Corrective Action Plans

2022-001 The District has insufficient segregation of duties over the receipts and disbursements process. See response and corrective actions plan at 2022-001.

RE: Finding 2022-002, Maintain Employees' Time and Effort Records To whom it may concern: Time and Effort Records have been maintained as of the start of the 2022-2023 fiscal year. The District is now in compliance and will be going forward. Tom Lafleur Director of Finance and Operations

Child Nutrition Cluster - Reporting Criteria and Condition: A review of the monthly meal claims by someone other than the person who prepared the claim is considered to be an internal control intended to prevent, detect and correct a potential misstatement in the meals claimed. There was no documented review of the monthly food service claims by someone independent of the preparation of the claims. Recommendation: CLA recommends that the District have someone that does not prepare the monthly claim review the monthly claim for accuracy. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: The District?s Food Service Director will train their assistant to complete claims and the Director will review prior to submission to the DPI. Name(s) of the contact person(s) responsible for corrective action: Heather Reitmeyer, Food Service Director, and Dawn Foeller, Business Manager Planned completion date for corrective action plan: June 30, 2023

Reporting There is no disagreement with the finding. Management will review procedures going forward.

There is no disagreement with the finding. Management will review procedures to implement mitigating controls to reduce the risk of error.

POTTERVILLE PUBLIC SCHOOLS CORRECTION ACTION PLAN YEAR ENDED JUNE 30, 2022 Potterville Public Schools respectfully submits the following corrective action plan for the year ended June 30, 2022. Auditor: Maner Costerisan 2425 E. Grand River Avenue, Suite 1 Lansing, MI 48912 Audit Period: Year ended June 30, 2022 District Contact Person: Kim Lindsay, Contracted Director of Finance The findings from the June 30, 2022 schedule of findings and responses are discussed below. The findings are numbered consistently with the number assigned in the schedule. Finding - Federal Award Findings and Question Costs Finding 2022-001 - Significant Deficiency Recommendation: The District should implement a budget, as well as the required corrective action plan, for the 2022-2023 school year that will adequately reduce the food service fund balance. Action to Be Taken: Management agrees with the finding and we are in the process of developing and implementing a plan to spend down the food service fund balance. Anticipated Completion Date: This has been completed as of October 10, 2022. The District has an active corrective action plan that has been approved by MDE and has spent down a substantial amount of fund

Prairie-Hills Elementary School District 144 07-016-1440-02 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS21 Year Ending June 30, 2022 Corrective Action Plan Finding No.: 2022- 002 Condition: The District reported the wrong month of meal counts for March 2022. As a result, the March 2022 claim for meals served did not match the March 2022 meal counts retained by the District. The February 2022 meal counts were submitted once in February 2022 and then again for the March 2022 reporting period. Plan: Prior to reports being transmitted, the District Project Coordinator (as a third set of eyes) will review the meal count report for each month. An additional review of the meal count before transmission will avoid incorrect meal counts being reported. Anticipated Date of Completion: 11/30/2022 Name of Contact Person: Terry O?Brien; Chief School Business Official

INDING 2022-006: ESSER PROCUREMENT Central Office was instructed by the IDOE to purchase the new cafeteria dishwasher from the Cafeteria Account and then file for reimbursement from the ESSER II grant. Five vendors were contacted by the Director of Operations to provide quotes to replace the cafeteria dishwasher. Two vendors, Stafford & Smith and C & T Design, provided quotes. Hobart Corporation and Commercial Parts declined to provide quotes. Best Kitchen did not respond to the email or phone call request. The school corporation did sign the quote provided by Stafford-Smith which was considered the contract between the two organizations. We have the contract on file. Corrective Action Plan: The school corporation will request certification from vendors regarding debarment, suspension, ineligibility of federal grants in excess of $50,000.000.

FINDING 2022-005: CAFETERIA NUTRITION CLUSTER REPORTING The Deputy Treasurer prints, verifies, initials the Employee Trial Balance Report (Payroll Report) every pay period. The Treasurer reviews these reports, but has not initialed them. Corrective Action Plan: The Treasurer will begin reviewing and initialing these reports for FY 2023. The Cafeteria Director will submit the child reimbursement form to Central Office for review and verification prior to submission for payment to the Indiana School Lunch Program for FY 2023.

