Corrective Action Plans

Finding 1157132 (2024-001)

Material Weakness 2024

IN

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

The purchase of the grant management system will interface directly with the organization’s accounting software, allowing for the automated extraction of financial data. This data will be systematically mapped to the corresponding budgetary lines of each grant to ensure accurate tracking and reporti...

The purchase of the grant management system will interface directly with the organization’s accounting software, allowing for the automated extraction of financial data. This data will be systematically mapped to the corresponding budgetary lines of each grant to ensure accurate tracking and reporting. On a monthly basis, the Financial Grant Coordinator will collaborate with Senior Directors and Program Directors to review financial activity. These reviews aim to verify that expenditure aligns with the allowable costs defined by each grant, ensuring full compliance with funding requirements. Corrective: Budget vs. actual reviews are conducted with senior directors to evaluate financial performance and ensure alignment with programmatic, administrative guidelines, and funding guidelines. During these reviews, directors assess which costs are permissible and identify any expenditure that falls outside allowable parameters. Non-compliant costs are reallocated to appropriate programs that permit such expenses or to administrative accounts as necessary.

View Audit 369464 Questioned Costs: $1

Finding 1157129 (2024-002)

Material Weakness 2024

Disability Services Inc.

CO

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties § 200.303 § 200.332 § 200.510 § 200.518

Finding summary: an internal control deficiency affecting the accuracy of the Schedule of Expenditures of Federal Awards (SEFA) Responsible department: Finance and PPACG Contact person: Finance Corrective action plan: As of 2025 SEFA internally will be prepared by Grant coordinator and review by Fin...

Finding summary: an internal control deficiency affecting the accuracy of the Schedule of Expenditures of Federal Awards (SEFA) Responsible department: Finance and PPACG Contact person: Finance Corrective action plan: As of 2025 SEFA internally will be prepared by Grant coordinator and review by Finance. Envida will ensure that all appropriate ALNs and Federal identifications and amounts are included on the contracts. Envida will implement a process for all appropriate department directors, including CEO to sign off on each grant received. Timeline for completion: Dec 31 2025 Monitoring plan: Monthly Review with Grant coordinator Anticipated outcome: SEFA will reflect accurate federal expenditures.

View Audit 369453

Finding 1157077 (2024-005)

Material Weakness 2024

Unity Health Care, Inc.

MD

Allowable Costs / Cost Principles § 200.303

Management Response #2024-005: Due to staff turnover the Corporation did not have adequate personnel or infrastructure in place to monitor costs in order to calculate and determine an updated indirect cost rate. Also, the current indirect cost rate allocations is based on historical assumptions. Cor...

Management Response #2024-005: Due to staff turnover the Corporation did not have adequate personnel or infrastructure in place to monitor costs in order to calculate and determine an updated indirect cost rate. Also, the current indirect cost rate allocations is based on historical assumptions. Corrective Action Plan: The Finance Team will develop overall operational costs reports to calculate and support a new rate. The proposed rate will be submitted to HRSA for approval. This will allow us to ensure the calculation for indirect costs and documentation supporting the indirect cost pool conform to the current regulations. Management expects to be completed by December 31, 2026. Responsible Party: Tamara Barnes, CFO

View Audit 369390

Finding 1157055 (2024-001)

Material Weakness 2024

West End Neighborhood House, Inc.

DE

Reporting Allowable Costs / Cost Principles HUD Housing Programs § 200.303

Management has updated its compliance responsibility procedures to clarify roles and responsibilities and to ensure accountabilities for all federal reporting requirements. Specifically: • A compliance calendar will be established to track all non-standard reporting deadlines (other than monthly or ...

Management has updated its compliance responsibility procedures to clarify roles and responsibilities and to ensure accountabilities for all federal reporting requirements. Specifically: • A compliance calendar will be established to track all non-standard reporting deadlines (other than monthly or quarterly cost reimbursement grant request). • Responsibility for preparing and submitting DRGR reports has been formally assigned to Finance Department. • Verification procedures have been implemented to confirm that all reports are filed timely. • Periodic internal reviews will be conducted to ensure compliance with reporting requirements.

View Audit 369363

Finding 1157011 (2024-001)

Material Weakness 2024

Housing Authority of the Town of Vernon

CT

HUD Housing Programs Subrecipient Monitoring § 200.303

Auditee’s Response and Corrective Action 2024-001- Internal Controls over Compliance These matters were identified in a HUD Compliance and Monitoring Report. Following this report, the VHA has taken the following corrective actions: • In June 2025, VHA adopted and implemented EIV/UIV policy • VHA co...

