Corrective Action Plans

Finding 1165859 (2025-002)

Material Weakness 2025

CA

Student Financial Aid Eligibility Significant Deficiency

Corrective action has been completed. The Institute determined at the start of Academic Year 24-25 that transitioning to a third-party provider of financial aid solutions would be in its best interest. This engagement provides a team of professional financial aid operations and student service speci...

Corrective action has been completed. The Institute determined at the start of Academic Year 24-25 that transitioning to a third-party provider of financial aid solutions would be in its best interest. This engagement provides a team of professional financial aid operations and student service specialists, allowing for enhanced loan counseling and processing services, implementing additional checks and balances, and mitigating the potential for errors such as this incident. The error resulting in the finding was actually identified by the third-party provider, following which AFI immediately returned the erroneously awarded federal funds to G5. Individuals responsible for corrective action: Lang Fredrickson, Chief Financial Officer 323.856.8429

View Audit 376737

Finding 1165835 (2025-004)

Material Weakness 2025

Independent School District No. 361

MN

Procurement, Suspension & Debarment School Nutrition Programs Significant Deficiency

Recommendation: We recommend the District maintain records that all vendors are not on the suspended or debarred listing. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The District will implement policies to ensu...

Recommendation: We recommend the District maintain records that all vendors are not on the suspended or debarred listing. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The District will implement policies to ensure records are retained for verification compliance. Name of the contact person responsible for corrective action: Lauren Syrup, Business Manager Planned completion date for corrective action plan: June 30, 2026

View Audit 376704

Finding 1165832 (2025-003)

Material Weakness 2025

Independent School District No. 361

MN

Allowable Costs / Cost Principles Cash Management Reporting

Recommendation: We recommend the District have someone reviewing all Clics reports before they are submitted. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The District will implement policies to ensure the Clics...

Recommendation: We recommend the District have someone reviewing all Clics reports before they are submitted. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The District will implement policies to ensure the Clics reports are reviewed before submission. Name of the contact person responsible for corrective action: Lauren Syrup, Business Manager Planned completion date for corrective action plan: June 30, 2026

View Audit 376704

Finding 1165814 (2025-002)

Material Weakness 2025

Ocean View School District

CA

Subrecipient Monitoring Allowable Costs / Cost Principles Eligibility

Immediate Corrective Action Taken: • Fiscal Services reviewed the Title I allocations to confirm that no improper fiscal impact occurred as a result of the reporting discrepancy. • The district documented the finding and communicated the error internally to Fiscal Services and Educational Services s...

Immediate Corrective Action Taken: • Fiscal Services reviewed the Title I allocations to confirm that no improper fiscal impact occurred as a result of the reporting discrepancy. • The district documented the finding and communicated the error internally to Fiscal Services and Educational Services staff. • Roles and responsibilities for ConApp enrollment data review have been clarified to prevent future manual errors. Preventive Measures to Avoid Recurrence: 1. Dual Verification of ConApp Enrollment Data • The Accountant in Fiscal Services will now compare and confirm the ConApp enrollment counts to certified CALPADS Fall 1 data before submission and certification. • A second-level review by the Coordinator of Teaching and Learning Department certifying the ConApp. 2. Documentation & Recordkeeping • Any adjustments to pre-populated enrollment numbers will require written justification and supporting documentation (e.g., CALPADS reports, email confirmations). Responsible Parties: • Fiscal Services Accountant – Responsible for matching the ConApp enrollment counts to CALPADS Fall 1 and maintaining backup documentation. • Coordinator, Teaching and Learning Department – Support in verifying site-level data. Completion Date: • Immediate clarification and assignment of review responsibilities were completed in October 2025.

View Audit 376684

Finding 1165807 (2025-002)

Material Weakness 2025

Second Harvest Heartland

MN

Allowable Costs / Cost Principles Cash Management Significant Deficiency § 200.303

Audit Finding: ALN: 10.565 Grant No.: 204642 Grant Period: Year ended September 30, 2025 Type of finding – Significant deficiency in internal control over compliance Response: Agree Explanation/Corrective Action:  Reviewing Source Data: o The individual reviewing the documentation is different than...

