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Responsible Contact Person(s): Barry Davis, Chief Information Security Officer and Director of Information Security & Risk Management Kevin Platea, Chief Information Officer Corrective Action Planned: To improve the governance structure of the agency, ISRM Division Leadership is working with a vendo...
Responsible Contact Person(s): Barry Davis, Chief Information Security Officer and Director of Information Security & Risk Management Kevin Platea, Chief Information Officer Corrective Action Planned: To improve the governance structure of the agency, ISRM Division Leadership is working with a vendor to address the division’s responsibility around defining and communicating the Security and Risk Management program. The goal is to educate the agency System Owners, Data Owners, System Administrators, System User, and Data Custodians as to their roles and responsibilities in managing risk associated with agency data and systems. The Division of ISRM will deliver System Owner training to the Agency Executive Team in April in support of the Commonwealth’s requirement that System Owner’s manage risks associated with their systems. This training will also highlight the importance of Configuration Management and Software and Service Acquisition. The Division of ISRM will also construct and offer training on Configuration Management and Software and Service Acquisition to whichever resources the Agency identifies to own such related processes. The training will be ready to be provided no later than August 1, 2023. Estimated Completion Date: 12/31/2023
Responsible Contact Person(s): Steve Hanoka, Chief Information Security Officer Corrective Action Planned: Policies are reviewed and signed. Procedures are in progress, to be followed by implementation. DMAS wants to meet with the APA and VITA to discuss Pen Test and vulnerability scan processes. ...
Responsible Contact Person(s): Steve Hanoka, Chief Information Security Officer Corrective Action Planned: Policies are reviewed and signed. Procedures are in progress, to be followed by implementation. DMAS wants to meet with the APA and VITA to discuss Pen Test and vulnerability scan processes. Completion of System Security Plans (SSPs) are about 50% complete, with 6 SSPs complete, 3 under review, 1 in draft and 7 to schedule. A program management policy/standard has been written and is under review. Estimated Completion Date: 4/1/2024
We are in agreement with the finding. GCCS management will retain documentation to support proper operation of internal controls and compliance with applicable Federal statutes, regulations, Wage Rate Requirements, and other terms and conditions of awards received. By the November 2023 board meeting...
We are in agreement with the finding. GCCS management will retain documentation to support proper operation of internal controls and compliance with applicable Federal statutes, regulations, Wage Rate Requirements, and other terms and conditions of awards received. By the November 2023 board meeting, we will adopt an updated fiscal policy & procedures manual with more explicit language regarding procurement & expenditure requirements for federal funding of capital items.
FINDING 2023-004 Finding Subject: COVID-19 - Education Stabilization Fund – Reporting Summary of Finding: Reports were not reviewed by someone other than the preparer Contact Person Responsible for Corrective Action: Todd Nobbe Contact Phone Number: 812-934-2194 Views of Responsible Official: We con...
FINDING 2023-004 Finding Subject: COVID-19 - Education Stabilization Fund – Reporting Summary of Finding: Reports were not reviewed by someone other than the preparer Contact Person Responsible for Corrective Action: Todd Nobbe Contact Phone Number: 812-934-2194 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The school corporation will establish a proper system for internal controls and develop procedure to ensure report are review by someone other than the preparer. Completion Date: Immediately 2/26/2024
FINDING 2023-003 Finding Subject: COVID-19 - Education Stabilization Fund – Special Tests and Provisions – Wage Rate Requirements Summary of Finding: Weekly payroll reports were not reviewed by the unit for compliance with Davis-Bacon Act Contact Person Responsible for Corrective Action: Todd Nobbe ...
