Corrective Action Plans

Finding 1216669 (2023-012)

Material Weakness 2023

MH

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties § 200.303

Reporting The College acknowledges the finding and recognizes the need to strengthen oversight of reporting requirements. To prevent recurrence, the College will enhance its monitoring processes by developing formal reporting procedures and using the Asana Project Management system to schedule, moni...

Reporting The College acknowledges the finding and recognizes the need to strengthen oversight of reporting requirements. To prevent recurrence, the College will enhance its monitoring processes by developing formal reporting procedures and using the Asana Project Management system to schedule, monitor, and provide reminders for all federal and grant- related reporting deadlines and submissions.

View Audit 403112

Finding 1216666 (2023-011)

Material Weakness 2023

College of the Marshall Islands

MH

Procurement, Suspension & Debarment § 200.303 § 200.319 § 200.320 § 200.324

Procurement and Suspension and Debarment The College acknowledges the finding and recognizes the need for additional improvements to ensure full compliance with federal procurement regulations. Moving forward, procurement procedures will be strengthened by incorporating vendor eligibility verificati...

Procurement and Suspension and Debarment The College acknowledges the finding and recognizes the need for additional improvements to ensure full compliance with federal procurement regulations. Moving forward, procurement procedures will be strengthened by incorporating vendor eligibility verification requirements, including review of SAM.gov prior to contract execution or purchase approval. The college will also implement recurring training and oversight measures for employees involved in procurement activities to improve adherence to federal standards and internal procedures.

View Audit 403112

Finding 1216665 (2023-010)

Material Weakness 2023

College of the Marshall Islands

MH

Subrecipient Monitoring Cash Management § 200.302 § 200.303 § 200.305

Cash Management The College acknowledges the finding and will enhance its cash management practices by developing formal procedures outlining responsibilities, authorization requirements, and timelines related to federal drawdown and disbursements. In addition, the College will implement routine rec...

Cash Management The College acknowledges the finding and will enhance its cash management practices by developing formal procedures outlining responsibilities, authorization requirements, and timelines related to federal drawdown and disbursements. In addition, the College will implement routine reconciliations of drawdown activity against recorded expenditures on a monthly or quarterly basis to improve monitoring and ensure compliance with federal requirements.

View Audit 403112

Finding 1216662 (2023-009)

Material Weakness 2023

College of the Marshall Islands

MH

Allowable Costs / Cost Principles § 200.303 § 200.403

Activities Allowed or Unallowed/ Allowable Costs/Cost Principles The College acknowledges the finding and recognizes earlier corrective measures were not sufficient to fully address the concern. To improve monitoring of allowable expenditures and compliance with federal cost principles, the College ...

Activities Allowed or Unallowed/ Allowable Costs/Cost Principles The College acknowledges the finding and recognizes earlier corrective measures were not sufficient to fully address the concern. To improve monitoring of allowable expenditures and compliance with federal cost principles, the College will incorporate routine budget-to-expenditure reviews into its recurring grant management meetings. Additional oversight and review responsibilities will also be assigned to the Grants Office to strengthen compliance monitoring, improve accountability, and ensure expenditures are properly evaluated and documented prior to approval.

View Audit 403112

Finding 1216660 (2023-008)

Material Weakness 2023

College of the Marshall Islands

MH

Procurement, Suspension & Debarment § 200.303 § 200.320

Procurement and Suspension and Debarment College of the Marshall Islands acknowledges that this finding was reported in 2022 and was repeated in FY2023. The College agrees that certain procurement transactions were not adequately supported with sufficient documentation to demonstrate compliance with...

Procurement and Suspension and Debarment College of the Marshall Islands acknowledges that this finding was reported in 2022 and was repeated in FY2023. The College agrees that certain procurement transactions were not adequately supported with sufficient documentation to demonstrate compliance with procurement requirements, including vendor quotations, sole source justification, and procurement history documentation. The College has since upgraded and institutionalized a cloud-based filing system to ensure complete documentation, proper retention, and easy retrieval of procurement records. Internal control policies and procedures have been strengthened to ensure compliance with the RMI Procurement Code, including vendor selection documentation, sole source justification, quotations, and bid evaluations. In addition, newly hired Procurement and Accounts Payable staff have been assigned responsibilities for monitoring compliance, a staff training on federal procurement requirements and documentation standards will continue periodically to strengthen oversight and prevent recurrence.

