Corrective Action Plans

Finding 1236681 (2025-101)

Material Weakness 2025

Mayer Domestic Water Improvement District

AZ

Reporting Internal Control / Segregation of Duties Subrecipient Monitoring § 200.303 § 200.512

Condition and Context: The District did not establish controls to identify and monitor applicable federal reporting requirements associated with its federal awards. As a result, the District did not submit its Single Audit reporting package to the Federal Audit Clearinghouse by the required deadline...

Condition and Context: The District did not establish controls to identify and monitor applicable federal reporting requirements associated with its federal awards. As a result, the District did not submit its Single Audit reporting package to the Federal Audit Clearinghouse by the required deadline of March 31, 2026. Recommendation: The District should establish procedures to identify applicable Federal compliance requirements upon acceptance of Federal awards, monitor cumulative Federal expenditures to determine when a Single Audit is required, assign responsibility for monitoring reporting deadlines, and maintain a compliance calendar to ensure timely submission of all required Federal reports and the Single Audit reporting package. Contact Name: Carrissa Anderson, Business Administrator Corrective Action Planned: The District accepts the recommendation and will improve internal controls over reporting. The District has added this to our annual calendar to ensure proper reporting to the Federal Audit Clearinghouse. Anticipated Completion Date: Immediately.

View Audit 412226

Finding 1236663 (2025-003)

Material Weakness 2025

Le Sueur County

MN

Allowable Costs / Cost Principles § 200.303 § 200.403 § 200.405

The County will implement a documented review and approval process for expenditures included in reimbursement requests. Supporting documentation will be reviewed prior to submission to verify that amounts claimed agree to underlying records, including invoices, force account equipment records, and o...

The County will implement a documented review and approval process for expenditures included in reimbursement requests. Supporting documentation will be reviewed prior to submission to verify that amounts claimed agree to underlying records, including invoices, force account equipment records, and other applicable supporting documentation. Evidence of the review and approval will be retained with the reimbursement documentation. The County has reached out to the Minnesota Department of Public Safety to update the claimed costs as necessary for the mathematical error. Responsible Person: Joe Martin, County Administrator & Carol Blaschko, Finance Director Anticipated Completion Date: 12/31/26

View Audit 412205

Finding 1236588 (2025-002)

Material Weakness 2025

TOWN OF GYPSUM TOWN HALL

CO

Procurement, Suspension & Debarment § 200.213 § 200.303

Management agrees with this finding and will implement policies and procedures to ensure that potential vendors are not suspended or debarred prior to contracting with them for goods and services.

View Audit 412140

Finding 1236586 (2025-001)

Material Weakness 2025

TOWN OF GYPSUM TOWN HALL

CO

Procurement, Suspension & Debarment § 200.213 § 200.303

Management agrees with this finding and will implement policies and procedures to ensure that potential vendors are not suspended or debarred prior to contracting with them for goods and services.

View Audit 412140

Finding 1236569 (2025-001)

Material Weakness 2025

City of Portsmouth

OH

Subrecipient Monitoring Reporting HUD Housing Programs § 200.303

The City of Portsmouth, Virginia respectfully submits the following corrective action plan for the year ended June 30, 2025. Audit period: July 01, 2024 - June 30, 2025 The finding from the schedule of findings and questioned costs are discussed below. FINDINGS—FEDERAL AWARD PROGRAMS AUDITS U.S. Dep...

The City of Portsmouth, Virginia respectfully submits the following corrective action plan for the year ended June 30, 2025. Audit period: July 01, 2024 - June 30, 2025 The finding from the schedule of findings and questioned costs are discussed below. FINDINGS—FEDERAL AWARD PROGRAMS AUDITS U.S. Department of Housing and Urban Development Community Development Block Grant Program – Assistance Listing No. 14.218 Recommendation: We recommend the City establish procedures and internal controls to ensure that all required sub awards are reported timely and accurately to FSRS no later than the end of the month following the month of issuance of each sub award.. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Review City’s policy, procedures, and internal controls to ensure the required sub awards and reported timely and accurately to FSRS.. Name(s) of the contact person(s) responsible for corrective action: Jeffrey Crimer, Patrick Fletcher, & Kyera Pope. Planned completion date for corrective action plan: 06/30/26 .

View Audit 412121

Finding 1236516 (2025-001)

Material Weakness 2025

Taliaferro County Board of Education

GA

Cash Management Subrecipient Monitoring Internal Control / Segregation of Duties § 200.302 § 200.303 § 200.305

FA 2025-001 Improve Controls over Cash Management Compliance Requirement: Internal Control Impact: Compliance Impact: Federal Awarding Agency: Pass-Through Entity: Assistance Listing Number and Title: Federal Award Number: Questioned Costs: Repeat of Prior Vear Finding: Description: Cash Management ...

