Corrective Action Plans

Untimely Submission of Federal Financial Report (SF-425) Report Consolidated Health Center Cluster ALN # - 93.224 and 93.527 A Federal Financial Report (SF-425) report related to the Health Center Program Cluster was submitted after the applicable reporting deadlines. The finding was classified as a significant deficiency in internal control over compliance. No questioned costs were reported. Management Response Management agrees with the finding and recognizes the importance of timely preparation, review, and submission of all reports required under federal awards. Corrective Action The Center will strengthen its controls over federal reporting by implementing the following procedures: • Maintain a centralized federal compliance calendar identifying each required report, the applicable award, reporting period, due date, responsible preparer, and reviewer. • Assign primary and backup responsibility for preparing and submitting each SF-425 report. • Establish internal preparation and review deadlines sufficiently in advance of the federal due date. • Require documented supervisory review and approval before submission. • Maintain evidence of submission, including confirmation receipts, in a centralized grant compliance file. • Perform periodic management monitoring of upcoming and completed reporting requirements and promptly investigate missed or approaching deadlines. Implementation and Monitoring The responsible official will review the compliance calendar at least monthly and will follow up with report preparers and reviewers regarding approaching deadlines. Completion of the review and evidence of timely submission will be documented and retained with the applicable grant records. Management will evaluate the effectiveness of these procedures after each reporting cycle and will revise the process as necessary. Status of Corrective Action Corrective action has been implemented as of the date of this report.

Finding 2026-002 Federal Grant Cash Management and Federal Financial Reporting Auditor reference: Schedule of Findings and Questioned Costs, page 38 Finding addressed: One federal grant cash draw was partially disbursed before related disbursements, resulting in $180,641 in questioned costs. The audit also identified an inaccurate Annual Federal Financial Report for the H8N award ending August 31, 2025. Planned corrective action 1. Reconstruct and reconcile the transactions. By November 2026, the CFO will complete a transaction-level reconciliation of the $180,641 identified by the auditor and review the relevant draws for the H80 and H8N awards cited. The review will tie draw requests to the general ledger, bank activity, payment dates, grant budgets, supporting invoices or payroll, periods of performance, and submitted Federal Financial Reports. 2. Resolve questioned costs and reporting discrepancies. By December 2026, management will determine, based on source documentation and applicable award requirements, the amount, if any, that requires correction; communicate the results to the appropriate HRSA grants management and payment-system contacts; and obtain direction on any required return of funds, adjustment, or corrected reporting. NHHC will implement required remedies and retain correspondence, approvals, and transaction evidence. The $180,641 will remain an open questioned-cost matter until resolved through the applicable agency process. 3. Establish pre-draw controls. By December 2026, the CFO will revise and implement written cash-management procedures that require a grant-specific drawdown worksheet for each request. The worksheet will document eligible expenditures already disbursed or actual immediate cash requirements, planned payment dates, budget and award-period eligibility, available cash, and the requested amount. A designated Finance preparer will document the calculation, and the CFO will approve each draw before submission; exceptions will be escalated to the CEO. 4. Strengthen Federal Financial Report controls. By January 2027, Finance will implement an FFR preparation and review checklist that requires reconciling award-specific financial records with reported expenditures, disbursements, unliquidated obligations (where applicable), and reporting-period dates. The CFO will independently review and approve each FFR before submission. In coordination with HRSA and the payment-system administrator, Finance will address the identified H8N reporting error through the permitted correction process. 5. Test and monitor compliance. By March 2027, the CFO will document a review of all grant draw requests submitted during the first three months of the revised process and of any FFRs submitted during that period. The review will verify completed pre-draw support, approvals, cash timing, and report reconciliation. Exceptions will be investigated, corrected, and tracked to closure, with a summary provided to the CEO. Responsible contacts: Jason Wallace, Chief Executive Officer; Monica Lerma, Chief Financial Officer Anticipated completion: March 2027 Evidence of correction: Transaction-level draw reconciliation and questioned-cost analysis; HRSA and payment-system correspondence; written cash-management and FFR procedures; approved draw worksheets; FFR support and approval checklists; bank and expenditure records; and post-implementation testing reports. Agency-dependent resolution: NHHC’s completion target excludes agency-controlled determinations of questioned costs and acceptance of corrected federal reporting.

Views of Responsible Officials and Planned Corrective Actions The Grants Administrator and the Finance Department are working closely to compare all expenditures incurred by quarter to the expenditures as reported to the grantor in the quarterly reports. The Grants Administrator and Finance Department have been working to make any corrections necessary for reporting purposes and to address the timing and presentation issues of expenditures as incurred versus as reported. Going forward, the Grants Administrator will be more involved in communicating with the Finance Department, at a minimum on a monthly basis, in regard to the reporting of expenditures that are being funded by federal, state, and local awards. The Finance Department and Grants Administrator are working to correct this finding through final reporting and closeout of the award.

