Corrective Action Plans

Finding 522008 (2024-004)

Material Weakness 2024

MI

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.214

Condition: The City could not provide evidence that it complied with 2 CFR 200.214, which states that nonfederal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, as well as 2 CFR part 180. Planned Corrective Action: The c...

Condition: The City could not provide evidence that it complied with 2 CFR 200.214, which states that nonfederal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, as well as 2 CFR part 180. Planned Corrective Action: The city will ensure that all future contracts awarded under this program are in compliance and will have contractors sign to verify that they are in compliance. Contact person responsible for corrective action: Lisa Griggs Anticipated Completion Date: June 30, 2025

View Audit 341278

Finding 522001 (2024-002)

Significant Deficiency 2024

Battle Creek Unlimited, Inc.

MI

Subrecipient Monitoring § 200.331

Finding: 2024-002 - Subrecipient Monitoring Auditor Description of Condition and Effect: We noted that the Organization did not compile any risk assessments or perform adequate subrecipient monitoring during the fiscal year. The lack of monitoring failed to provide reasonable assurance that the sub...

Finding: 2024-002 - Subrecipient Monitoring Auditor Description of Condition and Effect: We noted that the Organization did not compile any risk assessments or perform adequate subrecipient monitoring during the fiscal year. The lack of monitoring failed to provide reasonable assurance that the subrecipients complied with the provisions of the grant. Auditor Recommendation: We recommend that the Organization create a subrecipient policy to ensure that all subrecipient grant awards are monitored in compliance with the Uniform Guidance requirements. Corrective Action: Management will create and adopt a subrecipient monitoring policy that ensures compliance with the Uniform Guidance requirements by June 30, 2025. Responsible Person: Joe Sobieralski, President and CEO Anticipated Completion Date: June 30, 2025

View Audit 341240

Finding 521479 (2024-007)

Significant Deficiency 2024

Langston University

OK

Questioned Costs Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking § 200.303 § 200.344

Recommendation: We recommend the University review its current close out procedures and implement additional procedures to monitor the timeliness of federal account close outs. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Questioned Costs: $125,03...

Recommendation: We recommend the University review its current close out procedures and implement additional procedures to monitor the timeliness of federal account close outs. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Questioned Costs: $125,035.65 The costs in question were not billed to or collected from the awarding agency. Action taken in response to finding: This is a repeat finding that was first presented to the University in conjunction with the release of the 2023 audit report in May 2024. The 2023 audit was completed after substantially all of Fiscal Year 2024 had elapsed, so there was not adequate time for the University to fully implement corrective action. The University is strengthening the close-out process of federal awards to halt expenditures thus reducing redistributions and cost-transfers. Name(s) of the contact person(s) responsible for the corrective action: Mr. Robert Dixon, Director, Grants and Contracts Fiscal Administration at Oklahoma State University and Mr. Chris Kuwitzky, Vice President for Fiscal and Administrative Affairs. Planned completion date for corrective action plan: March 2025

View Audit 341200 Questioned Costs: $1

Finding 521249 (2024-001)

Significant Deficiency 2024

Langston University

OK

Subrecipient Monitoring Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303 § 200.305

Recommendation: We recommend that the University review and update current procedures to ensure subrecipient payments are paid timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Questioned Costs: N/A Action taken in response to finding: This is a...

Recommendation: We recommend that the University review and update current procedures to ensure subrecipient payments are paid timely. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Questioned Costs: N/A Action taken in response to finding: This is a repeat finding that was first presented to the University in conjunction with the release of the 2023 audit report in May 2024. The 2023 audit was completed after substantially all of Fiscal Year 2024 had elapsed, so there was not adequate time for the University to fully implement corrective action. The University is strengthening its accounts payable processes and sign-off approvals to help ensure reimbursements to subrecipients are paid timely. Principal investigators and designated administrative personnel within academic departments will be reminded of the need to initiate payments to subrecipients timely. Name(s) of the contact person(s) responsible for the corrective action: Mr. Robert Dixon, Director, Grants and Contracts Fiscal Administration at Oklahoma State University and Mr. Chris Kuwitzky, Vice President for Fiscal and Administrative Affairs. Planned completion date for corrective action plan: March 2025

View Audit 341200

Finding 521209 (2024-001)

Material Weakness 2024

New American Association of Massachusetts, Inc.