FA 2025-001 Improve Controls over Cash Management Compliance Requirement: Internal Control Impact: Compliance Impact: Federal Awarding Agency: Pass-Through Entity: Assistance Listing Number and Title: Federal Award Number: Questioned Costs: Repeat of Prior Vear Finding: Description: Cash Management Material Weakness Material Noncompliance U.S. Department of Education Georgia Department of Education 84.371 C - Comprehensive Literacy Development S371C190016 None None The School District erroneously but unintentionally requested reimbursement twice for the same expenditures and received duplicate payments from GADOE that resulted in cash drawdowns in excess of immediate cash needs for the Comprehensive Literacy Development program. Corrective Action Plans: Prior to submitting grant drawdown and reimbursement requests in GAO RS/Grants application of the GA DOE portal, the Finance Director will review all documentation related to grant expenditures including but not limited to: budget reports, grant drawdown request sheets, YTD DE147s and grant payment advices. Grant budget managers will not submit payment requests in GAORS or the Grants application in the GA DOE portal prior to the Finance Director reviewing the requests. Cash in excess of immediate needs will not be requested from GA DOE. The Finance Director will review and monitor cash balances of grant funds monthly for excessive cash balances. In the event a grant fund has an excessive cash balance, the Finance Director will immediately initiate the process to ensure the funds wi ll be returned to the GA DOE promptly. Estimated Completion Date: Corrective action was completed at the sunset of the Comprehensive Literacy Development program in September of 2025. Contact Person: Dr. Andreana Jones, Superintendent Telephone: 706-986-0396 Email: ajones@)taliaferro.k12.ga.us

View Audit 412051

Finding 1236499 (2025-006)

Material Weakness 2025

Chicago Housing Authority

IL

Procurement, Suspension & Debarment Subrecipient Monitoring HUD Housing Programs § 200.303 § 200.318 § 200.319 § 200.320

Finding 2025-006 I. Procurement, Suspension and Debarment Procurement Approval and Executed Agreement Compliance Management agrees with the finding and has outlined the following corrective actions: • Obtain Board approval for a new intergovernmental agreement for Chicago Police Department at the Se...

Finding 2025-006 I. Procurement, Suspension and Debarment Procurement Approval and Executed Agreement Compliance Management agrees with the finding and has outlined the following corrective actions: • Obtain Board approval for a new intergovernmental agreement for Chicago Police Department at the September 2026 board meeting. • Complete a full review of 2025 and 2026 procurement files by the end of Q1-2027 to ensure all required Board approvals and executed agreements are retained. • Strengthen internal workflows to prevent procurement actions from proceeding without verified approvals and executed agreements through inclusion of a new checklist which will be reflected in an updated standard operating procedures (SOP). • Provide refresher training to procurement staff on 2 CFR 200 documentation retention requirements by December 2026. Suspension and Debarment Compliance Management concurs with the findings and will implement: • Semiannual targeted training to reinforce staff responsibilities for verifying vendor eligibility and documenting compliance to begin December 2026. • Enhanced managerial monitoring through a standardized checklist to ensure required suspension/debarment checks are completed and retained before issuing purchase orders. Implemented January 2027. Responsible for Corrective Action: Tamika Carson, Director of Procurement; Sheila Johnson, Deputy Chief Procurement Anticipated Completion Date: Q1-2027

View Audit 412020

Finding 1236498 (2025-004)

Material Weakness 2025

Chicago Housing Authority

IL

HUD Housing Programs § 200.303

Finding 2025-004 N. Special Tests and Provisions: H6. Housing Assistance Payment HCV: CHA acknowledges the auditors’ interpretation regarding the HUD‑52641A Tenancy Addendum but maintains that participant signatures are not required under HUD regulations or standard program practice. The auditors’ p...

