Corrective Action Plans

Finding 31209 (2022-001)

Significant Deficiency 2022

PR

Allowable Costs / Cost Principles Reporting Significant Deficiency

Below we break down the Action Plan to address finding 2022-001. We must begin our comments by informing that, on December 28, 2022, the PRDOJ formalized a professional services contract number 2023-000067 with the company Aquino, De Cordova, Alfaro & Co., LLP (Independent Auditors) to carry out th...

Below we break down the Action Plan to address finding 2022-001. We must begin our comments by informing that, on December 28, 2022, the PRDOJ formalized a professional services contract number 2023-000067 with the company Aquino, De Cordova, Alfaro & Co., LLP (Independent Auditors) to carry out the Agency financial audit process for fiscal year 2021-2022. The clause number six of the contract required that the Independent Auditors submitted on or before March 31, 2023, the final Single Audit Report required as part of the audit process. However, the PRDOJ was obliged to extend the term of the contract because the Independent Auditors could not complete the contracted services and render the Single Audit Report within the stipulated term. The Independent Auditors indicated that the delay in the delivery of the Single Audit Report was since the audit process could not be started until the contract was signed and that the information was not received in a timely manner. Despite the reasons stated by the Independent Auditors, the reality is that the Independent Auditors undertook the contractual clauses agreed in the contract and between them, the agreement to submit the final Single Audit on or before March 31, 2023. Pursuant to the provisions of contract number 2023-000067, the administration of the PRDOJ was under the understanding that the Independent Auditors would comply with the delivery term of the SingleAudit Report within the agreed term. In this way, we ensured that we hired a firm that complied with the term to submit the Single Audit Report to the Federal Audit Clearinghouse provided in federal statute 45 CFR sec. 75.512. However, it is not until the end of the month of March that we become aware that the Independent Auditors could not meet the deadline of submitting the Single Audit Report. As a result of this, the PRDOJ had to extend the contract so that the Independent Auditors could complete the Single Audit Report, take internal measures to alleviate and address the delay, and submit the PRDOJ's Single Audit Report for fiscal year 2021 to the Federal Audit Clearinghouse. Under the contextual framework outlined above, we inform our corrective action plan to finding number 2022-01 presented in the Single Audit Report. First, the PRDOJ requested in June several proposals from Independent Auditors to carry out the Agency?s financial audit process for the 2022-2023 fiscal year. Consequently, a firm of Independent Auditors was selected, and we requested all the information and documentation required at the federal and state level to contract with the government. The contract was drafted in July and will soon be signed. In addition, the new contract provides that the Independent Auditor must submit the Single Audit Report to the PRDOJ on or before March 1, 2024. In this way, the PRDOJ will have the Single Audit Report in advance and, in this way, ensure that the document is submitted before March 31, 2024, to the Federal Audit Clearinghouse.This initiative goes hand in hand with the elaboration of a rigorous and meticulous work plan between the PRDOJ and the Independent Auditors with the delivery dates and exchange of information for the preparation of the Single Audit Report. The work plan provides that the audit process will begin as soon as the contract is signed in early August. For its part, the PRDOJ must submit all the required information to the Independent Auditors before the end of December. ? Regarding the internal administrative aspects of the PRDOJ to comply with this corrective action plan, we inform that we have designated an employee of the Agency to ensure that all our dependencies and their directors submit all the information required to the Independent Auditors on time on the stipulated dates. This includes, but is not limited to, all information in the preliminary PBC and any additional information that is required by the Independent Auditors. ? Likewise, this PRDOJ employee will serve as a link between the firm of Independent Auditors and the agencies of the agency that request information and documentation. Lastly, the PRDOJ official will ensure that the Independent Auditors firm submits the Single Audit Report to the Federal Audit Clearinghouse before March 31, 2024.This is a comprehensive corrective action plan that we have prepared in coordination with all the dependencies of the PRDOJ to guarantee faithful compliance with federal statutes.

View Audit 31223

Finding 31197 (2022-004)

Significant Deficiency 2022

Housing Authority of Kansas City, Missouri

MO

Special Tests & Provisions HUD Housing Programs Significant Deficiency

Finding 2022 ? 004 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: MO002VO ? 2022 Award Period: January 1, 2022 ? December 31, 2022 Compliance Require...