View Audit 403112

Finding 1216659 (2023-007)

Material Weakness 2023

College of the Marshall Islands

MH

Subrecipient Monitoring § 200.303

Period of Performance College of the Marshall Islands acknowledges that this finding, reported in 2022, was repeated in 2023. The college confirms that this resulted from gaps in the previous manual filing and monitoring system, which made it difficult to verify funding period dates during the audit...

Period of Performance College of the Marshall Islands acknowledges that this finding, reported in 2022, was repeated in 2023. The college confirms that this resulted from gaps in the previous manual filing and monitoring system, which made it difficult to verify funding period dates during the audit fieldwork. The College has since upgraded and institutionalized a cloud- based filing system and strengthened internal controls to ensure all costs are properly aligned with the funding periods stipulated in the grant awards. In addition, the College has been continuously working to improve coordination between the Business Office, Human Resources, and program personnel to ensure payroll periods and expenditure dates are properly reviewed and aligned with grant award periods.

View Audit 403112

Finding 1216658 (2023-006)

Material Weakness 2023

College of the Marshall Islands

MH

Equipment & Real Property Management Subrecipient Monitoring § 200.303 § 200.313

Equipment and Real Property Management College of the Marshall Islands agrees that capital asset records and reconciliation procedures were not fully maintained in accordance with federal equipment and real property management requirements. The deficiencies were primarily due to reliance on manual r...

Equipment and Real Property Management College of the Marshall Islands agrees that capital asset records and reconciliation procedures were not fully maintained in accordance with federal equipment and real property management requirements. The deficiencies were primarily due to reliance on manual recordkeeping processes, incomplete asset documentation, and delays in updating and reconciling the fixed asset records with the general ledger. To address this finding, the College is actively working to automate and strengthen its fixed asset management process through implementation of the MIP Fixed Asset Module.

View Audit 403112

Finding 1216657 (2023-005)

Material Weakness 2023

College of the Marshall Islands

MH

Allowable Costs / Cost Principles Subrecipient Monitoring § 200.303 § 200.403

Activities Allowed or Unallowed & Allowable Costs/Cost Principles College of the Marshall Islands acknowledges the finding and agrees that certain payroll and non-payroll expenditures charged to federal programs were not adequately supported with sufficient documentation to clearly demonstrate allow...

Activities Allowed or Unallowed & Allowable Costs/Cost Principles College of the Marshall Islands acknowledges the finding and agrees that certain payroll and non-payroll expenditures charged to federal programs were not adequately supported with sufficient documentation to clearly demonstrate allowability, proper allocation, and alignment with objectives. The deficiencies resulted from weaknesses in internal control procedures, incomplete supporting documentation, and prior filing and record retention practices. To address this, the College has upgraded and institutionalized a cloud-based filing system to ensure complete, accessible, and properly organized documentation for all grant-funded positions and expenditures. Internal controls have been strengthened to require signed employment and overload contracts, proper funding source verification, and supervisory review before any grant-related payroll costs are charged. With the upgraded systems and the support of newly hired skilled staff, the College is now better equipped to maintain compliance and oversight. Staff will continue to be trained twice a year on federal allowability and cost principles to prevent recurrence of similar issues in future audits.

View Audit 403112

Finding 1216324 (2023-005)

Material Weakness 2023

City of Excelsior Springs, Missouri

MO

Procurement, Suspension & Debarment § 200.214 § 200.303

Personnel Responsible for Corrective Action: Vonda Floyd, Finance Director Anticipated Completion Date: September 30, 2026 Corrective Action Plan: Management will incorporate controls surrounding suspension and debarment to ensure the appropriate checks are performed prior to entering into covered t...

Personnel Responsible for Corrective Action: Vonda Floyd, Finance Director Anticipated Completion Date: September 30, 2026 Corrective Action Plan: Management will incorporate controls surrounding suspension and debarment to ensure the appropriate checks are performed prior to entering into covered transactions. Continuing education with Department Heads and staff surrounding suspension and debarment needs and best practices going forward.

View Audit 402817

Finding 1214620 (2023-001)

Material Weakness 2023

Community of Hope, Inc.