Finding 2025-004 N. Special Tests and Provisions: H6. Housing Assistance Payment HCV: CHA acknowledges the auditors’ interpretation regarding the HUD‑52641A Tenancy Addendum but maintains that participant signatures are not required under HUD regulations or standard program practice. The auditors’ position that the Tenancy Addendum must be signed by the participant in order to be executed is based on the 2025 Compliance Supplement, not on HUD regulation or normal program operations. HCV has provided sufficient evidence that all HAP contracts have been fully executed in accordance with HUD regulations. All HAP issued during the audit period was accurate based on income calculations provided by the family at program admission or during the most recent regular or interim recertification. HCV will continue to seek updated guidance from HUD regarding the execution of the HAP contract which includes the Tenancy Addendum. No further actions are warranted. Low Rent & RAD: CHA Management centralized the RAD rent‑increase process under a single Asset Manager in Q4-2025, with full control procedures implemented in Q2-2026 to ensure consistent tracking, timely processing, and stronger accountability. The Asset Manager now manages owner outreach, request review and submission, Yardi updates, management‑firm coordination, and quality‑control verification, while maintaining complete documentation of approvals and system updates. A standard operating procedure (SOP) formalizing this process will be completed by Q3-2026. The centralized process applies through 2026, with responsibilities planned to return to individual asset managers in 2027. Responsible for Corrective Action: Solonge Robinson, Director of Asset Management Anticipated Completion Date: 3Q-2026

View Audit 412020

Finding 1236497 (2025-003)

Material Weakness 2025

Chicago Housing Authority

IL

HUD Housing Programs Special Tests & Provisions § 200.303

Finding 2025-003 N. Special Tests and Provisions: N4. NSPIRE/Housing Quality Standards Inspections HCV generally agrees with the recommendation to follow its established internal controls over HQS/NSPIRE inspections as outlined in its HCV Administrative Plan. HCV Inspections Compliance team will rev...

Finding 2025-003 N. Special Tests and Provisions: N4. NSPIRE/Housing Quality Standards Inspections HCV generally agrees with the recommendation to follow its established internal controls over HQS/NSPIRE inspections as outlined in its HCV Administrative Plan. HCV Inspections Compliance team will review inspection scheduling procedures of contracted HCV inspections team to ensure HQS/NSPIRE inspections are scheduled and conducted biennially in accordance with the Inspections Guidebook and HCV Administrative Plan. Yardi and Power BI reporting will be generated and employed to aid tracking of inspections scheduling practices. Also, HCV will update guidance in its Administrative Plan to mirror HUD regulations in relation to timelines of inspections conducted. Responsible for Corrective Action: Roberto Galvez, HCV Inspections Compliance Manager Anticipated Completion Date: Q4-2026

View Audit 412020

Finding 1236496 (2025-002)

Material Weakness 2025

Chicago Housing Authority

IL

Subrecipient Monitoring HUD Housing Programs Internal Control / Segregation of Duties § 200.303

Finding 2025-002 N. Special Tests and Provisions: N16. Environmental Contaminants Testing and Remediation Low-Rent and RAD (UPCS): Management has designed a control to further strengthen work order compliance. The control includes: • As CHAs third party vendor completes its NSPIRE inspections, the P...

Finding 2025-002 N. Special Tests and Provisions: N16. Environmental Contaminants Testing and Remediation Low-Rent and RAD (UPCS): Management has designed a control to further strengthen work order compliance. The control includes: • As CHAs third party vendor completes its NSPIRE inspections, the Property and Office Management team will run a report day of inspection and/or day after to capture/identify work orders requiring 24hr completion. • CHA monitors 24-hour work orders daily and generates weekly remediation reports covering all required timeframes (24-hour, 30-day, 60-day). • Weekly reports are generated by CHA and provided to the PPMs for review and work order closure. • Work orders which remain open past due dates trigger warning letters to the respective property managers. Additionally, comments are added to the weekly reports to document reasons for outstanding compliance. Weekly reports are stored on SharePoint and accessible by management. • Property Managers are provided with warning letters for untimely closed work orders. 3 warning letters triggers a default by the PPM as enacted by the Department of Procurement and Contracts. • The above process has been enacted as of Aug 2026 and will be captured in a standard operating procedure (SOP) by Q3-2026. Responsible for Corrective Action: Anthony Myers, Director, Property Operations; Takina Clark, Property Operations; Pamela Fairley, Director RAD Anticipated Completion Date of: 3Q-2026 Low-Rent and RAD (Environmental): The Green and Healthy Homes Program, in coordination with Property Operations and Private Property Management (PPM), is implementing process improvements to strengthen environmental contaminant testing, moisture assessment, and mold remediation practices across CHA properties. Key actions include finalizing internal, partner, and vendor guidelines and SOPs—covering product specifications, guidance, and decision mapping—targeted for distribution in Q4-2026. CHA established a dedicated environmental vendor pool as of September 1, 2026, enabling standardized training and compliance monitoring for moisture assessments and remediation work. PPM staff will receive ongoing quarterly training on identifying and triaging suspected mold, implementing prevention strategies, and applying best practice remediation responses. Resident education will focus on prevention and safe housekeeping practices. Pending the release of new Illinois Department of Public Health mold and moisture regulations, CHA will conduct targeted training and certification outreach to ensure compliance once rulemaking is complete. Two PPM training sessions were completed in Q2 & Q3 2026. Completion and ongoing compliance will be validated through (a) workflow process improvement efforts, (b) distribution of updated guidelines/SOPs, (c) implementation of quality assurance audits of remediation work (sampling one out of every four relevant projects), and (d) enhanced data capture within Yardi to support screening during inspections. Relevant projects include work orders that are flagged as either mold/moisture or lead-based paint hazard. Audits will include a desktop review to determine whether property is a target property (per building year data and 24 CFR Part 35) and whether property management took appropriate moisture/mold remediation steps or lead-safe work practices. Responsible for Corrective Action: Elizabeth Poole, Director Healthy Homes Anticipated Completion Date: Q4-2026