Auditee’s Response and Corrective Action 2024-001- Internal Controls over Compliance These matters were identified in a HUD Compliance and Monitoring Report. Following this report, the VHA has taken the following corrective actions: • In June 2025, VHA adopted and implemented EIV/UIV policy • VHA contacted the system software customer service to see how to include the minimum rents as part of the payments standards. All payments standards for the VHA covered areashave been updated. • In June 2005, VHA established a minimum rent policy for Public Housing. • In June 2025, VHA adopted and implemented a Program Monitoring QA policy in accordance with HUD required SEMAP indicators. • In June 2005, VHA established adopted and implemented a voucher program termination policy and a Public Housing lease termination policy. . • In September 2025, the VHA implemented a Violence Against Women Act (VAWA) policy effective November 1, 2025. • VHA has reached out to Nan McKay for Assistance with developing a new Admissions and Continued Occupancy Plan (ACOP). • VHA has sent out 126 OBV preference update notices to all applicants currently on the PBV 0/1 bedroom waitlist. Only 21 have been returned to date. VHA will continue to collect and update preferences. Planned Implementation Date of Corrective Action: October 2025 Person Responsible for Corrective Action: Shenoa Steves, Housing Programs Manager

View Audit 369314

Finding 1156987 (2024-003)

Material Weakness 2024

Massachusetts Alliance of Boys & Girls Clubs, Inc.

GA

Subrecipient Monitoring Internal Control / Segregation of Duties Significant Deficiency § 200.303

FINDING 2024-003 Massachusetts Individual Responsible for Corrective Action Plan: Alliance Director Jenn Aldworth Corrective Action: The organization is strengthening internal process for subrecipient monitoring including formalizing the documentation of the review and approval before reimbursing th...

FINDING 2024-003 Massachusetts Individual Responsible for Corrective Action Plan: Alliance Director Jenn Aldworth Corrective Action: The organization is strengthening internal process for subrecipient monitoring including formalizing the documentation of the review and approval before reimbursing the subrecipient in accordance with 2 CFR 200.303. Anticipated Completion Date: December 31, 2025

View Audit 369306

Finding 1156886 (2024-004)

Material Weakness 2024

Hearts for the Invisible Charlotte Coalition

NC

Allowable Costs / Cost Principles Subrecipient Monitoring Cash Management § 200.303 § 200.328 § 200.430

Each employee will have a payroll file that includes: • Date of hire • Title • Grant(s) they are assigned to if applicable • Pay amount • Any changes to the above and the date of the change Each employee will complete a timesheet weekly that includes the number of hours worked and if applicable brok...

Each employee will have a payroll file that includes: • Date of hire • Title • Grant(s) they are assigned to if applicable • Pay amount • Any changes to the above and the date of the change Each employee will complete a timesheet weekly that includes the number of hours worked and if applicable broken out by what grant(s) they worked on. The bookkeeper provides a budget:actual report when invoices for federal contracts are prepared. The ED notes signs off that they have been approved for draw. That report is stored on the server. The Treasurer reviews the cost-reimbursement requests prepared by the ED, along with the detailed back up.

View Audit 369236

Finding 1156877 (2024-004)

Material Weakness 2024

Laporte County

IN

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303

FINDING 2024-004 Finding Subject: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – Suspension and Disbarment: Summary of Finding: Material Weakness, Modified Opinion An effec􀆟ve internal control system, which would include segrega􀆟on of du􀆟es, was not in place at the County in order to...