Federal Financial Reporting Type: Significant Deficiency Corrective Actions: - Establish compliance calendar and tracking system. - Assign responsibility and require supervisory review. - Monitor reporting timelines. Responsible Parties: Chief Executive Officer and Chief Financial Officer

All quarterly reports were reviewed and combined into a single report. All obligations and expenses as of 6/30/2024 and 6/30/2025 were examined and a determination of correct obligation and expenses was made. These new numbers were used for the report dated 10/15/2025. By the time the FY24 report was completed and issue was found, FY25 was over. This issue is corrected for FY26.

Reporting Management Response: Management acknowledges this finding. The fourth-quarter FY2025 financial report submitted to the grantor was an exact duplicate of the third-quarter report and did not include fourth-quarter activity. The audit also found no evidence of an independent review before submission. Corrective Action: Nevadaworks will strengthen its federal financial reporting review process. 1. A reporting calendar will identify all required federal reports, due dates, preparer, reviewer, and approving official. 2. Each quarterly report will be reconciled to the general ledger and applicable grant accounting records before submission. 3. Management will review the FY2025 fourth-quarter reporting issue and submit any required corrected reports to the awarding agency. Responsible Party: Finance Manager/Controller. Target Completion The reporting checklist and independent review process will be implemented immediately and used for all subsequent quarterly federal financial reports. Monitoring: Management will perform quarterly compliance reviews to verify that each federal financial report was reconciled, independently reviewed, approved, and retained with supporting documentation.

Federal Agency Name: Department of Veterans Affairs Assistance Listing Number: 64.003 Program Name: VA Supportive Services for Veteran Families Program Compliance Requirement: Reporting Finding Summary: No review and approval processes were in place over 2 quarterly progress reports. Corrective Action Plan: Management has implemented procedures and control processes to incorporate an independent review and approval over quarterly reporting effective for the quarterly report ending June 30, 2025. Responsible Individuals: Teena Conrad, SSVF Program Manager, Lysa Allison, Executive Director and Christina Thoelke, Business Manager Anticipated Completion Date: June 2025

Finding Number: 2025-001 Condition: The Organization submitted a Request for Reimbursement (SF-270) that included $91,453 for the remaining balance of certain vehicle lease agreements that had not been paid at the time of the request, resulting in Federal funds held in excess of immediate cash needs. As of December 31, 2025, $51,642.70 remained unexpended. In addition, the semiannual financial reports submitted to the Forest Service reported the funds received as cash disbursed, overstating reported disbursements. Management response: Management concurs with this finding. The Organization acknowledges that Federal funds were requested in excess of its immediate cash needs and that the semiannual financial reports did not reflect actual disbursements during the year ended December 31, 2025, and is committed to implementing the corrective action described below. Corrective action plan: In response to the condition in reference, management will establish the following corrective action: • Notify the Forest Service in writing of the unexpended advanced funds and obtain a determination on whether the balance must be returned or may be applied to future lease payments. No additional funds will be requested for the vehicle leases until the determination is received. • Determine whether the advanced funds earned interest and, if applicable, remit it in accordance with 2 CFR 200.305(b). • Adopt a written procedure requiring that each SF-270 be supported by a worksheet showing that costs included in reimbursement requests have been paid, that advances do not exceed 30-day cash needs, and that prior advances have been fully expended. The worksheet will be reviewed and approved before each request is submitted. • Submit revised semiannual financial reports reflecting actual cash disbursements recorded in the accounting records. • Prepare future financial reports from actual disbursements recorded in the general ledger, reconciled to the general ledger and reviewed by a person independent of the preparer before submission. • Provide training to personnel responsible for payment requests and financial reports on the award's terms and conditions and the cash management and reporting requirements of 2 CFR Part 200.