FINDING 2023-003 Finding Subject: COVID-19 - Education Stabilization Fund – Special Tests and Provisions – Wage Rate Requirements Summary of Finding: Weekly payroll reports were not reviewed by the unit for compliance with Davis-Bacon Act Contact Person Responsible for Corrective Action: Todd Nobbe Contact Phone Number: 812-934-2194 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: Management will request and review weekly wage reports for all Davis-Bacon Act projects. Documents will be review and signed off by the Director of Operation and kept for audit. Completion Date: Immediately 2/26/2024
FINDING 2023-002 Finding Subject: COVID-19 - Education Stabilization Fund – Allowable Cost/Cost Principles Summary of Finding: Time and Effort logs were not maintained for grant Contact Person Responsible for Corrective Action: Todd Nobbe Contact Phone Number: 812-934-2194 Views of Responsible Offic...
FINDING 2023-002 Finding Subject: COVID-19 - Education Stabilization Fund – Allowable Cost/Cost Principles Summary of Finding: Time and Effort logs were not maintained for grant Contact Person Responsible for Corrective Action: Todd Nobbe Contact Phone Number: 812-934-2194 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The School Corporation will have the individuals paid by this grant complete time and effort documentation for the grant. Documentation will be kept for the audit. Completion Date: Immediately 2/26/2024
View Audit 295088 Questioned Costs: $1
FINDING 2023-004 Finding Subject: COVID-19 - Education Stabilization Fund - Special Tests and Provisions - Wage Rate Requirements Summary of Finding: The School Corporation had not designed, nor implemented a system of internal control to ensure that construction contracts in excess of $2,000 paid f...
FINDING 2023-004 Finding Subject: COVID-19 - Education Stabilization Fund - Special Tests and Provisions - Wage Rate Requirements Summary of Finding: The School Corporation had not designed, nor implemented a system of internal control to ensure that construction contracts in excess of $2,000 paid from federal grant funds included a prevailing wage rate clause. One construction contract, totaling $35,000 was paid from the Education Stabilization Fund grant funds during the audit period. The single contract was tested. It was noted that the contract did not contain the required prevailing wage rate clause. Certified payrolls were not obtained until after the School Corporation was issued an ESSER Construction Monitoring Report in late 2023. It is recommended that the School Corporation's management establish a system of internal controls and include the wage rate requirement clause in construction contracts. In addition, certified payrolls should be obtained as required. Contact Person Responsible for Corrective Action: James H. Hardman Contact Phone Number and Email Address: 219-663-3371 jhardman@cps.k12.in.us Views of Responsible Officials: The management of the Crown Point Community School Corporation concurs with the finding. Description of Corrective Action Plan: The management of the Crown Point Community School Corporation will establish a system of internal controls and include the wage rate requirement clause in construction contracts. In addition, certified payrolls will be obtained as required. Anticipated Completion Date: February 20, 2024
FINDING 2023-003 Finding Subject: Title I Grants to Local Educational Agencies Special Tests and Provisions – Assessment System Security Summary of Finding: A sample of 40 employees were tested from the school’s roster and ten did not have a signed agreement indicating training was received. There w...
FINDING 2023-003 Finding Subject: Title I Grants to Local Educational Agencies Special Tests and Provisions – Assessment System Security Summary of Finding: A sample of 40 employees were tested from the school’s roster and ten did not have a signed agreement indicating training was received. There was no process to ensure that all employees required to be trained received the training and submitted the Assessment System Security Agreement. It is recommended that the School Corporation's management establish a system of internal controls. Contact Person Responsible for Corrective Action: James H. Hardman Contact Phone Number and Email Address: 219-663-3371 jhardman@cps.k12.in.us Views of Responsible Officials: The management of the Crown Point Community School Corporation concurs with the finding. Description of Corrective Action Plan: The management of the Crown Point Community School Corporation will establish a system of internal controls to ensure all employees required to be trained receive the training and submit the Assessment System Security Agreement. Anticipated Completion Date: February 20, 2024
FINDING 2023-002 Finding Subject: Title I Grants to Local Educational Agencies - Reporting Summary of Finding: The School Corporation had established a system of internal controls over the Final Expenditure report for Title I. However, the internal control process was not documented. It is recommend...