FL

Subrecipient Monitoring Reporting Matching / Level of Effort / Earmarking § 200.303

2023-001 REPORTING Recommendation: Reports prepared by the Executive Director should be reviewed by an independent person to ensure completeness and accuracy. Additionally, the Organization should design a control to ensure reports are submitted in a timely manner in accordance with compliance requi...

2023-001 REPORTING Recommendation: Reports prepared by the Executive Director should be reviewed by an independent person to ensure completeness and accuracy. Additionally, the Organization should design a control to ensure reports are submitted in a timely manner in accordance with compliance requirements. Corrective Action: Community of Hope recognizes that our expansion and growth have made it difficult to maintain full and timely compliance with some reporting criter+B11 ia. As such, we have created a compliance calendar that will alert staff to impending deadlines and requirements. In addition, we recently hired a staff member with compliance being a primary function. She is reviewing grant and policy compliance, making recommendations, and instituting changes to enhance compliance. Responsible party: Drew Warren, Executive Director Date Expected to be Corrected: March 1, 2026

View Audit 401303

Finding 1214605 (2023-002)

Material Weakness 2023

Wellstar Health System, Inc. and Affiliates

GA

Allowable Costs / Cost Principles § 200.303

Finding No: 2023 002 Federal Agency: U.S. Department of Homeland Security Federal Emergency Management Agency Assistance Listing Number: 97.036 Program: COVID 19 – Disaster Grants Public Assistance (Presidentially Declared Disasters) Award Year: July 1, 2022 to June 30, 2023 Compliance Requirements:...

Finding No: 2023 002 Federal Agency: U.S. Department of Homeland Security Federal Emergency Management Agency Assistance Listing Number: 97.036 Program: COVID 19 – Disaster Grants Public Assistance (Presidentially Declared Disasters) Award Year: July 1, 2022 to June 30, 2023 Compliance Requirements: Activities allowed or unallowed and Allowable costs/cost principles Criteria In accordance with the Federal Emergency Management Agency (FEMA) Public Assistance Program and Policy Guide, Version 2.1, Chapter 2, costs are not eligible for reimbursement if the applicant received funding from another source (e.g., patient revenue or insurance) for the same work funded by FEMA. FEMA refers to this as a duplication of benefits. On February 15, 2023, FEMA issued a memorandum titled Hypothetical Reasonable Applicant Methods, which outlines the basic elements for estimating duplication of benefits within net patient service revenue. Subsequent to FEMA both obligating and paying project worksheet #548183A, the Department of Homeland Security (DHS) engaged the RAND Corporation’s Homeland Security Research Division (RAND), through the Homeland Security Operational Analysis Center (HSOAC), to assist with the administration of disaster grants to health care providers related to COVID 19. Additionally, 2 CFR 200.303 requires non federal entities receiving federal awards to establish and maintain internal controls designed to reasonably ensure compliance with federal laws, regulations, and program compliance requirements. Conditions Found On March 3, 2023, FEMA obligated and paid project worksheet #548183A for $2,719,181 related to Remdesivir drug costs and reimbursements which were included in the total expenditures for this program of $16,310,090 for the year ended June 30, 2023. Most insurance providers, including the federal government, pay hospitals a single flat fee for an entire patient stay (known as a ‘bundled payment’) rather than paying for every individual item used. As a result, when the System receives a payment for an inpatient stay, it isn’t possible to determine exactly how much of that payment was for a specific drug like Remdesivir. However, FEMA program requirements require the hospital to offset claimed costs by payments from other sources. Since there is not a payer level breakdown of the payment for Remdesivir, management applied a cost based allocation methodology to estimate the portion of bundled inpatient reimbursement attributable to Remdesivir. In June 2023, HSOAC issued an Applicant Review Memo indicating that they had evaluated project #548183A and determined the methodology utilized by management to calculate the estimated payments received from other sources related to Remdesivir drug costs and reimbursements to be unreasonable. The System could not provide the additional information requested by RAND to support actual payments received from other sources related to Remdesivir costs within project #548183A since that information does not exist under prevailing inpatient reimbursement structures. Therefore, at the request of the System, FEMA de obligated $2,719,181. Cause The System used a methodology to calculate the estimated payments received from other sources that was not in accordance with FEMA’s regulations. Further, the System was unable to provide requested documentation related to actual payments received from other sources to RAND because that information specific to the Remdesivir drug costs does not exist under prevailing inpatient reimbursement structures. Effect The funds obligated for project worksheet #548183A were subsequently de obligated at the request of the System and the System returned these funds to FEMA. Questioned Cost $2,719,181 Statistical Sample The sample was not intended to be, and was not, a statistically valid sample. Repeat Finding in the Prior Year Not a repeat finding. Recommendation We recommend that the System strengthen controls over the management review process to prevent unallowable costs and inaccurate amounts from being charged to Federal programs as well as ensure all relevant documentation is maintained in accordance with Federal requirements. View of Responsible Official For project worksheet 548183A, Wellstar Health System, Inc was not provided with methodology or approach to FEMAs request for patient level financials, including all costs incurred directly with each patient. Wellstar Health System, Inc. believed the request for information from FEMA was in conflict with FEMA’s "COVID-19 Patient Care Revenue Duplication of Benefits Recipient and Subrecipient Guide", published in October 2022, as well as overly burdensome and unreasonable. Wellstar Health System, Inc. subsequently requested FEMA to de obligate project worksheet 548183A and repaid all funds. Corrective Action Plan Wellstar Health System has trained responsible internal team members on approach and methodology of FEMA published guidelines. Wellstar Health System, Inc. will also engage external, experienced consultants as needed for future FEMA claims. Anticipated Completion Date: Wellstar Health System, Inc has already implemented the corrective action. Name of Contact Person for Corrective Action: Beth Loudermilk, VP Financial Planning & Analysis

