Corrective Action Plans

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Finding Reference Number: SA2025-001 Late Submission of FDS (Significant Deficiency) Contact Person: Raul Marquez, Accounting Supervisor Corrective Action Plan: Management will establish timelines and interim milestones for completion of the City’s Annual Comprehensive Financial Report (ACFR) that s...
Finding Reference Number: SA2025-001 Late Submission of FDS (Significant Deficiency) Contact Person: Raul Marquez, Accounting Supervisor Corrective Action Plan: Management will establish timelines and interim milestones for completion of the City’s Annual Comprehensive Financial Report (ACFR) that support timely completion and submission of the City’s audited FDS by the 3/31 deadline. Anticipated Completion Date: June 30, 2026
Moving forward, the Chamber will use an employee’s timesheet to bill wages to federal awards. When preparing reimbursement requests, the staff will calculate the wage amount that is equal to the number of hours each employee self-attested to working to the federal grant by coding the hours on their ...
Moving forward, the Chamber will use an employee’s timesheet to bill wages to federal awards. When preparing reimbursement requests, the staff will calculate the wage amount that is equal to the number of hours each employee self-attested to working to the federal grant by coding the hours on their timesheet for the applicable pay periods. If a true-up of wage expenses is done at any time during the cycle of the federal grant, the Chamber will maintain adequate documentation (the employee timesheets) to indicate how the true-up was calculated. The calculation provided by the staff will be reviewed by the Executive Director prior to the reimbursement request being submitted to the granting agency.
The City will establish a process of documenting the approval of submitted reports along with the source of information input into said reports.
The City will establish a process of documenting the approval of submitted reports along with the source of information input into said reports.
Finding No. 2025-001: Missing Deadlines for Recertifications and Inspections (Significant Deficiency) Corrective Action Plan: Our goal is to address the underlying cause of the delayed recertifications and inspections identified in Finding 2025-001. Regarding the recertifications, my analysis of the...
Finding No. 2025-001: Missing Deadlines for Recertifications and Inspections (Significant Deficiency) Corrective Action Plan: Our goal is to address the underlying cause of the delayed recertifications and inspections identified in Finding 2025-001. Regarding the recertifications, my analysis of the delays indicates that our Housing Voucher team remains understaffed. We have a five-person Housing Voucher Team with well over 900 vouchers to administer across a variety of different programs, including HCV, PBV, Mainstream, VASH, Foster Youth, Port-In1, etc. Additionally, we have 80 public housing units and are administering an additional 80 project-based tenant-protection vouchers in partnership with Montgomery Housing Partnership (MHP) for a senior-housing rehab project (Bethany House) begun this year (2026). In short, we need to expand our housing voucher team, especially since only one member of the team, Eve Garcia Jiminez, specializes in port-ins. Additionally, while Ms. Garcia Jiminez and Ms. Rebecca Niaba, the Housing-Voucher Team Manager, both have considerable experience with HUD programs, the remaining three team members – who handle resident casework, recertifications, waitlist management, inspections, etc. – are relatively junior, all with less than five years of experience. Since RHE’s leadership turnover in late August 2025, we have attempted to supplement the Housing Voucher Team with interns from our YouthBuild program. While this has helped somewhat lessen the burden, the RHE Management Team has determined that we need at least one additional mid-career Housing-Voucher Team member (minimum 5+ years of experience managing HUD voucher programs). We are considering a variety of options, including recruiting a Deputy for the Housing Voucher Team or promoting one of our Team Members to Deputy Director and backfilling a mid-career position. We have also begun discussions with WorkSource Montgomery and AmeriCorps Maryland to potentially supplement the initial costs of onboarding new Voucher Team members. For the inspections finding, we have been having discussions since the RHE leadership turnover about the performance of our current vendor, Gilson Housing Partners. They have been increasingly unreliable since we selected them as our inspections vendor in February 2025. Just in the last few weeks, we havedetermined that we need to terminate the vendor, particularly after we received a video of an inspection where the Gilson representative spent approximately 80 seconds in the unit, never left the entryway, and only asked the resident a few questions before leaving. We have already received one proposal from Archer-Greenwood Companies and expect 2-3 more proposals in the next few weeks, at which point we will submit a notice of termination to Gilson. Responsible Person: James Hedrick, Interim Executive Director Anticipated Completion Date: Recertifications & Voucher Team Hiring - AmeriCorps Maryland – Applications due July 1, 2026. Participants’ terms begin August/September 2026 and last for one year – extendable as full-time employee after the AmeriCorps subsidy. - Housing-Voucher Team Deputy Director/Mid-Career Port-In Specialist – The position requires a particular set of skills and experience in a specialized area. Recruitment and advertisement are expected to take some time. Advertising for the position will begin late Summer 2026, hiring expected before year-end 2026. Inspections Vendor Replacement - Have already received proposals from one potential inspection replacement firm: Archer- Greenwood. We have reached out to additional vendors and expect proposals within the next few weeks. We will send a letter of termination and fully transition to the new vendor by the end of FY2026 (September 30, 2026).