Finding 2022 ? 004 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: MO002VO ? 2022 Award Period: January 1, 2022 ? December 31, 2022 Compliance Requirement: Special Tests and Provisions ? Reasonable Rent Type of Finding: ? Significant Deficiency in Internal Control over Compliance ? Other Matters Condition: The Authority did not perform rent reasonableness procedures in accordance with program compliance requirements. Exceptions noted in 2 out of 80 files tested for reasonable rent requirements: Documentation for the determination of rent was not maintained for 1 sample. The contract rent did not agree to the rent determined reasonable for 1 sample. Cause: The Authority did not maintain documentation utilized to determine rent reasonableness. Auditors Recommendation: Recommend that the Authority implements controls to ensure that documentation is maintained in accordance with rent reasonableness requirements. Response to Finding 2022-004 The Authority generally concurs with the auditor?s findings and recommendations. The 2022 Audit included the review of 80 files tested for reasonable rent requirements. Exceptions were noted in two instances, documentation for the determination of rent was not maintained for 1 sample; and the contract rent did not agree to the rent determined reasonable for 1 sample. Action Taken: A Corrective Action Plan has been developed to ensure that documentation is maintained in accordance with rent reasonableness requirements. Implementation began on August 1, 2023. To provide consistency, increase staff knowledge and reduce errors, training will be held immediately and then annually thereafter. In addition, HAKC will increase quality control file reviews and conduct such reviews on a more frequent basis to identify errors sooner and address the cause of errors quickly to prevent systemic errors. Errors will be identified by error type and the person who made the error. Patterns of errors will be monitored, and additional training provided for similar error types that are frequently repeated and persons who are identified as frequently making errors. Quality reviews will be conducted for all files to ensure that all required documents are in the files. It is anticipated it will take one year to complete the initial file review. After the initial review files will be selected randomly and reviewed according to an established quality control schedule. Each team member will be responsible to collect missing documents identified when completing an annual recertification, interim recertification or change of unit. Name of the contact person responsible for corrective action: Edwin Lowndes Executive Director Planned completion date for corrective action plan: March 1, 2024.

View Audit 28025

Finding 31196 (2022-003)

Significant Deficiency 2022

Housing Authority of Kansas City, Missouri

MO

HUD Housing Programs Special Tests & Provisions Significant Deficiency

Finding 2022 ? 003 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: MO002VO - 2022 Award Period: January 1, 2022 ? December 31, 2022 Compliance Require...

Finding 2022 ? 003 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: MO002VO - 2022 Award Period: January 1, 2022 ? December 31, 2022 Compliance Requirement: Special Tests and Provisions ? Housing Assistance Payment (HAP) Type of Finding: ? Significant Deficiency in Internal Control over Compliance ? Other Matters- Condition: The Authority did not ensure the monthly HAP payment agreed between the HUD- 50058, HAP contract, and HAP register in accordance with program compliance requirements. Exceptions were noted in 2 out of 40 files tested for Housing Assistance Payments. In both instances, the HAP register did not agree to the HUD-50058 and HAP contract. Cause: The Authority did not identify variances between the HUD-50058, HAP contract, and HAP register. Auditors Recommendation: Recommend that the Authority implements controls to ensure the HAP paid agrees to the HUD-50058 and HAP contract. Response to Finding 2022-003 The Authority generally concurs with the auditor?s findings and recommendations. The 2022 Audit included the review of 40 files tested for Housing Assistance Payments. In two instances, the HAP register did not agree to the HUD-50058 and HAP contract. Action Taken: A Corrective Action Plan has been developed to ensure the HAP register agrees with the HUD 50058 and HAP contract. Implementation began on August 1, 2023. To provide consistency for the HUD 50058 HAKC will increase staff knowledge and reduce errors through training. This will be held immediately and then annually thereafter. In addition, we will increase quality control file reviews and conduct such reviews on a more frequent basis to identify errors sooner and address the cause of errors quickly to prevent systemic errors. Errors will be identified by error type and the person who made the error. Patterns of errors will be monitored, and additional training provided for similar error types that are frequently repeated and persons who are identified as frequently making errors. In regard to the HAP contract, going forward any new HAP contracts will be reviewed by the supervisor of the department before the HAP is enforced. The supervisor will sign the HAP contract if no errors are found. With this quality control in effect, the HAP contract will match the HAP register. Quality reviews will also be conducted by compliance to check the HAP contracts to make sure they comply. Name of the contact person responsible for corrective action: Edwin Lowndes Executive Director Planned completion date for corrective action plan: March 1, 2024.

View Audit 28025

Finding 31195 (2022-002)

Significant Deficiency 2022

Housing Authority of Kansas City, Missouri

MO

HUD Housing Programs Reporting Significant Deficiency

Finding 2022 ? 002 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: MO002VO - 2022 Award Period: January 1, 2022 ? December 31, 2022 Compliance Require...

Finding 2022 ? 002 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: MO002VO - 2022 Award Period: January 1, 2022 ? December 31, 2022 Compliance Requirement: Reporting ? PIH Information Center (PIC) Reporting Type of Finding: ? Significant Deficiency in Internal Control over Compliance ? Other Matters Condition: The Authority did not satisfy PIC reporting requirements in accordance with 24 CFR Part 908. Exceptions were noted in 4 out of 40 recertifications. In each of the four instances, the HUD-50058 was unable to be located within the PIC system. Cause: The Authority did not identify recertifications that failed to upload to the PIC system. Auditor?s Recommendations: Recommend that the Authority implement controls to ensure HUD-50058 recertifications are uploaded to PIC. Response to Finding 2022-002 The Authority generally concurs with the auditor?s findings and recommendations. The 2022 Audit included the review of 40 Recertifications and identified four instances where the HUD- 50058 was not located within the PIC system. Action Taken: A Corrective Action Plan has been developed to ensure HUD-50058 recertifications are uploaded to PIC. Implementation began on August 1, 2023. To provide consistency, the plan is to upload the HUD-50058 sixty days in advance of the recertification date. HAKC will upload the HUD-50058 every week to ensure recertifications are registered in PIC. In addition, we will increase quality control file reviews and conduct such reviews on a more frequent basis to identify errors sooner and address the cause of errors quickly to prevent systemic errors. Errors will be identified by error type and the person who made the error. Patterns of errors will be monitored, and additional training provided for similar error types that are frequently repeated and persons who are identified as frequently making errors. Name of the contact person responsible for corrective action: Edwin Lowndes Executive Director. Planned completion date for corrective action plan: March 1, 2024.