Audit Finding: ALN: 10.565 Grant No.: 204642 Grant Period: Year ended September 30, 2025 Type of finding – Significant deficiency in internal control over compliance Response: Agree Explanation/Corrective Action:  Reviewing Source Data: o The individual reviewing the documentation is different than the individual who prepares the documentation. o When reviewing the documentation to be used when submitting reimbursement requests to the state, the reviewer will be required to compare this documentation to the organization’s ERP system. This is the official source of record for all reimbursement requests. Anticipated Completion Date: This process was fully implemented at the beginning of November 2025.

View Audit 376643

Finding 1165806 (2025-001)

Material Weakness 2025

Second Harvest Heartland

MN

Eligibility Subrecipient Monitoring Significant Deficiency § 200.303

Audit Finding: ALN: 10.565 Grant No.: 204642 Grant Period: Year ended September 30, 2025 Type of finding – Significant deficiency in internal control over compliance Response: Agree Explanation/Corrective Action:  Scanning Applications: o CSFP staff scan applications daily. These applications are t...

Audit Finding: ALN: 10.565 Grant No.: 204642 Grant Period: Year ended September 30, 2025 Type of finding – Significant deficiency in internal control over compliance Response: Agree Explanation/Corrective Action:  Scanning Applications: o CSFP staff scan applications daily. These applications are then stored in SharePoint. We have 2-3 volunteers weekly who rename applications based on Client ID, Name, and Expiration Date, then file them electronically based on their expiration date. This ensures that we are always up to date on having an electronic version of our CSFP applications. o Before shredding any applications that have been scanned, we confirm that the application exists in the system (done by CSFP staff).  If an application is missing: o Confirm that application information is in ClientTrack and document through a generated printed application. o Send application to distribution site for next distribution, to ensure participant signs new application before they receive another CSFP box. Anticipated Completion Date: This process was fully implemented at the end of May 2024. It should be noted that the applications have a 3-year certification period, so the full effect of the new process won’t be realized until spring of 2027.

View Audit 376643

Finding 1165758 (2025-001)

Material Weakness 2025

Southeastern Baptist Theological Seminary, Inc. and Subsidiary

NC

Student Financial Aid Significant Deficiency

Return of Title IV (R2T4) Calculations Planned Corrective Action: SEBTS will take the following steps to address the failure to properly complete R2T4 calculations and returns: We will redefine an FI grade as “Failure due to inactivity” in the Faculty Handbook and Academic Catalog. Students will ear...

Return of Title IV (R2T4) Calculations Planned Corrective Action: SEBTS will take the following steps to address the failure to properly complete R2T4 calculations and returns: We will redefine an FI grade as “Failure due to inactivity” in the Faculty Handbook and Academic Catalog. Students will earn an FI if they fail the class due to lack of attendance or participation. The Provost will remind faculty during the final Faculty Meeting of each academic semester about the FI grade. The Registrar’s Office will send an email to all Faculty and Faculty Support Specialists during the last week of classes to remind faculty about assigning an FI to students who failed the course due to inactivity. The Instructional Design Office will inform Faculty Support Specialists about the FI grade during scheduled training meetings throughout the semester. The Adjunct Faculty Support Specialist will inform adjunct faculty during the final week of classes about the FI grade. The Registrar’s Office has updated Self Service, so faculty must enter the last date of attendance/participation if they enter an FI or F grade. The Registrar’s Office will use this to audit and only request further details from faculty who assign an F and indicate that a student stopped attending/participating before the end of the semester. The Learning Activity Report will be adjusted so Academic Advising can send a check-in email after 2 weeks of inactivity, a warning email after 3 weeks of inactivity, and the professor can assign an FI after 4 weeks of inactivity. Person Responsible for Corrective Action Plan: David Phillips, Director, Student Resources & Financial Aid Anticipated Date of Completion: 12/19/2025

View Audit 376551

Finding 1165757 (2025-001)

Material Weakness 2025

Cadillac Area Public Schools

MI

Subrecipient Monitoring Cash Management Reporting

This finding is due to the District not having the proper controls in place to prevent, detect, or correct an incorrect monthly meal claim. The month that had the incorrect meal claim used incomplete Z-Reports which resulted in the meal claim being submitted for less than it should have been. Not al...

This finding is due to the District not having the proper controls in place to prevent, detect, or correct an incorrect monthly meal claim. The month that had the incorrect meal claim used incomplete Z-Reports which resulted in the meal claim being submitted for less than it should have been. Not all dining locations had their final meal counts completed before the meal claim was submitted. The persons responsible for the corrective action are Aaron Burnett, the Food Service Director and Emily Kearney, the Business Manager. The anticipated completion date of the corrective action plan is immediate. The plan for monitoring adherence is the Food Service Director will ensure that all meal counts are final on the Z-Report before the claim requests are made.