Federal Agency Name: Corporation for National and Community Service Federal Financial Assistance Listing #94.012 Program Name: September 11th National Day of Service and Remembrance Grants Reporting Material Weakness in Internal Control over Compliance and Material Noncompliance Finding Summary: Reporting of information on subawards as required by the Federal Funding Accountability and Transparency Act of 2006 (FFATA) was not completed for each of the four subrecipients in which pass through funds exceeded $30,000. Corrective Action Plan: Management agrees with the finding and has implemented procedures to ensure that applicable subawards are identified and reported in accordance with Federal Funding Accountability and Transparency Act (FFATA) requirements. Management will review subawards at the time of award to determine whether federal reporting requirements apply, complete required reporting within the applicable reporting period, and retain documentation supporting completion of the reporting. Responsibility for monitoring and completing required FFATA reporting has been incorporated into the organization's federal grant administration procedures. Responsible Individuals: David Paine - President, Dominique Carver – Operations Director, Miranda Cirtwell – Controller Anticipated Completion Date: December 15, 2025

Audit Finding: 2025-002: Untimely Submission of Federal Financial Reports (SF 425) – Reporting – Assistance Listing Numbers: 93.224 and 93.527 Consolidated Health Center Cluster (Repeat Finding) Type of Finding: Significant Deficiency in Internal Control Over Compliance Cause – Controls and procedures designed to ensure timely preparation, review, and submission of required federal financial reports were not consistently followed during fiscal year 2025, resulting in delayed submission of SF-425 reports. Corrective Actions: 1. Due to turnover in the CFO role, there was a delay in the submissions of the FFR. This finding has been corrected with the implementation of a contractual financial services team. 2. Additional preventative internal control procedures were implemented designating a secondary individual responsible for submission of the Federal Financial Reports should the primary individual be absent, on leave, or terminated. 3. These procedures and internal controls were implemented in January 2026.

Responsible contact(s): Steve, Staff Accountant - AR, for financial reports; Program Directors/Managers for performance reports; Agnes, Controller, for financial review; Laura, CFO, for oversight. Participating staff: Program reporting staff and designated backups; Steve, with support from Sharon, for calendar/evidence support; Trina and AP staff for underlying reconciliations. During part of 2026, AEA did not submit the reports as required by the award on a timely manner, this was corrected for the August 2026 submissions. 1. Create a complete award-reporting calendar. Steve and each Program Manager will inventory executed agreements, amendments, and reporting instructions. The register will show award, report type, reporting period, actual contractual due date, submission method, preparer, reviewer, submitter, backup, and evidence link. Agnes will validate requirements and updates; an organization-wide assumed due date will not replace award terms. 2. Build in lead time. Using the external due date as D, AEA will target source data by D minus 10 business days, drafts by D minus 7, review by D minus 5, and submission by D minus 2. Where the reporting window is shorter, Agnes and the Program Director will set feasible earlier internal milestones without changing the external deadline. 3. Assign substantive review. Steve will prepare and reconcile financial reports to the ledger, approved payroll/allocations, prior cumulative reports, budget categories, and claim adjustments. Agnes will independently approve financial accuracy. Program staff will prepare performance results and explanations, and the Program Director will approve them. Finance and Programs will reconcile financial and performance data where related; authorized certifications will be obtained. 4. Retain proof and escalate risk. The designated submitter, program staff, will send a copy of the submitted report to Steve. Steve will save the email, copy of the submitted report, retain the final approved report, dated review, submission timestamp, portal receipt or transmission evidence, funder acknowledgment when available. Steve will index evidence and follow up on rejections. Missed internal milestones or threatened deadlines will be escalated to Laura within two business days. 5. Resolve prior reporting exceptions. Steve and Program Managers will review 2026, submit any outstanding reports promptly (where applicable), and document unresolved evidence gaps. Late reports will remain classified as late; later submission will not erase the original exception. Anticipated completion Validated complete registers and procedures: October 30, 2026. Historical reporting review: November 30, 2026. Anticipated completion after effectiveness review: January 29, 2027.

We will implement a process to reflect reviewer signature on D- 15s (County form) for financial reports.

We will implement a process to maintain documentation of review for all CalOES grants in the form of E-mail confirmation or screenshot signed by the reviewer.

CORRECTIVE ACTION PLAN - Concerning Findings 2025-003 Contact Person Responsible for Corrective Action: Andrew Levesque, CFO Corrective Action: The Mi'kmaq Nation will take the following actions to address finding 2025-003 as stated below: Condition: To date, the Nation lacks proper internal controls to ensure timely programmatic reporting and historical file maintenance. Management's Response: The Nation, through a new financial director, and finance team has started training staff and those responsible for these functions. With increased help in the financial department, we are now able to and anticipate meeting this function as required by the program. Anticipated Completion Date: December 31, 2026 Sincerely, Sheila McCormack, Tribal Chief

Views of Responsible Officials and Planned Corrective Actions The Foundation will strengthen its review procedures for FFR preparation and submission. The Foundation will continue to enhance the formal review process of the FFR and ensure that the appropriate program income method is applied based on the related contract. Additionally, the Foundation will continue the process of having an independent review of the FFR prior to submission. Personnel responsible for implementation: Shibu Sam Position of responsible personnel: National Director of Contracts Administration Date of Implementation: October 1, 2026