View Audit 28025

Finding 31194 (2022-001)

Significant Deficiency 2022

Housing Authority of Kansas City, Missouri

MO

Eligibility Significant Deficiency Internal Control / Segregation of Duties

Finding 2022 ? 001 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: MO002VO - 2022 Award Period: January 1, 2022 ? December 31, 2022 Compliance Require...

Finding 2022 ? 001 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871/14.879 Federal Award Identification Number and Year: MO002VO - 2022 Award Period: January 1, 2022 ? December 31, 2022 Compliance Requirement: Eligibility Type of Finding: ? Significant Deficiency in Internal Control over Compliance ? Other Matters Condition: Exceptions noted in 1 out of 40 files tested for eligibility requirements. The Authority was unable to provide documentation for releases of information or third-party verification of reported family annual income, the value of assets, or expenses related to deductions from annual income. Cause: The Authority did not maintain supporting documentation within the tenant file. Auditor?s Recommendations: Recommend that the Authority implements controls to ensure the tenant files include all required documentation at the time of recertification. Response to Finding 2022-001 The Authority generally concurs with the auditor?s findings and recommendations. The 2022 Audit included the review of 40 HCV files and deficiencies were noted in only one file. The Authority was unable to provide documentation for releases of information or third-party verification of reported family annual income, the value of assets, or expenses related to deductions from annual income. Action Taken: The implementation of a Corrective Action Plan to address the errors to ensure that the tenant files include all required documentation at the time of recertification began on August 1, 2023. To provide consistency, increase staff knowledge and reduce errors, training began immediately and will continue on an annual and as needed basis. In addition, HAKC will increase quality control file reviews and conduct such reviews on a more frequent basis to identify errors sooner and address the cause of errors quickly to prevent systemic errors. Errors will be identified by error type and the person who made the error. Patterns of errors will be monitored, and additional training provided for similar error types that are frequently repeated and persons who are identified as frequently making errors. Quality reviews will be conducted for all files to ensure that all required documents are in the files. It is anticipated it will take one year to complete the initial file review. After the initial review files will be selected randomly and reviewed according to an established quality control schedule. Each team member will be responsible to collect missing documents identified when completing an annual recertification, interim recertification or change of unit. The Director and Supervisor will assist the Deputy Executive Director and Executive Director in overseeing these corrective actions during the next fiscal year. Name of the contact person responsible for corrective action: Edwin Lowndes Executive Director Planned completion date for corrective action plan to be fully implemented: March 1, 2024.

View Audit 28025

Finding 31193 (2022-003)

Significant Deficiency 2022

Peoria Housing Authority

IL

HUD Housing Programs Subrecipient Monitoring Eligibility

2022-003 Section 8 Housing Choice Vouchers Recommendation: We recommend the Authority implement controls to ensure all tenant file documentation is accurate and available, and that management review their procedures relating to PIC uploads to ensure compliance with HUD's requirements and timelines....

2022-003 Section 8 Housing Choice Vouchers Recommendation: We recommend the Authority implement controls to ensure all tenant file documentation is accurate and available, and that management review their procedures relating to PIC uploads to ensure compliance with HUD's requirements and timelines. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: 1. The PHA will implementing a Compliance Team to create and enforce a quality assurance plan. The plan will include a 100% file audit of HCV Participant Files to ensure full compliance, and PHA will process all corresponding corrections. 2. The Quality Assurance employees will continue to complete 10% of monthly internal file audits for recertification and 100% of new admissions, to ensure accurate calculations. The Quality Assurance team will also ensure that all proper documentation is present and accurate in all participant files. 3. In addition, PHA will contract a third-party consultant to complete a one-time 100% file audit, then test 10% of participant files, monthly. 4. The HCV Department Team, except for our inspectors, will complete Rent Calculation Training and obtain the exam certification, with a minimum requisite passing score of 80% Additionally, the third-party consultant will provide the HCV Team with technical support required to reconcile file deficiencies noted during the 100% file audit. Planned completion date for the corrective action plan: December 31, 2023; Ongoing Person Responsible: Armeca Crawford, Chief Executive Officer

View Audit 25746

Finding 31191 (2022-002)

Significant Deficiency 2022

Peoria Housing Authority

IL

Equipment & Real Property Management HUD Housing Programs Significant Deficiency

Finding 2022-002 ? Internal Control over Cash Reconciliations ? Significant Deficiency ? Noncompliance and Qualified at Single Audit Level PHA Response: Peoria Housing Authority (PHA) has a policy to provide reasonable assurance that the Financial Statements are prepared in accordance with account...