View Audit 401278

Finding 1214604 (2023-001)

Material Weakness 2023

Wellstar Health System, Inc. and Affiliates

GA

Reporting § 200.303 § 200.502 § 200.510

Finding No: 2023 001 Federal Agency: U.S. Department of Homeland Security Federal Emergency Management Agency Assistance Listing Number: 97.036 Program: COVID 19 – Disaster Grants Public Assistance (Presidentially Declared Disasters) Award Year: July 1, 2022 to June 30, 2023 Compliance Requirement: ...

Finding No: 2023 001 Federal Agency: U.S. Department of Homeland Security Federal Emergency Management Agency Assistance Listing Number: 97.036 Program: COVID 19 – Disaster Grants Public Assistance (Presidentially Declared Disasters) Award Year: July 1, 2022 to June 30, 2023 Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards Criteria According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of federal awards (SEFA) for the period covered by the entity’s financial statements which must include the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2 CFR 200.303 requires non federal entities receiving federal awards to establish and maintain internal controls designed to reasonably ensure compliance with federal laws, regulations, and program compliance requirements. Effective internal control should include procedures to ensure federal expenditures are accurately and completely reported on the SEFA. Conditions Found The System did not have adequate controls related to the identification and reporting of federal expenditures for the COVID 19 – Disaster Grants Public Assistance (Presidentially Declared Disasters) program on the SEFA. Specifically, the System lacked controls to ensure expenditures incurred for COVID 19 Disaster Grants Public Assistance (Presidentially Declared Disasters) program were recognized on the SEFA when obligated. As a result, $16,310,090 of FEMA expenditures were omitted from the June 30, 2023 SEFA. Cause Management did not perform appropriate risk assessment procedures related to federal awards that have unique recognition criteria such as FEMA. Specifically, there was not a control in place to ensure FEMA expenditures were recognized on the SEFA based on when the FEMA award was both obligated and expenditures were incurred. Effect Failure to establish effective internal controls over the preparation of the SEFA may prevent the System from reporting accurate program information and completing an audit in accordance with the Uniform Guidance. Questioned Cost Not applicable Statistical Sample The sample was not intended to be, and was not, a statistically valid sample. Repeat Finding in the Prior Year Not a repeat finding. Recommendation We recommend that the System strengthen its processes and internal controls over ensuring that proper recognition of expenditures have been reported completely and accurately on SEFA. View of Responsible Official Wellstar Health System, Inc. has implemented a control and process to ensure that expenditures are properly reflected on the SEFA. Corrective Action Plan Wellstar Health System, Inc. has implemented a control and process to ensure that expenditures are properly reflected on the SEFA at time of obligation. Anticipated Completion Date: Wellstar Health System, Inc has already implemented the corrective action. Name of Contact Person for Corrective Action: Beth Loudermilk, VP Financial Planning & Analysis

View Audit 401278

Finding 1214595 (2023-010)

Material Weakness 2023

Creek County

OK

Reporting Matching / Level of Effort / Earmarking § 200.1 § 200.303

The Creek County Clerk’s Office will work with the SEFA preparer to ensure that the correct paid dates are being used when reporting. This should eliminate the actual expenditures differences. We will work to educate all offices involved in the reporting process on financial statement and SEFA utili...