View Audit 412020

Finding 1236495 (2025-001)

Material Weakness 2025

Chicago Housing Authority

IL

HUD Housing Programs § 200.303

Finding 2025-001 E. Eligibility, L. Reporting (Form HUD-50058 MTW), and N. Special Tests and Provisions – N1. Waiting List, N2. Reasonable Rent, N3. Utility Allowance Schedule, N6. Housing Assistance Payment HCV: HCV generally agrees with the recommendation to strengthen policies, procedures, and in...

Finding 2025-001 E. Eligibility, L. Reporting (Form HUD-50058 MTW), and N. Special Tests and Provisions – N1. Waiting List, N2. Reasonable Rent, N3. Utility Allowance Schedule, N6. Housing Assistance Payment HCV: HCV generally agrees with the recommendation to strengthen policies, procedures, and internal controls surrounding the timeliness of ensuring program eligibility. HCV notes that no ineligible households were identified during the audit period. HCV Program Compliance team will review quality control procedures of HCV program administrators to ensure processes are sound and efficient, proper controls are in place and regular recertifications are conducted and submitted to the U.S. Department of Housing and Urban Development (HUD) completely and timely. HCV will work closely with the CHA Internal Audit team to create an audit plan to ensure established strengthened procedures and internal controls are effective. Responsible for Corrective Action: Isaelena Albarran, HCV Program Compliance Manager Anticipated Completion Date: Q2-2027 Low-Rent and RAD: CHA is strengthening internal controls and oversight for Public Housing and RAD tenant file compliance through 2027. CHA has issued a request-for-proposal for a comprehensive 100% tenant file audit to address deficiencies in eligibility, reexaminations, documentation, income/rent calculations, and HUD 50058 reporting. As part of this effort, CHA Compliance will also assess enhancements to electronic document management systems to improve document completeness and support streamlined, accountable workflows. CHA will reinforce Perfect File standards, update written procedures and controls, and provide standardized training to Private Property Management firms (PPMs) and staff on core compliance requirements and common deficiencies. PPMs will remain responsible for maintaining compliant files. CHA will improve tracking of findings and corrective actions, including accountability, due dates, escalation for overdue or repeat issues, and enforcement when appropriate. CHA Compliance will monitor the 100% audit, report on progress and trends, and use results to assess control effectiveness and determine needed training, guidance, and management actions. Responsible for Corrective Action: Iwona Kowalska, Director of Compliance Anticipated Completion Date: 4Q-2027

View Audit 412020

Finding 1236485 (2025-005)

Material Weakness 2025

Chicago Housing Authority

IL

HUD Housing Programs Subrecipient Monitoring Internal Control / Segregation of Duties § 200.303

Finding 2025-005 N. Special Tests and Provisions: N4. Vacant Units HCV agrees with the auditor’s recommendation to reassess its internal control over vacant units to ensure claims are reduced or reduced in a timely manner. Project Based Voucher (PBV) Program Compliance staff will review and update w...

Finding 2025-005 N. Special Tests and Provisions: N4. Vacant Units HCV agrees with the auditor’s recommendation to reassess its internal control over vacant units to ensure claims are reduced or reduced in a timely manner. Project Based Voucher (PBV) Program Compliance staff will review and update written quality control procedures of PBV program administrators to ensure vacancy payment processes are efficient, properly controlled, and compliant with HUD requirements. PBV Program Compliance will provide updated procedures and training to all impacted teams. In addition, the HCV Program Compliance Manager will strengthen existing compliance monitoring activities to identify and address any exceptions related to vacancy payment processing. Responsible for Corrective Action: Isaelena Albarran, HCV Program Compliance Manager Anticipated Completion Date: Q4-2026

View Audit 412020

Finding 1236482 (2025-003)

Material Weakness 2025

Internews Network

CA

Subrecipient Monitoring § 200.303 § 200.329 § 200.331 § 200.333

Views of Responsible Officials: Management acknowledges the finding and agrees that certain subrecipient monitoring documentation requested during the audit was not available for review. Management believes that the underlying monitoring, oversight, and compliance procedures were performed in accord...