FINDING 2024-004 Finding Subject: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – Suspension and Disbarment: Summary of Finding: Material Weakness, Modified Opinion An effec􀆟ve internal control system, which would include segrega􀆟on of du􀆟es, was not in place at the County in order to ensure compliance with requirements related to the grant agreement and the procurement and suspension and debarment compliance. Prior to entering into subawards and covered transac􀆟ons with Coronavirus State and Local Fiscal Recovery Funds (CSLFRF), SLFRF funds, recipients are required to verify that contractors and subrecipients are not suspended, debarred, or otherwise excluded. Upon inquiring of the County to determine its policies and procedures related to suspension and debarment requirements for the CSLFRF, SLFRF funds, the County stated procedures were not in place to ensure vendors were not suspended or debarred prior to entering into covered transac􀆟ons. The County had not performed procedures to ensure the vendors were not suspended or debarred or otherwise excluded or disqualified from par􀆟cipa􀆟on in federal assistance programs or ac􀆟vi􀆟es during the audit period on all of the 13 vendors determined to have covered transac􀆟ons totaling $4,440,497, that were paid with SLFRF funds. The lack of internal controls and compliance under the previous Auditor Timothy J. Stabosz were systemic issues throughout the audit period. Contact Person Responsible for Correc􀆟ve Ac􀆟on: Michael Rosenbaum Contact Phone Number and Email Address: 219-326-6808 Ext. 2226; mrosenbaum@laporteco.in.gov Views of Responsible Official: We concur with the finding under the prior Auditor Timothy J. Stabosz. Descrip􀆟on of Correc􀆟ve Ac􀆟on Plan: Policies and procedures will be put in place to search on sam.gov to determine if a vendor has been suspended or disbarred. The County will implement a checklist to capture the procedure to confirm vendors paid from this program were not suspended or disbarred. An􀆟cipated Comple􀆟on Date: December 2025

View Audit 369224

Finding 1156876 (2024-012)

Material Weakness 2024

State of Missouri

MO

Subrecipient Monitoring § 200.303 § 200.332

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: State Emergency Management Agency Audit Finding Number: 2024-012 - SEMA Subrecipient Monitoring Name of the contact person responsible for corrective action: Nikol Enyart Anticipated completion date for corr...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: State Emergency Management Agency Audit Finding Number: 2024-012 - SEMA Subrecipient Monitoring Name of the contact person responsible for corrective action: Nikol Enyart Anticipated completion date for corrective action: Implemented 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 on completing the risk assessments during the time dictated by the policy. SEMA has also completed 46 out of 107 desk monitoring reports for the medium risk subrecipients, and SEMA has completed 17 out of 83 site visits for high risk subrecipients. SEMA has also cross trained multiple employees in the steps and processes to achieve high outputs 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 any progress made during those two weeks, and those reports are submitted to the Recovery Division Manager. This report was first created and submitted on January 31, 2025. In relation to the A-133 audits, SEMA has implemented cross training for staff that will ensure should one employee leave, the task will continue without disruption. Two staff are now trained and will submit a report each quarter to the Deputy Fiscal Manager to ensure compliance with the A-133 requirements.

View Audit 369219

Finding 1156836 (2024-016)

Material Weakness 2024

State of Missouri

MO

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

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Missouri Department of Economic Development (DED) Audit Finding Number: 2024-016 - DED FFATA Reporting Name of the contact person responsible for corrective action: Nikki Wrinkles Anticipated completion date...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Missouri Department of Economic Development (DED) Audit Finding Number: 2024-016 - DED FFATA Reporting Name of the contact person responsible for corrective action: Nikki Wrinkles Anticipated completion date for corrective action: FFATA Reporting was completed November 8, 2024. Internal control was adopted April 28, 2025. Corrective action planned is as follows: FFATA Reporting: (a) In the foreseeable future, if the Missouri Office of Administration (OA) is the recipient of a federal grant and DED agrees to administer the federal grant, DED will attempt to ensure that the issue of which agency is responsible for filing the Federal Funding Accountability and Transparency Act (FFATA) report is clearly delineated. In the event this is not delineated by the time a FFATA is due to be filed in the FFATA Subaward Reporting System (FSRS), DED will simply proceed to file using the Unique Entity Identifier (UEI) on the grant agreement between OA and the federal agency. (b) DED did file the FFATA report on November 8, 2024. (c) DED did not anticipate any additional awards being made from the Coronavirus Capital Projects Fund (CPF), and no such awards have been made since March 2022. If additional awards are made from the CPF, DED will follow the internal control process it has now established. Internal controls: DED has established an internal control process for the CPF in the event additional awards are made in the future and will use OA’s UEI for any such future reporting. A copy of the internal control policy regarding FFATA reporting compliance is included with this CAP.