Finding – 2025-003 Allowable Costs and Cost Principles and Activities Allowed and Unallowed – Significant Deficiency in Internal Controls Over Compliance Federal Program: Provider Relief Funds Assistance Listing Number: 93.498 Year(s): 2025 Federal Agency: US Department of Health and Human Services ...
Finding – 2025-003 Allowable Costs and Cost Principles and Activities Allowed and Unallowed – Significant Deficiency in Internal Controls Over Compliance Federal Program: Provider Relief Funds Assistance Listing Number: 93.498 Year(s): 2025 Federal Agency: US Department of Health and Human Services Corrective Action: The Division will enhance controls to ensure that documentation of cost review is retained and stored for audit purposes. The Division will continue to train field staff on the importance of document retention. 1. Internal process to be continued throughout FY 2026. 2. The program managers and/or contract billing specialist will save all work pertaining to an invoice/bill (i.e. monthly, quarterly, addendums, etc.) and electronically via email submit to program directors for review and approval before submission can proceed to granting agency to ensure accuracy and for contract fulfillment and requirements. 3. The program managers and/or contract billing specialist will save all documentation of the reviewed and submitted process to the regional internal digital file storage system, as well as send a copy of the finance department for review/approval/storage for audit purposes and the finance department will lastly make sure it is filled out and fulfills the requirement of the contract, as a last line of grant requirement fulfillment. 4. Continued training of field staff and program directors to occur. Anticipated Completion Date: 10/01/2026 Responsible Contact Person: Kendall Phillips, Grants & Contracts Accountant
Contact Person Emajean Hanson-Ford, Executive Director Corrective Action Plan The Authority has reviewed their procedures for performing and documenting follow up of HQS inspections to ensure compliance moving forward. Planned Completion Date for CAP December 31, 2026
Contact Person Emajean Hanson-Ford, Executive Director Corrective Action Plan The Authority has reviewed their procedures for performing and documenting follow up of HQS inspections to ensure compliance moving forward. Planned Completion Date for CAP December 31, 2026
Finding 2025-001 - Procurement Policy Contact Person Responsible for Corrective Action: Gregory F. Sherman, General Manager Houlton Water Company Corrective Action To address Finding 2025-001 regardingthe absence of a formal Procurement Policy, the Houlton Water Company will implement the following ...
Finding 2025-001 - Procurement Policy Contact Person Responsible for Corrective Action: Gregory F. Sherman, General Manager Houlton Water Company Corrective Action To address Finding 2025-001 regardingthe absence of a formal Procurement Policy, the Houlton Water Company will implement the following corrective measures: Houlton Water Company is actively developing a comprehensive Procurement Policy to remedy the deficiency identified in the audit. Management is currently drafting the policy, ensuring it aligns with applicable regulatory requirements, industry standards, and internal operational needs. Upon completion of the internal draft, the policy will be presented to the HWC Board of Directors at the May 19, 2026 Board Meeting for review and preliminary approvaL. Should the Board request revisions, management will incorporate the necessary changes and resubmit the updated policy for final approval at the June 16, 2026 Board Meeting. Anticipated Completion Date: June 17, 2026
Type of Finding: Significant Deficiency in Internal Control Over Financial Reporting Criteria or Specific Requirement: County management should be aware if the need to have adequate policies and procedures in place for timely reimbursement requests for highway projects. Condition: Policies and proce...