Finding 2022-002 ? Internal Control over Cash Reconciliations ? Significant Deficiency ? Noncompliance and Qualified at Single Audit Level PHA Response: Peoria Housing Authority (PHA) has a policy to provide reasonable assurance that the Financial Statements are prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). The PHA understands the importance of accurately tracking both fixed assets and inventory. The PHA will revise policies around fixed assets and inventory and ensure that they are being followed to provide an accurate representation of what the PHA owns. Corrective Action Plan: The Peoria Housing Authority will do a review of the fixed asset listing and bring the necessary dispositions to be approved by the Board of Commissioners to accurately state fixed assets owned by the PHA. This will become an annual process to be completed by the Finance Department in coordination with PHA staff. An annual inventory count will be completed each year at fiscal year-end to ensure that what is reported reflects what is owned by the PHA. An allowance will be set up for any obsolete inventory. This will be addressed during the 2023 calendar year. Person Responsible: Armeca Crawford, Chief Executive Officer Bedrock Housing Consultants in coordination with the PHA Finance Department. Anticipated Completion Date: December 31, 2023

View Audit 25746

Finding 31190 (2022-001)

Significant Deficiency 2022

Peoria Housing Authority

IL

HUD Housing Programs Reporting Significant Deficiency

Finding 2022-001 ? Internal Control over Cash Reconciliations ? Significant Deficiency ? Noncompliance and Qualified at Single Audit Level PHA Response: The Peoria Housing Authority (PHA) has a policy to provide reasonable assurance that the Financial Statements are prepared in accordance with acc...

Finding 2022-001 ? Internal Control over Cash Reconciliations ? Significant Deficiency ? Noncompliance and Qualified at Single Audit Level PHA Response: The Peoria Housing Authority (PHA) has a policy to provide reasonable assurance that the Financial Statements are prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). Subsequent to December 31, 2022, the PHA procured the services of Bedrock Housing Consultants who have addressed the timeliness and accuracy of bank reconciliations as well as the monitoring of interfund accounts to ensure they are balanced. The PHA will resolve this issue during the 2023 calendar year. Corrective Action Plan: The Peoria Housing Authority (PHA) will continue to ensure timely and accurate financial reports. Bedrock Housing Consultants will continue to work with the Finance Department to ensure timely and accurate bank reconciliations are being performed. Staff will continue to participate in training in Housing Authority financial management to understand better the industry?s policies, procedures, and practices. The PHA will reconcile monthly all accounts, including accurate reconciliation of all bank accounts as well as balancing interfunds, and when possible reimbursing the amounts due. Any audit adjustments will be made in the proper period and in the accounts detailed per the auditor?s adjusting journal entry report. This will be addressed during the 2023 calendar year. Person Responsible: Armeca Crawford, Chief Executive Officer Bedrock Housing Consultants in coordination with the PHA Finance Department. Anticipated Completion Date: December 31, 2023

View Audit 25746

Finding 31189 (2022-003)

Significant Deficiency 2022

Alabama Nursing Home Association Education Foundation

AL

Questioned Costs Allowable Costs / Cost Principles Cash Management

Finding 2022-003 ?Claims Payments Made Based on Incorrect Calculations of Amounts Reimbursed Status: Under completion. Planned Corrective Action: A review was made by the Foundation?s outside accounting firm engaged to process claims and the errors cited in Finding 2022-003 resulted in only one ...

Finding 2022-003 ?Claims Payments Made Based on Incorrect Calculations of Amounts Reimbursed Status: Under completion. Planned Corrective Action: A review was made by the Foundation?s outside accounting firm engaged to process claims and the errors cited in Finding 2022-003 resulted in only one overpayment to a nursing home. This was confined to a single nursing home that received more than that nursing home would have been entitled to receive under the adopted allocation regime. That nursing home was contacted and has promptly refunded the overage. The Foundation plans to redistribute this amount to other nursing facilities with unmet needs on a ratio and proportion basis. Person(s) Responsible: John Matson, Acting Executive Director Completion Date: October 31, 2023

View Audit 25745 Questioned Costs: $1

Finding 31188 (2022-002)

Significant Deficiency 2022

Alabama Nursing Home Association Education Foundation

AL

Internal Control / Segregation of Duties Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303 § 200.329

Finding 2022-002 ?Internal Control Over Reporting Status: Completed. Planned Corrective Action: Management will retain documentation of review of reports. Person(s) Responsible: John Matson, Acting Executive Director Completion Date: September 26, 2023

View Audit 25745

Finding 31187 (2022-001)

Significant Deficiency 2022

Alabama Nursing Home Association Education Foundation

AL

Period of Performance Significant Deficiency Matching / Level of Effort / Earmarking § 200.203 § 200.303

Finding 2022-001 ?Internal Control Over Allowable Activities/Costs and Period of Performance Status: Plan is being formulated. Planned Corrective Action: The Foundation followed the express instructions of the State of Alabama, Department of Finance (the ?Grantor?) to The Alabama Nursing Home Asso...