MA

Subrecipient Monitoring Matching / Level of Effort / Earmarking § 200.331 § 200.332

We acknowledge that the timing of these actions did not fully align with the requirements of Uniform Guidance, which specifies that subaward information must be communicated with the subrecipients in writing at the time the subaward is made. However, the Organization worked diligently to address the...

We acknowledge that the timing of these actions did not fully align with the requirements of Uniform Guidance, which specifies that subaward information must be communicated with the subrecipients in writing at the time the subaward is made. However, the Organization worked diligently to address the issue once identified. To prevent recurrence of this issue, the Organization has taken corrective actions. As soon as we were made aware of the status of the recipients of the awards as subrecipients, we informed them of their status orally and outlined the general terms and compliance requirements associated with their subaward. We formalized this notification process by providing written agreements detailing the subaward terms, as required, in June 2024. These agreements were subsequently signed and returned by the subrecipients in July 2024. To avoid similar compliance challenges, the Organization worked with the Commonwealth of Massachusetts to revise its agreement. Effective September 30, 2024, the Organization no longer serves as a pass-through entity and does not pass federal funds through to subrecipients. For the remaining period during which the Organization acted as a pass-through entity, we implemented procedures to ensure timely and accurate communication of subaward information in writing, aligning with Uniform Guidance requirements. Management believes these actions fully address the cause of the finding and ensure compliance with federal regulations in the future.

View Audit 341176

Finding 521186 (2024-002)

Significant Deficiency 2024

Western Piedmont Regional Transit Authority

NC

Reporting Subrecipient Monitoring Significant Deficiency

Name of Contact Person: Scott Cook Corrective Action/Management’s Response: WPRTA will timely submit the Transportation Asset Management (TAM) inventory report. Proposed Completion Date: Immediately and ongoing

View Audit 341148

Finding 521152 (2024-001)

None 2024

Big Brothers Big Sisters of Central Ohio, Inc. & Subsidiaries

OH

Subrecipient Monitoring Cash Management Reporting

Finding Number: 2024-001 Condition: The Organization failed to submit monthly reimbursement requests to the Franklin County Department of Job and Family Services by their due dates during the year ended June 30, 2024. Planned Corrective Action: The Organization, effective the anticipated completio...

Finding Number: 2024-001 Condition: The Organization failed to submit monthly reimbursement requests to the Franklin County Department of Job and Family Services by their due dates during the year ended June 30, 2024. Planned Corrective Action: The Organization, effective the anticipated completion date cited in prior year CAP plan, 4/30/2024, has implemented system and process improvements to ensure timely submission. The Organization has and will continue to maintain appropriate staffing level and sufficient training to ensure timely submission. This plan does not account for circumstances beyond BBBSCO’s control such as timing of funding approval from Franklin County. Non-controllable delays will be documented by BBBSCO and reports submitted in a reasonable amount of time following approval. Contact Person Responsible for Corrective Action: Elizabeth Martinez, President and CEO Anticipated Completion Date: January 31, 2025

View Audit 341106

Finding 521129 (2024-004)

Material Weakness 2024

Sheridan Community Schools

IN

Procurement, Suspension & Debarment Subrecipient Monitoring School Nutrition Programs § 200.303

FINDING 2024-004 Finding Subject: Child Nutrition Cluster (School Lunch) – Suspension and Debarment Summary of Finding: One of the vendors tested did not have documentation showing that the school corporation had verified they were not suspended or debarred before entering into a covered transaction...

FINDING 2024-004 Finding Subject: Child Nutrition Cluster (School Lunch) – Suspension and Debarment Summary of Finding: One of the vendors tested did not have documentation showing that the school corporation had verified they were not suspended or debarred before entering into a covered transaction. Contact Person Responsible for Corrective Action: Robin Popejoy Contact Phone Number and Email Address: 317.758.4172 – rpopejoy@sheridan.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Café Direction will check SAM.gov to ensure the vendor is not suspended or debarred before proceeding with any transactions. Anticipated Completion Date: January 2025

View Audit 341082

Finding 521104 (2024-003)

Material Weakness 2024

City of Auburn

CA

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

Planned Corrective Action: The City is aware it needs a contract administration process to capture the status of vendors prior to entering into a contract. The drafting of a procedure will include this component. Anticipated Completion Date: December 31, 2025 Responsible Contact Person: Gretchen Joh...