Type of Finding: Significant Deficiency in Internal Control Over Financial Reporting Criteria or Specific Requirement: County management should be aware if the need to have adequate policies and procedures in place for timely reimbursement requests for highway projects. Condition: Policies and procedures in place for timely reimbursement requests will ensure that the County is receiving funds it is owed. In addition, this will ensure there are no cash flow shortages and increase opportunities for investment earnings. Cause: The County had one highway project for which costs were incurred in October and November 2024, and the related reimbursement was submitted and approved in June 2025. Possible Effect: By submitting untimely reimbursement requests, the County is not receiving funds it is owed in a timely manner, which has the potential to cause cash flow shortages. Repeat Finding: No. Recommendation: We recommend County management review internal controls currently in place and design and implement procedures to request reimbursements in a timelier fashion and to submit requests for reimbursements on at least a quarterly basis. Views of Responsible Officials: There is no disagreement with the audit finding. The County will implement procedures to ensure timely submission of reimbursement requests. Anticipated Completion Date: December 31, 2026.
CFDA 10.558 — Child and Adult Care Food Program Finding Type: Noncompliance / Significant Deficiency Corrective Action Plan The YMCA acknowledges the finding related to incorrect participant meal coding and reimbursement classifications. Management has implemented the following corrective actions: 2...
CFDA 10.558 — Child and Adult Care Food Program Finding Type: Noncompliance / Significant Deficiency Corrective Action Plan The YMCA acknowledges the finding related to incorrect participant meal coding and reimbursement classifications. Management has implemented the following corrective actions: 2 4 Provide refresher training to all staff responsible for determining and entering participant eligibility classifications. Develop written procedures outlining eligibility determination requirements and reimbursement coding standards. Conduct periodic internal audits of participant eligibility classifications to identify and correct errors timely. Maintain documentation of training attendance and ongoing monitoring activities. Responsible Party Sonja Williams and Site Coordinators Expected Completion Date September 30, 2026
CFDA 10.558 — Child and Adult Care Food Program Finding Type: Noncompliance / Significant Deficiency Corrective Action Plan The YMCA acknowledges the procurement finding related to the lack of formal agreements aiid procurement documentation for certain food vendors. Management has implemented the f...
CFDA 10.558 — Child and Adult Care Food Program Finding Type: Noncompliance / Significant Deficiency Corrective Action Plan The YMCA acknowledges the procurement finding related to the lack of formal agreements aiid procurement documentation for certain food vendors. Management has implemented the following corrective actions: 1. Develop and implement a formal procurement policy consistent with federal procurement requirements under 2 CFR 200.3 18-200.326. 2. Require written agreements or contracts for all vendors where annual purchases are reasonably expected to exceed the federal small purchase threshold. 3. Maintain procurement documentation, including vendor quotes, contracts, and bid documentation, in a centralized electronic file. 4. Provide annual training to staff responsible for purchasing and program oversight on federal procurement standards and documentation requirements. Responsible Party Gina Franklin and Karrie Stanford Expected Completion Date September 30, 2026
Finding 2025-002: Agency: U.S. Department of Health and Human Services (CSBG) Program: Community Service Block Grant (AL No. 93.569) Significant Deficiency and Noncompliance over Eligibility Condition: During our testing of participant eligibility for the CSBG program, we noted the following excepti...
Finding 2025-002: Agency: U.S. Department of Health and Human Services (CSBG) Program: Community Service Block Grant (AL No. 93.569) Significant Deficiency and Noncompliance over Eligibility Condition: During our testing of participant eligibility for the CSBG program, we noted the following exceptions out of a sample size of 40: (1) for one participant, the CSBG eligibility form was not signed by the case manager; and (2) for two participants, we were unable to obtain documentation to support proof of residence. Recommendation: We recommend that management strengthen internal controls over eligibility determination and documentation to ensure compliance with federal program requirements. Management should establish procedures to require complete and signed eligibility forms prior to approving or providing program benefits and consider implementing a standardized eligibility checklist to ensure all required supporting documentation (e.g., income verification, residency, other criteria) is obtained and retained. Auditee Response and Corrective Action Plan: UPOManagement acknowledges the audit finding and will ensure that staff follow established internal control activities to ensure compliance with CSBG participant eligibility. UPO will institute continuous training and increased monitoring of compliance by the internal Office of Performance Management regarding the review, retention, and documentation of eligibility determination evidence submitted by program participants. Anticipated Completion Date: September 30, 2026
FINDING – Federal Award Finding 2025-001: Agency: U.S. Department of Health and Human Services (CSBG) Program: Community Service Block Grant (AL No. 93.569) Significant Deficiency and Noncompliance over Allowable Costs / Period of Performance Repeat Finding: No Condition: During our testing over all...
