Corrective Action Plans

Cluster: Research and Development Federal Agency: Various Award Names: Various Award Numbers: Various Assistance Listing Title: Various Assistance Listing Number: Various Award Year: 2021- 2022 Pass-through entity: Various Management agrees with the finding related to the federal equipment inventory and tracking. To address these deficiencies Research Operations will work closely with Corporate Finance, Facilities, and Purchasing to create a federal equipment tracking procedure that allows inventory to be identified and located in order to conduct an inventory at a minimum of every two years. Furthermore, the tracking system will include all of the detail surrounding the equipment needed to meet the requirements of 2 CFR section 200.313 (d) (1). Leadership Responsible: Barbara A. Vance, PhD, CRA, Vice President, Research Operations Anticipated Completion Date: 03/31/2024

FA 2022-002 Improve Controls over Equipment Compliance Requirement: Equipment and Real Property Management Internal Control Impact: Material Weakness Compliance Impact: Material Noncompliance Federal Awarding Agency: U.S. Department of Education Pass-Through Entity: Georgia Department of Education Assistance Listing Number and Title: COVID-19 - 84.425D - Elementary and Secondary School Emergency Relief Fund COVID-19 - 84.425U - American Rescue Plan Elementary and Secondary School Emergency Relief Fund COVID-19 - 84.425W - American Rescue Plan Elementary and Secondary School Emergency Relief Fund - Homeless Children and Youth Federal Award Number: S425D210012 (Year: 2021), S425U2120012 (Year: 2021) S425W210011 (Year: 2021) Questioned Costs: None identified Description: The policies and procedures of the School District were insufficient to provide adequate internal controls over equipment and real property management as it relates to the Elementary and Secondary School Emergency Relief Fund program. Corrective Action Plans: We concur with this finding. A new Federal Programs Director began work during the period of the audit. The change in personnel coupled with the influx of new grants, large awards of grant dollars and new regulations and requirements contributed to the finding. To correct, staff meet and attend training on all federal grant funds received to ensure compliance on all reporting requirements. A federal inventory sheet has been developed that includes all applicable components for current assets and will be used for physical inventory purposes. Tattnall County School District has received an ESSER III- ARP-REI Technology Grant; an approved purchase in this grant is an inventory system. Systems are currently being evaluated and reviewed for purchase. It is anticipated that this system will be fully implemented during fiscal year 2024. Estimated Completion Date: June 30, 2023 for federal inventory asset sheet and June 30, 2024 for new inventory software system. Contact Person: Debbie Driggers Powell Telephone: (912) 557-3327 Email: dpowell@tattnall.k12.ga.us

CORRECTIVE ACTION PLAN FINDING 2022-006 Contact Person Responsible for Corrective Action: Heidi Sprunger Contact Phone Number: 260-589-3133 Views of Responsible Official: The district does not concur with this finding. The reason is as follows: According to the federal grant guidelines you must not pay for any work, services, or products on a project until the work is completed. The $1,685,526 is what was completed within the timeframe of the audit. Asset Control company is who the district uses to complete their capital asset listing every 2 years. At the time of the visit Asset Control was made aware of our project. They had requested that we provide them with the entire project cost. Asset Control wanted to include the full price for insurance coverage because the project would still be ongoing. The district provided documentation of the invoices paid during the audit period to show the amount of the project was paid for federal grant funds at the time of the audit period. Description of Corrective Action Plan: The district has no corrective action plan because the project is now completed and Asset Control company has the full cost of the project list within our assets. Anticipated Completion Date: Immediately

FINDING 2022-016 Contact Person Responsible for Corrective Action: Tricia Malone Hudson, District Curriculum Specialist Contact Phone Number: 812-279-3521 Views of Responsible Official: We concur with the audit finding. Description of Corrective Action Plan: The school district will establish a process to ensure compliance with the grant agreement and the Equipment and Real Property Management compliance requirement. Anticipated Completion Date: North Lawrence Community Schools will implement this procedure by June 2023.

REGIONAL SCHOOL UNIT #67 CORRECTIVE ACTION PLAN For the Fiscal Year Ended June 30, 2022 B. FINDINGS ? FINANCIAL STATEMENT AUDIT NONE C. FINDINGS AND QUESTIONED COSTS ? MAJOR FEDERAL AWARD PROGRAMS AUDIT 2022-001 Equipment and Real Property Management Name of contact person: Sandy Mulligan, Finance Director Corrective Action: Management concurs with the recommendation. During the time of audit fieldwork, the School Unit created a binder with property records for all equipment purchased with the grant money. Proposed Completion Date: Immediately

