Corrective Action Plans

Finding 556718 (2024-032)

Material Weakness 2024

State of Georgia/state Accounting Office-Ein Noted

GA

Questioned Costs Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303 § 200.53

GDOL Response: GDOL acknowledges this is a repeated finding from previous years and is partially resolved, therefore the Department concurs with this finding and offers the following response. GDOL’s current UI Information Technology (IT) system was developed in 1982 using mainframe “legacy’ te...

GDOL Response: GDOL acknowledges this is a repeated finding from previous years and is partially resolved, therefore the Department concurs with this finding and offers the following response. GDOL’s current UI Information Technology (IT) system was developed in 1982 using mainframe “legacy’ technology. Due to the system’s age and other limitations, many automated processes and corrections cannot be fixed and/or easily implemented. As such, many processes must be handled manually by staff. This includes reviewing all the Pandemic Unemployment Assistance (PUA) proof documents submitted to determine the validity and eligibility for each PUA claim. Based on the volume of workload and staff limitations, GDOL has been unable to quickly complete this manual review to correct the finding. It is anticipated this manual review will continue throughout the FY25 audit review period. The modernized UI system will include controls over eligibility determination for current and future unemployment programs. Employer-Filed Claims (EFC) are submitted by employers on behalf of the claimant. The employer is responsible for attesting to the employment status and weekly earnings of the claimant for the EFC submitted. An affidavit certifying that the employer has obtained earnings from other employment as well as other requirements must be completed before EFCs can be entered or uploaded. Claimants for which EFCs submitted are considered to be still attached to the employer and are exempt from the requirement to register for employment services per Georgia Employment Security Law Rule 300-2-4-.02. Such individuals are not required to be nor certify on a weekly basis to be able, available and actively seeking work. We recognize the state auditor's recommendations to add the self-certification. However, the current unemployment system is aged and distressed. GDOL’s limited technology resources will hinder our ability to update our current system to satisfy the state audit’s recommendation. Therefore, we acknowledge that this finding will persist until a system-wide resolution is implemented in the new modernized UI system. GDOL will include a self-certification process for employer-filed claims in the new solution. GDOL has procured a vendor to build and implement a modernized UI system. We are also pursuing data analytics tools to expedite the identification and detection of fraudulent activities. These tools will also be incorporated into the modernized solution. Summary: GDOL greatly appreciates the feedback and recommendations and will ensure they are incorporated into the new UI modernized system which is planned to be implemented in Spring 2026.

View Audit 354902 Questioned Costs: $1

Finding 556717 (2024-031)

Material Weakness 2024

State of Georgia/state Accounting Office-Ein Noted

GA

Reporting Subrecipient Monitoring Allowable Costs / Cost Principles § 200.303

Federal Financial Report (FFR) processes are updated as follows: • Federal Financial Report responsibilities are distributed on a per grant basis to the members of the Criminal Justice Coordinating Council (CJCC) Budget Team. • Because the US DOJ Just Grants system does not allow for review or secon...

Federal Financial Report (FFR) processes are updated as follows: • Federal Financial Report responsibilities are distributed on a per grant basis to the members of the Criminal Justice Coordinating Council (CJCC) Budget Team. • Because the US DOJ Just Grants system does not allow for review or secondary viewers in the financial reporting system, the FFRs are to be saved digitally by the completing analyst/director. • FFRs will be reviewed with written certification of review by a budget team member that was not responsible for the primary submission of the report for each grant. • Any corrections will be made within the period of correction for the report to prevent a misstated report from becoming permanent record. Performance Measures Tool (PMT) processes are updated as follows: • Implemented a PMT data review and approval process that leverages Microsoft Planner to send messages to those involved and track the completion of review and approval by the manager. Prepared Federal Funding Accountability and Transparency Act (FFATA) reports processes are updated as follows: • FFATA Subrecipient Reporting is reviewed and approved by the Director of Grant Operations and submitted by the Grant Operations/Compliance Unit Staff to FSRS based upon the established reporting calendar.