View Audit 369219

Finding 1156835 (2024-007)

Material Weakness 2024

State of Missouri

MO

Subrecipient Monitoring § 200.303 § 200.331 § 200.332

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Office of Administration Audit Finding Number: 2024-007, SLFRF Program Subrecipient Monitoring Name of the contact person responsible for corrective action: Stacy Neal Anticipated completion date for correct...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Office of Administration Audit Finding Number: 2024-007, SLFRF Program Subrecipient Monitoring Name of the contact person responsible for corrective action: Stacy Neal Anticipated completion date for corrective action: November 1, 2025 Recommendation A.: Develop policies and procedures to determine whether recipients of SLFRF program funds are subrecipients or contractors. Continue to work with the state agencies to ensure accurate and documented determinations are prepared for all recipients and modify subrecipient records as needed. OA partially agrees with the auditor’s finding. Corrective action planned is as follows: OA did complete a training for all agencies regarding subrecipient monitoring and the agencies responsibilities. OA also distributed a memo instructing agencies where to find information regarding subrecipient monitoring and instructing agencies to develop policies and procedures for their agency. To avoid confusion, OA will pursue Memorandums of Understandings (MOU) with agencies to ensure agencies understand their responsibilities for sub-recipient monitoring including sub-recipient specific risk assessments and monitoring. Finally, OA will implement random reviews of the sub-recipient monitoring compliance. Recommendation B.: The OA did not implement an effective subrecipient monitoring program to monitor the SLFRF subrecipients. As a result, some subrecipient monitoring procedures were not performed as required by the UG. OA agrees with the auditor’s finding. Corrective action planned is as follows: OA will pursue Memorandums of Understandings (MOU) with agencies to ensure agencies understand their responsibilities for sub-recipient monitoring including sub-recipient specific risk assessments and monitoring. Finally, OA will implement random reviews of the sub-recipient monitoring compliance.

View Audit 369219

Finding 1156834 (2024-015)

Material Weakness 2024

State of Missouri

MO

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.303 § 200.318

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Missouri Department of Transportation Audit Finding Number: 2024-015 - MoDOT Monitoring of BABA Provisions Name of the contact person responsible for corrective action: Todd Grosvenor, MoDOT Financial Servic...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Missouri Department of Transportation Audit Finding Number: 2024-015 - MoDOT Monitoring of BABA Provisions Name of the contact person responsible for corrective action: Todd Grosvenor, MoDOT Financial Services Director, 573-751-4626 Anticipated completion date for corrective action: January 12, 2026 Corrective action planned is as follows: MoDOT will develop written policies and procedures for monitoring contractor and subrecipient compliance with the Build America, Buy America (BABA) domestic preference provisions for Infrastructure Investments and Jobs Act (IIJA)-funded projects. To date, MoDOT has drafted the policies and procedures, which are being reviewed by the Federal Highway Administration (FHWA). The next available document submission date for policy revisions is November 27, 2025. MoDOT will submit the FHWA-approved monitoring plan to be added to MoDOT’s policies by that deadline. The policy is scheduled to be published by January 12, 2026. MoDOT will provide training to the department’s resident engineers in November 2025.

View Audit 369219

Finding 1156833 (2024-017)

Material Weakness 2024

State of Missouri

MO

Subrecipient Monitoring Matching / Level of Effort / Earmarking HUD Housing Programs § 200.303

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Department of Higher Education and Workforce Development Audit Finding Number: 2024-017 – DHEWD FFATA Reporting Name of the contact person responsible for corrective action: Elizabeth (Liz) Roberts Anticipat...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Department of Higher Education and Workforce Development Audit Finding Number: 2024-017 – DHEWD FFATA Reporting Name of the contact person responsible for corrective action: Elizabeth (Liz) Roberts Anticipated completion date for corrective action: January 1, 2025 Corrective action planned is as follows: In response to the auditor’s report finding, we dedicated a team of staff to review our subaward files for the date range in question. Staff compared our subawards from that time to federal reporting system data and reported any subawards that were missing. We will continue to monitor these historical files for their reported status as we encounter them through the course of our current normal business activities. We have strengthened internal controls related to FFATA reporting for the WIOA cluster, and our new federal award reporting and monitoring process is outlined below: On the fifteenth day of every month following the subaward execution month, staff utilize a spreadsheet populated with subaward data the previous month to enter subaward information for that month into the federal reporting system. After the subawards have been reported in the system, the full subaward report data and their submission receipts (proof of submission) are saved to internal electronic files. Each file now features a descriptive file name to which allows for an easily searchable, historical record. • Files are organized by FY and report month • Each month now includes a spreadsheet of the awards reported • Each report is now categorized by grant, and reports with multiple subawards per grant now contain a cover page with table of contents summarizing the subaward report data included on the subsequent pages with any changes indicated in red • Each file now contains Auditor notes where necessary, indicated in red After the reports are submitted, staff now sends the reports and spreadsheet summary for each month to a supervisor to review, who compares them with each executed subaward notification email sent to the executed subaward notification group in the previous month. The supervisor responds with monitoring results (e.g. missing, incorrect, complete). Reports are adjusted as necessary based on this review. The supervisor’s emailed approval response is saved to the file. DHEWD will provide proper FFATA reporting training to staff. The process outlined above will evolve slightly since, as of March 8, 2025, FSRS.gov has transitioned to SAM.gov. SAM.gov features enhancements that support improved reporting accuracy, such as auto-checking for previously reported subawards to avoid duplication.