FINDING # 2022-003 Education Stabilization Fund COVID-19 ? Elementary and Secondary School Emergency Relief Fund; ALN 84.425D; Project #5891-21-2955; Grant Period ? Fiscal Year Ended June 30, 2022 COVID-19 ? Governor?s Emergency Education Relief Fund; ALN 84.425C; Project #5896-21-2955; Grant Period ? Fiscal Year Ended June 30, 2022 COVID-19 ? American Rescue Plan ? Elementary and Secondary School Emergency Relief (ARP ESSER); ALN 84.425U; Project #?s 5880-21-2955, 5884-21-2955; Grant Period ? Fiscal Year Ended June 30, 2022 Significant Deficiency Compliance Requirement: Equipment/Real Property Management Criteria: According to 2 CFR section 200.313(d)(1), detailed property records must be maintained for equipment acquired under a federal grant award. Records should include a description of the property, a serial number or identification number, the source of funding (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and ultimate disposition data. Condition: During our audit, we noted the District?s fixed asset records were incomplete relating to five assets acquired with federal grant funding that did not appear in the fixed asset records. Cause: Several equipment items purchased with federal funds were not appropriately captured as fixed asset additions and thus, were not included within the District?s fixed asset records. Effect: The District?s fixed asset records are incomplete and thus, fixed assets purchased with federal funds may not be properly safeguarded and the District may not be in compliance with the aforementioned federal regulations. Questioned Costs: None. Recommendation: We recommend the District update their fixed asset records to include required information for assets purchased with federal awards and that a system of communication and a review process be implemented to ensure completeness and accuracy of fixed asset records. District?s Response: Implementation Plan of Action: The District agrees with these findings. Prior to the commencement of this audit Richard Snyder, the School Business Official recognized this issue and immediately took corrective action by engaging in an RFP to contract with a qualified vendor. This qualified vendor will be responsible to conduct a full appraisal of all fixed assets, including tagging and compiling a list of all the fixed assets. This vendor will also be responsible to ensure that all new fixed assets will be tagged timely, and inventory list will be updated and maintained in accordance with regulations. Implementation Date: By June 30, 2023 Person Responsible for the Implementation: Richard Snyder, the School Business Official is responsible for the implementation of this plan.

Finding 2022-001 Equipment and Real Property Contact: Crystal Simmons, Senior Fixed Assets and Taxation Manager Telephone number: 240-694-2168 Estimated Completion Date ? September, 2023 HJF will implement the following increased measures in FY 2023: 1) Property control staff will continue the increased use of inventories by exception. This will include reviewing maintenance records for laboratory equipment from both vendors and military installations performing these tasks on HJF?s behalf. Maintenance performances are considered physical touches and may be used for inventory counting purposes. 2) Property control staff will continue to prioritize inventories by dollar amount with a secondary emphasis on units. 3) Program managers and or supervisors will be added to the distribution of the monthly inventory deficiency reports currently received by property custodians and will be responsible for reviewing any deficiencies. 4) Finance will enhance alignment of transaction coding and screening associated with equipment recording to ensure that all acquisitions are captured at the time of initial entry and provide associated training to fixed assets, procurement and accounting staff.

FINDING 2022-003 Contact Person Responsible for Corrective Action: Kyle Zahn Contact Phone Number: 765-883-5576 ext. 5112 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The Director of Finance will conduct an internal audit of capital assets purchased and sold from 6/30/2022 to the current date in order to update the corporation?s capital assets records. New staff will also be trained on tracking capital assets transactions and completing the necessary documentation for future capital assets transactions. It is noted, a number of construction projects are scheduled in the near future which will result in capital assets being added. As such, after the completion of these projects, leadership will consider having the school?s contracted third-party capital assets consultant conduct an onsite inquiry visit to ensure the school?s records are accurate. Anticipated Completion Date: April 2023

Finding No.: 2022- 006 Condition: The District does not currently maintain a detailed accounting of its capital assets, including Federal assets. The District does not have a recent replacement cost valuation for insurance purposes. Plan: Management is in the process of determining the most efficient way to handle these processes and is evaluating the cost-benefit of implementing various processes and procedures. Anticipated Date of Completion: June 30, 2022 Name of Contact Person: Dennis Forst, CSBO

FA 2022-003 Improve Controls over Equipment Compliance Requirement: Equipment and Real Property Management Internal Control Impact: Significant Deficiency Compliance Impact: Nonmaterial Noncompliance Federal Awarding Agency: U.S. Department of Education Pass-Through Entity: Georgia Department of Education Assistance Listing Number and Title: COVID-19 - 84.425D - Elementary and Secondary School Emergency Relief Fund COVID-19 - 84.425U - American Rescue Plan Elementary and Secondary School Emergency Relief Fund Federal Award Number: S425D200012 (Year: 2020), S425D210012 (Year: 2021) S425U2120012 (Year: 2021) Questioner Costs: None Identified Description: The policies and procedures of the School District were insufficient to provide adequate internal controls over equipment and real property management as it relates to the Elementary and Secondary School Emergency Relief Fund program. Corrective Action Plans: We concur with this finding. The District is developing corrective actions to strengthen internal controls, policies, and procedures and ensure adherence through improved monitoring. Estimated Completion Date: Fiscal Year 2024 Contact Person: Dr. Myisha Warren, Executive Director of Federal Programs Telephone: 678-676-1200 Email: Myisha_Warren@dekalbschoolsga.org

