necessary to rectify inadequacies. Furthermore, the Public Housing Authority should consider where errors could occur that would cause a material misstatement in the financial statements and which policies or procedures would prevent or detect the error on a timely basis. (2) Actions Taken on the Finding. Contributing to differences between the system generated financial statements and the financial statements prepared by the Authority for distribution include balances in accounts that typically have a balance that would appear on the Liability side of the Statement of Net Position, but in any given year have a balance reported on the Asset side of the Statement of Net Position, an example being the OPEB Net Asset. Balances of grants of short duration that for grant reporting purposes are maintained cumulatively in the general ledger for which only period amounts are reported on the Statement of Revenues, Expenses, and Change in Net Position is also an example of what can cause such differences. It is unknown by current management of Springfield MHA when the mapping for the financial statements generated by the Authority's accounting software was done or last updated. The financial statements generated by the Authority's accounting software are for very limited use by management only. They are not and were not generated for publication and distribution. For audit, Springfield MHA prepares trial balance worksheets that document mapping to the unaudited Financial Data Schedule, and then the totals from the unaudited Financial Data Schedule as adjusted (if applicable) provide the basis for the Financial Statements prepared for financial reporting and distribution. In addition to considering any mapping changes needed to system generated financial statements in the Authority's accounting software, Springfield MHA will consider how to label the financial statements generated by the accounting software as For Management Use Only.

View Audit 23985

Finding 36567 (2022-001)

Significant Deficiency 2022

Springfield Metropolitan Housing Authority

OH

HUD Housing Programs Reporting

1. Current Findings on the Schedule of Finding, Questioned Cost and Recommendation a. Finding 2022-001. U.S. Department of Housing and Urban Development Housing Choice Voucher Cluster. Bank Reconciliation The bank reconciliations performed as of September 30, 2022 were not reconciled to the gene...

1. Current Findings on the Schedule of Finding, Questioned Cost and Recommendation a. Finding 2022-001. U.S. Department of Housing and Urban Development Housing Choice Voucher Cluster. Bank Reconciliation The bank reconciliations performed as of September 30, 2022 were not reconciled to the general ledger. (1) Comments on the Finding and Each Recommendation. Management concurs with the finding and the auditor?s recommendation that bank reconciliations should be reconciled to the general ledger on a monthly basis and that transfers between programs should be recognized in the due to and due from accounts. Performing these procedures will reduce the risk of an overdrawn or overstated bank balance, during the fiscal year. (2) Actions Taken on the Finding. Springfield MHA will revise standard operating procedures so that bank reconciliations for the month of September of each fiscal year-ended September 30 will reflect balances in intercompany accounts receivables and intercompany accounts payables reported in accordance with HUD Accounting Brief 14 on the Financial Data Schedule as reconciling items on the bank reconciliations. For this fiscal year-end September 30, 2022, the reporting of such balances in accordance with HUD Accounting Brief 14 was only documented on trial balance worksheets that document mapping between trial balance numbers and the Financial Data Schedule. In addition, the Authority will implement controls to ensure all reconciling items are clearly documented on bank reconciliations performed monthly.

View Audit 23985

Finding 36562 (2022-001)

None 2022

Memphis Housing Authority

TN

HUD Housing Programs Reporting Internal Control / Segregation of Duties

March 29, 2023 U.S. Department of Housing and Urban Development The Housing Authority of Memphis, Tennessee respectfully submits the following corrective action plan for the year ended June 30, 2022. Berman Hopkins Wright & LaHam, CPAs and Associates, LLP 8035 Spyglass Hill Road Melbourne, FL 32940 ...