Finding 2022-001 ?Internal Control Over Allowable Activities/Costs and Period of Performance Status: Plan is being formulated. Planned Corrective Action: The Foundation followed the express instructions of the State of Alabama, Department of Finance (the ?Grantor?) to The Alabama Nursing Home Association Education Foundation (the ?Foundation?), which permitted the Foundation to rely upon the certifications of nursing home applicants that the applicant had or will have sufficient unmet needs related to qualifying purposes due to the COVID-19 pandemic to support the receipt of the various allocations of the herein described COVID-19 Funds. Under the terms of the certification, each applying nursing home further certified that for ten (10) years it would maintain auditable records supporting the unmet need and use of the COVID-19 Funds. This manner of requiring only a certification for the distribution to health care providers is consistent with the requirements the federal government used when distributing an array of emergency funding (e.g., provider relief funds, rural funds, and infection control funds) to health care providers to meet the unmet needs caused by the COVID-19 pandemic. The term ?COVID-19 Funds? means those funds the Foundation received from the Grantor with respect to (i) The CARES Act Corona Virus Relief Funds for the period from January 31, 2020 through December 31, 2021, and (ii) America Rescue Plan Act (ARPA) funds for unmet needs for qualifying purposes incurred or to be incurred during the period March 11, 2021 through December 31, 2024. To provide further assurance that the COVID-19 Funds were properly applied by the nursing home beneficiaries receiving COVID-19 Funds through the Foundation, the Foundation is working with its outside accountants and legal counsel to develop a look-back review plan. The framework of the look-back review plan will be for each nursing home beneficiary that received COVID-19 Funds to submit during the first month of the third quarter of the calendar year 2024, a worksheet similar to the period reporting worksheets that are required by the federal Health Resources & Services Administration (HRSA) to justify the COVID-19 provider relief funds, rural funds, and infection control funds received by health care providers. In addition to these HRSA type worksheets, a more in-depth examination of a sample of nursing homes will be made by randomly selecting 10 nursing homes from a pool of the 30 nursing homes that received the most COVID-19 Funds through the Foundation, plus another 15 nursing homes from the remainder of the pool of beneficiary nursing homes. These randomly selected nursing homes will be required to supply actual documentation supporting the COVID Funds received. This documentation will include invoices, payroll records, revenue journals, and cost reports. Among the provisions of the certifications submitted by each applying nursing home, is an acknowledgement that (i) the nursing home is subject to audit by the applicable State and federal agencies, and the Foundation, (ii) any COVID-19 Funds received through the Foundation and not properly applied must be refunded, and the nursing home will comply with the requirement that it must maintain for ten (10) years auditable records supporting its use of the COVID-19 Funds it received through the Foundation. In the event that it is determined that one or more nursing homes were unable to properly apply the COVID-19 Funds to an unmet need for a qualifying purpose, those COVID-19 Funds will be recouped and either redistributed to any nursing homes that are able show an unmet need continues to exist using a distribution formula consistent with past distributions of refunded COVID-19 Funds, or returned to the Grantor. This redistribution or return to the Grantor will occur no later than December 31, 2024. Person(s) Responsible: John Matson, Acting Executive Director Completion Date: Adoption of the Look-Back Audit Procedures December 31, 2023

View Audit 25745

Finding 31172 (2022-004)

Significant Deficiency 2022

Housing Authority of St. Louis County

MO

HUD Housing Programs Significant Deficiency Internal Control / Segregation of Duties

2022-004 Public and Indian Housing ? Assistance Listing No. 14.850 ? Declaration of Trusts Recommendation: The Authority should ensure they have all required documentation on file to ensure they are in compliance with HUD requirements regarding declaration of trusts. Explanation of disagreement with...

2022-004 Public and Indian Housing ? Assistance Listing No. 14.850 ? Declaration of Trusts Recommendation: The Authority should ensure they have all required documentation on file to ensure they are in compliance with HUD requirements regarding declaration of trusts. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Authority?s counsel has worked with HUD to develop a Declaration of Trust (DOT) report template. Staff have also increased coordination and communication with legal counsel to ensure all DOTs are up to date. Name(s) of the contact person(s) responsible for corrective action: Katrina Sommer Planned completion date for corrective action plan: December 31, 2023

View Audit 35864

Finding 31164 (2022-002)

Significant Deficiency 2022

Housing Authority of St. Louis County

MO

HUD Housing Programs Reporting Significant Deficiency

2022-002 Housing Voucher Cluster ? Assistance Listing No. 14.871/14.879 ? PIC Reporting Recommendation: The Authority should implement processes to ensure HUD-50058 submissions are submitted into the PIC system timely and accurately. Explanation of disagreement with audit finding: There is no disagr...

2022-002 Housing Voucher Cluster ? Assistance Listing No. 14.871/14.879 ? PIC Reporting Recommendation: The Authority should implement processes to ensure HUD-50058 submissions are submitted into the PIC system timely and accurately. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Since 2022, the Authority has sought comprehensive PIC training from its HUD Field Supervisor, PIC Couch, and EIV Coordinator. During these training events our Authority-HUD team addressed errors dating to 2021 and staff learned to make required corrections in a timely manner. The Authority also has included PIC reporting review as a responsibility for its recently created Housing Choice Voucher (HCV) Floater position. With the assistance of the HCV Floater and oversight by the HCV Director, the Authority addresses any PIC reporting errors effectively and immediately upon receipt. Name(s) of the contact person(s) responsible for corrective action: Nicole O?Dell/Katrina Sommer Planned completion date for corrective action plan: On-going

View Audit 35864

Finding 31148 (2022-001)

None 2022

City of San Bernardino

CA

Subrecipient Monitoring Reporting Significant Deficiency

This corrective action plan is in response to the city's single audit report for the fiscal year ended June 30, 2022, prepared by RAMS. Part Ill Federal Award Findings and Questioned Costs #2022-001 Recommendation: It is recommended that the City implement a tracking system to remind staff of the...