View Audit 376550

Finding 1165725 (2025-006)

Material Weakness 2025

Iditarod Area School District

AK

Allowable Costs / Cost Principles Significant Deficiency § 200.400

Finding 2025-006 Lack of Internal Control over Activities Allowed or Unallowed and Allowable Costs/Activities Name of Contact Person: Tamara VanderPool, Payroll Director and Lisa Pearce, Business Manager Root Cause: **Insufficient staffing level. Inconsistent application of the personnel action form...

Finding 2025-006 Lack of Internal Control over Activities Allowed or Unallowed and Allowable Costs/Activities Name of Contact Person: Tamara VanderPool, Payroll Director and Lisa Pearce, Business Manager Root Cause: **Insufficient staffing level. Inconsistent application of the personnel action forms and required documentation for changes to payroll details. Corrective Action Plan: • Clarify roles and responsibilities regarding payroll processing. • Establish a review process of all payroll transactions and documentation. Proposed Completion Date: Fall of 2025.

View Audit 376486

Finding 1165722 (2025-003)

Material Weakness 2025

Bethany Lutheran College, Inc.

MN

Subrecipient Monitoring Significant Deficiency

Finding 2025-003: GLBA Repeat Finding 2024-003 Federal Program - Student Financial Assistance Cluster Federal Agency- U.S. Department of Education Pass-Through Entity- Not Applicable Assistance Listing Number - 84.007 - Federal Supplemental Education Opportunity Grants 84.033 - Federal Work-Study Pr...

Finding 2025-003: GLBA Repeat Finding 2024-003 Federal Program - Student Financial Assistance Cluster Federal Agency- U.S. Department of Education Pass-Through Entity- Not Applicable Assistance Listing Number - 84.007 - Federal Supplemental Education Opportunity Grants 84.033 - Federal Work-Study Program 84.038 - Federal Perkins Loan Program 84.063 - Federal Pell Grant Program 84.268 - Federal Direct Student Loans Criteria: The Gramm-Leach-Bliley Act (GLBA) requires financial institutions to explain their informationsharing practices to their customers and to safeguard sensitive data (16 CFR 314). institutions are required to develop, implement, and maintain a comprehensive information security program that is written in one or more readily accessible parts. The regulations require the written information security program to include nine elements for institutions with 5,000 or more customers, (16 CFR 314.3(a)). The written information security program (WISP) for institutions with few that 5,000 customers must address seven elements (16 CFR 314.3(a) and 16 CFR 314.6). The elements that an institution must address in its written information security program are at 16 CFR 314.4. At a minimum, the institution's written information security program must address the implementation ofthe minimum safeguards identified in 16 CFR 314.4(c)(l) through (8) including: assess apps developed by the institution. In addition, the written security program provides for the institution to regularly test or otherwise monitor the effectiveness of the safeguards it has implemented (16CFR 314.4(d)). Condition/Context: Under a college's Program Participation Agreement with the Department of Education and the Gramm-Leach-Bliley Act, schools must protect student financial aid information, with particular attention to information provided to institutions by the Department or otherwise obtained in support of the administration of the federal student financial aid programs. Questioned Costs: Not applicable. Cause: There was not a formal process in place to review against all the new GLBA requirements to ensure compliance. Effect: The Corporation's students' personal information could be vulnerable. Recommendation: We recommend the Corporation review each element of GLBA to ensure compliance with all necessary requirements. Corrective Action Plan: Corrective Action Planned: To ensure continued GLBA compliance the Corporation contracted with FRSecure to develop a risk assessment and roadmap which did a system scan for issues, an assessor interviewed staff including IT, HR, Finance Leaders and others to learn more about the current state of overall security program. Compliance with GLBA was part of their review. FRSecure issued an assessment 'Roadmap Plan' for the department to review and the Corporation will implement the results as feasible. Name of the contact person responsible for corrective action: John Sehloff, Director of Information Technology Anticipated Completion Date: June 30, 2026

View Audit 376467

Finding 1165704 (2025-001)

Material Weakness 2025

Comstock Public Schools

MI

Eligibility Allowable Costs / Cost Principles Significant Deficiency

Condition: The School District charged an expenditure to the grant which was incurred in a school building that was not an eligible school building under the award. Planned Corrective Action: Associate Accountant will ensure the Assistant Superintendent’s signature is on all invoices charged to fede...