March 29, 2023 U.S. Department of Housing and Urban Development The Housing Authority of Memphis, Tennessee respectfully submits the following corrective action plan for the year ended June 30, 2022. Berman Hopkins Wright & LaHam, CPAs and Associates, LLP 8035 Spyglass Hill Road Melbourne, FL 32940 Audit period: July 1, 2021 ? June 30, 2022 The finding from the June 30, 2022 schedule of findings and questioned costs are discussed below. FINDINGS ? FINANCIAL STATEMENTS AUDIT 2022-01 Financial Reporting Other Matter Condition: The Authority did not submit the original unaudited financial data to HUD until 6 months after their fiscal year end. For the fiscal year end June 30, 2022, the Authority's unaudited financial data schedule was submitted 4 months late. Context: The Authority's unaudited financial data submission is required to be sent to the U.S. Department of Housing and Urban Development Real Estate Assessment Center ("REAC") by August 31st of each fiscal year. In the past, due to COVID-19, waivers issued by HUD allowed for an extension of time that did not apply to the June 30, 2022 year end submission. Criteria: In accordance with HUD rules and regulations, the Authority is required to submit their unaudited financial information to REAC within 60 days after the fiscal year end, regardless of size and complexity of the agency. Cause: The completion of the prior year's approval from REAC, created delays for the current period. In prior years there have been waivers and extensions related to the initial financial close and submission to REAC, which extended into the current period and created delays for the current fiscal year to be submitted on time. Effect: The unaudited financial data was not submitted within the required time period for full points on REAC's scoring methodology for all authorities. In addition, HUD could not provide timely financial oversight based on the unaudited REAC submission. Auditor's Recommendations: The Authority should continue to monitor current HUD reporting due dates and follow up on expiration dates for any current relied upon waivers. In addition, we recommend the Authority develop a process to track compliance with timely HUD reporting for future due dates. View of Responsible Officials: With prior HUD extensions for unaudited financial submissions due to COVID-19, the Memphis Housing Authority presumed an extension was provided for FY2022 unaudited financials. The Memphis Housing Authority will make certain future unaudited and audited financial submissions are submitted by the stated deadlines. Contact: Vickie Aidridge, Chief Financial Officer, (901) 544-1329, valdridge@memphisha.org. If the Department of Housing and Urban Development has questions regarding this plan, please contact Dexter D. Washington, Chief Executive Officer, at (901) 544-1102. Sincerely yours, Dexter D. Washington, Chief Executive Officer

View Audit 27024

Finding 36552 (2022-004)

Material Weakness 2022

Lewisburg Borough

PA

Reporting Internal Control / Segregation of Duties

Finding 2022-004 Grant Program/CFDA#: Community Development Block Grant Program, 14.228 Federal Agency/Pass-Through Entity: United States Department of Housing and Urban Development/Pennsylvania Department of Community and Economic Development Finding - General - Financial Statement Preparation: In ...

Finding 2022-004 Grant Program/CFDA#: Community Development Block Grant Program, 14.228 Federal Agency/Pass-Through Entity: United States Department of Housing and Urban Development/Pennsylvania Department of Community and Economic Development Finding - General - Financial Statement Preparation: In connection with the audit of the Borough of Lewisburg's financial statements, like most smaller local governmental entities, management has requested that its external auditors assist in the drafting of the schedule of expenditures of federal awards. Borough management has determined that it is more cost-beneficial to utilize the services of its auditors to assist in drafting the schedule of expenditures of federal awards, as opposed to hiring a professional accountant trained in such matters. While the Borough's internal accounting personnel have the ability to interpret and understand its schedule of expenditures of federal awards, they do not have sufficient experience in preparing that schedule in accordance with generally accepted accounting principles. It was recommended by the auditors that management should prepare its schedule of expenditures of federal awards. However, in evaluating this need, the Borough must weigh the cost of employing additional personnel against the benefits to be derived therefrom. Borough Response: The Borough will consider training staff to achieve these duties, but it does not expect to hire additional personnel to perform these duties.

View Audit 27371

Finding 36551 (2022-003)

Significant Deficiency 2022

Comprehend INC

KY

Allowable Costs / Cost Principles Reporting

2022-003 Improve Recordkeeping of Expense Allocations (Block Grants for Prevention and Treatment of Substance Abuse Assistance Listing #93.9592) Recommendation: We recommend that Comprehend maintains supporting documentation of all expense allocations and have it on file and readily available for th...

2022-003 Improve Recordkeeping of Expense Allocations (Block Grants for Prevention and Treatment of Substance Abuse Assistance Listing #93.9592) Recommendation: We recommend that Comprehend maintains supporting documentation of all expense allocations and have it on file and readily available for the audit. Action Taken: Management agrees that supporting documentation is to be maintained to comply with Grant Requirements. Comprehend is currently working with Payroll Provider; ADP, to comply with the complexity of the payroll requirement as its to reconciling allocations of payroll at the program level. This process will be in place by May 2023 under the new provider. Donna Hicks, CFO, and Melanie Hill, Accounting Assistant, are the contact persons responsible for the corrective action.