This corrective action plan is in response to the city's single audit report for the fiscal year ended June 30, 2022, prepared by RAMS. Part Ill Federal Award Findings and Questioned Costs #2022-001 Recommendation: It is recommended that the City implement a tracking system to remind staff of the various reports due and respective deadlines. Corrective Action: To ensure compliance for future reporting, staff routes all contracts through DocuSign. Any grant related contract routed through DocuSign will forward a fully executed copy to the Grants Division. Grant related contracts at $30,000 or above will be flagged to inform the applicable department Management Analyst to report the contract to the Federal Funding Accountability and Transparency Act (FFATA) Subaward Report System (FSRS) by the end of the following month. A tracking log will be maintained where applicable contracts will be listed, the deadline date to report in the FSRS, and a date to record when it was completed. This tracking log will be housed in the Grants Division folder on the City's shared drive. Person Responsible for Corrective Action: Grants Division Manager: Mary Alvarez-Gomez Department Management Analyst (various) Anticipated Completion Date for Corrective Action: It should be noted that all contracts within the audit reporting period were reported in the FFATA FSRS by 6/13/23. Corrective Action will be immediately implemented in response to the auditors' recommendation.

View Audit 27596

Finding 31136 (2022-003)

Significant Deficiency 2022

Rape and Abuse Crisis Center of Fargo-Moorehead

ND

Cash Management Significant Deficiency Internal Control / Segregation of Duties

2022-003 U.S. Department of Justice Federal Financial Assistance Listing/Federal CFDA #16.575 Victims of Crime Act (VOCA) Cash Management Significant Deficiency in Internal Control over Compliance Finding Summary: The Organization's internal control policy relating to the review over the preparati...

2022-003 U.S. Department of Justice Federal Financial Assistance Listing/Federal CFDA #16.575 Victims of Crime Act (VOCA) Cash Management Significant Deficiency in Internal Control over Compliance Finding Summary: The Organization's internal control policy relating to the review over the preparation of cash draws of federal funds prior to submission was not consistently applied throughout the year. No reviews were noted surrounding the preparation and draws of federal funds prior to submission. Without proper implementation of internal controls over Organization's cash draws, errors could occur and result in the Organization drawing funds in inappropriate amounts or for unallowed costs. We recommend that a member of the Organization's staff who does not prepare the cash draw review the cash draw prior to submission and document that review on a more consistent basis. Status: The Finance Director reviews and approves the prepared cash draw materials prior to submission electronically via email on a consistent basis. Responsibility of: Andrea Lang, Director of Organization Advancement & Jennifer Babcock, Finance Director Estimated Completion Date: Completed. The Finance Director is now reviewing and approving prepared cash draw materials prior to submission.

View Audit 28370

Finding 31131 (2022-001)

Significant Deficiency 2022

City of Lake Lillian

MN

Reporting Significant Deficiency

Auditor Prepared Financial Statements. Name of Contact Person: Kozanna Hirschman, City Clerk. Correction Action: The clerk will continue to review GASB pronouncements and GASB disclosure checklists to ensure he is aware of financial statement requirements and new pronouncements. Proposed Correction ...

Auditor Prepared Financial Statements. Name of Contact Person: Kozanna Hirschman, City Clerk. Correction Action: The clerk will continue to review GASB pronouncements and GASB disclosure checklists to ensure he is aware of financial statement requirements and new pronouncements. Proposed Correction Date: The City Council will implement the above procedures immediately.

View Audit 27974

Finding 31109 (2022-001)

Significant Deficiency 2022

El Valor Corporation

IL

Reporting Allowable Costs / Cost Principles Significant Deficiency

Action taken in response to finding: Management will emphasize the completion of the reports by the applicable due dates by prioritizing this compliance requirement. We have been down a finance position and we were not able to consistently submit the SF-425 reports by the applicable due dates. This...

Action taken in response to finding: Management will emphasize the completion of the reports by the applicable due dates by prioritizing this compliance requirement. We have been down a finance position and we were not able to consistently submit the SF-425 reports by the applicable due dates. This coming year this compliance requirement will be our focus and we will maintain documentation of the initial submission dates. Name of the contact person responsible for corrective action: Carmen Ziegler, CFO Planned completion date for corrective action plan: February 28, 2023

View Audit 26578

Finding 31048 (2022-002)

Significant Deficiency 2022

Okanogan Behavioral Healthcare

WA

Questioned Costs Allowable Costs / Cost Principles Period of Performance

Corrective Action Plan: Okanogan Behavioral HealthCare (OBHC) respectfully submits the following corrective action plan for the year ended June 30, 2022. Audit period: July 1, 2021 ? June 30, 2022. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Ac...