FINDING – Federal Award Finding 2025-001: Agency: U.S. Department of Health and Human Services (CSBG) Program: Community Service Block Grant (AL No. 93.569) Significant Deficiency and Noncompliance over Allowable Costs / Period of Performance Repeat Finding: No Condition: During our testing over allowable costs, we identified 2 transactions in the amount of $38,225 that were incurred in fiscal years 2022 and 2023; however, those costs were recorded as federal expenditure and revenue in fiscal year 2025. The current CSBG grant covering fiscal year 2025 covers the period October 1, 2024 – September 30, 2025, as such, those costs were recorded outside of the period of performance and as such are unallowable. Recommendation: We recommend that management strengthen controls over the timing of federal expenditure recognition to ensure costs are recorded in the proper period of performance. Additionally, the entity should implement procedures to review and reconcile expected expenses to actual invoices received on a periodic basis to ensure all vendor invoices have been timely received. Auditee Response and Corrective Action Plan: UPO has recently implemented two methods for procuring goods and services to address the noted condition. Use of the P-Card for micropurchases and the Purchase Request for larger purchases. P-Card purchases will allow recurring vendor invoices and payments to be captured in real time and recorded in the appropriate billing and funding period. Mandatory use of Purchase Request/PO for all other purchases, to allow the program and finance team to monitor invoices and obligations, and record them within the funding period.
Management’s Action Plan: Management concurs with the findings. The deficiency was due to a lapse in management oversight related to the review and approval of independent contractor timesheets. To strengthen internal controls and ensure compliance with federal requirements, management has implement...
Management’s Action Plan: Management concurs with the findings. The deficiency was due to a lapse in management oversight related to the review and approval of independent contractor timesheets. To strengthen internal controls and ensure compliance with federal requirements, management has implemented corrective actions through the full implementation of a new enterprise resource planning system, Fusion. Under this process, all timecards are now entered, reviewed, and approved directly within Fusion and cannot be processed for payment unless they have been formally approved by appropriate management personnel. This ensures proper documentation, accountability, and adherence to internal control policies. Name of Person Responsible for the Plan: Katherine Hill, Manager of Accounting Jason Lynn, Vice President of Finance and Controller Anticipated Completion Date of the Plan: Completed – fully implemented with the rollout of the Fusion system (May 2025).
Corrective action plan: Dallas County HCVP will expand inspection capacity by hiring additional full-time and contractual inspectors, including an Inspector Supervisor to ensure timely completion of all inspections. Additionally, the Housing Supervisor will review inspection status regularly to ensu...
Corrective action plan: Dallas County HCVP will expand inspection capacity by hiring additional full-time and contractual inspectors, including an Inspector Supervisor to ensure timely completion of all inspections. Additionally, the Housing Supervisor will review inspection status regularly to ensure compliance with HUD­related inspection schedules. Increasing staffing levels will allow the program to meet HUD-required timeframes consistently and reduce the likelihood of delays. Implementation dates: September 30, 2026 Responsible persons: Kesete Yohannes, Assistant Director of Housing
Corrective Action Plan: Dallas County HCVP leadership addressed EIV compliance during the April 2026 and May 2026 monthly staff meetings and will continue to emphasize the requirement. Review of meetings agendas dated April 22, 2026, and May 20, 2026, confirm that EIV compliance was discussed. Addit...