View Audit 27023

Finding 36550 (2022-002)

Material Weakness 2022

Comprehend INC

KY

Questioned Costs Reporting

2022-002 Reporting Deadlines Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Assistance Listing #93.498) Recommendation: We recommend that Comprehend management review all grant funding for reporting deadlines and coordinate this responsibility with the respective program di...

2022-002 Reporting Deadlines Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Assistance Listing #93.498) Recommendation: We recommend that Comprehend management review all grant funding for reporting deadlines and coordinate this responsibility with the respective program directors. Action Taken: Management concurs with this finding and agrees with the finding and has put in place processes to ensure that all required data reporting related to grants is done within the state required deadlines. Due to significant turnover in the finance and accounting department during the 2021 fiscal year when this grant was received, the CFO and/or CEO did not receive any communication from HRSA regarding the reporting. Management has and continues following the repayment status of HRSA Funding. The process was put into place December 2022. Donna Hicks, CFO, is the contact person responsible for the corrective action.

View Audit 27023 Questioned Costs: $1

Finding 36535 (2022-002)

Significant Deficiency 2022

Schreiner University

TX

Subrecipient Monitoring Cash Management Reporting

Finding 2022-002: Significant Deficiency ? Reporting - Higher Education Emergency Relief Fund Condition/Context: The quarterly and annual reporting contained some information that did not agree to support provided, and some of the quarterly reports were not posted to the University?s website withi...

Finding 2022-002: Significant Deficiency ? Reporting - Higher Education Emergency Relief Fund Condition/Context: The quarterly and annual reporting contained some information that did not agree to support provided, and some of the quarterly reports were not posted to the University?s website within the required time frame. ? For both the institutional and student portions of the grant, there was no quarterly report for the period ending June 30, 2021. Reporting was posted for the period ending May 30, 2021 which reported the final activities for the second round of HEERF awards. There were drawdowns that occurred during the month of June 2021 for both portions of the third round of HEERF funding that were incorrectly included in the September 30, 2021 quarterly reports. ? The University?s institutional portion quarterly report for September 30, 2021 reported the total for only lost revenue from auxiliary sources and this did not agree to support provided. ? The 2021 annual report had some information that did not agree to the underlying support provided by the University. Specifically, the total for lost revenue and the total for other uses, and the required two new uses (direct outreach and monitoring and suppressing) were not reported although the support file provided did include costs for those items. Corrective Action Plan: Management recognizes the significant deficiency, yet stands firm that that the guidance (FAQs, webinars, web posting, templates) for the HEERF reporting by the US Department of Education was confusing, contradictory, and ever-evolving. Management did its best to follow the reporting requirements, and as a result, will do the following to address this matter going forward. -Verify in writing from the US Department of Education that the actions taken from the university meet the reporting requirements -Require that all three leaders that interface with HEERF (Vice President for Planning and Finance, Controller, Director of Financial Aid and Student Accounts) review the reporting requirements and supporting documentation -Update the 2021 Annual report by adding $750 for ?Implementing evidence-based practices to monitor and suppress coronavirus in accordance with public health guidelines? and $1,400 for ?conducting direct outreach to financial aid applicants about the opportunity to receive financial aid adjustment due to the recent unemployment of a family member or independent students, or other circumstances? out of the $4M received of institutional funds. Name(s) of Contact(s) Responsible for Corrective Action: Dr. Lucien Robert Costley Vice President for planning & Finance/CFO Elizabeth Oehler Controller

View Audit 26143

Finding 36530 (2022-001)

Material Weakness 2022

Southern Oregon Child and Family Council, Inc.

OR

Procurement, Suspension & Debarment Reporting § 200.512

2022-001 ? Late Submission Corrective Action Plan ? The Finance Director and Fiscal Department will continue to implement changes in these areas: -Task delegation -Project management -Training During the past year, SOCFC has encountered many challenges, including changes to upper management and ...