Corrective Action Plan: Okanogan Behavioral HealthCare (OBHC) respectfully submits the following corrective action plan for the year ended June 30, 2022. Audit period: July 1, 2021 ? June 30, 2022. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned/taken in response to finding: The monthly close checklist has been modified to include a payroll transaction process for the September close for this grant. This is the sole grant that requires a second grant closure process. Name of the contact person responsible for corrective action: Patty Branch, Finance Manager Planned completion date for corrective action plan: October 2022 for the September close and grant invoice submission.

View Audit 27021 Questioned Costs: $1

Finding 31032 (2022-002)

Significant Deficiency 2022

Mercer County Joint Township Community Hospital

OH

Questioned Costs Reporting Significant Deficiency

To whom it may concern, We have included the correction action plans for both findings included in the Schedule of Findings and Questions costs which accompanies the audited financial statements and supplementary information submitted along with the data collection form used to summarize the results...

To whom it may concern, We have included the correction action plans for both findings included in the Schedule of Findings and Questions costs which accompanies the audited financial statements and supplementary information submitted along with the data collection form used to summarize the results of audits performed in accordance with Government Auditing Standards and Uniform Guidance. Corrective Action Plan for Findings Reported in Accordance with Government Auditing Standards Financial Statement Finding 2022-001: Significant Deficiency, Accounts Receivable and Revenue Recognition Condition During the audit, it was discovered that patient accounts receivable associated with the Medical and Educational Development Foundation Physicians Corporation (MEDF) was understated by $734,127. Corrective Action Plan Corrective Action Planned: Our management team evaluated two options to solve the issue that resulted in finding 2022-001. The first option is to record and report MEDF's net patient accounts receivable on a monthly or annually basis, which is consistent with how management reports hospital patient accounts receivable. The second option is for management to monitor MEDF's patient accounts receivable balance monthly or annually to determine the significance of estimated net patient receivable to the financial reporting, if deemed to be significant management would record and report the balance. We believe both options are reasonable solutions that will resolve the finding moving forward. Management has concluded to implement the first option and report MEDF's net patient accounts receivable on an annual basis. Names of Contact Persons Responsible for Corrective Action: Jon Dingledine, Chief Financial and Operating Officer Cory Albers, Vice President of FinanceAnticipated Completion Date: We plan to implement the corrective action plan beginning with fiscal year ending 3/31/2022. The start of the year is April 1, 2022. Corrective Action Plan for Findings Reported in Accordance with Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards Federal Award Finding 2022-002: Significant Deficiency in Internal Control over Compliance, Reporting Condition During the audit performed in accordance with the Uniform Guidance, it was discovered that lost revenues was mistakenly reported using option two in our Provider Relief Fund submissions for reporting periods one and two. Option three should have been selected to report lost revenues since we utilized budget-to-actual patient revenues utilizing 2020, 2021, and 2022 fiscal year budgets which covered the periods of availability; but were not all approved prior to the March 27, 2020 deadline. Corrective Action Plan Corrective Action Planned: Currently, our management team has reviewed the methods used to measure lost revenue for Provider Relief Fund reporting and plans to amend the option used to report past Provider Relief Fund submissions from option two to option three. Our management team plans to continue the use option three for future reporting periods. Names of Contact Persons Responsible for Corrective Action: Jon Dingledine, Chief Financial and Operating Officer Cory Albers, Vice President of Finance Anticipated Completion Date: Management plans to implement the corrective action plan beginning with the next applicable Provider Relief Fund reporting period. This should take place on or before March 31, 2023.

View Audit 27289 Questioned Costs: $1

Finding 31031 (2022-002)

Significant Deficiency 2022

Joint School District No. 2

ID

Allowable Costs / Cost Principles Procurement, Suspension & Debarment Significant Deficiency

Finding 2022-002 Federal Agency Name: Federal Communications Commission Program Name: Emergency Connectivity Fund Federal Assistance Listing: 32.009 Finding Summary: The District purchased laptops with a per unit cost greater than the $400 limit. Under the ECF grant there was only $400 per grant ...

Finding 2022-002 Federal Agency Name: Federal Communications Commission Program Name: Emergency Connectivity Fund Federal Assistance Listing: 32.009 Finding Summary: The District purchased laptops with a per unit cost greater than the $400 limit. Under the ECF grant there was only $400 per grant that was allowed. The full amount of the devices were initially charged to the grant; however as a result of audit procedures, it was discovered that there was a maximum of $400 allowed and therefore the excess cost was charged to a different grant. Responsible Individuals: Jonathan Gillen, Chief Operations Officer Corrective Action Plan: Auditee has designed internal control processes that will also encompass a review of journal entries and the trial balance associated with federal revenues. Anticipated Completion Date: November 2022

View Audit 25849

Finding 31017 (2022-003)

Significant Deficiency 2022

National University

CA

Procurement, Suspension & Debarment Eligibility Significant Deficiency

FINDING 2022-003 ? Eligibility ? Significant Deficiency in Internal Control over Compliance Condition/Context: A sample of 40 students were selected from a list of all students enrolled and awarded federal student aid in fiscal year 2022. Cause: The exceptions occurred as a result of the lack of ef...