District Response: A. What corrective action will be taken: District will review and follow policies and procedures outlining safeguarding equipment purchased with federal grant dollars. B. Who is responsible (name and position): Nathan Wells, Technology and Fixed Assets Clerk C. When will the plan be implemented? Corrective action started May 5, 2023, and will continue.

Finding Number: 2022-003 Planned Corrective Action: The Treasurer will add new capital assets to Inventory promptly. Anticipated Completion Date: 06/30/2023 Responsible Contact Person: Teresa McGinnis

RESPONSE: Dr. Ryan Bergeson will execute the following plan by February 3, 2023 . ? Staff and Program Directors will be provided the Board Administrative Procedure DID-AP (1): Inventory Management and be required to follow the procedure as stated. ? All future federal equipment and supplies will be tagged with an identification number immediately after it is acquired by the Federal Program Director, Special Education Director, Administrator or Staff member receiving the grant so that it can be easily tracked. ? Along with the end of the year required inventory list from each teacher/director, they will need to provide a separate list of all current inventory purchased with federal funds. Documentation will include: 1. A description of the equipment. 2. The serial or other identification number. 3. The funding source, including the federal award identification number when applicable. 4. The name and the title holder, when applicable. 5. The acquisition date. 6. The original cost of the equipment. 7. The location, use and condition of the equipment.

FINDING 2022-004 Contact Person Responsible for Corrective Action: Jami Parks Joe Smith and Stacey Teipen Contact Phone Number: 812-794-8750 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: In the summer of 2023 the corporation will do a physical inventory and add or delete any physical items that need added to the asset inventory listing. Anticipated Completion Date: August 1, 2023

Finding Number: 2022-002 Planned Corrective Action: The HVAC capital assets will be documented in the capital asset records. Anticipated Completion Date: September 30, 2023 Responsible Contact Person: Stacy Bolden, Treasurer

FINDING 2022-003 Contact Person Responsible for Corrective Action: Shawn Spindler, Business Manager/Treasurer Contact Phone Number: 812.926.2090 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: We will ensure that any future capital equipment gets included on our inventory list. This will be reviewed by the Superintendent to be sure all equipment is added. Anticipated Completion Date: March 2023

FINDING 2022-001 Contact Person Responsible for Corrective Action: Dr. Michael Galvin, Superintendent Contact Phone Number: 812-874-2243 Views of Responsible Official: We concur with the finding. Description of Corrective Action Plan: The Metropolitan School District of North Posey County has been seeking companies to complete asset management. We had a Google Meet with AdTec Incorporated on February 7, 2023 to understand the process and receive a bid for completing the project. We plan to take this proposal during the March 13, 2023 School Board meeting. Ad Tec would be able to begin the asset mapping during the summer of 2023 for completion in August 2023. Anticipated Completion Date: According to AdTec, they will visit the District schools during the summer of 2023 to complete the asset log, and then provide a report in August 2023.

2022-019 Oregon Housing and Community Services Controls are needed to ensure subrecipients? compliance with equipment and real property requirements Federal Awarding Agency: U.S. Department of Housing and Urban Development Assistance Listing Number and Name: 14.231 Emergency Solutions Grants Program (COVID-19) Federal Award Numbers and Years: E-20-DW-41-0001, 2020 (COVID-19) Compliance Requirement: Equipment and Real Property Management Type of Finding: Material Weakness; Material Noncompliance Prior Year Finding: N/A Questioned Costs: N/A Criteria: 2 CFR 200.311; 2 CFR 200.313 There are specific requirements when equipment is purchased using federal funds and in use. At a minimum, procedures for managing equipment must meet the following requirements: Property records must be maintained that include key details (e.g. property description, ID number, Title, etc);? A physical inventory of the property must be taken, and the results reconciled with the property records at least once every two years;? A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated; and? Adequate maintenance procedures must be developed to keep the property in good condition.? Real property purchased must be used for the originally authorized purpose as long as needed for that purpose. When real property is no longer needed for the originally authorized purpose, the non-federal entity must obtain disposition instructions from either the federal awarding agency or pass through entity. During our review, we determined OHCS was not monitoring its subrecipients to ensure the equipment and real property requirements were being met. Because subrecipients were not being monitored, we were unable to determine if there was a population of equipment and real property on which to perform our audit testing procedure. As a result, the department may not be in compliance with federal equipment and real property requirements. We recommend department management develop internal controls to ensure compliance with federal requirements for equipment and real property. MANAGEMENT RESPONSE: We agree with this recommendation. OHCS has instituted a procedure for State FY23 which is on track to be completed for all ESG recipients; this procedure currently includes a notification and approval process for the tracking of the acquisition, rehabilitation, renovation, or conversion of property and separately a vehicle purchase and equipment purchase. We are in the process of refining a control system to ensure adequate safeguards are in place to prevent loss, damage, or theft. Additionally, we are reviewing our maintenance procedures to ensure properties are in good condition. Anticipated Completion Date: December 24, 2023 Contact: Jill Smith, Director of Housing Stabilization Division