2022-001 ? Late Submission Corrective Action Plan ? The Finance Director and Fiscal Department will continue to implement changes in these areas: -Task delegation -Project management -Training During the past year, SOCFC has encountered many challenges, including changes to upper management and new staff in the fiscal department. Some fiscal staff have now participated in their first audit with the agency and have developed enhanced skills from the experience along with a greater understanding of the time management demands. This experience has also generated a deeper understanding of the agency?s requirements and expectations throughout the audit process. The Finance Director will continue to expound on this experience by delegating work among the fiscal staff and ensuring complete training with follow-up, that includes, but is not limited to: fixed asset schedules, lease schedules, and payroll reconciliations. In the past, the Finance Director has completed the major schedules at year end. Going forward, audit schedules and requirements will be reviewed, modified and/or developed in August 2023. Schedules, tasks and duties will be delegated to the fiscal staff by September 30, 2023, in order to allow for completion of audit schedules with adequate time to be review by the Finance Director. Timeline for Implementation ? August 2023 through January 2024 Deborah DeSarah, Finance Director Katherine Clayton, Executive Director

View Audit 26735

Finding 36525 (2022-001)

None 2022

Community Career Development, Inc.

CA

Period of Performance Reporting

Finding No. SA 2022-001: Late Submission of Closeout Reports Assistance Listing Numbers: 17.258, 17.259 and 17.278 Federal Program/Cluster Name: WIOA Cluster Federal Agency: U.S. Department of Labor Pass-through Entities: City of Los Angeles and Los Angeles Department of Workforce ...

Finding No. SA 2022-001: Late Submission of Closeout Reports Assistance Listing Numbers: 17.258, 17.259 and 17.278 Federal Program/Cluster Name: WIOA Cluster Federal Agency: U.S. Department of Labor Pass-through Entities: City of Los Angeles and Los Angeles Department of Workforce Development, Aging and Community Services Contract Number and Name: 1720-WF101-RD:WIOA Adult? 26921 1720-WF101-RD:WIOA Dislocated Worker ? 26921 1720-WF101-RD:Youth@Work?WIOA OSY? 26844 Compliance Requirement: Reporting Criteria or Specific Requirement Per OMB Compliance Supplement under the financial reporting requirement for ETA-9130, Financial Report (OMB No. 1205-0461), and per Code of Federal Regulations (CFR), Title 2, Subtitle A, Chapter XI, Part 200, Compliance Requirements, all ETA grantees are required to submit quarterly financial reports for each grant award they receive. Reports are required to be prepared using the specific format and instructions for the applicable program(s); in this case, Workforce Innovation and Opportunity Act instructions for the following: Statewide Adult; Workforce Statewide Youth; Statewide Dislocated Worker; Local Adult; Local Youth; and Local Dislocated Worker. A separate ETA 9130 is submitted for each of these categories. Reports are due 45 days after the end of the reporting quarter. Condition The closeout reports of the following programs for the performance period July 1, 2021 to June 30, 2022 were submitted beyond 45 days after the deadline: ? WIOA Adult Program ? submitted 59 days after the deadline; ? WIOA Dislocated Worker Program ? submitted 47 days after the deadline; and ? Youth@Work ? WIOA OSY ? submitted 45 days after the deadline. Cause and Effect The Organization had a major employee turnover during the year and had to resort to hiring a third-party accountant to assist in completing the audit requirements. As a result, the closeout reports were submitted late to the County. Questioned Costs None Recommendation We recommend that the Organization implement formal procedures to ensure that closeout reports are prepared timely and submitted within the deadline. Views of Responsible Officials and Planned Corrective Actions LA County noted that closeout reports were submitted late by CCD. In order not to increase potential overbilling, CCD fiscal and program staff meet regularly to reconcile invoices. The new accounting software also tracks budgets, goals and project deadlines. Person Responsible: Rhonda Rose and Federico Quinto, Jr. CPA CFE Position of Responsible Party: Acting Executive Director and Outsourced Accountant Anticipated Completion: October 2022

View Audit 26440

Finding 36521 (2022-001)

Material Weakness 2022

Kettle Falls School District No. 212

WA

Subrecipient Monitoring Internal Control / Segregation of Duties Special Tests & Provisions

Kettle Falls School District has already taken action to correct the finding. We utilized a project management firm to oversee the elementary roof project that this finding was based on. We informed them that we were using Federal funds to support the project and asked them to make sure that all rul...