FINDING 2023-002 Finding Subject: Title I Grants to Local Educational Agencies - Reporting Summary of Finding: The School Corporation had established a system of internal controls over the Final Expenditure report for Title I. However, the internal control process was not documented. It is recommended that the School Corporation's management establish a system of internal controls. Contact Person Responsible for Corrective Action: James H. Hardman Contact Phone Number and Email Address: 219-663-3371 jhardman@cps.k12.in.us Views of Responsible Officials: The management of the Crown Point Community School Corporation concurs with the finding. Description of Corrective Action Plan: The management of the Crown Point Community School Corporation will establish a system of internal controls consisting of policies and procedures. Anticipated Completion Date: April 5, 2024
FINDING 2023 003 Finding Subject: Material Weakness and Modified Opinion COVID 19 Education Stabilization Fund – Special tests and provisions regarding wage rate requirements. Summary of Finding: FCSC was not in compliance with the Davis Bacon Act, which requires contractors and subcontractors to su...
FINDING 2023 003 Finding Subject: Material Weakness and Modified Opinion COVID 19 Education Stabilization Fund – Special tests and provisions regarding wage rate requirements. Summary of Finding: FCSC was not in compliance with the Davis Bacon Act, which requires contractors and subcontractors to supply payroll/wage rate information to the contractee if the services provided exceed $2,000.00 and are paid with federal funds. Contact Person Responsible for Corrective Action: Randy Harris Contact Phone Number and Email Address: (765) 825 2178 rharris@fayette.k12.in.us Views of Responsible Officials: We concur with this finding. Description of Corrective Action Plan: We have learned from our error. Going forward, FCSC will be more diligent about understanding the parameters of grant guidelines and reporting. If we have any future contracts that are in excess of $2,000.00 and are to be paid with federal monies, FCSC will be sure to obtain the wage records from the contractor. We can note in the bid request that Davis Bacon rules apply. Anticipated Completion Date: A new procedure is in place effective February 2024.
FINDING 2023 004 Finding Subject: Child Nutrition Cluster – Allowable and Non allowable Activities and Costs Summary of Finding: Material Weakness FCSC did not have a review process in place to ensure that food service program funds were being used for allowable activities and allowable costs. Conta...
FINDING 2023 004 Finding Subject: Child Nutrition Cluster – Allowable and Non allowable Activities and Costs Summary of Finding: Material Weakness FCSC did not have a review process in place to ensure that food service program funds were being used for allowable activities and allowable costs. Contact Person Responsible for Corrective Action: Tina Smith Contact Phone Number and Email Address: (765) 825 2178 tlsmith@fayette.k12.in.us Views of Responsible Officials: We concur with this finding. However, it has never been a past practice to audit the costs and activities of the food service program. This has been a recent change in audit requirements that began with the beginning of this audit period. Description of Corrective Action Plan: The Deputy Treasurer will randomly and periodically request receipts from the food service director in order to conduct a “mini audit” to ensure that all costs and activities are, in fact, allowable. Anticipated Completion Date: A new procedure is in place effective February 2024. The documented oversight will be available and provided for review with the 2025 audit.
Finding 2023-003: Allowable Cost/Cost Principles and Reporting Federal Agency Name: Department of Health and Human Services Program Name: COVID-19 Provide Relief Fund and American Rescue Plan (ARP) Rural Distribution Applicable Federal Award Number and Year Period 4 TIN#237224698 Federal Financial A...