View Audit 369219

Finding 1156829 (2024-009)

Material Weakness 2024

State of Missouri

MO

Questioned Costs Subrecipient Monitoring § 200.303 § 200.332 § 200.514

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Department of Health and Senior Services (DHSS) Audit Finding Number: 2024-009 - CACFP Subrecipient Monitoring Name of the contact person responsible for corrective action: Sarah Walker, Bureau Chief Anticip...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Department of Health and Senior Services (DHSS) Audit Finding Number: 2024-009 - CACFP Subrecipient Monitoring Name of the contact person responsible for corrective action: Sarah Walker, Bureau Chief Anticipated completion date for corrective action: Corrective action planned is as follows: The agency does not agree with the audit findings and therefore no corrective action is required. Explanation and specific reasons are as follows: DHSS disagrees with this finding. While the USDA partially sustained the previous finding in the FY2023 SWSA, the corrective action plan and supporting documentation submitted by DHSS was accepted by USDA and deemed adequate. On April 17, 2025, the USDA recommended final action to close the FY2023 audit finding.

View Audit 369219 Questioned Costs: $1

Finding 1156828 (2024-008)

Material Weakness 2024

State of Missouri

MO

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring § 200.303 § 200.403

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Department of Health and Senior Services (DHSS) Audit Finding Number: 2024-008 - CACFP Subrecipient Reimbursements Name of the contact person responsible for corrective action: Sarah Walker, Bureau Chief Ant...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: Department of Health and Senior Services (DHSS) Audit Finding Number: 2024-008 - CACFP Subrecipient Reimbursements Name of the contact person responsible for corrective action: Sarah Walker, Bureau Chief Anticipated completion date for corrective action: Corrective action planned is as follows: The agency does not agree with the audit findings and therefore no corrective action is required. Explanation and specific reasons are as follows: Department of Health and Senior Services (DHSS) disagrees with this finding because the previous audit finding in the FY2023 SWSA was not sustained by the federal funding agency, therefore no finding or corrective action is required.

View Audit 369219 Questioned Costs: $1

Finding 1156827 (2024-014)

Material Weakness 2024

State of Missouri

MO

School Nutrition Programs Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: MO Department of Elementary and Secondary Education (DESE) Audit Finding Number: 2024-014 - DESE FFATA Reporting Name of the contact person responsible for corrective action: Shelley Woods Anticipated comple...

State of Missouri Single Audit Corrective Action Plan Year Ended June 30, 2024 State Agency: MO Department of Elementary and Secondary Education (DESE) Audit Finding Number: 2024-014 - DESE FFATA Reporting Name of the contact person responsible for corrective action: Shelley Woods Anticipated completion date for corrective action: 7/1/2025 Corrective action planned is as follows: The agency agrees with the auditor's finding. DESE has changed internal procedures to ensure FFATA reporting follows applicable requirements. DESE is designating a Federal Compliance Coordinator to submit all FFATA reporting as opposed to each section Fiscal Liaison uploading the report. The terms and conditions for each grant award will be reviewed by the Federal Compliance Coordinator to determine if FFATA is applicable, and then the Federal Compliance Coordinator will work the Fiscal Liaison to collect and report the information required under FFATA.

View Audit 369219

Finding 1156819 (2024-002)

Material Weakness 2024

Basic Nwfl, Inc.

FL

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

To address the eligibility documentation issue identified during the audit, BASIC NWFL, Inc. will improve how eligibility files are reviewed by using a checklist and having two staff members verify each file. Staff will get regular training on federal rules, and internal checks will be done frequent...