Corrective Action Plan: Dallas County HCVP leadership addressed EIV compliance during the April 2026 and May 2026 monthly staff meetings and will continue to emphasize the requirement. Review of meetings agendas dated April 22, 2026, and May 20, 2026, confirm that EIV compliance was discussed. Additionally, the HCVP Housing Supervisor issued an email to all staff reiterating the requirement to retain EIV reports for all transactions, including but limited to recertifications, interims, and relocations. Implementation Date: June 11, 2026 Responsible Party: Kesete Yohannes, Assistant Director of Housing
Audit Finding Reference Number: 2025 – 003 Finding: NERACOOS submitted FFATA reports for the initial subaward agreements; however, the reports were not updated timely for subsequent subaward amendments. Specifically, amended subaward amounts and amendment dates were not reported timely and accuratel...
Audit Finding Reference Number: 2025 – 003 Finding: NERACOOS submitted FFATA reports for the initial subaward agreements; however, the reports were not updated timely for subsequent subaward amendments. Specifically, amended subaward amounts and amendment dates were not reported timely and accurately in SAM.gov. Corrective Action Plan: Develop a subaward amendment tracking log to record all subaward modifications, including amendment dates, revised subaward amounts, and FFATA reporting due dates. The log will be updated each time a subaward amendment is executed. Establish a written procedure requiring that any subaward amendment triggering a change in amount or key data be reported in SAM.gov within the required timeframe (no later than the end of the month following the month in which the obligation or award was made). Designate a staff member responsible for FFATA reporting compliance and assign a backup to ensure coverage during absences. Implement a quarterly reconciliation between executed subaward agreements/amendments and SAM.gov reporting records to identify and remediate any unreported or inaccurate entries. Provide training to relevant Finance and Grants Management staff on FFATA reporting requirements under 2 CFR Section 200.332 and SAM.gov reporting procedures. Retroactively update SAM.gov for any subaward amendments identified during the audit as not having been reported or reported inaccurately. Responsible Official: Jake Kritzer, Executive Director Anticipated Completion Date: August 31, 2026 (retroactive corrections); ongoing quarterly reconciliation beginning July 2026
Poverty and Social Reform Institute Dba Leaps and Bounds Family Services has updated the policies and procedures for the agency to reflect the Uniform Guidance requirements regarding the process and controls used to administer federal awards. These changes address the issue of non-compliance by form...
Poverty and Social Reform Institute Dba Leaps and Bounds Family Services has updated the policies and procedures for the agency to reflect the Uniform Guidance requirements regarding the process and controls used to administer federal awards. These changes address the issue of non-compliance by formally addressing the roles and responsibilities in writing of who at the agency is responsible for insuring that the Uniform Guidance is followed. The updated policy covers the areas of: allowable costs, cash management, procedures, and conflicts of interest. The new policy will be presented and reviewed for approval at the July 22nd, 2026, board meeting. We believe this corrective action plan will address the non-compliance and bring the agency into full compliance moving forward.
Actions Planned - The Authority is not in position to hire additional staff members for the sole purpose of eliminated the segregation of duties finding from our audit. The Airport Office Adminstrator communicates with the Executive Director and commission members regarding all major account transac...
Actions Planned - The Authority is not in position to hire additional staff members for the sole purpose of eliminated the segregation of duties finding from our audit. The Airport Office Adminstrator communicates with the Executive Director and commission members regarding all major account transactions, including the recording of recurring and non-recurring jounral entry adjustments. The commission meets monthly and closely monitors the financial information provded to them. Official responsible: Airport Office Administrator Planned Completion Date - On-going monitoring Disagreement with Finding - none, the Authority concurs with the finding. Plan to Monitor - The Authority is aware of the situation and will monitor, as it deems appropriate. Monitoring will include commission member oversight for the interim and year-end reporting.
Description of Finding: The organization did not complete and submit its Single Audit within the required timeframe due to special projects (mortgage sales) that dramatically limited staff bandwidth in key financial management positions, resulting in delays in audit coordination and reporting and th...