Finding 2023-003: Allowable Cost/Cost Principles and Reporting Federal Agency Name: Department of Health and Human Services Program Name: COVID-19 Provide Relief Fund and American Rescue Plan (ARP) Rural Distribution Applicable Federal Award Number and Year Period 4 TIN#237224698 Federal Financial Assistance Listing Number: 93.498 Finding Summary: Imagine the Possibilities, Inc. final eligible expenditure listing identified as eligible and claimed under the Provider Relief Fund program was not reviewed and approved by a separate individual outside of the preparer. In addition, the Organization’s special report submitted to the Department of Health and Human Services for Period 4 TIN #237224698 was not reviewed and approved by a separate individual outside of the preparer. Responsible Individuals: Megan Simmons, CFO Corrective Action Plan: Management agrees with the finding. The Organization will review the internal controls and implement improvements related to allowability of all federal cost claimed, including those regarding the identification of duplicate items and approved costs. Anticipated Completion Date: March 31, 2024
Finding 2023-004 Finding Subject: Education Stabilization Wage Rate Requirements Summary of Finding: The School Corporation had not designed nor implemented a system of internal controls to ensure that construction contracts in excess of $2,000 paid from federal grant funds included a prevailing wag...
Finding 2023-004 Finding Subject: Education Stabilization Wage Rate Requirements Summary of Finding: The School Corporation had not designed nor implemented a system of internal controls to ensure that construction contracts in excess of $2,000 paid from federal grant funds included a prevailing wage rate clause. One construction contract, totaling $603,973, was paid for with COVID-19 – Education Stabilization Fund grant funds during the audit period. The contract did not include the required prevailing wage rate clause. Contact Person Responsible for Corrective Action: Camden Parkhurst Contact Person Phone Number and Email Address: 765-457-8101 camden.parkhurst@nwsc.k12.in.us View of Responsible Official: We concur with the finding. The corporation acknowledges this error. Description of Corrective Action Plan: The Director of Operations and Director of Finance will work together to ensure wage rate language is in all federal contracts for future projects. Anticipated Completion Date: Immediate
FINDING 2023-003 Finding Subject: Education Stabilization Reporting Summary of Finding: During the audit period the School Corporation submitted two ESSER I reports, two ESSERI II reports and two ESSER III reports for a total of six reports. The reports were prepared and submitted by the Director of...
FINDING 2023-003 Finding Subject: Education Stabilization Reporting Summary of Finding: During the audit period the School Corporation submitted two ESSER I reports, two ESSERI II reports and two ESSER III reports for a total of six reports. The reports were prepared and submitted by the Director of Finance without a documented oversight or review process. In addition, four of the six annual data reports were not supported by the School Corporation’s records. The financial information provided did not agree to the data submitted; therefore, we could not determine the accuracy of the annual data reports. Contact Person Responsible for Corrective Action: Camden Parkhurst Contact Person Phone Number and Email Address: 765-457-8101 camden.parkhurst@nwsc.k12.in.us View of Responsible Official: We concur with the finding. The submissions referenced without proper documentation were submitted by the previous CFO. The current finance staff is unable to locate any supporting documentation regarding those submissions. There is a reimbursement request internal controls document that was signed by both the CFO and Superintendent, but here is no supporting documentation to accompany it. Description of Corrective Action Plan: The current Director of Finance and finance team have attached all supporting documentation from the financial software to their submissions along with an internal controls document signed by the Director of Finance and Superintendent. The corporation is actively working with the Department of Education to amend when it believes to be some errors in the prior submissions as well. Anticipated Completion Date: August 2024
FINDING 2023-002 Finding Subject: Child Nutrition Cluster- Allowable Activities, Allowable Costs/Cost Principals Summary of Finding: A portion of the wages for the CFO/Treasurer, the Director of Operations, the Director of Finance, and two School Secretaries were paid from the School Lunch Fund. The...