To address the eligibility documentation issue identified during the audit, BASIC NWFL, Inc. will improve how eligibility files are reviewed by using a checklist and having two staff members verify each file. Staff will get regular training on federal rules, and internal checks will be done frequently to catch any problems early. Policies will be updated to make sure marital status and household size are clearly documented, and a eligibility specialist will oversee the process and report monthly to management. These steps will help ensure all eligibility decisions are properly supported.

View Audit 369207

Finding 1156796 (2024-002)

Material Weakness 2024

Mzc Foundation Inc.

GA

Procurement, Suspension & Debarment § 200.303

Recommendation: We recommend the Foundation strengthen its policies and procedures to ensure suspension and debarment is adequately documented for that goods and services purchased in accordance with Uniform Guidance and other federal guidelines. In addition, the Foundation should verify that all ve...

Recommendation: We recommend the Foundation strengthen its policies and procedures to ensure suspension and debarment is adequately documented for that goods and services purchased in accordance with Uniform Guidance and other federal guidelines. In addition, the Foundation should verify that all vendors under covered transactions are not listed on the excluded parties list system by performing a search on sam.gov and maintaining the results of such search in the vendor’s file. Grantee Response and Corrective Action Plan 2024-002: In response to the audit finding under 2 CFR part 180 regarding the necessity to verify suspension or debarment status in compliance with the excluded parties list system, it is acknowledged that while the Foundation did not previously have a formal policy specifically addressing suspension and debarment, our practices have nonetheless complied with the requirements. Recognizing the importance of formalizing these practices into policy, we are committed to developing and implementing a comprehensive policy that explicitly addresses these checks. In line with our recent enhancements in internal controls, including the engagement of aFinance Manager in 2024, this policy will reinforce our ongoing efforts to uphold the highest standards of compliance and accountability in all our operations. Responsible Parties: Allie Kelly, Executive Director Anticipated Correction Date: December 31, 2025

View Audit 369173

Finding 1156795 (2024-001)

Material Weakness 2024

Mzc Foundation Inc.

GA

Procurement, Suspension & Debarment Internal Control / Segregation of Duties Eligibility § 200.303 § 200.320

Recommendation: We recommend the Foundation strengthen its policies and procedures to ensure procurement is adequately documented for the goods and services purchased in accordance with Uniform Guidance and other federal guidelines, including simplified acquisition procedures for purchases above the...

Recommendation: We recommend the Foundation strengthen its policies and procedures to ensure procurement is adequately documented for the goods and services purchased in accordance with Uniform Guidance and other federal guidelines, including simplified acquisition procedures for purchases above the micro-purchase threshold ($10,000). Grantee Response and Corrective Action Plan 2024-001: In response to the audit finding under 2 CFR Section 200.320 regarding the necessity to have and use documented procurement procedures for acquisition of goods and services under a federal award or a sub‐award, it is acknowledged that the Foundation did not previously have a formal policy specifically addressing procurement. Recognizing the importance of formalizing these practices into policy, we are committed to developing and implementing a comprehensive policy that explicitly addresses procurement. In line with our recent enhancements in internal controls, including the engagement of a Finance Manager in 2024, this policy will reinforce our ongoing efforts to uphold the highest standards of compliance and accountability in all our operations. Responsible Parties: Allie Kelly, Executive Director Anticipated Correction Date: December 31, 2025

View Audit 369173

Finding 1156737 (2024-003)

Material Weakness 2024

Oakland Livingston Human Service Agency

MI

Subrecipient Monitoring § 200.303

The Agency agrees with this finding. As part of the subaward review process, the Chief Financial Officer will ensure that first tier subawards are checked to see if FFATA reporting is needed based on the award amount. If FFATA reporting is required, the Chief Financial Officer will assign this task ...

The Agency agrees with this finding. As part of the subaward review process, the Chief Financial Officer will ensure that first tier subawards are checked to see if FFATA reporting is needed based on the award amount. If FFATA reporting is required, the Chief Financial Officer will assign this task to the Assistant Director for Financial Compliance to ensure that reporting is completed to the FFATA Reporting System FSRS.

View Audit 369077

Finding 1156736 (2024-002)

Material Weakness 2024

Oakland Livingston Human Service Agency

MI

Subrecipient Monitoring § 200.303

The Agency agrees with this finding. As part of the subaward review process, the Chief Financial Officer will ensure that first tier subawards are checked to see if FFATA reporting is needed based on the award amount. If FFATA reporting is required, the Chief Financial Officer will assign this task ...