View Audit 354902

Finding 556248 (2024-014)

Material Weakness 2024

State of Georgia/state Accounting Office-Ein Noted

GA

Subrecipient Monitoring Allowable Costs / Cost Principles School Nutrition Programs § 200.303

We have prepared procedures for Federal Funding Accountability and Transparency Act (FFATA) reporting specifically for USDA. We shifted a current GaDOE accounting manager's job duties to include assisting the Assistant Director of Accounting with overall FFATA reporting duties. The addition of an ex...

We have prepared procedures for Federal Funding Accountability and Transparency Act (FFATA) reporting specifically for USDA. We shifted a current GaDOE accounting manager's job duties to include assisting the Assistant Director of Accounting with overall FFATA reporting duties. The addition of an experienced staff member to assist with FFATA data gathering, reconciling, and reporting will allow for the Assistant Director of Accounting to focus on completing the more complex FFATA Reporting for USDA in a timely manner.

View Audit 354902

Finding 556169 (2024-001)

Significant Deficiency 2024

Manistee County

MI

Allowable Costs / Cost Principles § 200.303 § 200.430

March 21, 2025 CORRECTIVE ACTION PLAN Pursuant to federal regulations under Uniform Administrative Requirements (2 CFR § 200.511), the following finding was noted in Manistee County’s Single Audit report for the year ended September 30, 2025, along with the corresponding corrective actions to be i...

March 21, 2025 CORRECTIVE ACTION PLAN Pursuant to federal regulations under Uniform Administrative Requirements (2 CFR § 200.511), the following finding was noted in Manistee County’s Single Audit report for the year ended September 30, 2025, along with the corresponding corrective actions to be implemented. Finding: 2024-001 – Child Support Services - Unallowable Costs Auditor Description of Condition and Effect: During the audit of Manistee County’s Child Support Services federal grant expenditures, it was determined that the County lacked effectively operating controls to ensure that salary and wage expenses charged to the Child Support Services program were allowable and properly allocated. As a result, the County received an overpayment of federal funds of $5,528.41 during FY 2024. Auditor Recommendation: It is recommended that the County take actions to strengthen internal controls over payroll expenditures related to federal grants to ensure compliance with federal cost principles and proper expense allocation. Corrective Action: We agree with the finding and will strengthen internal controls over payroll expenditures related to federal grants. We will implement written policies and procedures, provide staff training on federal cost principles, and establish a review process to ensure salary and wage expenses are properly documented and allocated. Additionally, we will work with the grantor agency to resolve the $5,528.41 overpayment. Responsible Person: Susan Zielinski, Finance Director Anticipated Completion Date: September 30, 2025

View Audit 354849

Finding 555600 (2024-002)

Significant Deficiency 2024

Wings Academy I

OH

Questioned Costs Allowable Costs / Cost Principles § 200.303

Finding Number: 2024-002 Planned Corrective Action: The school acknowledges the lack of sufficient internal controls in place to ensure that only allowable costs are charged to federal grants. These funds as identified under audit, will be repaid to the appropriate agency, accordingly. A corrective ...

Finding Number: 2024-002 Planned Corrective Action: The school acknowledges the lack of sufficient internal controls in place to ensure that only allowable costs are charged to federal grants. These funds as identified under audit, will be repaid to the appropriate agency, accordingly. A corrective action will be implemented, to include a review the federal award allowable uses and implementation of a process to ensure that costs are allowable prior to payment. Anticipated Completion Date: June 30, 2025 Responsible Contact Person: Stephanie Ataya, Treasurer

View Audit 354101 Questioned Costs: $1

Finding 555518 (2024-002)

Material Weakness 2024

City of Headland

AL

Procurement, Suspension & Debarment § 200.303

The City is in agreement with the finding and noted and will consider formally documenting policies and procedures. Heather Shippey, City Clerk will be responsible for the corrective action and anticipated completion of corrective action is September 30, 2025.