FINDING 2023-002 Finding Subject: Child Nutrition Cluster- Allowable Activities, Allowable Costs/Cost Principals Summary of Finding: A portion of the wages for the CFO/Treasurer, the Director of Operations, the Director of Finance, and two School Secretaries were paid from the School Lunch Fund. The wages charged to the School Lunch fund were based on fixed percentages and did not provide adequate information to determine if the percentage charged was appropriate. Total wages charged to the program for the above noted employees was $31,617. Contact Person Responsible for Corrective Action: Camden Parkhurst Contact Person Phone Number and Email Address: 765-457-8101 camden.parkhurst@nwsc.k12.in.us View of Responsible Official: We concur with the finding. There was a substantial amount of turnover within the finance department. It was understood that the mentioned salaries were removed from the 0800 fund following the last audit. During review it was discovered only the Director of Operations and Assistant Treasurer salaries were removed from the child nutrition cluster. Upon discovery the Operations Assistant and Director of Finance were still having a portion of the salary paid from the 0800 fund, they were immediately removed. Description of Corrective Action Plan: The Director of Finance and the Operations Assistant’s salaries have been removed from the 0800 fund and returned to the 0300 fund. Anticipated Completion Date: Immediate and has been completed.
View Audit 294966 Questioned Costs: $1
FINDING 2023-004 Finding Subject: COVID-19 - Education Stabilization Fund – Allowable Costs/Cost Principles Summary of Finding: Condition and Context The Elementary and Secondary School Emergency Relief (ESSER) Fund provided funding to States and school districts to combat the effects of the coronav...
FINDING 2023-004 Finding Subject: COVID-19 - Education Stabilization Fund – Allowable Costs/Cost Principles Summary of Finding: Condition and Context The Elementary and Secondary School Emergency Relief (ESSER) Fund provided funding to States and school districts to combat the effects of the coronavirus pandemic, help safely reopen and sustain the safe operation of schools, and to address the impact of the coronavirus pandemic on the nation’s students. States were required to subgrant a portion of their ESSER allocation to local educational agencies (LEA). Prior to LEAs receiving their respective subgrants, LEAs were required to complete an application for ESSER funding, which was submitted to the Indiana Department of Education (IDOE), the pass-through entity for approval. The application included a district level budget identifying how the LEA intended to spend program funds. Per the School Corporation’s approved application, program funding was budgeted for salaries and respective benefits, counseling services, and supplies. A sample of 40 payroll claims charged to the ESSER program for which reimbursement was received during the audit period was selected for testing to verify the expenditures were in conformance with the applicable cost principles. Of the 40 payroll claims tested, 21 payroll claims were determined to be for payroll adjustments into the ESSER II fund. For all 21 payroll adjustments, totaling $1,509,248, there was not adequate supporting documentation to determine to where the payroll was originally paid, to whom the original payment was made and at what amount the original payment was made. The total amount of the 21 payroll claims/adjustments, $1,509,248, was determined to be questioned costs. Due to the lack of documentation for the payroll adjustments into the ESSER II fund, all adjustments were reviewed. A review of the additional adjustments resulted in an additional $114,353 of payroll charges in which there was not adequate supporting documentation to determine to where the payroll was originally paid, to whom the original payment was made and at what amount the original payment was made. In addition, the School Corporation requested a total reimbursement of $3,342,940 in payroll costs from their ESSER allocation during the audit period. However, expenditures per the ledger for payroll and benefits totaled $2,995,014. As a result, the School Corporation over requested and received $347,926 for payroll expenditures that cannot be substantiated. The lack of internal controls was a systemic issue throughout the audit period. The noncompliance was isolated to the payroll adjustments and additional payroll noted above. Contact Person Responsible for Corrective Action: Dr. Thomas A. Keeley, Executive Director of Business Services Contact Phone Number and Email Address: (574) 258-9591 Tkeeley@phm.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: The school corporation will revise job descriptions to clearly identify segregation of duties for Federal Fund Coordinators, employees responsible for calculating accurate disbursement reports, reimbursement requests and payroll processing. Detailed expenditure reports will be generated for end of year reporting with the Accounting Specialist, Accounts Payable Coordinator and the Executive Director of Business Services completing a final review process providing signatures indicating review and accuracy before filing. Anticipated Completion Date: March 1, 2024.