Views of Responsible Officials: Management acknowledges the finding and agrees that certain subrecipient monitoring documentation requested during the audit was not available for review. Management believes that the underlying monitoring, oversight, and compliance procedures were performed in accordance with organizational policies and Federal requirements during the period under audit. As with procurement activities, significant reductions in force following the termination of U.S. Government funding resulted in the rapid reassignment or discontinuation of responsibilities and limited the organization's ability to consolidate all supporting records. Documentation was maintained in multiple locations, and not all files were transitioned to a centralized repository before staff departures occurred. As a result, management was unable to provide complete supporting documentation for all items selected for testing. To address this issue, management has already revised its subrecipient management and monitoring policy. The updated policy clearly defines roles, responsibilities, record retention requirements, and documentation standards within the organization's current operating structure. The revised policy has been formally communicated and distributed across the organization. Management believes these actions will strengthen accountability, improve documentation consistency, and enhance the accessibility of subrecipient records in the future.

View Audit 412014

Finding 1236481 (2025-002)

Material Weakness 2025

Internews Network

CA

Procurement, Suspension & Debarment § 200.303 § 200.318 § 200.327

Views of Responsible Officials: Management acknowledges the finding and agrees that certain procurement files requested during the audit could not be located or produced in complete form. Management believes that procurement activities were conducted in accordance with organizational policies and ap...

Views of Responsible Officials: Management acknowledges the finding and agrees that certain procurement files requested during the audit could not be located or produced in complete form. Management believes that procurement activities were conducted in accordance with organizational policies and applicable Federal requirements at the time the transactions occurred. However, following the rapid and significant reductions in force resulting from the termination of U.S. Government funding, not all procurement responsibilities and records were fully transitioned to remaining personnel. Functions were discontinued on an accelerated timeline, resulting in procurement documentation being maintained across multiple systems and storage locations rather than within a single centralized repository. Consequently, certain supporting records could not be readily retrieved during the audit.Management has initiated a comprehensive revision of its procurement policy and related procedures. The revised policy will require centralized storage of procurement documentation and establish clearer accountability for records management. In addition, roles and responsibilities will be more clearly defined within the organization's current structure to promote consistency, continuity, and accessibility of procurement records going forward.

View Audit 412014

Finding 1236480 (2025-001)

Material Weakness 2025

Internews Network

CA

Subrecipient Monitoring Reporting § 200.303

Views of Responsible Officials: Management acknowledges the finding and the challenges encountered in providing supporting documentation for FFATA reporting activities during the audit. Management maintains that established FFATA reporting procedures were followed and that required reporting activit...

Views of Responsible Officials: Management acknowledges the finding and the challenges encountered in providing supporting documentation for FFATA reporting activities during the audit. Management maintains that established FFATA reporting procedures were followed and that required reporting activities were performed during the period under audit. Following the abrupt termination of significant U.S. Government funding, Internews implemented substantial reductions in force that affected personnel responsible for grant compliance, reporting oversight, and record retention. As a result, key staff members with primary responsibility for FFATA reporting and supporting documentation were no longer available to assist with the retrieval, explanation, or validation of records requested during the audit process. While management believes that applicable FFATA reporting requirements were met, the organization was unable to provide sufficient supporting documentation to demonstrate compliance for all items selected for testing. Management recognizes the need to strengthen record retention and knowledge-transfer procedures to ensure continuity of documentation during periods of organizational transition and staffing reductions. Management will evaluate opportunities to further centralize reporting records and strengthen controls surrounding the retention of compliance documentation.

View Audit 412014

Finding 1236341 (2025-003)

Material Weakness 2025

Community Foundation of Northern Nevada

NV

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

Federal Agency Name: Department of Treasury Assistance Listing Number: 21.027 Program Name: Coronavirus State and Local Fiscal Recovery Funds Finding Summary: The Foundation did not have internal controls to ensure proper review and approval (segregation of duties) between the preparer and reviewer ...