View Audit 354021

Finding 555464 (2024-007)

Material Weakness 2024

Grant County

NM

Equipment & Real Property Management § 200.303 § 200.313

Views of Responsible Officials and Planned Corrective Action The County will enhance the control activities and procedures to ensure physical inventories are taken at least every two years and will track and maintain equipment purchased with federal funds. Finding resolution timeline: There is cu...

Views of Responsible Officials and Planned Corrective Action The County will enhance the control activities and procedures to ensure physical inventories are taken at least every two years and will track and maintain equipment purchased with federal funds. Finding resolution timeline: There is currently a documented process and a physical inventory was completed in February 2025. A spreadsheet has been developed for assistance of tracking federal assets. Designation of employee position responsible for meeting this deadline: Andrea Montoya, Deputy County Manager

View Audit 354003

Finding 555420 (2024-002)

Material Weakness 2024

Grant County

NM

Reporting § 200.303 § 200.502 § 200.510

Views of Responsible Officials and Planned Corrective Action The County has established a document and an internal control structure designed for tracking in the future. Finding resolution timeline: This has been resolved for FY 25 as of 03/20/2025. Designation of employee position responsible fo...

Views of Responsible Officials and Planned Corrective Action The County has established a document and an internal control structure designed for tracking in the future. Finding resolution timeline: This has been resolved for FY 25 as of 03/20/2025. Designation of employee position responsible for meeting this deadline: Andrea Montoya, Deputy County Manager

View Audit 354003

Finding 555344 (2024-003)

Material Weakness 2024

California State University

CA

Questioned Costs Allowable Costs / Cost Principles § 200.303 § 200.430

The University concurs with the recommendations. The University will review and enhance its procedures and internal controls to monitor or ensure the completeness and accuracy of all federal grants, to ensure they are separately recorded within the general ledger and all expenditures and activities ...

The University concurs with the recommendations. The University will review and enhance its procedures and internal controls to monitor or ensure the completeness and accuracy of all federal grants, to ensure they are separately recorded within the general ledger and all expenditures and activities are processed in accordance with applicable federal guidelines. The University will implement effort reporting procedures for the SNAP Cluster program that include accounting for all employee activities for the program and implement appropriate controls to ensure costs charges to the SNAP program are based on actual costs incurred and are properly determined and calculated based upon the Uniform Guidance allowable costs criteria.

View Audit 353990 Questioned Costs: $1

Finding 555343 (2024-002)

Material Weakness 2024

California State University

CA

Reporting § 200.303 § 200.502 § 200.510

The University concurs with the recommendation. The University will review and enhance its procedures and internal controls to ensure the SEFA is complete and accurate

View Audit 353990

Finding 555169 (2024-001)

Significant Deficiency 2024

Central Indiana Corporate Partnership, Inc.

IN

Procurement, Suspension & Debarment § 200.303

FEDERAL AWARD FINDINGS AND QUESTIONED COSTS 2024-001 COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Significant Deficiency in Internal Control Over Compliance – Appropriate Internal Control Structure Related to Compliance Requirements I. Procurement ...

FEDERAL AWARD FINDINGS AND QUESTIONED COSTS 2024-001 COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – Assistance Listing No. 21.027 Significant Deficiency in Internal Control Over Compliance – Appropriate Internal Control Structure Related to Compliance Requirements I. Procurement and Suspension and Debarment Recommendation: The auditor recommends the procurement checklist be completed in line with our written policies. Action Taken: We agree with the recommendation and it was implemented effective 2/14/2025.