View Audit 294813 Questioned Costs: $1
FINDING 2023-005 Finding Subject: COVID-19 - Education Stabilization Fund - Reporting Summary of Finding: Condition and Context The School Corporation had not properly designed or implemented a system of internal controls, which would include appropriate segregation of duties, that would likely be e...
FINDING 2023-005 Finding Subject: COVID-19 - Education Stabilization Fund - Reporting Summary of Finding: Condition and Context The School Corporation had not properly designed or implemented a system of internal controls, which would include appropriate segregation of duties, that would likely be effective in preventing, or detecting and correcting, noncompliance. The School Corporation was required to submit an annual data report to the Indiana Department of Education (IDOE) via JotForm, a form/report builder. Data to be submitted included, but was not limited to, current period expenditures, prior period expenditures, and expenditures per activity. During the audit period the School Corporation submitted two ESSER I reports, two ESSER II reports and two ESSER III reports, for a total of six reports. The annual data reports were to be prepared and submitted by the School Principal and reviewed by the Executive Business Director; however, no evidence of this review or oversight process could be provided. As such the annual data reports were prepared and submitted to IDOE without an oversight or review process to prevent or detect and correct errors. In addition, five of the six reports submitted during the audit period were not supported by the School Corporation’s records. The following errors were identified:  The ESSER I, Year 2 report, which had an applicable reporting period of October 1, 2020 through June 30, 201, reported $534,761 in expenditures. However, actual expenditures for the applicable reporting period totaled $478,883.  The ESSER 1, Year 3 report which had an applicable reporting period of July 1, 2021 to June 30, 2022, reported $0 in expenditures. However, actual expenditures for the applicable reporting period totaled $243,814.67.  The ESSER II, Year 1 report, which had an applicable reporting period of July 1, 2020 to June 30, 2021, reported $733 in expenditures. However, actual expenditures for the applicable reporting period totaled $322,539.  The ESSER II, Year 2 report, which had an applicable reporting period of July 1, 2021 to June 30, 2022, reported $0 in expenditures. However, actual expenditures for the applicable reporting period totaled $276,642.  The ESSER III, Year 2 report, which had an applicable reporting period of July 1, 2021 to June 30, 2022, reported $0 in expenditures. However, actual expenditures for the applicable reporting period totaled $1,315,208. The lack of internal controls and noncompliance were systemic issues throughout the audit period. Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: The school corporation will revise job descriptions to clearly identify segregation of duties for Federal Fund Coordinators, employees responsible for calculating accurate disbursement reports and reimbursement requests. Detailed expenditure reports will be generated for end of year reporting with the Accounting Specialist, Accounts Payable Coordinator and the Executive Director of Business Services completing a final review process providing signatures indicating review and accuracy before filing. Anticipated Completion Date: March 1, 2024.
FINDING 2023-003 Finding Subject: Child Nutrition Cluster - Allowable Costs/Cost Principles Summary of Finding: Condition and Context Direct charges to a federal award are to be for allowable costs and made in conformance with the applicable cost principles. Payroll benefits were entered by the payr...
FINDING 2023-003 Finding Subject: Child Nutrition Cluster - Allowable Costs/Cost Principles Summary of Finding: Condition and Context Direct charges to a federal award are to be for allowable costs and made in conformance with the applicable cost principles. Payroll benefits were entered by the payroll department and reviewed by the Payroll Coordinator to ensure proper payment. However, this review was not completed on a detailed level by employee to ensure the payroll withholdings, deductions, and benefits retained from employees’ wages were for allowable costs and made in conformance with applicable cost principles. The lack of internal controls was a systemic issue throughout the audit period. Contact Person Responsible for Corrective Action: Dr. Thomas A. Keeley, Executive Director of Business Services Contact Phone Number and Email Address: (574) 258-9591 Tkeeley@phm.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: The school corporation will revise job descriptions to clearly identify tasks and responsibilities for the payroll process. The school corporation will print a detailed employee wage report for each payroll with double signatures indicating a thorough review process by the payroll coordinator and the payroll accounting specialist/Food Service Manager. Finally, the Executive Director for Business Services will complete noting a final review of corresponding benefits withholdings to the corresponding vendor payments indicating the process is complete with an official signature. Anticipated Completion Date: March 1, 2024.