Condition: The School District charged an expenditure to the grant which was incurred in a school building that was not an eligible school building under the award. Planned Corrective Action: Associate Accountant will ensure the Assistant Superintendent’s signature is on all invoices charged to federal grants including the Regional Assistance Grant. The Finance Director will ensure this during the invoice approval process. Finance Director and Assistant Superintendent meet monthly to discuss federal grants which includes the Regional Assistance Grant. Part of this meeting is to discuss known expenditures for federal grants so far this year to ensure they are properly coded and expended. Finance Director will run a general ledger analysis every two months to compare posted grant expenditures to approved grant budgets. Expenditures in question will be discussed at monthly meetings. Any determined to be incorrect will be moved to non-grant accounts via journal entry most likely prepared by Finance Director and approved by Associate Accountant. Contact person responsible for corrective action: RJ Wiersema and Jill Ansel Anticipated Completion Date: 12/31/2025

View Audit 376434

Finding 1165691 (2025-004)

Material Weakness 2025

Priority Trust Credit Union

TX

Reporting Significant Deficiency

Management agrees with the finding and will establish the recommended procedure outlined in the Schedule of Findings and Questioned Costs.

View Audit 376420

Finding 1165677 (2025-002)

Material Weakness 2025

The School District of Kansas City, Missouri

MO

Subrecipient Monitoring Special Tests & Provisions Reporting

Identifying Number: 2025-002 Audit Finding: Per the U.S. Department of Agriculture at 7 CFR 226.16(d)(4) and the Missouri Department of Health and Human Services, sponsoring organizations must conduct three monitoring review visits for each of their facilities and no more than six months may lapse b...

Identifying Number: 2025-002 Audit Finding: Per the U.S. Department of Agriculture at 7 CFR 226.16(d)(4) and the Missouri Department of Health and Human Services, sponsoring organizations must conduct three monitoring review visits for each of their facilities and no more than six months may lapse between monitoring visits for CACFP compliance. At least two of the three reviews must be unannounced. If a violation occurs during the visit, the sponsor must follow up with the facilities noted as having problems, and the follow-up visit must be conducted no less than one week after the initial finding, and the visit must be documented. Kansas City Public Schools did not perform the required three site visits per year within a six-month timeframe for five of the samples, and the supporting documentation provided for all six samples did not contain the total of participants in attendance during the meal service and the total number of meals claimed during the five consecutive days. Corrective Actions Taken or Planned: The District agrees with the finding. The District will implement and strengthen the following internal controls to ensure that all three required visits are accurately documented using the DHSS Site Visit Report by June 30, 2026: a. Training: Child Nutrition Services (CNS) will review and provide training to all supervisors and department leaders on DHSS Sponsor Review requirements. Person responsible for implementation: Katlyn Lanoue, Officer of Nutrition & Compliance b. SOP: CNS will utilize a central repository [CNSReporting@kcpublicschools.org] to streamline and time-stamp audit submissions. The original copy will be stored in a designated binder, and a digital copy will be retained in the CNS shared drive. Person responsible for implementation: Katlyn Lanoue, Officer of Nutrition & Compliance c. Monitoring: C CNS leaders, as designated by the Officer of Nutrition & Compliance, will conduct Supper audits during SY 2025–2026 in September, December, and March. Snack audits will be conducted in November, February, and April. Additional audits will be scheduled as necessary to ensure compliance with program requirements. Person responsible for implementation: Katlyn Lanoue, Officer of Nutrition & Compliance d. Reporting: As part of progress monitoring, at the end of each monitoring month, each applicable site will be reviewed to confirm completion & accuracy of a Sponsor Review. Person responsible for implementation: Katlyn Lanoue, Officer of Nutrition & Compliance

View Audit 376372

Finding 1165663 (2025-002)

Material Weakness 2025

Charlton Heston Academy

MI

Subrecipient Monitoring School Nutrition Programs Significant Deficiency

Finding 2025-002 - Significant deficiency in internal control over compliance Recommendation: The Academy should consistently utilize a point-of-sale system to track and claim the number of meals served. Action to be Taken: The Academy concurs with the facts of this finding and has implemented proce...