Federal Agency Name: Department of Treasury Assistance Listing Number: 21.027 Program Name: Coronavirus State and Local Fiscal Recovery Funds Finding Summary: The Foundation did not have internal controls to ensure proper review and approval (segregation of duties) between the preparer and reviewer of the quarterly financial reports. Corrective Action Plan: Previous reports were compiled by the Foundation’s vendors and submitted by the prior CFO. Future reports will be prepared by the Accountant and reviewed by the CFO prior to submission. Responsible Individuals: Alisha Kinnison, Accountant and Matt Lazar, CFO Anticipated Completion Date: July 2025

View Audit 412006

Finding 1236304 (2025-002)

Material Weakness 2025

Grady Memorial Hospital Corporation

GA

Procurement, Suspension & Debarment § 200.303

Condition: Formal documentation was not maintained to evidence management’s follow up regarding potential suspension and debarment matches and vendor/supplier registration exemption request forms. Corrective Action: Management acknowledges the finding and has reviewed the circumstances that resulted...

Condition: Formal documentation was not maintained to evidence management’s follow up regarding potential suspension and debarment matches and vendor/supplier registration exemption request forms. Corrective Action: Management acknowledges the finding and has reviewed the circumstances that resulted in documentation not being maintained for certain identified vendors. While a vendor screening process currently exists to identify potential matches against federal and state exclusion databases, the process will be enhanced to strengthen documentation, accountability, and consistency, including retrieval of comprehensive vendor listing from the appropriate Grady database for sanction screening and revision of the vendor screening exemption process. Implementation Date: Ongoing Expected Result: These corrective actions are designed to provide reasonable assurance that all vendors doing business with Grady will have documented verification of compliance with specific requirements for suspension and debarment for each federal program. The documentation will provide reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Responsible Official: D’Andrea Morning, Chief Compliance Officer

View Audit 411922

Finding 1236303 (2025-001)

Material Weakness 2025

Grady Memorial Hospital Corporation

GA

Allowable Costs / Cost Principles Cash Management Reporting § 200.303

Condition: An invoice totaling $34,675.10 was incorrectly included in a reimbursement request at $34,975.10, resulting in an overstatement and reimbursement of $300. The error was determined to be the result of a manual data-entry (keystroke) error when transcribing invoice information to the sponso...

Condition: An invoice totaling $34,675.10 was incorrectly included in a reimbursement request at $34,975.10, resulting in an overstatement and reimbursement of $300. The error was determined to be the result of a manual data-entry (keystroke) error when transcribing invoice information to the sponsor's reimbursement template. The underlying invoice support was accurate; however, the amount entered on the reimbursement form differed from the source documentation by $300. Corrective Action: To strengthen compliance with internal control requirements under 2 CFR 200.303, management reimbursement requests will continue to undergo a secondary review that verifies invoice amounts, supporting documentation, calculations, and reimbursement totals prior to submission. Management recognizes that despite maintaining a robust system of internal controls and multiple levels of review, no system of internal control can eliminate the possibility of isolated human error in processes that require manual data entry. Given the volume and complexity of grant activity administered by the organization, management believes this exception represents an isolated clerical error rather than a systemic control weakness. Management will continue to review sponsor invoices to ensure consistency will allowable costs incurred during the invoice period. Responsible Official: David Noble, Director, Grant Administration Implementation Date: Ongoing Expected Result: These corrective actions are designed to provide reasonable assurance that reimbursement requests are accurate, supported, and reviewed prior to submission, thereby reducing the risk of errors and strengthening compliance with Uniform Guidance requirements.

View Audit 411922

Finding 1236271 (2025-001)

Material Weakness 2025

Regional Office of Education #47

IL

Reporting Allowable Costs / Cost Principles Cash Management § 200.303

Corrective Action Plan FINDING 2025-001 – Noncompliance with Grant Requirements CONDITION: The Regional Office of Education #47 did not maintain adequate internal controls over the grant accounting and financial reporting process. While the Regional Office of Education #47 maintains controls over th...