FINDING 2022-003 ? Eligibility ? Significant Deficiency in Internal Control over Compliance Condition/Context: A sample of 40 students were selected from a list of all students enrolled and awarded federal student aid in fiscal year 2022. Cause: The exceptions occurred as a result of the lack of effective internal controls in place to review completed financial aid packages against approved University budgets. Corrective Action Plan: In order to simplify the awarding process, In June of 2022 NU changed its COA policy to align with credits taken rather than expected months. This was done by our processing team under Kimberly Quinn. This has allowed for a simpler process and ensures a more accurate capture of all aspects to the cost of attendance. The Quality Assurance team, under Brandy Baker, has also included a review of COA as part of their regular file review process which will allow us to capture and correct any potential errors. The QA of COA updated its review in July of 2022 to match the changes made by the processing team.

View Audit 26192

Finding 31004 (2022-001)

Significant Deficiency 2022

Stiefel Theatre for the Performing Arts Foundation

KS

Significant Deficiency Internal Control / Segregation of Duties

Finding 2022-001 Significant Deficiency Recommendations We recommend the financial accountants include a step in the control process to recalculate hours reported on time sheets and document this review. View of Responsible Officials This grant provided funds to support the ongoing operations...

Finding 2022-001 Significant Deficiency Recommendations We recommend the financial accountants include a step in the control process to recalculate hours reported on time sheets and document this review. View of Responsible Officials This grant provided funds to support the ongoing operations of the Theatre during the midst of the COVID-19 Pandemic. Because of various state and federal restrictions relating to gatherings, the Theatre restructured office locations for various staff and processes as needed during the Pandemic. During this time It was difficult to maintain controls at the same level as pre-pandemic. While there was no compliance findings related to this matter, we continually review our internal control processes to strengthen them. The Theatre will review the internal control processes relating to payroll and include a step to recalculate hours reported on time sheets and add documentation. In addition, all timecards will be submitted to the Executive Director and approved before payment.

View Audit 26909

Finding 30993 (2022-008)

Significant Deficiency 2022

Northern New Mexico College

NM

Questioned Costs Matching / Level of Effort / Earmarking Special Tests & Provisions § 200.303

Auditors? Recommendation - We recommend the College strengthen controls over return of unearned aid the institution is responsible for to ensure timely return within 45 days and monitoring data entry process. Views of Responsible Officials and Planned Corrective Action - The College will review its ...

Auditors? Recommendation - We recommend the College strengthen controls over return of unearned aid the institution is responsible for to ensure timely return within 45 days and monitoring data entry process. Views of Responsible Officials and Planned Corrective Action - The College will review its current procedures and address any deficiency within Banner. The College will address in current procedure for the review and return of Title IV funds, to ensure compliance with the requirement. The College will address specific steps and timeframes for this process to include the proper documentation. Responsible Official ? Ivan Lopez, Provost and Kathy Levine, Director of Financial Aid Timeline and Estimated Completion Date - June 30, 2023

View Audit 30350 Questioned Costs: $1

Finding 30973 (2022-001)

Significant Deficiency 2022

California Lutheran University

CA

Special Tests & Provisions Student Financial Aid Subrecipient Monitoring

FINDING 2022-001 - Specials Tests and Provisions - Enrollment Reporting - Significant Deficiency in Internal Control over Compliance. Response: Cal Lutheran concurs with the exception of one student for whom a permanent address change was not reported within the required timeframe. After investigati...

FINDING 2022-001 - Specials Tests and Provisions - Enrollment Reporting - Significant Deficiency in Internal Control over Compliance. Response: Cal Lutheran concurs with the exception of one student for whom a permanent address change was not reported within the required timeframe. After investigation, it was determined that the selection criteria for data extraction required adjustment to ensure all students were included in the data extraction and reporting process. Corrective Action Plan: Maria Kohnke, Associate Vice President of Academic Services & Registrar, modified the selection criteria for the data extraction process in the Colleague system to ensure all permanent address changes are extracted and submitted for all students as required. The Associate Registrar is responsible for reviewing and modifying the selection criteria for the data extraction process at the beginning of each year and at each change in criteria. The criterion will be reviewed and approved by the Associate Vice President of Academic Services & Registrar when changes are made. Responsible person: Maria Kohnke. Date of expected correction: September 1, 2022.

View Audit 30198

Finding 30965 (2022-005)

Significant Deficiency 2022

Las Cumbres Observatory Global Telescope Network, Inc.

CA

Allowable Costs / Cost Principles Significant Deficiency Internal Control / Segregation of Duties

Finding 2022-005: Review and Reconciliation of Award Tracking Schedules Name of contact person: Ceci Fort, Finance Manager Corrective Action: Train accounting coordinator to review and reconcile grant workbooks to the general ledger monthly before charging federal awards to catch manual entry a...

Finding 2022-005: Review and Reconciliation of Award Tracking Schedules Name of contact person: Ceci Fort, Finance Manager Corrective Action: Train accounting coordinator to review and reconcile grant workbooks to the general ledger monthly before charging federal awards to catch manual entry and formula errors. Completion Date: Immediately, 2023 will be corrected

View Audit 34631

Corrective Action Plans

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