Description of Finding: The organization did not complete and submit its Single Audit within the required timeframe due to special projects (mortgage sales) that dramatically limited staff bandwidth in key financial management positions, resulting in delays in audit coordination and reporting and the timing of commencing the audit.Statement of Concurrence: The organization concurs with this finding.Corrective Action: The organization has resolved the underlying cause of this finding by streamlining the data collection process related to mortgage sales transactions. Furthermore, the organization is in the process of reorganizing the financial department to streamline workflows. The Staff Accountant in partnership with the Director of Finance & Administration are responsible for oversight of financial reporting, compliance with Uniform Guidance (2 CFR Part 200), and coordination of the Single Audit process.Corrective actions implemented include:• Departmental reorganization is underway to streamline workflows and provide clear ownership of departmental responsibilities (including single audit compliance) between Staff Accountant and Director of Finance and Administration.• Development of a formal audit timeline and internal milestones to ensure timely audit initiation, completion, and submission.• Strengthening of internal controls over financial reporting and audit documentation.• Ongoing communication and coordination with external auditors to ensure compliance with federal audit requirements. These actions ensure that future Single Audits will be completed and submitted timely in accordance with Uniform Guidance.Status of Finding: This finding resulted from unexpected special projects that limited financial staff bandwidth as well as fragmented workflows, which have both been addressed. Corrective action is in process.Projected Completion Date: Corrective action completed as of 6/5/2026, with ongoing monitoring incorporated into standard financial management procedures.
Noncompliance with Grant Reporting Frequency Requirements Auditor Description of Criteria, Condition, and Effect: Per the grant agreement for funds received from the Michigan Department of Environment, Great Lake, and Energy ("EGLE") the Township is required to submit financial status reports on a m...
Noncompliance with Grant Reporting Frequency Requirements Auditor Description of Criteria, Condition, and Effect: Per the grant agreement for funds received from the Michigan Department of Environment, Great Lake, and Energy ("EGLE") the Township is required to submit financial status reports on a monthly basis, but instead submitted their reports on a quarterly basis. The Township failed to file financial status reports as required by the Township's grant agreement with EGLE. As a result of this condition, the Township did not comply fully with the reporting requirements under this federal award. Auditor Recommendation: We recommend that the Township review its procedures for compiling financial data for external reporting purposes and develop a calendar by which grant managers and Township administration are notified of pending due dates. Financial reports should be supported by general ledger reports (which should be retained internally along with a copy of the report) and subjected to review and approval by an independent employee or administrator prior to submission. Corrective Action: The Township will strive to submit required reports to EGLE on a monthly basis as required. Expectation will be established via the grant calendar for this grant to be established as noted in finding 2025-001. Responsible Person: Karen Trombley, Accounting Coordinator Anticipated Completion Date: December 31, 2026
Authority's Response and Planned Corrective Action: The Authority acknowledges the deficiencies identified in the Section 8 Housing Choice Vouchers program and has implemented internal control procedures to ensure compliance with federal regulations. The Auditor selected two files out of 17 leased u...
Authority's Response and Planned Corrective Action: The Authority acknowledges the deficiencies identified in the Section 8 Housing Choice Vouchers program and has implemented internal control procedures to ensure compliance with federal regulations. The Auditor selected two files out of 17 leased units in the Audit period. In one, the Rent Reasonableness verification documentation was missing. HHA staff will review all 17 newly leased units from the Audit period to assure compliance. In addition, HHA has implemented a system for all new lease ups to assure full compliance with Rent Reasonableness documentation. This includes the Assistant Director of Management reviewing all files before a unit is leased. Marc A. Recko, Executive Director was designated to be responsible for implementing this corrective action by September 30, 2026.
Finding 2025-003 Plan: The Director of Affordable Housing will ensure that her staff submit allocation sheets each pay period. The Director will review the allocation sheets for accuracy, and the Director will approve the allocation sheets before submitting to Payroll for processing. The Chief Opera...
Finding 2025-003 Plan: The Director of Affordable Housing will ensure that her staff submit allocation sheets each pay period. The Director will review the allocation sheets for accuracy, and the Director will approve the allocation sheets before submitting to Payroll for processing. The Chief Operating Officer will ensure that the Director of Affordable Housing submits an allocation sheet each pay period. The COO will check the allocation sheet for accuracy before approving the allocation sheet and submitting to Payroll for processing. The allocation sheet submitted will include detailed information on the job duties performed during that pay period by the staff member submitting the allocation sheet. Anticipated Completion Date: 12/31/2025 Contact: Jackie Oliveira, Director of Affordable Housing
Special Tests and Provisions Significant Deficiency in Internal Control over Compliance and Instance of Noncompliance Department of Agriculture Federal Financial Assistance Listing #10.766 Community Facilities Loans and Grants Finding Summary: The Hospital did not maintain the required debt service ...