Finding 2025-002 - Significant deficiency in internal control over compliance Recommendation: The Academy should consistently utilize a point-of-sale system to track and claim the number of meals served. Action to be Taken: The Academy concurs with the facts of this finding and has implemented procedures to prevent this in the future.

View Audit 376321

Finding 1165631 (2025-003)

Material Weakness 2025

School District of Auburndale

WI

Internal Control / Segregation of Duties Cash Management HUD Housing Programs

Child Nutrition Cluster – Assistance Listing No. 10.553 and 10.555 Recommendation: The auditors recommend that the District review its internal controls and implement a procedure to ensure all reports required under the grant have a designated reviewer that is different from the individual responsib...

Child Nutrition Cluster – Assistance Listing No. 10.553 and 10.555 Recommendation: The auditors recommend that the District review its internal controls and implement a procedure to ensure all reports required under the grant have a designated reviewer that is different from the individual responsible for preparing, even when there are gaps of coverage in preparer and reviewer positions, and that the review and approval happens prior to submitting the reports to the granting agency. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The District acknowledges the oversight in the separation of duties for preparation and reviewing of reports. Corrective measures have been implemented to require assignment of a preparer different from the approver before finalizing the report. The procedures for submitting monthly claims have been updated to include submitting the report to the Finance Director for review and approval prior to submission. The Finance Director has added a monthly calendar reminder to review claim submission reports as part of the internal control process. Name(s) of the contact person(s) responsible for corrective action: Steven Van Wyhe Planned completion date for corrective action plan: Immediately

View Audit 376301

Finding 1165628 (2025-001)

Material Weakness 2025

Mesick Consolidated Schools

MI

Subrecipient Monitoring Cash Management Reporting

This finding is due to the District not having the proper controls in place to prevent, detect, or correct an incorrect monthly meal claim. The month that had the incorrect meal claim had an incorrect subtotal of meals disbursed which resulted in the meal claim being submitted for less than it shoul...

This finding is due to the District not having the proper controls in place to prevent, detect, or correct an incorrect monthly meal claim. The month that had the incorrect meal claim had an incorrect subtotal of meals disbursed which resulted in the meal claim being submitted for less than it should have been. There is a chance that the claim was done for the correct amount, but the supporting documentation shows that the District claimed less than they were allowed to. The District is going to ensure that all totals are subtotaled correctly in the future and double checked before the claim request is made. The persons responsible for the corrective action are Jack Ledford, the Food Service Director and Katrina Bontekoe, the Business Manager. The anticipated completion date of the corrective action plan is immediate. The plan for monitoring adherence is the Food Service Director will ensure that funds requested for meal reimbursements agree to total meals served.

View Audit 376300

Finding 1165456 (2025-001)

Material Weakness 2025

Aldine Independent School District

TX

Allowable Costs / Cost Principles Reporting Subrecipient Monitoring § 200.302 § 200.303

Corrective Action Plan for Federal Award Audit Finding 2025-001 Finding Title: Allowable Costs/Cost Principles – Improper expenditure recognition Federal Program: Title II, Part A, Teacher & Principal Training and Recruiting Assistant Listing Number: 84.367A Federal Agency Name: U.S. Department of E...

Corrective Action Plan for Federal Award Audit Finding 2025-001 Finding Title: Allowable Costs/Cost Principles – Improper expenditure recognition Federal Program: Title II, Part A, Teacher & Principal Training and Recruiting Assistant Listing Number: 84.367A Federal Agency Name: U.S. Department of Education Passed-Through Agency Name: Texas Department of Education Type of Finding: Significant Deficiency in Internal Control over Compliance Description of Corrective Action The District acknowledges the internal control system did not timely detect the improper recognition of expenditures in the incorrect fiscal period. It is important to emphasize that the expenditures identified were ultimately removed from the current year activity and were excluded from the year-end reimbursement request. The District commits to strengthening its year-end closing procedures and providing comprehensive training to address the noted deficiency in monitoring and review. The following actions will be taken: Mandatory Staff Training on Expenditure Cut-off and Accruals The District will develop and implement mandatory, targeted training for all personnel responsible for processing, recording, reconciling, and reviewing federal grant expenditures, with a specific focus on year-end cut-off procedures and proper expense recognition (accruals versus prepaid expenses). Implementation of Formal Grant Expenditure Cut-off Review Procedure A formalized closing procedure will be implemented for all federal awards, ensuring a mandatory, documented review of expenditures and payables near the fiscal year-end. Persons Responsible Timothy Momanyi, Chief Financial Officer Thania Gonzalez, Assistant Superintendent of Business and Finance Anticipated Completion Date The initial staff training will occur by May 31, 2026. The full implementation of the new procedures, with documented adherence by all responsible staff, will be complete by June 30, 2026, ensuring the new controls are fully operational before the close of the 2025-2026 fiscal year.