FINDING 2025-023 Finding Subject: Title I Grants to Local Educational Agencies - Reporting Contact Person Responsible for Corrective Action: Jenna Harrington, Ahnaf Tahmid & Marlaina Johns Contact Phone Number and Email Address: 574-393-6000, jharrington@sbcsc.k12.in.us, atahmid@sbcsc.k12.in.us, mjohns2@sbcsc.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: A comprehensive Internal Controls Manual was written and released in December 2024 with implementation beginning July 1, 2025. This includes segregation of duties, purchasing processes, contacts process, grant processing, Grant Reimbursements The reimbursement process was updated to include all required supporting documentation, such as transaction detail and summary reports. Each request is also reviewed and signed by the supervisor to document approval. On a recurring basis, the Director of Federal Grants generates the detailed expenditure report and budget summary. The detailed report is filtered to capture only the transactions occurring since the previous reimbursement request, making new expenditures easy to identify. These amounts are added to the cumulative reimbursement totals, which are then compared to the total disbursements shown on the summary report to ensure they align. Once the totals match, the reimbursement request is reviewed by the Chief Financial Officer and submitted to the awarding agency. Since there was no reimbursement form for this grant, the supervisor review signature was not always collected. It has been added on one of the sheets within the supporting documents of the packet. Financial Reporting Reviewing The fiscal officers managing the grant will have their supervisor review financial reports prior to submission and sign their approval. Anticipated Completion Date: July 1, 2025

CORRECTIVE ACTION PLAN FINDING 2025-022 Finding Subject: Education Stabilization Fund – Reporting Contact Person Responsible for Corrective Action: Darice Austin-Phillips, Ahnaf Tahmid & Marlaina Johns Contact Phone Number and Email Address: 574-393-6000, daustin@sbcsc.k12.in.us , atahmid@sbcsc.k12.in.us, mjohns2@sbcsc.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Internal Control Manual: Released a comprehensive manual covering segregation of duties, purchasing, and grant management. Reimbursement & Reporting Oversight: Added explicit supervisor review signatures to grant packet supporting documents and financial reports prior to final agency submission. Anticipated Completion Date: Grant Ended: December 2025 IC Updates: January 1, 2025

FINDING 2025-014 Finding Subject: Teacher and School Leader Incentive Grants (Formerly the Teacher Incentive Fund) – Condition of Records Contact Person Responsible for Corrective Action: Ahnaf Tahmid & Marlaina Johns Contact Phone Number and Email Address: 574-393-6000, atahmid@sbcsc.k12.in.us, mjohns2@sbcsc.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Centralized Reporting: The Finance Department now mandates that all approved grant documentation (Grant Award Notifications, reimbursement forms, budget breakdowns) be submitted to Finance immediately. This grant is no longer in use. Anticipated Completion Date: September 30, 2024 (grant ended). January 1, 2025 is when grant award documentation sharing was required.

CORRECTIVE ACTION PLAN FINDING 2025-005 Finding Subject: Special Education Cluster (IDEA) - Condition of Records Contact Person Responsible for Corrective Action: Kwalfle Scott-Bradley, Ahnaf Tahmid & Marlaina Johns Contact Phone Number and Email Address: 574-393-6000, kscottbradley@sbcsc.k12.in.us, atahmid@sbcsc.k12.in.us, mjohns2@sbcsc.k12.in.us Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Reimbursement & Approval Process: Standardized reimbursement requests to require full supporting documentation (transaction details and summary reports). The Director of Federal Grants filters expenditures since the prior request, reconciles totals against disbursements, and obtains CFO approval before submitting. Resolution of Over-Expenditures: Over-expenditures identified during the audit cycle were resolved in January 2026 via School Board approval by transferring unallowable and excess expenditures to the general fund. Category Monitoring: The Special Education Department will monitor budget limits continuously to ensure individual grant categories are not over-expended. Anticipated Completion Date: Completed January 2026

We agree that the State and Local Fiscal Recovery Funds (SLFRF) Project and Expenditure Report was overstated by $1,059,739.66 for the grant period ended December 31, 2025. We contract with Bricker, Graydon, Wyatt LLP to complete the SLFRF reporting. We understand that we should review the report as it is completed by the law firm. Interest earned on SLFRF funds do not have to be remitted to the US Department of Treasury and is not subject to the SLRFR program use restrictions. Therefore, the issue deals primarily with reporting and classification. The County will review and reconcile all expenditures reported under the SLFRF grant receipts, interest earnings, expenditures, and amounts reported to the US Department of the Treasury. The County will ensure expenditures are accurately classified and reported according to the source of funds and applicable Treasury reporting requirements. We will review the report after it is prepared by the law firm and approve the reconciliation before the report is submitted. The reconciliation will specifically distinguish SLFRF award funds from interest earnings and other non-SLFRF revenues.