Planned Corrective Action: The City is aware it needs a contract administration process to capture the status of vendors prior to entering into a contract. The drafting of a procedure will include this component. Anticipated Completion Date: December 31, 2025 Responsible Contact Person: Gretchen Johnson, Finance Director

View Audit 341029

Finding 521072 (2024-002)

Material Weakness 2024

Brown County Schools

IN

Special Tests & Provisions Subrecipient Monitoring Material Weakness § 200.303

Information on the federal program: Subject: Education Stabilization Fund – Special Tests and Provisions - Wage Rate Requirements Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listing Number: 84.425U Federal Award Numbers and Years (or Ot...

Information on the federal program: Subject: Education Stabilization Fund – Special Tests and Provisions - Wage Rate Requirements Federal Agency: Department of Education Federal Program: COVID-19 - Education Stabilization Fund Assistance Listing Number: 84.425U Federal Award Numbers and Years (or Other Identifying Numbers): S425U200013 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Special Tests and Provisions - Wage Rate Requirements Audit Findings: Material Weakness, Material Noncompliance, Qualified Opinion Context: For the one project sampled for Davis-Bacon requirements, the School Corporation did not obtain the weekly payroll reports certifications from the company that performed renovations on the School Corporation’s roof. Therefore, no review was performed to ensure that pay rates complied with the federal wage rate requirements. Additionally, the School Corporation did not have contracts with the companies that included the clauses for the federal wage rate requirements. The amount disbursed and reported on the SEFA during the audit period is $467,094. Contact Person Responsible for Corrective Action: Dawn Ray Contact Phone Number: 812.988.6601 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Brown County Schools will require notification of certified payroll reviews be sent to us with the monthly work updates after the contractor has reviewed them for accuracy and compliance with prevailing wage requirements. Anticipated Completion Date: Immediately upon the completion of the audit.

View Audit 340994

Finding 521071 (2024-003)

Material Weakness 2024

Brown County Schools

IN

Internal Control / Segregation of Duties Material Weakness Reporting § 200.302 § 200.303 § 200.328

Information on the federal program: Subject: Education Stabilization Fund (ESSER) – Internal Controls Federal Agency: Department of Education Federal Program: COVID-19 – Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Years (or Other Identifying Num...

Information on the federal program: Subject: Education Stabilization Fund (ESSER) – Internal Controls Federal Agency: Department of Education Federal Program: COVID-19 – Education Stabilization Fund Assistance Listing Number: 84.425D, 84.425U Federal Award Numbers and Years (or Other Identifying Numbers): S425D210013, S425U200013 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Reporting Audit Finding: Material Weakness Context: The School Corporation was required to submit two Annual Data Reports to the Indiana Department of Education (IDOE) during the audit period to meet federal reporting requirements for ESSER grant awards. We noted that the ESSER II and ESSER III amounts reported on the Year 3 report ($397,392 and $294,138, respectively) did not agree to the underlying expenditure records ($498,259 and $1,509,413, respectively, for the period of July 1, 2021 through June 30, 2022). Additionally, we noted that the ESSER II and ESSER III amounts reported on the Year 4 report ($400,501 and $294,129, respectively) did not agree to the underlying expenditure records ($412,324 and $287,065, respectively, for the period of July 1, 2022 through June 30, 2023). We noted that the 195 number of Full-time equivalent (FTE) positions on September 30, 2023 on the second report did not agree to the underlying records supporting number of 274 Full-time equivalent (FTE) positions on September 30, 2023. Contact Person Responsible for Corrective Action: Dawn Ray Contact Phone Number: 812.988.6601 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: We will have someone other than the preparer of the report perform a documented review prior to submission to validate the accuracy and completeness of the data submitted. Anticipated Completion Date: Immediately upon the completion of the audit.

View Audit 340994

Finding 521069 (2024-001)

Material Weakness 2024

Northwestern Michigan College

MI

Student Financial Aid Subrecipient Monitoring Material Weakness

Condition: The College did not send out the post-disbursement email notifications to a group of students. Planned Corrective Action: While the College has documented procedures in place for the disbursement of federal funds and required post-disbursement notifications to students, the College did no...