View Audit 376161

Finding 1165450 (2025-001)

Material Weakness 2025

Cccs Farm Labor Housing Corporation

CO

Reporting Significant Deficiency Matching / Level of Effort / Earmarking

We concur with the observations and recommendations as placed forth by our auditors – KCM. In addition to staff turnover, there was also USDA Account Executive turnover. We had reached out to alert the new Account Executive, Marijane Gunter, we would be delayed and are currently working on getting t...

We concur with the observations and recommendations as placed forth by our auditors – KCM. In addition to staff turnover, there was also USDA Account Executive turnover. We had reached out to alert the new Account Executive, Marijane Gunter, we would be delayed and are currently working on getting the appropriate forms filed.

View Audit 376154

Finding 1165439 (2025-003)

Material Weakness 2025

Northeast Iowa Workforce Development Board

IA

Internal Control / Segregation of Duties Reporting Significant Deficiency

Management will work with the fiscal gaent ot create and maintain a separate general ledger.

View Audit 376151

Finding 1165434 (2025-001)

Material Weakness 2025

Coast Community College District

CA

Student Financial Aid Material Weakness Reporting

Views of Responsible Officials and Corrective Action Plan The District submits the file with the required enrollment information to the National Student Clearinghouse (NSC) two weeks after the start of each term and subsequently on a monthly basis. Part of the reporting process includes running SFRT...

Views of Responsible Officials and Corrective Action Plan The District submits the file with the required enrollment information to the National Student Clearinghouse (NSC) two weeks after the start of each term and subsequently on a monthly basis. Part of the reporting process includes running SFRTMST, a baseline process in Ellucian Banner, the District’s Enterprise Resource Planning system, to calculate or update a student’s enrollment time status, which is the date when a change occurred in the enrollment of a student due to either registering in a class(es) or withdrawing from a class(es). The enrollment time status date is included in the enrollment file submitted to NSC. NSC then submits the enrollment information to the National Student Loan Data System (NSLDS). The discrepancy identified for the nine students was between a withdrawal date in Banner versus the enrollment time status date reported to NSC/NSLDS, which was the Banner calculated date. Because of the timing of when the SFRTMST process was ran, some students’ enrollment time status date did not match the registration activity date/enrollment effective date in Banner. After conducting research using the Ellucian Customer Center, the District identified a resolution to address this issue and has already implemented it for Fall 2025. To ensure that the students’ enrollment time status date reported to NSC/NSLDS matches the students’ effective date of their registration activity in Banner, the District activated the Calculate Time Status (Indicator) in SOATERM, a Banner setup, for Fall 2025 and will do so for all terms moving forward. Per Ellucian, when this indicator is set to “Y” a dynamic time status calculation will take place. The District verified that this process works. The issue has been resolved. In addition, the dates for the nine students were corrected in NSLDS. It is important to note that this issue has had no financial impact on the District. The students have been disbursed the correct amount of financial aid. The calculation of financial aid to be disbursed is not based on the enrollment dates reported to NSC and NSLDS.

View Audit 376138

Finding 1165428 (2025-002)

Material Weakness 2025

Detroit Public Schools Community District

MI

Reporting Subrecipient Monitoring Cash Management § 200.303

Condition: The School District's controls did not prevent, or detect and correct in a timely manner, duplicative costs charged to the grant. Planned Corrective Action: The District annually processes thousands of supplemental payments for Home Visits. The audit found only 5 individual payments were ...

Condition: The School District's controls did not prevent, or detect and correct in a timely manner, duplicative costs charged to the grant. Planned Corrective Action: The District annually processes thousands of supplemental payments for Home Visits. The audit found only 5 individual payments were duplicated. The duplication was caused by human error during an internal staff transition within the Family and Community Engagement (FACE) department. This led the new manager to incorrectly report employee home visit logs twice. The FACE team will add internal controls during staff transitions to ensure documentation is not duplicated. Contact person responsible for corrective action: Jeremy Vidito, CFO Anticipated Completion Date: January 1, 2026

View Audit 376137

Finding 1165425 (2025-001)

Material Weakness 2025

Baboquivari Unified School District No. 40

AZ

Reporting Significant Deficiency Internal Control / Segregation of Duties

2025-001 REPORTING Type of Finding: Noncompliance (Other Matter), significant deficiency in internal control Condition/Context: The District did not accurately support the student counts reported within it’s impact aid application for student enrollment Criteria: Section 7003 (OMB No. 1810-0687) Eac...