Kettle Falls School District has already taken action to correct the finding. We utilized a project management firm to oversee the elementary roof project that this finding was based on. We informed them that we were using Federal funds to support the project and asked them to make sure that all rules regarding Federal funds were being followed. However, we learned during this audit that they were not followed. As soon as we learned about a potential issue with our current audit, we made an immediate change to our practice. We no longer rely on the firm to ensure that Federal requirements are being met. We now oversee those requirements, and the district will be certifying the payroll for any project that is being funded through Federal dollars.

View Audit 26092

Finding 36520 (2022-002)

Significant Deficiency 2022

Mid-Willamette Family Ymca, Inc.

OR

Subrecipient Monitoring Reporting Significant Deficiency § 200.329

Finding 2022-002: Significant deficiency in internal control over reporting. Summary: Although total award expenditures for the year agreed to the amount reported, quarterly reporting and annual reporting submitted for grant tracking did not match quarterly information as per accounting records. C...

Finding 2022-002: Significant deficiency in internal control over reporting. Summary: Although total award expenditures for the year agreed to the amount reported, quarterly reporting and annual reporting submitted for grant tracking did not match quarterly information as per accounting records. Corrective Action Planned: Written policies and procedures over the review and approval of Federal Award reporting will be updated to ensure complete and accurate reporting of award expenditures. Anticipated Completion Date: By Sept 30, 2023. Name of Contact Person Responsible for Corrective Action: Tammy Rash, Administrative Services Director

View Audit 26116

Finding 36502 (2022-003)

Material Weakness 2022

Mobridge Regional Hospital

SD

Reporting Material Weakness Matching / Level of Effort / Earmarking

Finding 2022-003 Federal Agency Name: Department of Agriculture Program Name: Communities Facilities and Loans Grants Cluster Federal Financial Assistance Listing #10.766 Finding Summary: The Hospital does not have an internal control system designed to provide for a complete and accurate schedule ...

Finding 2022-003 Federal Agency Name: Department of Agriculture Program Name: Communities Facilities and Loans Grants Cluster Federal Financial Assistance Listing #10.766 Finding Summary: The Hospital does not have an internal control system designed to provide for a complete and accurate schedule of federal expenditures of federal awards being audited. As auditors, we were requested to assist with the preparation of the schedule. Responsible Individuals: Renae Karst, Chief Financial Officer 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. We will begin developing a Grant Award Policy and Procedure Manual around tracking and reporting of awards to ensure accurate and up-to-date communication of award requirements. This communication will include implementing additional processes to improve our internal controls over identifying and reporting of expenditures in compliance with the Schedule of Expenditures of Federal Awards (SEFA) if applicable. We will provide staff training annually for any updates or adjustments to the policy. Anticipated Completion Date: Ongoing

View Audit 35301

Finding 36500 (2022-003)

Material Weakness 2022

Greenheart International

IL

Reporting Subrecipient Monitoring Period of Performance

Controls Over Compliance Reporting Recommendation: The auditors recommend that management implement controls to ensure that all reports are submitted within the due dates set by U.S. Department of State. Actions Taken or Planned: Management understands the finding and will assign proper personnel to...

Controls Over Compliance Reporting Recommendation: The auditors recommend that management implement controls to ensure that all reports are submitted within the due dates set by U.S. Department of State. Actions Taken or Planned: Management understands the finding and will assign proper personnel to prepare the reports to submit timely to U.S. Department of State. Training sessions will be implemented with the Greenheart Grants Department and those responsible for operations to ensure that everyone understands the reporting process with the Department of State. Quarterly reports will be reviewed and approved by Greenheart management. Person Responsible: Laura Rose, Chief Executive Officer, and Daniel Ebert, President Estimated Date of Completion: November 30, 2023

View Audit 33337

Finding 36496 (2022-007)

Significant Deficiency 2022

Crow Wing County

MN

Reporting Significant Deficiency Internal Control / Segregation of Duties

2022-007 REPORTING ? COVID-19 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS Recommendation: We recommend that the County ensures each report is reviewed by someone other than the preparer. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action tak...