Finding 2022-002 ? Child Nutrition Cluster ? Reporting Contact Person Responsible for Corrective Action: Tonia Batesole Contact Phone Number: 219-477-4933 x2141 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: When entering the Monthly Food Service Claim, a second person will check what has been entered correctly on the screen for reimbursement before submission. This will be signified by initials by both the checker and submitter. Anticipated Completion Date: Already in place.

FINDING 2022-004 Contact Person Responsible for Corrective Action: Dan Durrwachter Contact Phone Number: 765-473-3081 Views of Responsible Official: We agree with these findings. Description of Corrective Action Plan: Our Food Service Director will receive the poverty status application and review them as they are inputted into skyward. Our Food Service Treasurer will review to make sure the application was completed correctly and calculated accurately. Additionally, the food service treasurer will review and approve the uploaded direct certification and income guidelines. Anticipated Completion Date: 6/01/2023

FINDING 2022-003 Contact Person Responsible for Corrective Action: Dan Durrwachter Contact Phone Number: 765-473-3081 Views of Responsible Official: We agree with these findings. Description of Corrective Action Plan: Our Food Service Director will collect food service amounts that have been collected at each school building through our online management system in skyward. Our Food Service Director will then give the numbers to our Food Service Treasurer where she will review the data and approve the numbers as she submits them for reimbursement through the state. Anticipated Completion Date:6/01/2023

2022-003 Deficiencies in controls surrounding payroll expenditures. A. Name of contact person responsible for corrective action: Name: Michelle Cage Title: Chief Financial Officer B. Corrective action planned: The business manager will strengthen controls to ensure supplemental pay and other pay related items are board approved and recorded by the proper scales or rates. Time sheets will be reconciled to each payroll. C. Anticipated completion date: June 30, 2023

2022-002 Weaknesses in controls surrounding non-payroll expenditures. A. Name of contact person responsible for corrective action: Name: Michelle Cage Title: Chief Financial Officer B. Corrective action planned: The business manager will strengthen controls to ensure adequate documentation is provided and approval on purchases. C. Anticipated completion date: June 30, 2023

Response and Corrective Action Plan: The District will require the certification regarding suspension and debarment as outlined by the Office of Management and Budget.

Finding 2022-005 Child Nutrition Program Income and Expense Report The Food Service Income and Expense Report for the year ended 6/30/22 was revised March 29, 2023 by the food service bookkeeper and reviewed by Crossmark Business Services before it was entered. The error in the federal reimbursement was corrected as well. To prevent these errors from happening in the future, Crossmark has created an excel file to make it easier for the food service bookkeeper to complete this report. Any submissions or revisions will be reviewed by Crossmark Business Services before they are entered in the CNP website.

Contact Person ? Shane Tappe, Superintendent Corrective Action Plan ? Will establish control procedures over meal reimbursement reporting. Completion Date ? December 20, 2022

U.S. Department of Agriculture Finding 2022-004: Child Nutrition Cluster Resource Management Procedures Recommendation: The School District should develop and complete a spend-down plan to ensure it reduces its Food Service Fund net cash resources below the maximum allowable amount. Action Taken: The district has submitted a spend-down plan to the Michigan Department of Education. That plan was approved and an extension of time was granted by MDE to allow the School District to implement it through the 2022-23 fiscal year. The School District has been buying equipment and seeking bids on additional equipment. The School District is also continuing its approved use of the Community Eligibility Provision to provide free lunches to all students. Responsible Person and Anticipated Completion Date: The Director of Finance and Food Service Supervisor will be responsible for reducing the fund balance in a responsible way. Due to the scope of the issue and potential solutions, implementation will occur through the 2022-23 year. If the Michigan Department of Education has questions regarding this plan, please call Jerry McDowell at (231) 893-1005.

Purchase Needed Equipment

Since June 30, 2022, the District has purchased and replaced needed Kitchen equipment in the amount of $31,907.18. This amount is in excess of the Net Cash Resources Finding of $29,668.