2025-001 REPORTING Type of Finding: Noncompliance (Other Matter), significant deficiency in internal control Condition/Context: The District did not accurately support the student counts reported within it’s impact aid application for student enrollment Criteria: Section 7003 (OMB No. 1810-0687) Each year an LEA must submit this application, which provides the following information: counts of federally connected children in various categories, membership and average daily attendance data, and information on expenditures for children with disabilities. Effect: The District was not in compliance with the reporting requirement. The application noted a student count of 1,055, and the support provided denoted a student count of 1,062. Cause: The District did not have the adequate review procedures in place to ensure that student enrollment were accurately reported and verified. Corrective Action Plan: Management has developed procedures to ensure student enrollment data is maintained to support accurate reporting, and the data is reviewed and approved. Planned completion date for corrective action plan: For the period ending June 30, 2025. Name of the contact person responsible for corrective action: Clementina Carlyle, SFO, Chief Financial Officer

View Audit 376128

Finding 1165421 (2025-002)

Material Weakness 2025

Bloomingdale School District #16

MI

Subrecipient Monitoring Significant Deficiency

The District agrees with the finding and will implement a system of internal control to properly document the time and effort that is charged to the grant. The District has contracted with the intermediate school district to provide business services and ensure the documentation is obtained for time...

The District agrees with the finding and will implement a system of internal control to properly document the time and effort that is charged to the grant. The District has contracted with the intermediate school district to provide business services and ensure the documentation is obtained for time and effort.

View Audit 376118

Finding 1165389 (2025-003)

Material Weakness 2025

Kansas Wesleyan University and Foundation

KS

Student Financial Aid Significant Deficiency

Incorrect Pell Calculations Condition: The University did not properly award Pell for the Summer term under the new enrollment intensity calculation requirements. Planned Corrective Action: This is an isolated error on the part of the Financial Aid Office staff. In review of the new Pell grant calcu...

Incorrect Pell Calculations Condition: The University did not properly award Pell for the Summer term under the new enrollment intensity calculation requirements. Planned Corrective Action: This is an isolated error on the part of the Financial Aid Office staff. In review of the new Pell grant calculations staff members misinterpreted summer Pell regulations. During implementation of the new system software, Pell calculations were believed to be automatic. In subsequent years staff members will review policies for summer programs, participate in training sessions, seminars and workshops, to ensure they understand the rules, regulations and guidelines as they apply to enrollment intensity regulations, in order to manually adjust Pell amounts for part-time students. Person Responsible for Corrective Action Plan: Amanda McLaughlin, Assistant Vice President of Financial Aid; Miranda Lumley Associate Director of Financial Aid Anticipated Date of Completion: Fall of 2025 prior to end of the term and awarding aid for upcoming semesters in the 2025-26 award year.

View Audit 376000

Finding 1165369 (2025-003)

Material Weakness 2025

Platte Health Center

SD

Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303

Federal Agency Name: Department of Agriculture Program Name: Communities Facilities Loans and Grants Federal Financial Assistance Listing #10.766 Finding Summary: As of June 30, 2025 management did not perform the proper calculations for the debt service coverage ratio in accordance with the commitm...

Federal Agency Name: Department of Agriculture Program Name: Communities Facilities Loans and Grants Federal Financial Assistance Listing #10.766 Finding Summary: As of June 30, 2025 management did not perform the proper calculations for the debt service coverage ratio in accordance with the commitment letter. Additionally, the required debt service coverage ratio and required working capital amount were not presented to the board to ensure compliance is obtained. Responsible Individuals: Vicki Jensen, Chief Financial Officer Corrective Action Plan: The Platte Health Center will perform debt service ratio and working capital calculations, as required in the loan agreement. The calculations will be performed by the CFO as part of the year-end process. The CFO will provide a report to the Board of Directors and it will be noted in the official meeting minutes. Anticipated Completion Date: June 30, 2026.

View Audit 375939

Corrective Action Plans

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