2022-007 REPORTING ? COVID-19 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS Recommendation: We recommend that the County ensures each report is reviewed by someone other than the preparer. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County will implement policies to ensure reporting processes include review by someone other than the preparer. Name of the contact person responsible for corrective action plan: Deborah Erickson, Administrative Services Director Planned completion date for corrective action plan: December 31, 2023

View Audit 31011

Finding 36494 (2022-002)

Material Weakness 2022

Crow Wing County

MN

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

2022-002 ALLOWABLE COSTS AND ALLOWABLE ACTIVITIES ? COVID-19 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS Recommendation: We recommend that the County include consideration of any expenditures that may be part of other federal programs as part of their review. Explanation of disagreement with a...

2022-002 ALLOWABLE COSTS AND ALLOWABLE ACTIVITIES ? COVID-19 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS Recommendation: We recommend that the County include consideration of any expenditures that may be part of other federal programs as part of their review. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County will review their procedures to ensure expenditures coded to federal grants are not already claimed by other grant programs. Name of the contact person responsible for corrective action plan: Deborah Erickson, Administrative Services Director Planned completion date for corrective action plan: December 31, 2023

View Audit 31011 Questioned Costs: $1

Finding 36481 (2022-007)

Material Weakness 2022

Concord Community Schools

IN

Internal Control / Segregation of Duties Subrecipient Monitoring Material Weakness § 200.303

FINDING 2022-007 Contact Person Responsible for Corrective Action: Contact Phone Number: (574) 875-5161 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: When required annual federal grant reports are completed for submission, they will be reviewed by t...

FINDING 2022-007 Contact Person Responsible for Corrective Action: Contact Phone Number: (574) 875-5161 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: When required annual federal grant reports are completed for submission, they will be reviewed by the treasurer for accuracy. Both the treasurer and the grants coordinator will sign off on the reports. Anticipated Completion Date: June 30, 2022

View Audit 35807

Finding 36479 (2022-005)

Material Weakness 2022

Concord Community Schools

IN

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

FINDING 2022-005 Finding: Internal controls were not in place/effective in relation to the Title I Annual Expenditure Reports filed during the audit period. Subsequently, the 20-21 Title I Annual Expenditure Report did not agree with School Corporation?s ledgers. $578,452 of expenditures were report...

FINDING 2022-005 Finding: Internal controls were not in place/effective in relation to the Title I Annual Expenditure Reports filed during the audit period. Subsequently, the 20-21 Title I Annual Expenditure Report did not agree with School Corporation?s ledgers. $578,452 of expenditures were reported the Annual Expenditure Report and $677,514 from Fund 4121 on the ledgers. Contact Person Responsible for Corrective Action: Carrie McGuire Contact Phone Number: (574) 875-5161 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: When required annual federal grant reports are completed for submission, they will be reviewed by the treasurer for accuracy. Both the treasurer and the grants coordinator will sign off on the reports. In order to address the issue related to earmarking and set-asides within Title I not be completed, Concord Community Schools created a Grants and Assessment Coordinator position in May 2022. A person was hired to fill this position starting on July 1, 2022. One of the essential functions of this position is maintaining current and accurate records related to federal and state grants. Starting in January 2023, in addition to the Grants and Assessment Coordinator, a member of the business department will be a second reviewer and sign the semi-annual certifications. Anticipated Completion Date: December 31, 2023

View Audit 35807

Finding 36460 (2022-001)

Material Weakness 2022

Concord Community Schools

IN

School Nutrition Programs Cash Management Material Weakness § 200.303

FINDING 2022-001 Contact Person Responsible for Corrective Action: Jim Evans Contact Phone Number: (574) 875-5161 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: This finding was corrected beginning July 1, 2022. Concord Community Schools hired an add...

FINDING 2022-001 Contact Person Responsible for Corrective Action: Jim Evans Contact Phone Number: (574) 875-5161 Views of Responsible Official: We concur with the finding Description of Corrective Action Plan: This finding was corrected beginning July 1, 2022. Concord Community Schools hired an additional staff member and that staff member reviews the information used to prepare the Monthly Sponsored Claims for reimbursement to verify that the claims are accurate, complete and prepared in accordance with the grant requirements. Once the review is complete, the Monthly Sponsored Claims are printed and signed by both the Food Service official who prepared the claims and the food service official who reviewed the claims for accuracy, completeness and compliance with grant requirements. Anticipated Completion Date: This finding has been corrected.

View Audit 35807

Corrective Action Plans

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