View Audit 353772

Finding 555144 (2024-004)

Material Weakness 2024

Grape Community Hospital, Inc. D/b/a George C. Grape Community Hospital

IA

Special Tests & Provisions Material Weakness Matching / Level of Effort / Earmarking § 200.303

Federal Agency Name: Department of Agriculture Program Name: Communities Facilities Loans and Grants Cluster Federal Financial Assistance Listing: #10.766 Compliance Requirement: Special Tests and Provisions Criteria: The Hospital must establish and maintain effective internal control over federal a...

Federal Agency Name: Department of Agriculture Program Name: Communities Facilities Loans and Grants Cluster Federal Financial Assistance Listing: #10.766 Compliance Requirement: Special Tests and Provisions Criteria: The Hospital must establish and maintain effective internal control over federal awards that provides reasonable assurance that the Hospital is managing the federal awards in compliance with federal statutes, regulations and terms and conditions of the federal award. 2 CFR 200.327 and 2 CFR 200.328 require the auditee to collect financial information and monitor its activities under federal awards to assure compliance with applicable federal requirements and performance expectations are being achieved and report these items in accordance with program requirements. Terms and conditions of the federal award require the Hospital to maintain a debt service reserve fund as bookkeeping accounts or as separate bank accounts. Condition: Funds that represented the debt service reserve fund were commingled with an existing operating cash account. Planned Corrective Action: Management agrees with the funding and will deposit the required debt service reserve funds in either a separate bank account or general ledger account. Planned Completion Date: September 30, 2025 Person Responsible: Doug Brandt, Chief Financial Officer

View Audit 353739

Finding 554986 (2024-003)

Significant Deficiency 2024

Baptist Health Deaconess Madisonville, Inc.

KY

Allowable Costs / Cost Principles Cash Management Significant Deficiency § 200.303

Finding 2024-003 Federal Agency Name: Department of the Health and Human Services Program Name: Rural Health Care Services Outreach, Rural Health Network Development and Small Health Care Provider Quality Improvement Federal Financial Assistance Listing #93.912 Compliance Requirement: Activities All...

Finding 2024-003 Federal Agency Name: Department of the Health and Human Services Program Name: Rural Health Care Services Outreach, Rural Health Network Development and Small Health Care Provider Quality Improvement Federal Financial Assistance Listing #93.912 Compliance Requirement: Activities Allowed or Unallowed and Allowable Costs/Cost Principles Finding Summary: BHD, LLC calculated their indirect cost rate based on the total grant budget and claimed an equal amount of indirect costs per month instead of calculating the indirect cost rate per direct expenditures for each month. Responsible Individuals: Valarie Howard, Chief Financial Officer Corrective Action Plan: Historically, the indirect cost received by this grant has not been dependent of the direct expenditures. Based on verbal conversations with the HRSA grant project manager, requesting reimbursement for the indirect costs evenly over the year based on the budget submitted was acceptable. Therefore, the accounting treatment has been reflective of that. However, management agrees that recording the indirect cost based on the direct cost expenditures monthly is reasonable and appropriate and will make the change accordingly. Anticipated Completion Date: March 31, 2025.

View Audit 353595

Finding 554964 (2024-001)

Material Weakness 2024

Herron High School, Inc.

IN

Subrecipient Monitoring Material Weakness Matching / Level of Effort / Earmarking § 200.303

U.S. DEPARTMENT OF EDUCATION AND INDIANA DEPARTMENT OF EDUCATION Charter Schools – AL #84.282 Education Stabilization Fund – AL #84.425C, 84.425D & 84.425U 2024-001 Risk Assessment Process Related to Compliance Requirements (Repeat Finding 2023-001) Material Weakness Recommendation: The Auditor reco...