Condition: The College did not send out the post-disbursement email notifications to a group of students. Planned Corrective Action: While the College has documented procedures in place for the disbursement of federal funds and required post-disbursement notifications to students, the College did not properly send a post-disbursement notification to 591 out of 659 students who received federal financial aid loans in Fall 2023. The College will adjust its internal processes to ensure all students who receive federal loans are sent post-disbursement email notifications by performing a weekly review of the report that generates a names list of students that are receiving federal loans. If names exist on the report, a verification in the student record will be conducted to be sure the email was sent. After further investigation, all 608 students that received federal loans in spring semester 2024 and all 56 students in summer of 2024 received a post-disbursement notification. Contact person responsible for corrective action: Lisa Eiden, Director of Student Financial Services Anticipated Completion Date: Immediately

View Audit 340980

Finding 521058 (2024-004)

Significant Deficiency 2024

Wagner Community Memorial Hospital

SD

Special Tests & Provisions Subrecipient Monitoring Significant Deficiency § 200.303

Federal Agency Name: Department of Agriculture Program Name: Community Facilities Loans and Grants Federal Financial Assistance Listing #10.766 Compliance Requirement: Special Test and Provisions Finding Summary: The Hospital’s reserve account is fully funded per the requirements in the loan resol...

Federal Agency Name: Department of Agriculture Program Name: Community Facilities Loans and Grants Federal Financial Assistance Listing #10.766 Compliance Requirement: Special Test and Provisions Finding Summary: The Hospital’s reserve account is fully funded per the requirements in the loan resolution security agreement. However, there is no documented secondary monitoring of the reserve balance as compared to the required minimum reserve balance. Responsible Individuals: Joshua Christensen, CFO Corrective Action Plan: The reserve account balance is monitored at each of the bi-monthly board of directors’ meetings. This review will include the current reserve account balance, the required minimum reserve account balance and a calculation to show the current balance is within compliance. The review and approval by the board of directors will be documented within the board minutes. Anticipated Completion Date: December 2024

View Audit 340965

Finding 521056 (2024-005)

Material Weakness 2024

Weld County School District Re-1

CO

Subrecipient Monitoring Cash Management Material Weakness

Weld County School District RE-1 is a small rural district with limited personnel resources across the district including the Finance Department. The district worked to set up a formalized review process for grant budgets and expenditures charged to grants. The district was able to implement the pro...

Weld County School District RE-1 is a small rural district with limited personnel resources across the district including the Finance Department. The district worked to set up a formalized review process for grant budgets and expenditures charged to grants. The district was able to implement the process at the end of FY24. The district will continue to use and review this process and refine it through FY25 and FY26.

View Audit 340957

Finding 521043 (2024-003)

Significant Deficiency 2024

North Fork Area Transit

NE

Equipment & Real Property Management Subrecipient Monitoring § 200.313

Views of Responsible Officials The Organization agrees with this finding. Corrective Action Plan The Organization will update its property records to include all required information. Additionally, the Organization plans to document its performance of a physical inventory count and related reconcili...

Views of Responsible Officials The Organization agrees with this finding. Corrective Action Plan The Organization will update its property records to include all required information. Additionally, the Organization plans to document its performance of a physical inventory count and related reconciliation on an annual basis. Name(s) of Responsible Individuals Lacy Kimes, Board President Anticipated Completion Date June 30, 2025

View Audit 340916

Finding 520945 (2024-001)

None 2024

Cedar Rapids Community School District

IA

Subrecipient Monitoring Special Tests & Provisions

CORRECTIVE ACTION PLAN YEAR ENDED JUNE 30, 2024 Identifying Number: 2024-001 Finding: In accordance with the Elementary and Secondary Education Act of 1965, the District is required to report its graduation rate data for each cohort of students that is enrolled at the District. In order to remove a...