Management is aware and understands the importance of compliance with the federal requirements and will ensure the meal counts will be properly reported in the future.
Management is aware and understands the importance of compliance with the federal requirements and will ensure the meal counts will be properly reported in the future.
Finding 2023 - 003 Allowable Costs - Native Hawaiian Education – Assistance Listing 84.362A KA concurs with the Recommendation. In conjunction with the search and seating of a permanent School Director (in progress), the Reconstituted Governing Board (“RGB”) as a whole, intends to prioritize the: A)...
Finding 2023 - 003 Allowable Costs - Native Hawaiian Education – Assistance Listing 84.362A KA concurs with the Recommendation. In conjunction with the search and seating of a permanent School Director (in progress), the Reconstituted Governing Board (“RGB”) as a whole, intends to prioritize the: A) Updating and/or creation of policies (that either don’t exist or aren’t documented); B) Cascading policies to related processes and procedures; and C) Training appropriate staff; and D) Monitoring the practices, to ensure the day to day practices are consistent with and aligned to the policies, processes and procedures. Policy Focus: Grant Management (e.g., accounting, reporting, budgeting, compliance, authorized procurement, inventory, federal draws, federal progress report, communication with federal program office, utilization of curriculum, supplies, equipment in compliance with the specific grant). Any questions regarding this response may be directed to Aumoana Kanakaole-Lato, Reconstituted Governing Board Chair at aumoana.kanakaole@kamalaniacademy.org.
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 2023-001 Risk Assessment Process Related to Compliance Requirements (Repeat Finding 2022-001) 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 2023-001 Risk Assessment Process Related to Compliance Requirements (Repeat Finding 2022-001) 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, compliance of federal programs has become decentralized. We agree that additional resources need to be added to ensure compliance with all state and federal awards. The Organization has added additional capacity to the Business Office to assume the compliance and reporting responsibilities. Michelle Krauter, the Director of Accounting & Finance, 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 2024. 43
Federal Agency: U.S. Department of Housing and Urban Development Program/Cluster: Section 8 Housing Choice Voucher Cluster Federal Assistance Listing Number: 14.871 Pass‐through: N/A Award No. and Year: CA065‐2023 Compliance Requirement: Utility Allowance Schedule Type of Finding: Instance of Non‐Co...
Federal Agency: U.S. Department of Housing and Urban Development Program/Cluster: Section 8 Housing Choice Voucher Cluster Federal Assistance Listing Number: 14.871 Pass‐through: N/A Award No. and Year: CA065‐2023 Compliance Requirement: Utility Allowance Schedule Type of Finding: Instance of Non‐Compliance and Material Weakness in Internal Control over Compliance Views of Responsible Officials: The Housing Authority fully complied with 24CFR 982.517(C)(1) of HUD regulations that states that "A PHA must review its schedule of utility allowances each year and must revise its allowance for a utility category if there has been a change of 10 percent or more in the utility rate since the last time the utility allowance schedule was revised. The PHA must maintain information supporting its annual review of utility allowances and any revisions made in its utility allowance schedule." Each year, the Housing Authority hires a consultant to analyze the Utility allowances for the Fairfield jurisdiction. Once that assessment is completed, Housing Authority staff and Management review it. The Housing Authority staff then meets with the Consultant to discuss any irregularities found or resolve questions emanating from its review. Once staff and Management are satisfied with the information, have clear documentation explaining the Consultant's conclusions, and memorialize any categories that have changed 10% or more, Management will finalize its review of the Utility Allowance Schedule. The Housing Authority will document Management’s approval of the utility allowance adjustments, if any. Responsible Individual(s): Tanya Tran, Housing Division Manager LaTanna Jones, Deputy Executive Director Anticipated Completion Date: June 1, 2024
Federal Agency: U.S. Department of Housing and Urban Development Program/Cluster: Section 8 Housing Choice Voucher Cluster Federal Assistance Listing Number: 14.871 Pass‐through: N/A Award No. and Year: CA065‐2023 Compliance Requirement: Reporting Type of Finding: Material Weakness in Internal Contr...