The Creek County Clerk’s Office will work with the SEFA preparer to ensure that the correct paid dates are being used when reporting. This should eliminate the actual expenditures differences. We will work to educate all offices involved in the reporting process on financial statement and SEFA utilizing the paid date, instead of warrant date.

View Audit 401258

Finding 1214226 (2023-003)

Material Weakness 2023

Family Involvement Center, Inc.

AZ

Matching / Level of Effort / Earmarking Allowable Costs / Cost Principles § 200.303 § 200.430

Recommendation: We recommend that management implement a requirement for employees to complete level of effort forms attesting to actual time spent working on the federal program on a regular basis, but no less than annually, during the fiscal period. These forms should be reviewed by a supervisor k...

Recommendation: We recommend that management implement a requirement for employees to complete level of effort forms attesting to actual time spent working on the federal program on a regular basis, but no less than annually, during the fiscal period. These forms should be reviewed by a supervisor knowledgeable of the employee’s activities and grant requirements and retained thereafter. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management established a standardized quarterly process for updating Level of Effort (LOE) forms. All completed forms are retained and archived within the organization’s SharePoint environment to support proper documentation and audit readiness. Name(s) of the contact person(s) responsible for corrective action: Deidre Calcoate, Executive Director Planned completion date for corrective action plan: 01/09/2025

View Audit 400935

Finding 1214225 (2023-002)

Material Weakness 2023

Family Involvement Center, Inc.

AZ

Matching / Level of Effort / Earmarking Allowable Costs / Cost Principles § 200.303 § 200.430

Recommendation: We recommend that management implement a requirement for employees to complete level of effort forms attesting to actual time spent working on the federal program on a regular basis, but no less than annually, during the fiscal period. These forms should be reviewed by a supervisor k...

Recommendation: We recommend that management implement a requirement for employees to complete level of effort forms attesting to actual time spent working on the federal program on a regular basis, but no less than annually, during the fiscal period. These forms should be reviewed by a supervisor knowledgeable of the employee’s activities and grant requirements and retained thereafter. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management established a standardized quarterly process for updating Level of Effort (LOE) forms. All completed forms are retained and archived within the organization’s SharePoint environment to support proper documentation and audit readiness. Name(s) of the contact person(s) responsible for corrective action: Deidre Calcoate, Executive Director Planned completion date for corrective action plan: 01/09/2026

View Audit 400935

Finding 1211147 (2023-003)

Material Weakness 2023

Carestl Health

MO

Internal Control / Segregation of Duties Allowable Costs / Cost Principles Eligibility § 200.302 § 200.303

"Recommendation We recommend that management: ▪ Implement formal procedures to ensure complete documentation of all program activities ▪ Maintain records demonstrating that activities are authorized and aligned with program objectives ▪ Establish centralized recordkeeping and retention policies ▪ Pe...

"Recommendation We recommend that management: ▪ Implement formal procedures to ensure complete documentation of all program activities ▪ Maintain records demonstrating that activities are authorized and aligned with program objectives ▪ Establish centralized recordkeeping and retention policies ▪ Perform ongoing monitoring and review of program activities ▪ Train staff on federal compliance requirements and documentation expectations"

View Audit 400354

Finding 1211145 (2023-001)

Material Weakness 2023

Carestl Health

MO

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Procurement, Suspension & Debarment § 200.303 § 200.328 § 200.329

Recommendation We recommend that management: ▪ Establish a formal reporting calendar outlining all required financial and performance reports, including due dates ▪ Implement procedures to ensure reports are prepared accurately, reviewed, and submitted timely ▪ Maintain documentation of submitted re...