CORRECTIVE ACTION PLAN YEAR ENDED JUNE 30, 2024 Identifying Number: 2024-001 Finding: In accordance with the Elementary and Secondary Education Act of 1965, the District is required to report its graduation rate data for each cohort of students that is enrolled at the District. In order to remove a student from the cohort, the District must confirm, in writing, that the student transferred out, emigrated to another country, transferred to a prison or juvenile facility, or is deceased. For students that transferred out, the District must have official written documentation that the student enrolled in another school or in an educational program that culminates in the award of a regular high school diploma. The District did not maintain official written documentation to support the removal of students from the cohort during fiscal year 2024. Out of a sample of 25 students tested, proper written documentation was not maintained for 23 students at the time of initial review. Corrective Actions Taken and Planned: 1. The District has already obtained and provided the appropriate documentation for the majority of the students in question. 2. Moving forward, the District will implement procedures to ensure compliance with the Elementary and Secondary Education Act of 1965 requirements for cohort tracking, which allows student removal only when: ○ There is written documentation of transfer to another school/educational program ○ There is documentation of emigration to another country ○ There is documentation of transfer to a prison or juvenile facility ○ There is documentation that the student is deceased Contact Person Responsible: Name: Orsolya Cypert Title: Chief Data Officer Department: Office of Data Analytics, Digital Innovation, and Strategic Communications

View Audit 340829

Finding 520883 (2024-002)

Significant Deficiency 2024

Shawmet Homes, Inc.

MO

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

Recommendation: The Organization should review of its operating and maintenance policies and procedures, as well as review by the individuals monitoring the operating and maintenance of the property, to ensure that the necessary documentation showing that resident problems or concerns were responded...

Recommendation: The Organization should review of its operating and maintenance policies and procedures, as well as review by the individuals monitoring the operating and maintenance of the property, to ensure that the necessary documentation showing that resident problems or concerns were responded to in a timely manner is being completed. View of Responsible Officials and Corrective Actions: Shawmet Homes, Inc. has, and will continue to complete problems or concerns raised by tenants, and only failed to document timely completion within in our management system. The Organization has reviewed its staffing and implemented training, and periodic reviews of the work order system, to ensure that the documentation is being completed timely.

View Audit 340740

Finding 520849 (2024-001)

None 2024

Concordia College

MN

Subrecipient Monitoring

Corrective Action Plan August 23, 2024 Finding 2024-001: Reporting Criteria: The Gramm-Leach-Bliley Act (Pub. L. No. 106-102) (GLBA) requires institutions to explain their information-sharing practices to their customers and to safeguard sensitive data (16 CFR 314). In 2021, the Federal Trade Commi...

Corrective Action Plan August 23, 2024 Finding 2024-001: Reporting Criteria: The Gramm-Leach-Bliley Act (Pub. L. No. 106-102) (GLBA) requires institutions to explain their information-sharing practices to their customers and to safeguard sensitive data (16 CFR 314). In 2021, the Federal Trade Commission issued final regulations that altered the current required elements of an information security program and added several new elements. Under the regulations, institutions are required to develop, implement, and maintain a comprehensive information security program that is written in one or more readily accessible parts. The written information security program for institutions must address all elements that apply. The elements for the information security programs set forth in this section 16 CFR 314.4 are high-level principles that set forth basic issues the programs must address, and do not prescribe how they will be addressed. Condition: The College does not have a written information security program that addresses all elements that apply. Cause: The College’s procedures and processes in place specific to GLBA did not have written documentation of all required elements. Effect: Failure to comply with the requirements of GLBA standards puts the College at risk of compromising consumer, nonpublic personal information. Corrective Action Planned: The College does have a written information security program but does not currently have it in the format recommended by the auditors. The College will update the documentation of all required elements, specific to GLBA, following the auditors template. Anticipated Completion Date: October 16th, 2024 Name(s) of Contact Person(s) Responsible for Corrective Action: Erik Ramstad Executive Director Information Technology

View Audit 340680

Finding 520793 (2024-003)

Significant Deficiency 2024

Central District Health Department

NE

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring

Views of Responsible Officials The Health Department agrees with this finding. Corrective Action Plan The Health Department will establish a system of internal controls to identify grants which do not allow the reimbursement of indirect costs. After the auditor brought forth this instance of noncomp...