Corrective Action Plan FINDING 2025-001 – Noncompliance with Grant Requirements CONDITION: The Regional Office of Education #47 did not maintain adequate internal controls over the grant accounting and financial reporting process. While the Regional Office of Education #47 maintains controls over the processing of expenditures, there are not sufficient controls over the general ledger and financial statement reporting process for management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, discrepancies between grant expenditures reports, the general ledger, financial statements, and supplementary information. During our review of the Regional Office of Education #47’s grant expenditures, it was noted that the Regional Office of Education #47 did not have adequate controls to ensure accuracy and consistency between grant expenditures reports, general ledger, financial statements, and supplementary information. Audit procedures revealed differences between the grant expenditures reports and the Regional Office of Education #47’s financial statements and General Ledger (GL) as shown below: Total Expenditures Per Grant Reports and the Schedule of Difference Federal Grants Expenditures of Total Expenditures Over Assistance Listing Federal Awards Per Financial (Under) Number (SEFA) Statements and GL Stated ARP - McKinney Education for Homeless Children 84.425W $112,133 $124,432 $(12,299) ARP - Community Partnerships 84.425U 2,475 3,300 (825) McKinney Education for Homeless Children 84.196A 123,965 121,671 2,294 Federal Grants Net Difference $(10,830) Total Total Expenditure Expenditures Per Financial Difference State Grant Per Grant Statements Over Code Reports and GL (Under) Computer Science 2025 -3999 $43,567 $27,723 $15,844 Less Expenditures disbursed in FY26 (10,627) State Grant Net Difference $ 5,217 Management was unable to provide documentation to support and reconcile the federal and State grant differences of $(10,830) and $5,217, respectively. PLAN: The Regional Office of Education #47 will strengthen its grant reconciliation procedures by implementing a formal reconciliation process for all federal and state grant reports prior to submission and as part of the year-end closing process. Grant expenditure reports will be reconciled to the general ledger and financial statements, and the reconciliation will be documented and reviewed by a responsible official with preparer and reviewer sign-offs maintained in the grant file. While all grant funds were properly accounted for and no questioned costs were identified, these additional procedures will provide enhanced documentation and ensure consistency between grant reports, the general ledger, and the financial statements. ANTICIPATED DATE OF COMPLETION: Fiscal Year 2027 CONTACT PERSON: Mr. Chris Tennyson, Regional Superintendent for Lee, Ogle, and Whiteside Counties.

View Audit 411874

Finding 1236252 (2025-004)

Material Weakness 2025

MacOmb County

MI

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

The County acknowledges that certain required reports were not submitted within the required timeframes. This finding is consistent with the 2024 Single Audit, and due to the timing of the two audits, the County had limited opportunity to implement the prior corrective action. The County will begin ...

The County acknowledges that certain required reports were not submitted within the required timeframes. This finding is consistent with the 2024 Single Audit, and due to the timing of the two audits, the County had limited opportunity to implement the prior corrective action. The County will begin requesting required information during the first month of the performance year and will track and follow up on outstanding requests until received. These efforts will be documented to support compliance and the timely submission of required reports.

View Audit 411844

Finding 1236242 (2025-004)

Material Weakness 2025

Pipestone County

MN

Subrecipient Monitoring Procurement, Suspension & Debarment Allowable Costs / Cost Principles § 200.303 § 200.318

Finding Number: 2025-004 Finding Title: Federal Awards Internal Control Policy and Procedures 1. Explanation of Disagreement with Audit Finding: There is no disagreement with the audit finding. 2. Actions Planned in Response to Finding: County management will develop and formally adopt a federal exp...

Finding Number: 2025-004 Finding Title: Federal Awards Internal Control Policy and Procedures 1. Explanation of Disagreement with Audit Finding: There is no disagreement with the audit finding. 2. Actions Planned in Response to Finding: County management will develop and formally adopt a federal expenditures policy to establish procedures for administering and monitoring federal awards in accordance with Uniform Guidance requirements. The policy will address internal controls over compliance, allowable costs, reporting requirements, record retention, and other applicable federal compliance requirements. Management will also communicate the policy to appropriate personnel responsible for administering federal programs. 3. Official Responsible for Ensuring CAP: Steve Ewing, County Administrator, is the official responsible for ensuring corrective action plan. 4. Planning Completion Date for CAP: 12/31/2026 5. Plan to Monitor Completion of CAP: County management will review the policy periodically to ensure it remains current with federal requirements and will monitor compliance with the policy through the administration and oversight of federal programs.

View Audit 411842

Finding 1236195 (2025-003)

Material Weakness 2025

Town of Centerville

IN

Allowable Costs / Cost Principles Matching / Level of Effort / Earmarking Subrecipient Monitoring § 200.302 § 200.303

FINDING 2025-003 Finding Subject: Federal Award Findings and Questioned Costs Contact Person Responsible for Corrective Action: Sarah Rice Contact Phone Number and Email Address: 765-855-5515, srice@town.centerville.in.us Views of Responsible Officials: Option 1: “We concur with the finding.”  Drin...