Finding Summary: The Town did not have written policies, procedures, and standards of conduct relative to federal awards as required by the Uniform Guidance. Responsible Individual: Jake Roger, Town Administrator. Corrective Action Plan: The Town will produce policies, procedures, and standards of conduct relative to federal awards as required by the Uniform Guidance. Completion Date: December 31, 2023.

FINDING 2022-007 Contact Person Responsible for Corrective Action: Dan Durrwachter Contact Phone Number: 765-473-3081 Views of Responsible Official: We agree with these findings. Description of Corrective Action Plan: We will have our Financial Assistant become the point person for the management of equipment and real property. We will have a semiannual update to our inventory and keep an active identification number, a source of funding for the property, and a use and condition of the property. This report will be signed semiannually as well by the corporation treasurer. Anticipated Completion Date: : 6/01/2023

17-020-0150-26 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS Year Ending June 30, 2022 Corrective Action Plan Finding No.: 2022-_ 004_ Condition: District personnel were unaware of the requirement to maintain property records for equipment purchased with Education Stabilization Funding. Plan: Annually, District personnel will read the 2 CFR Part 200, Appendix XI, Compliance Supplement for all federal programs received by the District to ensure they are aware of all applicable compliance requirements. Anticipated Date of Completion: 06/30/2023 Name of Contact Person: Drew Goebel Management Response: Management will implement the auditor's recommendation in the year ended June 30, 2023.

17-020-0150-26 CORRECTIVE ACTION PLAN FOR CURRENT YEAR AUDIT FINDINGS Year Ending June 30, 2022 Corrective Action Plan Finding No.: 2022-_ 003_ Condition: The District did not maintain property records for equipment purchased with Education Stabilization Funding. Plan: The District will assign an employee to prepare the District's property records in accordance with the requirements of 2 CFR section 200.313(d)(1). Anticipated Date of Completion: 06/30/2023 Name of Contact Person: Drew Goebel Management Response: Management will implement the auditor's recommendation in the year ended June 30, 2023.

Finding Control Number: 22-07 Financial Reporting Equipment and Real Property Management - ALN 21.019 Response by Department of Federal Programs ? Finding Control Number 22-06: We do not concur with this finding. CFR 200.313(d)(2) requires that a physical inventory of equipment be made at least once every two years, not annually. The property indicated in the finding was acquired during the fiscal year ended June 30, 2022, therefore, the physical inventory for this property acquired with the Coronavirus Relief Fund is not applicable in the current fiscal year. In addition, the Municipality of Las Piedras has recently completed a physical inventory of personal property, which includes furniture, equipment, licensed vehicles and all other personal property capital assets acquired with federal and non-federal financial sources. Anticipated completion date: Not applicable Contact person: Ms. Omayra Agosto Santiago, Director of Finance Telephone: (787) 733-2160, ext. 407 Email: recaudacionesmlp@gmail.com

FINDING 2022-001 (Auditor Assigned Reference Number) Contact Person Responsible for Corrective Action: Robert McIntire, Director of Business Contact Phone Number: 765-455-8000 We concur with the finding. Equipment was purchased with a total value of $438,016 and was incorrectly purchased and recorded and reimbursed as supplies and the inventory did not correctly reflect the purchase of these items. Description of Corrective Action Plan: Kokomo School Corporation will update its internal controls process to address this issue. All staff who are a part of grant administration and purchasing will be retrained on the internal controls process and on the details of property records that must be maintained. Additionally, Kokomo School Corporation staff will review inventory records for items purchased since July 2021 to ensure that the Equipment and Real Property Management compliance requirement is met. Anticipated Completion Date: Retraining will be completed by 8/1/2023. Review of purchases and inventory updates will be completed by 7/1/2024.

In response to audit finding reference number 2022-001, our planned corrective action for the finding is to perform a physical inventory of any property purchased with federal funds as required. Said tasks will be listed as an action item on the business office annual calendar. Karrine Montaque can be contacted at kmontaque@owncs.org regarding said task. The anticipated completion date is March 31, 2023.