U.S. DEPARTMENT OF EDUCATION AND INDIANA DEPARTMENT OF EDUCATION Charter Schools – AL #84.282 Education Stabilization Fund – AL #84.425C, 84.425D & 84.425U 2024-001 Risk Assessment Process Related to Compliance Requirements (Repeat Finding 2023-001) Material Weakness Recommendation: The Auditor recommended additional resources be allocated to federal award compliance to review federal award provisions and requirements, evaluate risks of noncompliance, and respond to such risks through internal controls. The process should include methods to identify and communicate changes to federal award requirements to all key individuals within the Organization and to verify internal controls are implemented correctly and are operating effectively. Planned Corrective Action: As the organization has grown and certain federal funding streams have ended, compliance of federal programs has become decentralized. Budget constraints have led to changes in leadership in key positions and limitations in staffing. We agree that additional resources need to be added to ensure compliance with all state and federal awards. Michelle Krauter, VP, Chief Financial Officer, is responsible for ensuring fiscal compliance and will coordinate program compliance activities with the Heads of School at each campus and the Directors of Academic Accountability. Through the monitoring activities conducted by the Indiana Department of Education during 2023, staff gained a better understanding the compliance requirements and are implementing processes to ensure ongoing adherence to the requirements. Evaluation of these processes will continue through 2025.

View Audit 353584

Finding 554902 (2024-001)

Significant Deficiency 2024

Cares of Ny, Inc.

NY

Reporting § 200.303 § 200.502 § 200.510

CORRECTIVE ACTION PLAN 3/27/2025 US Department of Health and Human Services CARES of NY, Inc. respectfully submits the following corrective action plan for the year ended April 30, 2024. Name and address of independent public accounting firm: Wojeski & Company CPAs, PC 159 Wolf Road Albany, NY 1...

CORRECTIVE ACTION PLAN 3/27/2025 US Department of Health and Human Services CARES of NY, Inc. respectfully submits the following corrective action plan for the year ended April 30, 2024. Name and address of independent public accounting firm: Wojeski & Company CPAs, PC 159 Wolf Road Albany, NY 12205 Audit period: Year ending April 30, 2024 The findings from the April 30, 2024 schedule of findings and questions costs are discussed below. The findings are numbered consistent with the numbers assigned in the schedule. Finding 2024-0001 – Reporting of the Schedule of Expenditure of Federal Awards Recommendation: We recommend that the Organization implement additional processes and procedures to ensure that the SEFA is complete and accurate. Corrective Action plan taken: The corrective action taken was to notify Auditors as soon as the error was realized so that audits could be corrected. There is no need for further corrective action. This incident was isolated and not recurring. The grant for which this finding is associated was a temporary covid grant that has since ended. To prevent future errors for occurring, all new contracts will be reviewed prior to submitting the summary of federal awards to the auditor to ensure that any federally sourced funding is properly identified regardless of grantor. CARES of NY, Inc. will implement a check and balance procedure where the grants director will review the listing prior to audit submission for accuracy. Responsible Person for corrective action plan: Eileen Wiebicke, Chief Financial Officer Anticipated completion date for corrective action plan: 1/24/2025 (date auditors were notified of error) If the US Department of Health and Human Services has questions regarding this plan, please call Eileen Wiebicke at 518-489-4130 x 702.

View Audit 353463

Finding 554793 (2024-002)

Material Weakness 2024

City of Columbus, Ohio

OH

Allowable Costs / Cost Principles § 200.303 § 200.430

The City concurs with the finding and will take the following actions in response:Development’s Fiscal Team shall continue the process developed in response to the 2023 finding, with one modification: instead of a quarterly ‘true up’ process, Development shall perform a monthly ‘true up’ process. T...