Reporting Material Weakness in Internal Control Over Compliance Finding Summary: The District has no procedure in place for review of monthly meal counts submitted for reimbursement from the Minnesota Department of Education. Responsible Individuals: Peter Haapala, Superintendent Corrective Action Plan: The District will update their reporting process to ensure that there is review of monthly meal counts submitted for reimbursement from the Minnesota Department of Education. Anticipated Completion Date: June 30, 2023

Finding: Certain timecards within the Child Nutrition Cluster - Assistance Listing #10.555, #10.553 and COVID-19 #10.559, were not properly approved prior to payment of the payroll expenditure. Response: Application used to accumulate time and attendance records does not contain embedded administrative programming and controls to ensure all time and attendance information is approved by the employee and supervisor prior to payroll preparation. Management is working with the software provider to develop and embed the appropriate administrative controls and procedures to provide automated processing. In the immediate term, management will, with the assistance of the software provider, develop and utilize a hard copy report of all time and attendance records for each pay period by employee, school and/or department. Prior to payroll preparation, all entries on the report will be reconciled and manual employee and supervisor approvals will be documented. Principals and Department Heads will receive training in proper procedures for timecard approval. Anticipated Completion Date: August 2023

FINDING 2022-011 Contact Person Responsible for Corrective Action: Whitney Dixon, Treasurer, Samantha Todd, Grants Manager, and Christopher Dixon, Director of Nutrition Contact Phone Number: 574-533-8631 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Eligibility ? Real Time Reports During the October Pupil Enrollment process, the student roster will be pulled from Data Exchange (DEX). The student data will be pulled from the food service software. This data will be compared and digitally signed by building principals. Student socioeconomic status will be reviewed and verified by the food service manager or designee. The reviewed and verified PE report will be digitally reviewed and signed by the CFO and Superintendent. Eligibility ? Direct Certifications/Income Applications Monthly the grants manager completes the DC download and imports the data into the school nutrition software. Once completed, the Director of School Nutrition verifies the information and signs the download document that is saved on the districts network. This control was implemented in March 2023. Participation of Private School Children Participation is determined by a process that includes standardized test scores and teacher input to determine what services are required. Test scores are provided at the beginning of the year, middle of the year, and end of the year to monitor and adjust accordingly the services that are required. Assistant Superintendent, Tracey Noe will review and sign the participation list and approve services at the nonpublic schools. This process will be implemented during the 2023-24 grant cycle. Anticipated Completion Date: October 2023, March 2023 and July 2023, respectively.

FINDING 2022-003 Contact Person Responsible for Corrective Action: Christopher Dixon, Director of Nutrition Contact Phone Number: 574-533-8631 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The School Corporation will document the review/oversight of disbursements from program funds prior to payment. Claims will be prepared and reviewed by Christopher Dixon, Director of Nutrition, or designee, and submitted to the Accounts Payable Specialist for payment. Claims will be initialed or signed demonstrating approval of disbursements. Accounts Payable Specialist enters claims into the financial software and pays claims after approval by the Chief Financial Officer and School Board. Documentation for claims will be kept in the business office. GCS will obtain prior written approval from IDOE and approval documents will be maintained by the Director of Nutrition. Assistant Superintendent, Dr. Barry Younhans, retired from GCS in July 2022. This corrected the finding. To ensure compliance, the payroll distribution report is reviewed and signed by the Treasurer and applicable program administrators prior to the completion of payroll by the payroll specialist. The report is reviewed to verify that employees are paid out of the correct accounting line. This process was implemented in December 2022. Anticipated Completion Date: April 2023 INDIANA STATE

Blissfield Community Schools respectfully submits the following corrective action plan for the year ended June 30,2022. Auditor: Maner Costerisan 2425 E. Grand River Avenue, Suite 1 Lansing, MI 48912 Audit Period: Year ended June 30,2022 Finding - Financial Statement Audit: None noted Finding ? Federal Award: 2022-001 EXCESS FUND BALANCE - NONPROFIT FOOD SERVICE FUND Recommendation: The District should continue a spending plan to improve the food quality or take other action to improve non-profit food service per applicable federal regulations. Action to be taken: The business office will continue to submit spending down plan to MDE for board approval. Anticipated completion date: June 2023 Responsible party: Chief Financial Officer, Judy Pfund and Food Service Director, Amy Gschwind District Response: A majority of the purchases identified in our spend down plan as a result of our June 30, 2021 financial position were not received until July, so our excess fund balance reflected in our June 30, 2022 reports includes last year?s excess also. Once we have computed the excess, we will look at any additional equipment needs as well as increasing food quality. Respectfully submitted, Judith Pfund, CPA Executive Director of Finance