FINDING 2025-003 Finding Subject: Federal Award Findings and Questioned Costs Contact Person Responsible for Corrective Action: Sarah Rice Contact Phone Number and Email Address: 765-855-5515, srice@town.centerville.in.us Views of Responsible Officials: Option 1: “We concur with the finding.”  Drinking Water State Revolving Fund – Written Policies/Procedures to Determine Allowability of Costs using Federal Grant Funds- I will be getting in touch with our council president to make sure we come up with a policy on how to use federal funding with clear guidance on what costs are constituted as direct and indirect charges. Anticipated Completion Date: February 28, 2027 INDIANA

View Audit 411798

Finding 1236172 (2025-001)

Material Weakness 2025

CONVERGENT RESEARCH, INC.

MA

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

2025-001 Auditor’s Recommendation: Convergent Research, Inc. should establish written procedures and management review controls to: ● Reconcile provisional indirect and fringe rates to actual allowable costs; ● Review award-specific provisions related to indirect costs, cost sharing, and budget flex...

2025-001 Auditor’s Recommendation: Convergent Research, Inc. should establish written procedures and management review controls to: ● Reconcile provisional indirect and fringe rates to actual allowable costs; ● Review award-specific provisions related to indirect costs, cost sharing, and budget flexibility; ● Identify all allowable costs incurred during the period of performance; and ● Perform and document a final award reconciliation before submitting final expenditure reports. Corrective Action: Convergent Research has updated its grant closeout procedures to require: 1. reconciliation of provisional fringe and indirect cost rates to actual allowable costs at the time of award closeout; 2. review of award-specific provisions related to indirect costs, cost sharing, and budget flexibility; 3. identification of all allowable costs incurred during the period of performance, including any unbilled amounts, before final reporting; and 4. a documented management review and final award-level reconciliation prior to submission of the final expenditure report. This reconciliation step has been incorporated into the Finance team's standard grant-closing checklist. Responsible for Corrective Action: The assigned Finance & Accounting Manager will complete the closeout procedures for review by the Head of Finance and the grant PI. Anticipated Completion Date: Implemented August 2026 — updated grant-closeout procedures are in effect for all open federal awards. Procedures are documented in Notion under Federal Grant Accounting Policy and Procedures.

View Audit 411779

Finding 1236169 (2025-015)

Material Weakness 2025

State of Missouri

MO

Subrecipient Monitoring Reporting Procurement, Suspension & Debarment § 200.303

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2025 State Agency: Missouri State Emergency Management Agency Audit Finding Number: 2025-015 – SEMA FFATA Reporting Name of the contact person responsible for corrective action: Nikol Enyart Anticipated completion date for cor...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2025 State Agency: Missouri State Emergency Management Agency Audit Finding Number: 2025-015 – SEMA FFATA Reporting Name of the contact person responsible for corrective action: Nikol Enyart Anticipated completion date for corrective action: Completed Corrective action planned is as follows: To avoid future errors, a comparison of the reports received from grant staff with those entered in SAM.GOV will be conducted, and any necessary corrections will be made before the reporting deadline. The absence of UEI numbers will be followed up monthly, and a tracking sheet will be maintained to document the follow-up and will be accessible to the Fiscal Manager for viewing.

View Audit 411772

Finding 1236168 (2025-014)

Material Weakness 2025

State of Missouri

MO

Subrecipient Monitoring § 200.303 § 200.332

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2025 State Agency: Missouri State Emergency Management Agency Audit Finding Number: 2025-014 – SEMA Subrecipient Monitoring Name of the contact person responsible for corrective action: Nikol Enyart Anticipated completion date...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2025 State Agency: Missouri State Emergency Management Agency Audit Finding Number: 2025-014 – SEMA Subrecipient Monitoring Name of the contact person responsible for corrective action: Nikol Enyart Anticipated completion date for corrective action: Completed Corrective action planned is as follows: Since the discovery of the shortfall in the monitoring of subrecipients, SEMA has taken action to get the program back on track. SEMA has maintained forward momentum in completing the risk assessments within the time dictated by the policy. SEMA has completed all desk monitoring reports for the medium-risk subrecipients and all site visits for high-risk subrecipients. SEMA has also crosstrained multiple employees in the steps and processes to achieve high output for this process. SEMA has created a separate tracker to focus directly on the desk monitoring and site visits that have been completed or still need to be completed. This tracker is monitored by the Deputy Recovery Division Manager. SEMA also generates reports on the 15th and 30th of each month outlining progress made during those two weeks, which are submitted to the Recovery Division Manager. This report was first created and submitted on January 31, 2025.

View Audit 411772

Corrective Action Plans

Filters