The City concurs with the finding and will take the following actions in response:Development’s Fiscal Team shall continue the process developed in response to the 2023 finding, with one modification: instead of a quarterly ‘true up’ process, Development shall perform a monthly ‘true up’ process. This provides the opportunity for more frequent fiscal review of work logs and quicker identification of non-compliance by programmatic staff and supervisors. If a work log is not signed by the employee and/or supervisor, fiscal staff shall notify the employee and supervisor of the issue and request it be signed as soon as possible. Only after the work log is signed by both employee and supervisor shall it be included in the monthly true up. If the employee and/or supervisor is non-responsive to the request to sign the work log, the Deputy Director of Housing Strategies shall be notified and requested to address the issue as soon as possible; Development’s fiscal team shall continue to review signature timeliness as a part of the monthly ‘true up’ process. If fiscal identifies work logs signed by either employee and/or supervisor outside of the allotted time per the Department’s work log policy, fiscal shall notify the Deputy Director of Housing Strategies and request the issue be addressed as soon as possible; and The Compliance Officer shall provide a written reminder to all applicable staff and supervisors to sign the work log in a timely manner and shall perform a periodic review of the work logs throughout the year. Work log review shall also be included in internal monitoring done by the Compliance Officer. Documentation of reviews will be retained per the Department’s record retention schedule.

View Audit 353379

Finding 554770 (2024-039)

Significant Deficiency 2024

State of Oregon

OR

Subrecipient Monitoring Reporting Significant Deficiency § 200.303

2024-039 Oregon Department of Emergency Management Continue FFATA reporting improvements and make inquiries on FSRS functionality Management Response: The Oregon Department of Emergency Management (OEM) concurs with the finding and the recommendations as outlined in the letter and above. OEM has und...

2024-039 Oregon Department of Emergency Management Continue FFATA reporting improvements and make inquiries on FSRS functionality Management Response: The Oregon Department of Emergency Management (OEM) concurs with the finding and the recommendations as outlined in the letter and above. OEM has undertaken and continues the following corrective actions to address the recommendations made by the Secretary of State’s Audits Division: • OEM has developed procedures for capturing necessary information and ensuring FFATA reports are filed in compliance with federal criteria. • OEM has identified all awards since July 1st 2023 and is working to ensure 100% compliance from that date forward. • OEM will conduct timely follow up on all submissions that fail to successfully load into the system, and clearly document that follow up for inclusion in our files. • OEM will continue to review older awards to determine what actions should be taken. Anticipated completion date: June 30, 2025. Contact person: Amy Mettler, Chief Financial Officer.

View Audit 353343

Finding 554759 (2024-019)

Significant Deficiency 2024

State of Oregon

OR

Allowable Costs / Cost Principles Special Tests & Provisions Reporting § 200.303

2024-019 Oregon Department of Human Services Improve controls and compliance over long-term care facility auditsManagement Response: We agree with this recommendation and will make these changes on the July 1, 2025 cost report template. We will be adding a line item to distinguish between Total Admi...

2024-019 Oregon Department of Human Services Improve controls and compliance over long-term care facility auditsManagement Response: We agree with this recommendation and will make these changes on the July 1, 2025 cost report template. We will be adding a line item to distinguish between Total Administration overtime and Administrator only overtime. .Anticipated Completion Date: July 1, 2025 Contact person: Jennifer Stallsworth, Chief of Staff, ODHS APD, April Gillette, OHA Medicaid Division, Strategic Operations & Improvement Director

View Audit 353343

Finding 554757 (2024-017)

Significant Deficiency 2024

State of Oregon

OR

Special Tests & Provisions Eligibility Significant Deficiency § 200.303

2024-017 Oregon Department of Human Services/Oregon Health Authority Strengthen internal controls over the ONE system Management Response: We agree with this recommendation. ODHS will continue to work with our vendor to secure a SOC 2 Type II audit of our processes and oversight of the ONE system in...

2024-017 Oregon Department of Human Services/Oregon Health Authority Strengthen internal controls over the ONE system Management Response: We agree with this recommendation. ODHS will continue to work with our vendor to secure a SOC 2 Type II audit of our processes and oversight of the ONE system in 2025. Additionally, ODHS will work on amending the ONE M&O agreement with Deloitte for them to obtain a scoped SOC 2 Type II audit related to their work within the ONE system. ODHS would expect to negotiate this additional audit requirement in 2025 with the first audit then happening in 2026. In addition, the agency will request reports that will allow reconciliation of transactions between ONE and the mainframe system. Anticipated Completion Date: December 31, 2026 Contact person: Jennifer Stallsworth, Chief of Staff, ODHS APD, April Gillette, OHA Medicaid Division, Strategic Operations & Improvement Director