Recommendation We recommend that management: ▪ Establish a formal reporting calendar outlining all required financial and performance reports, including due dates ▪ Implement procedures to ensure reports are prepared accurately, reviewed, and submitted timely ▪ Maintain documentation of submitted reports, including confirmation of submission and supporting schedules ▪ Assign clear responsibility for reporting compliance and implement supervisory review controls ▪ Provide training to relevant personnel on federal reporting requirements Strengthening reporting processes will improve compliance, enhance transparency, and ensure that the organization meets its obligations under federal awards.

View Audit 400354

Finding 1206519 (2023-011)

Material Weakness 2023

MacOmb County

MI

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

The County acknowledges delays in the preparation and submission of certain required federal reports, including Statements of Expenditures. These delays were attributable to data availability, process inefficiencies during the ERP transition period, and the timing in which the Statement of Expenditu...

The County acknowledges delays in the preparation and submission of certain required federal reports, including Statements of Expenditures. These delays were attributable to data availability, process inefficiencies during the ERP transition period, and the timing in which the Statement of Expenditures template was provided by the grantor. In response, the County is improving internal workflows by enhancing coordination between program and finance staff, strengthening review procedures, and standardizing reporting processes. These actions are intended to improve both the accuracy and timeliness of reporting as processes continue to be refined within the system environment.

View Audit 398574

Finding 1206515 (2023-010)

Material Weakness 2023

MacOmb County

MI

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

The County acknowledges deficiencies related to the timeliness of federal reporting, including delays in the submission of required financial reports. Certain reports were not submitted within required timeframes due to challenges in obtaining timely and complete data, delays in completing reconcili...

The County acknowledges deficiencies related to the timeliness of federal reporting, including delays in the submission of required financial reports. Certain reports were not submitted within required timeframes due to challenges in obtaining timely and complete data, delays in completing reconciliations during and following the ERP transition, and the timing of required reporting templates provided by the grantor. The County is strengthening reporting procedures by improving coordination between departments, enhancing reconciliation processes, and reinforcing internal timelines for report preparation and review. As system functionality and staff familiarity continue to improve, reporting timeliness is expected to stabilize, with full resolution anticipated in the 2025 audit cycle.

View Audit 398574

Finding 1206511 (2023-009)

Material Weakness 2023

MacOmb County

MI

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

The County acknowledges the deficiency related to ensuring expenditures charged to federal programs comply with allowable cost principles under Uniform Guidance. The transition to the Workday ERP system impacted established review processes and data availability. The County is strengthening internal...

The County acknowledges the deficiency related to ensuring expenditures charged to federal programs comply with allowable cost principles under Uniform Guidance. The transition to the Workday ERP system impacted established review processes and data availability. The County is strengthening internal controls by enhancing review and approval procedures and improving staff training. As system processes continue to be refined, compliance and documentation are expected to improve.

View Audit 398574

Finding 1206363 (2023-005)

Material Weakness 2023

Town of Livermore Falls

ME

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

CORRECTIVE ACTION PLAN (Concerning Finding 2023-005) Contact Person Responsible for Corrective Action: Carrie Castonguay, Town Manager Corrective Action: The Treasurer, Town Manager and Select Board will take the following actions to address finding 2023-005 The current Town Manager was appointed by...

CORRECTIVE ACTION PLAN (Concerning Finding 2023-005) Contact Person Responsible for Corrective Action: Carrie Castonguay, Town Manager Corrective Action: The Treasurer, Town Manager and Select Board will take the following actions to address finding 2023-005 The current Town Manager was appointed by the Select Board on August 14, 2023, and had no knowledge of this material weakness. She is an experienced Manager and has drafted, had approved and us using the new Procurement Policy that addresses this deficiency. Additionally, Department Heads are required to turn in no later than Thursday by 9 am, invoices to be paid on that week’s warrant. The Treasurer has been given authority by the Town Manager to contact Department Heads and request that they come to the office weekly to turn in invoices. All invoices must have the appropriate expense code and be signed by the Department Head. Anticipated Completion Date: This was completed January 23, 2024.

View Audit 398382

Finding 1206359 (2023-003)

Material Weakness 2023

Town of Livermore Falls

ME

Allowable Costs / Cost Principles § 200.303

CORRECTIVE ACTION PLAN (Concerning Finding 2023-003) Contact Person Responsible for Corrective Action: Carrie Castonguay, Town Manager Corrective Action: The Treasurer, Town Manager and Select Board will take the following actions to address finding 2023-003 The current Town Manager was appointed by...