Views of Responsible Officials The Health Department agrees with this finding. Corrective Action Plan The Health Department will establish a system of internal controls to identify grants which do not allow the reimbursement of indirect costs. After the auditor brought forth this instance of noncompliance, the Health Department immediately contacted the Nebraska Department of Health and Human Services to establish a plan for corrective action. Name of Responsible Individual Teresa Anderson, Health Director Anticipated Completion Date January 31, 2025

View Audit 340597 Questioned Costs: $1

Finding 520780 (2024-001)

Significant Deficiency 2024

Town of Hooksett

NH

Procurement, Suspension & Debarment Subrecipient Monitoring Allowable Costs / Cost Principles

Audit Finding Reference: 2024-001 Management’s Response and Planned Corrective Action: The Town acknowledges the need to formalize written policies and procedures to comply with Uniform Guidance requirements. We are in the process of developing and implementing comprehensive policies addressing all...

Audit Finding Reference: 2024-001 Management’s Response and Planned Corrective Action: The Town acknowledges the need to formalize written policies and procedures to comply with Uniform Guidance requirements. We are in the process of developing and implementing comprehensive policies addressing allowable costs, employee travel, cash management, equipment and inventory, procurement, and subrecipient monitoring. Name of Contact Person and Completion Date: Name 1: Christine Tewksbury Name 2: Anticipated Completion Date – March 2025

View Audit 340575

Finding 520751 (2024-002)

Significant Deficiency 2024

Loogootee Community School Corporation

IN

Internal Control / Segregation of Duties Subrecipient Monitoring Reporting § 200.302 § 200.303 § 200.328

The Corporation will have a secondary review process in place to assure the information and timeline are correct before submission.

View Audit 340471

Finding 520743 (2024-001)

Material Weakness 2024

Loogootee Community School Corporation

IN

Special Tests & Provisions Subrecipient Monitoring Material Weakness § 200.303

1. Anytime funds from Impace Aid are used for construction projects the Davis - Bacon wage rate requirements will be monitored. 2. An effective internal control system will be put in place.

View Audit 340471

Finding 520742 (2024-001)

Significant Deficiency 2024

Town of Woodbury, Connecticut

CT

Procurement, Suspension & Debarment Subrecipient Monitoring

FINDING 2024-001 – SIGNIFICANT DEFICIENCY- PROCUREMENT AND SUSPENSION AND DEBARMENT- INTERNAL CONTROL OVER VERIFICATION AGAINST THE SYSTEM FOR AWARD MANAGEMENT (“SAM”) Description of Finding: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awar...

FINDING 2024-001 – SIGNIFICANT DEFICIENCY- PROCUREMENT AND SUSPENSION AND DEBARMENT- INTERNAL CONTROL OVER VERIFICATION AGAINST THE SYSTEM FOR AWARD MANAGEMENT (“SAM”) Description of Finding: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, (Uniform Guidance) requires compliance with provisions of procurement, suspension, and debarment. Non-federal entities are required to ensure that they do not award contracts or make subawards to any parties that are suspended or debarred from receiving federal funds. This verification may be accomplished by checking the System for Award Management (SAM). The Town does not have a process in place to check that vendors are not suspended or debarred by checking the System for Award Management (SAM). Statement of Concurrence or Nonconcurrence: The Town agrees with the audit finding. Corrective Action: The Town will establish policies and procedures to ensure vendors are not suspended or debarred by checking the System for Award Management (SAM) and maintain documentation showing that verification. Name of Contact Person: Teresa Augustine, Interim Fiscal Officer, (203) 263-2449. Projected Completion Date: December 31, 2024.

View Audit 340470

Finding 520694 (2024-003)

None 2024

Industrial Development Authority of the City of Danville, Virginia

VA

Subrecipient Monitoring Reporting

CORRECTIVE ACTION PLAN January 27, 2025 The Industrial Development Authority of Danville, Virginia, respectfully submits the following corrective action plan for the year ended June 30, 2024. Name and address of independent public accounting firm: Brown, Edwards & Company, L.L.P. 828 Main Street; Su...