View Audit 353343

Finding 554751 (2024-011)

Significant Deficiency 2024

State of Oregon

OR

Questioned Costs Period of Performance Significant Deficiency § 200.303

2024-011 Oregon Health Authority Strengthen existing controls to ensure only those costs incurred during the period of performance are charged to the grant Management Response: The agency agrees with the finding. While the appropriate internal controls are in place to review the period of performan...

2024-011 Oregon Health Authority Strengthen existing controls to ensure only those costs incurred during the period of performance are charged to the grant Management Response: The agency agrees with the finding. While the appropriate internal controls are in place to review the period of performance, a mistake was made while following the procedures. Secondary reviews will be performed going forward to ensure all expenditures are appropriately captured. The expenditures in question were moved to the correct phase 22 on Jan. 23, 2025 with document BTCG3186. Anticipated Completion Date: January 23, 2025 Contact Person: Travis Labrum, Accounting Manager

View Audit 353343 Questioned Costs: $1

Finding 554744 (2024-010)

Significant Deficiency 2024

State of Oregon

OR

Subrecipient Monitoring Reporting Significant Deficiency § 200.303

2024-010 Oregon Health Authority Submit required Federal Funding Accountability and Transparency Act reports Management Response: The agency agrees with the finding. The FFATA Reporting Coordinator position within the Office of Contracts & Procurement (OC&P) has been vacant for eight months but sho...

2024-010 Oregon Health Authority Submit required Federal Funding Accountability and Transparency Act reports Management Response: The agency agrees with the finding. The FFATA Reporting Coordinator position within the Office of Contracts & Procurement (OC&P) has been vacant for eight months but should be filled by April 15, 2025. On March 8, 2025, FSRS.gov was retired, and all subaward reporting data and functionality are now on SAM.gov. The new SAM.gov reporting system will allow for multiple Data Entry roles, allowing each program or division of ODHS/OHA to submit their own reporting, and allowing OC&P to conduct Quality Assurance/Quality Control. Once the FFATA Reporting Coordinator is onboard and trained, we anticipate the FFATA reporting will resume and any missing reports will be submitted by April 15, 2026. Anticipated Completion Date: April 15, 2026 Contact person: Noemi Schlegel, Compliance & Audits Program Manager

View Audit 353343

Finding 554742 (2024-033)

Significant Deficiency 2024

State of Oregon

OR

Reporting Significant Deficiency § 200.302 § 200.303

2024-033 Oregon Housing and Community Services Department Federal reports should contain accurate information Management Response: The agency agrees with this finding. A dedicated staff resource has been trained and has brought grant reconciliations and reporting current. Additional training has bee...

2024-033 Oregon Housing and Community Services Department Federal reports should contain accurate information Management Response: The agency agrees with this finding. A dedicated staff resource has been trained and has brought grant reconciliations and reporting current. Additional training has been provided for awareness of the obligation requirements as well. Anticipated Completion Date: June 30, 2025 Contact person: Beth Brown, Controller

View Audit 353343

Finding 554737 (2024-023)

Significant Deficiency 2024

State of Oregon

OR

Questioned Costs Allowable Costs / Cost Principles Significant Deficiency § 200.303

2024-023 Oregon Department of Human Services Strengthen controls over program expenditures Management Response: We agree with this recommendation. Department management acknowledges the finding and has already initiated actions to address the concerns. Quarterly collaboration meetings including TANF...