Federal Agency: U.S. Department of Housing and Urban Development Program/Cluster: Section 8 Housing Choice Voucher Cluster Federal Assistance Listing Number: 14.871 Pass‐through: N/A Award No. and Year: CA065‐2023 Compliance Requirement: Reporting Type of Finding: Material Weakness in Internal Control over Compliance Views of Responsible Officials: We concur. The Housing Authority addressed this issue when the City was informed in March 2023 there was not enough documentation prior to online grant reporting for the auditors to verify grant reports were reviewed prior to submission on other grants being audited. The Housing Authority has continuously maintained a check and balance approach for preparing and reviewing VMS reports before HUD submission. All reports are prepared by the Housing Authority and finance staff, then reviewed by either the Housing Authority Manager or the Deputy Executive Director before submission to HUD. The reviewer is now documenting their review prior to submitting the VMS reports. Responsible Individual(s): Tanya Tran, Housing Division Manager Anticipated Completion Date: June 30, 2023
Finding 375660 (2023-005)
Significant Deficiency 2023
Federal Agency: U.S. Department of Transportation Program/Cluster: Highway Planning and Construction Federal Assistance Listing Number: 20.205 Pass‐through: California Department of Transportation Award No. and Year: STPCML‐5132 (049) – 2022 and HSIPL‐5132 (52) ‐ 2022 Compliance Requirement: Special...
Federal Agency: U.S. Department of Transportation Program/Cluster: Highway Planning and Construction Federal Assistance Listing Number: 20.205 Pass‐through: California Department of Transportation Award No. and Year: STPCML‐5132 (049) – 2022 and HSIPL‐5132 (52) ‐ 2022 Compliance Requirement: Special Tests and Provisions – Wage Rate Requirements Type of Finding: Significant Deficiency in Internal Control over Compliance Views of Responsible Officials and Corrective Action Plan: The Public Works Department does review the certified payroll by management and files it within the project folder yet there was no documented sign off to verify when this review was completed. The City will add an additional step to document the verification of the review by management for future projects. Responsible Individual(s): Roger Dunham, Administration Division Manager Anticipated Completion Date: March 1, 2024
Federal Agency: U.S. Department of Homeland Security Program/Cluster: Staffing for Adequate Fire & Emergency Response Federal Assistance Listing Number: 97.083 Pass‐through: N/A Award No. and Year: EMW‐2020‐FF‐00816, 2020 Compliance Requirement: Reporting Type of Finding: Material Weakness in Intern...
Federal Agency: U.S. Department of Homeland Security Program/Cluster: Staffing for Adequate Fire & Emergency Response Federal Assistance Listing Number: 97.083 Pass‐through: N/A Award No. and Year: EMW‐2020‐FF‐00816, 2020 Compliance Requirement: Reporting Type of Finding: Material Weakness in Internal Control over Compliance Views of Responsible Officials and Corrective Action Plan: The Fire Department has addressed this issue when the City was informed in March 2023 there was not enough documentation prior to online grant reporting for the auditors to verify grant reports were reviewed prior to submission on other grants being audited. The two (2) submissions in question were reviewed and verified by management but were not documented for the auditors to verify when the review was completed, prior to the City being notified in March 2023 to further document the review process. The City has implemented this recommendation. Responsible Individual(s): Taylor Armour, Administration Division Manager Anticipated Completion Date: June 30, 2023
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