The Agency agrees with this finding. As part of the subaward review process, the Chief Financial Officer will ensure that first tier subawards are checked to see if FFATA reporting is needed based on the award amount. If FFATA reporting is required, the Chief Financial Officer will assign this task to the Assistant Director for Financial Compliance to ensure that reporting is completed to the FFATA Reporting System FSRS.

View Audit 369077

Finding 1156689 (2024-002)

Material Weakness 2024

Town of Kewanna

IN

Procurement, Suspension & Debarment § 200.1 § 200.303 § 200.317 § 200.318 § 200.319

Finding 2024-002 Drinking Water State Revolving Fund - Procurement Contact Person Responsible for Corrective Action: JoAnn Collins/Clerk Treasurer Contact Phone Number and Email Address: 574-653-2112 kewanna@fourway.net Views of Responsible Officials: We concur with the finding Description of Correc...

Finding 2024-002 Drinking Water State Revolving Fund - Procurement Contact Person Responsible for Corrective Action: JoAnn Collins/Clerk Treasurer Contact Phone Number and Email Address: 574-653-2112 kewanna@fourway.net Views of Responsible Officials: We concur with the finding Description of Corrective Action Plan: We will update our procurement policy and implement a system of internal controls to ensure a purchasing policy is in place and quotes are obtained for small purchases. Anticipated Completion Date: A policy and internal controls will be in place by January 1, 2026

View Audit 369056

Finding 1156681 (2024-001)

Material Weakness 2024

Town of Upland

IN

Equipment & Real Property Management § 200.303 § 200.313

Finding 2024-001 Finding Subject: Community Development Block Grant Program- Equipment and Real Property Management. Contact Person Responsible for Corrective Action: Mary Fletcher, Clerk-Treasurer Contact Phone Number and Email Address: (765) 998-7439 ext. 1, mfletcher@uplandindiana.com Views of Re...

Finding 2024-001 Finding Subject: Community Development Block Grant Program- Equipment and Real Property Management. Contact Person Responsible for Corrective Action: Mary Fletcher, Clerk-Treasurer Contact Phone Number and Email Address: (765) 998-7439 ext. 1, mfletcher@uplandindiana.com Views of Responsible Officials: We concur with the finding. Correction Action Plan: The Town of Upland will concur with our asset management consultant and have the missing information added to our asset ledger. Anticipated Completion Date: September 30, 2025

View Audit 369047

Finding 1156679 (2024-002)

Material Weakness 2024

Employment Connection

MO

Allowable Costs / Cost Principles Internal Control / Segregation of Duties § 200.303 § 200.430

Corrective Action Plan: Strengthen detailed process for review over payroll charges billed to federal programs. To address the significant deficiency over allowable costs identified in the Single Audit, the Organization will enhance its existing review procedures by implementing a more detailed mont...

Corrective Action Plan: Strengthen detailed process for review over payroll charges billed to federal programs. To address the significant deficiency over allowable costs identified in the Single Audit, the Organization will enhance its existing review procedures by implementing a more detailed monthly review process. This will include verifying payroll charges against supporting documentation such as payroll registers, time records, and allocation spreadsheets. Management will also explore the development of a standardized reconciliation checklist and introduce a secondary review step to ensure accuracy and completeness. These measures, combined with continued monthly oversight by the CFO, are intended to reduce the risk of billing errors due to human oversight and reinforce the reliability of payroll cost allocations. Name of Responsible Person: Nora Davis, Chief Financial Officer Anticipated Completion Date: April 30, 2026

View Audit 369034

Finding 1156645 (2024-005)

Material Weakness 2024

City of New Castle

IN

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

Finding 2024-005- Suspension and Debarment Finding Subject : Covid-19. Coronavirus State and Local Fiscal Recovery Funds- Suspension & Debarment Contact Person Responsible for Corrective Action : Ashley Huffman Contact Phone Number and Email Address: 765-521-6803 nccityclerk@gmail.com Views of Respo...

Finding 2024-005- Suspension and Debarment Finding Subject : Covid-19. Coronavirus State and Local Fiscal Recovery Funds- Suspension & Debarment Contact Person Responsible for Corrective Action : Ashley Huffman Contact Phone Number and Email Address: 765-521-6803 nccityclerk@gmail.com Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: All contracts over $25,000 will now include a Suspension and Debarment Clause. Anticipated Completion Date: Immediately

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