2024-023 Oregon Department of Human Services Strengthen controls over program expenditures Management Response: We agree with this recommendation. Department management acknowledges the finding and has already initiated actions to address the concerns. Quarterly collaboration meetings including TANF and TADVS policy, business security unit, business operations, and office of financial services began in July 2024. Issues and resolutions are discussed during these quarterly meetings; as a result, guidance for staff has been developed, and regular internal audits take place throughout the year. Business operations team in partnership with TANF policy will send out communication reminding staff of the process when a check is reported as lost, and the steps that must happen prior to a replacement check being issued. In addition, policy and business operations will attend meetings with those who have a leadership role in the system to approve payments and share the transmittal along with a discussion on ways to mitigate duplicate payments in the future. Child Welfare reviewed and corrected the transaction identified in this audit. Although the SPOTS card was reimbursed on July 21, 2023, the request in OR-Kids was not canceled on that day causing the transaction to hit the SFMA. During the audit, the error was discovered and Federal Policy and Resources worked with Office of Financial Services (OFS) to correct the reimbursement on February 26, 2025. The transaction was canceled in the OR-Kids system through financial cycle on February 26, 2025. OFS entered the correction in SFMA to reflect the reduction to TANF funding, which processed through OR-Kids on February 27, 2025, and interfaced to SFMA on the evening of February 27, 2025. Anticipated Completion Date: 12/31/2025 Contact Person: Eva Ruiz, TANF program manager

View Audit 353343 Questioned Costs: $1

Finding 554736 (2024-022)

Significant Deficiency 2024

State of Oregon

OR

Questioned Costs Special Tests & Provisions Eligibility § 200.303

2024-022 Oregon Department of Human Services Improve controls to ensure eligibility criteria are met Management Response: We agree with this recommendation. Beginning in April 2025 the Quality Control (QC) manager will have oversight of the process and be included in the emails between the QC lead a...

2024-022 Oregon Department of Human Services Improve controls to ensure eligibility criteria are met Management Response: We agree with this recommendation. Beginning in April 2025 the Quality Control (QC) manager will have oversight of the process and be included in the emails between the QC lead and administration concerning the error packets being sent to the branch for corrective action by the 15th of each month. The QC manager will check on the 16th of each month to ensure the task was completed. Department management acknowledges the finding and has already initiated actions to address the concerns. The State of Oregon has implemented a structured approach to address this concern. Since January 2025, the Oregon Eligibility Partnership (OEP) has updated and developed six eligibility guides aimed at improving, understanding, and execution of processes related to TANF enrollment, including asset pursuit and IEVS checks. These guides are now available as part of the training curriculum for eligibility workers. Additionally, the "Verification Take Time for Training" (TT4T) module, which was last presented in October 2022, will be reviewed by the OEP to assess potential gaps or outdated information. Any necessary updates will be incorporated by July 2025 to ensure comprehensive training is available to all eligibility workers. Finally, OEP will continue to monitor the effectiveness of the updated training materials and guides through ongoing reviews, feedback collection from eligibility workers, and periodic review and refreshing of the materials. Anticipated Completion Date: December 31, 2025 Contact Person: Eva Ruiz, TANF program manager

View Audit 353343 Questioned Costs: $1

Finding 554731 (2024-043)

Significant Deficiency 2024

State of Oregon

OR

Eligibility Internal Control / Segregation of Duties § 200.303

2024-043 Department of Veterans' Affairs Encourage accuracy of per diem recalculations Management Response: ODVA agrees with this recommendation Reconciliation/recalculation procedures have been updated to fully align with regulations as established by 38 CFR 51.40. These procedures will include cal...

2024-043 Department of Veterans' Affairs Encourage accuracy of per diem recalculations Management Response: ODVA agrees with this recommendation Reconciliation/recalculation procedures have been updated to fully align with regulations as established by 38 CFR 51.40. These procedures will include calculation of days when a veteran may be absent for purposes other than receiving hospital care. In addition to strengthening procedures, the controller will review the reconciliation each month. Anticipated Completion Date: June 30, 2025 Contact person: Nicole Dolan, Budget and Fiscal Manager

View Audit 353343

Corrective Action Plans

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