Special Tests and Provisions Significant Deficiency in Internal Control over Compliance and Instance of Noncompliance Department of Agriculture Federal Financial Assistance Listing #10.766 Community Facilities Loans and Grants Finding Summary: The Hospital did not maintain the required debt service coverage ratio for the year ended December 31, 2025. Additionally, the Hospital does not have a control process in place to ensure that the monitored debt service coverage ratio is accurate and non-compliance is reported timely. Responsible Individuals: Eric J. Price, CFO Corrective Action Plan: Management has enhanced internal control policies and processes to monitor compliance with debt covenants, including the periodic calculation of debt service coverage ratio, documentation of management review and approval, and timely communication with the lender if noncompliance is identified. Anticipated Completion Date: September 30, 2026
Finding Number: 2025-001 Finding Title: Procurement Controls (Significant Deficiency) Name of Contact Person: Janice Clark, Chief Finance & Operations Officer Corrective actions implemented or in process include the following: 1. Enhanced Procurement Oversight and Centralized Review The Organization...
Finding Number: 2025-001 Finding Title: Procurement Controls (Significant Deficiency) Name of Contact Person: Janice Clark, Chief Finance & Operations Officer Corrective actions implemented or in process include the following: 1. Enhanced Procurement Oversight and Centralized Review The Organization, building on its established procurement policies, implemented stricter headquarters oversight and approval requirements for higher-risk and higher-dollar procurements, including defined approval thresholds for procurement solicitations, evaluation activities, and contract execution. Specialized and international procurements now require additional senior-level review and involvement, regardless of value. 2. Strengthened Vendor Due Diligence and Market Research Procedures The Organization updated procurement procedures to require expanded documentation of vendor due diligence and market research activities, including enhanced validation of vendor qualifications, procurement support documentation, and vendor representations associated with federal procurements. 3. Enhanced Monitoring of Procurement Documentation and Compliance Requirements Management implemented strengthened review procedures over procurement advertisements, vendor certifications, geographic code compliance documentation, and other supporting procurement records. The revised procedures also require additional review and escalation for identified procurement irregularities or inconsistencies. 4. Advance Payment and Approval Controls The Organization implemented revised controls governing advance payments, including enhanced approval requirements for significant prepayments and additional supporting documentation requirements for high-risk payment arrangements. 5. Procurement Evaluation and Technical Assistance The Organization enhanced procurement evaluation oversight by requiring additional Headquarters participation in evaluation activities for procurements exceeding defined thresholds. In addition, the Organization engaged specialized procurement and logistics resources to provide technical assistance and support for international procurement activities. 6. Personnel Actions and Training The Organization took personnel actions in response to the investigation findings and implemented enhanced procurement and compliance training for relevant personnel involved in procurement and grants management activities. Management believes these corrective actions appropriately address the control deficiencies identified in the finding and strengthen the Organization’s internal control over compliance related to procurement activities under federally funded programs. Anticipated Completion Date: Substantially completed as of April 6, 2026, with ongoing monitoring and training activities continuing through fiscal year 2026.
PLANNED CORRECTIVE ACTION The Division will communicate to all units conducting USDA Foods inventory counts the requirement that inventory reports must include documented evidence of review prior to submission. The Division's Social Services department will incorporate verification of documented inv...
PLANNED CORRECTIVE ACTION The Division will communicate to all units conducting USDA Foods inventory counts the requirement that inventory reports must include documented evidence of review prior to submission. The Division's Social Services department will incorporate verification of documented inventory review into its quarterly internal oversight process to ensure compliance with this requirement on an ongoing basis. ANTICIPATED COMPLETION DATE 10/1/26 RESPONSIBLE CONTACT PERSON Julie Luft, NW Social Services Director
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