CORRECTIVE ACTION PLAN (Concerning Finding 2023-003) Contact Person Responsible for Corrective Action: Carrie Castonguay, Town Manager Corrective Action: The Treasurer, Town Manager and Select Board will take the following actions to address finding 2023-003 The current Town Manager was appointed by the Select Board on August 14, 2023, and had no knowledge of this material weakness. She is an experienced Manager that has implemented training for the Treasurer and the Select Board. She has implemented a process of having the Treasurer complete a warrant each week. The Select Board meets bi-monthly and the Town Manager has the Select Board review and approve all warrants as a regular action item in their meeting. Additionally, Department Heads are required to turn in no later than Thursday by 9 am, invoices to be paid on that week’s warrant. The Treasurer has been given authority by the Town Manager to contact Department Heads and request that they come to the office weekly to turn in invoices. All invoices must have the appropriate expense code and be signed by the Department Head. Anticipated Completion Date: This corrective action has been implemented as of October 2023.

View Audit 398382

Finding 1206102 (2023-004)

Material Weakness 2023

Future Ready Five

OH

Reporting Significant Deficiency Matching / Level of Effort / Earmarking § 200.303

Reference Number: 2023-04 Finding Type: Significant Deficiency in Internal Control Over Compliance Description of Finding: During the audit, it was noted that the Organization was unable to provide formal support for the internal review of required reports under the major program before they were su...

Reference Number: 2023-04 Finding Type: Significant Deficiency in Internal Control Over Compliance Description of Finding: During the audit, it was noted that the Organization was unable to provide formal support for the internal review of required reports under the major program before they were submitted to the pass-through grantor. The Organization lacks established procedures which provide formal evidence that the accuracy and completeness of required reports was verified before submission. Without formal review controls in place, the Organization is more susceptible to reporting errors and/or noncompliance with federal requirements. Statement of Concurrence: Management agrees with the finding. Corrective Action: The Chief Financial Officer prepares the required reports, and the Chief Executive has informally approved the reports prior to submission. A formal review by the Chief Executive Officer has been implemented to document in writing the review by the Chief Executive Office prior to submission. Completion Date: January 31, 2026 Name of Contact Person: Maureen Thomas Chief Financial Officer 917-405-7185 maureen@frfive.org

View Audit 398055

Finding 1206100 (2023-002)

Material Weakness 2023

Future Ready Five

OH

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

Reference Number: 2023-02 Finding Type: Significant Deficiency in Internal Control Over Compliance Description of Finding: During the audit, it was noted that the Organization was unable to provide formal support for the internal review of costs submitted to the pass-through grantor under the major ...

Reference Number: 2023-02 Finding Type: Significant Deficiency in Internal Control Over Compliance Description of Finding: During the audit, it was noted that the Organization was unable to provide formal support for the internal review of costs submitted to the pass-through grantor under the major program. The Organization lacks established procedures which provide formal evidence that the allowability, accuracy and completeness of transactions were verified before submission. Without adequate internal controls in place to ensure that all charges to the federal program are properly reviewed for allowability, the Organization faces increased risk of noncompliance with the allowability requirement and could request funds for unallowed costs. Statement of Concurrence: Management agrees with the finding. Corrective Action: Beginning July 2025, management implemented a formal review process in Blackbaud Financial Edge NXT for the Director of RISE and the Chief Operating Officer to review and approve all invoices prior to submission to the Chief Financial Officer to ensure all charges are allowed. All invoices $25,000 and over are also reviewed and approved by the Chief Executive Officer prior to submission to the Chief Financial Officer for payment. Prior to July 2025, written approvals were obtained through either email or initial sign-off on invoices. Completion Date: July 2025 Name of Contact Person: Maureen Thomas Chief Financial Officer 917-405-7185 maureen@frfive.org

View Audit 398055

Finding 1205935 (2023-002)

Material Weakness 2023

Gascosage Electric Cooperative

MO

Internal Control / Segregation of Duties Subrecipient Monitoring Reporting § 200.303

The Organization concurs with the finding and management will implement procedures to ensure appropriate internal control procedures are in place for reporting. Management will implement additional internal controls to ensure appropriate segregation of duties between report preparation and review.

View Audit 397805

Corrective Action Plans

Filters