The National Preservation Institute acknowledges the finding related to the untimely submission of required Federal reports. The reporting delay was not the result of a failure to perform the underlying activities or maintain the information necessary to complete the report, but rather a breakdown in the process for monitoring and tracking reporting deadlines. Management has reviewed its reporting processes and implemented additional oversight procedures to ensure reporting deadlines are identified, monitored, and communicated on a timely basis. A centralized compliance calendar will be established to track all Federal reporting requirements and due dates, and responsibility for monitoring reporting deadlines has been assigned to the National Preservation Institute’s Executive Director. The Executive Director will periodically review reporting requirements throughout the year to ensure that reports are submitted within required timeframes. Management believes these actions will strengthen compliance with Federal reporting requirements and reduce the likelihood of future late submissions.

CORRECTIVE ACTION PLAN For the Year Ended December 31, 2025 Finding No.: 2025-001 Federal Agency: U.S. Department of Health and Human Services Federal Program: 93.297 – Teenage Pregnancy Prevention Program (PROSa) Compliance Requirement: Reporting Responsible Entity: Grupo Nexos, Inc. – Finance Department and Program Management Reported Condition During the audit for the year ended December 31, 2025, it was identified that one (1) of the two (2) Federal Financial Reports (SF-425) selected as part of the audit sample was submitted five (5) days after the established due date. Management Response Grupo Nexos, Inc. acknowledges the finding and agrees with the need to maintain appropriate follow-up and monitoring procedures to ensure the timely preparation, review, and submission of all federal financial reports. The event identified during the 2025 audit occurred during the period in which the Organization was in the process of implementing the corrective measures related to Finding No. 2024-001. It is important to note that the scope of the conditions identified during 2025 was significantly reduced compared with the prior year. The other matters related to FFATA reporting and the Trans-NIH program identified in 2024 were corrected or did not result in similar findings during 2025. Corrective Actions 1. Centralized Compliance Calendar. An electronic calendar is maintained identifying the due dates for Federal Financial Reports (SF-425) and other reports required under each federal program. 2. Advance Alerts. Alerts have been established in advance of due dates to facilitate the timely preparation, review, and submission of reports. 3. Assignment of Responsibilities. Personnel have been designated as responsible for the preparation, follow-up, and submission of reports, along with backup personnel to ensure continuity in the event of an absence or staffing change. 4. Internal Review and Approval. Federal financial reports will be subject to internal review and approval by the Chief Financial Officer (CFO) prior to submission. 5.Documentation and Recordkeeping. Electronic evidence of the preparation, review, submission, and confirmation of receipt of each federal report will be maintained in a centralized compliance file. 6. Periodic Follow-Up. The Finance Department will periodically monitor the compliance calendar. Any situation that could result in a delay must be communicated to the CFO before the applicable due date. Status of Corrective Action The corrective measures related to this finding have been implemented and are part of Grupo Nexos, Inc.'s regular monitoring and compliance procedures. The Organization will continue to monitor the effectiveness of these controls to ensure that federal financial reports are prepared, reviewed, and submitted within the deadlines established by the federal awarding agencies. Implementation Date: 11/30/2025

The reporting process for federal & state awarded funds will be reviewed with all parties involved in these funds.

Finding 2025-005 Federal Agency Name: Department of Treasury Pass-Through Entity: South Dakota Department of Agriculture and Natural Resources Assistance Listing Number: 21.027 Program Name: Coronavirus State and Local Fiscal Recovery Funds Finding Summary: There was no review performed of the required annual report prior to its submission to ensure the accuracy and completeness of the reported information. Corrective Action Plan: The City will revise its reporting procedures to provide for a separate preparer and reviewer of required federal program reports. The reviewer will review the report for accuracy and completeness prior to submission, and completion of the review will be documented. Responsible Individual(s): Jordan McQuillen, Finance Officer Anticipated Completion Date: December 2026

Finding Number: 2025-002 Planned Corrective Action: Board of Elections has been provided with additional training by the Commissioners Finance staff on grant management and reporting. Necessary reports were filed with Secretary of State as required for the current fiscal year. Anticipated Completion Date: 08/31/2026 Responsible Contact Person: Dante Lewis, Board of Elections Director