CORRECTIVE ACTION PLAN January 27, 2025 The Industrial Development Authority of Danville, Virginia, respectfully submits the following corrective action plan for the year ended June 30, 2024. Name and address of independent public accounting firm: Brown, Edwards & Company, L.L.P. 828 Main Street; Suite 1401 Lynchburg, Virginia 24504 Audit period: June 30, 2024 The findings from the June 30, 2024, Schedule of Findings and Questioned Costs (the "Schedule") are discussed below. The findings are numbered consistently with the number assigned in the Schedule. FINDINGS - FINANCIAL STATEMENT AUDIT 2014-001: Segregation of Duties - Material Weakness Condition: An important aspect of any internal control system is the segregation of duties. Not all duties at the Authority have been adequately segregated. In an ideal system, no individual would perform more than one duty in connection with any transaction or series of transactions. With limited staff, sufficiently separating duties can be difficult or even impossible. As with all areas of internal control, management and those charged with governance should make careful decisions about the cost versus benefit of any control. Criteria: Segregation of duties should be maintained for financial transactions or series of transactions. Cause: The Authority has limited staff and is unable to adequately separate duties. Effect: The lack of adequate separation of duties results in creating the opportunity of the Authority to inappropriately process and record transactions. Recommendation: Management should continue to take steps to eliminate performance of conflicting duties where possible or to implement effective compensating controls. Views of Responsible Officials and Planned Corrective Action: The Authority’s management will continue to evaluate possible actions and take steps where feasible. 2024-002: Commonwealth of Virginia Disclosure Statements Condition: One Industrial Development Authority board member filed a statement of economic interest as requires by the Code of Virginia after the February 1, 2024 deadline. Recommendation: Steps should be taken to ensure that these statements are filed and done so in a timely manner. Views of Responsible Officials and Planned Corrective Action: The Authority concurs with the recommendation and has discussed the importance of a timely filing with the related board member. 2024-003: Coronavirus State and Local Fiscal Recovery Fund – ALN #21.027, Reporting Condition: The Authority did not file the required reports by the due date. Criteria: Under the requirements in the contract with the pass-through entity, the Authority is required to provide quarterly progress reports. Cause: The Authority does not have a process in place to ensure reports are filed timely. Effect: The lack of timely reports results in the Authority being out of compliance with reporting requirements of the pass-through entity. Recommendation: Steps should be taken to ensure that these reports are filed and in a timely manner. Views of Responsible Officials and Planned Corrective Action: The Authority concurs with the recommendation and has discussed the matter with those responsible for filing the quarterly progress reports. All progress reports were filed, just not by the prescribed due date. This will likely be a finding in the next fiscal year audit as corrective measures were not implemented early enough to ensure timely filings of the first reports for the new year. If the Federal Audit Clearinghouse has questions regarding this plan, please call Michael Adkins, Chief Financial Officer at 434.799.5185. Sincerely yours, Michael L. Adkins Chief Financial Officer

View Audit 340410

Finding 520654 (2024-001)

Significant Deficiency 2024

Town of Sprague

CT

Procurement, Suspension & Debarment Subrecipient Monitoring

FINDING 2024-001 – SIGNIFICANT DEFICIENCY- PROCUREMENT AND SUSPENSION AND DEBARMENT- INTERNAL CONTROL OVER VERIFICATION AGAINST THE SYSTEM FOR AWARD MANAGEMENT (“SAM”) Description of Finding: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awa...

FINDING 2024-001 – SIGNIFICANT DEFICIENCY- PROCUREMENT AND SUSPENSION AND DEBARMENT- INTERNAL CONTROL OVER VERIFICATION AGAINST THE SYSTEM FOR AWARD MANAGEMENT (“SAM”) Description of Finding: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, (Uniform Guidance) requires compliance with provisions of procurement, suspension, and debarment. Non-federal entities are required to ensure that they do not award contracts or make subawards to any parties that are suspended or debarred from receiving federal funds. This verification may be accomplished by checking the System for Award Management (SAM). The Town does not have a process in place to check that vendors are not suspended or debarred by checking the System for Award Management (SAM). Statement of Concurrence or Nonconcurrence: The Town agrees with the audit finding. Corrective Action: The Town will establish policies and procedures to ensure vendors are not suspended or debarred by checking the System for Award Management (SAM) and maintain documentation showing that verification. Name of Contact Person: Cheryl Blanchard, First Selectman, (860) 822-3000. Projected Completion Date: December 31, 2024.

View Audit 340341

Corrective Action Plans

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