Corrective Action Plans

2022-001: Audit Report Submission to the Federal Government Corrective Action Plan: The Board has hired a contract accountant to assist the Accounting Manager in the timely financial close to report and audit preparation to ensure timely completion of their financial and compliance audits. Anticipated Completion: December 31, 2023 Responsible Party: Tamie Wick, Accounting Manager. Amy Terrell, Airport Director.

Management Response The School management will ensure that all the quarterly 425 reports and the Single Audit reporting package are completed, submitted, received, and accounted for by the School and finance office and secured for further reference. Anticipated Completion Da te November 30, 2023 Responsible Party Kenneth Toledo-Principal, Paulette Atencio-Business Manager, Deann Bahe-Payroll Clerk and Veronica J. Sandoval-Human Resource.

The Village notes that the delay in single audit report submission is attributed to its misidentification of a Federal award, which it originally believed to be a State award. Propspectively, the Village will ensure all awards are properly categorized and engage a CPA firm to perform its Single Audit in a timely manner

The delay in submission of the single audit report arose from a delay in completion of the audit. The City's strategy to address this delay in completion of the audit includes prompt reconciliation of account balances, especially the bank account balanes, before we commence the final audit in November of each year. The City recently hired a temporary staff who is mainly focused on assisting with speeding up the bank reconciliation process which will ultimately ensure that the year-end close is completed on time for the final audit. The corrective action will be fully implemented during the Fiscal Year 2023/2024 audit. the contact persons for this corrective action are Adrienne Morales (Accouting Supervisor), Stephen Ajobiewe (Finance Manager), and Matthew Schenk (Director of Finance) for the City of Perris.

Audit Period: June I, 202I through May 3 I. 2022. Audit Finding No.: Finding 2022-00 I: Late Filing of Audit Report Audit Finding Title: CFR section 200.5 I2(a) requires the reporting package and data collection form be submitted to the Federal Audit Clearinghouse the earlier of30 calendar days after the reports are received from auditors or nine months after the end of the audit period. Northwest Montana Head Start, Inc's audited financial statements for the year ended May 31,2022 were due to the federal single audit clearinghouse by February 28, 2023. Specific steps to be taken to correct the situation (including a timetable for performance of the CAP) or reason why corrective action is not necessary (including disagreement with the finding):. Steps taken: Fiscal training on deadlines. Increased communication with the audit team. Increased expectations of audit timeline. Anticipated completion date: 05/09/2023 Name(s) and Title(s) of contact person(s) responsible for corrective action: Marcy Otten, Director Kristin Brunetto, CFO

The late filing of the DCF was caused by delays resulting from the Executive Director’s family leave during the year. This employee is responsible for providing backup documentation and as a result, the documentation was not available for the audit process. This was a one-off circumstance that has been resolved and our procedures will prevent this late filing from happening in the future.

Recommendation: We recommend that Osage Heights Senior Housing, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Osage Heights Senior Housing, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Responsible Official's Response: The NEWDB fiscal team will undergo supplementary training on MIP reporting procedures, which is currently in the scheduling phase and will occur within this quarter. Furthermore, as part of their ongoing professional development, the fiscal team will also engage in additional training related to governmental and fund accounting processes. Corrective Action Planned: The NEWDB Fiscal Team will undergo supplementary training on MIP reporting procedures.

Recommendation: We recommend that Willowbrook Senior Housing, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Willowbrook Senior Housing, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that Oak Hills Senior Housing, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Oak Hills Senior Housing, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that Miller Place Senior Complex, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Miller Place Senior Complex, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that Billy V. Hall Senior Complex, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Billy V. Hall Senior Complex, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that White River Senior Complex, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: White River Senior Complex, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that Dixieland Gardens Senior Housing, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Dixieland Gardens Senior Housing, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that Ozark Meadows II, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Ozark Meadows II, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that Fallen Ash Senior Complex, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Fallen Ash Senior Complex, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that North Arkansas Senior Housing of Bull Shoals and Gravette, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: North Arkansas Senior Housing of Bull Shoals and Gravette, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Recommendation: We recommend that Flint Creek Apartments, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Flint Creek Apartments, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

2022-01 Single Audit Data Collection Form Not Filed By Due Date Recommendation: We recommend that Ozark Meadow Apartments, Inc. develop specific procedures to ensure that the data collection form is filed within 30 days after the audit report is received. Action Taken: Ozark Meadow Apartments, Inc. will develop procedures to ensure that the data collection form is filed before the due date. Name of responsible person responsible for corrective action: Brad Bailey Anticipated completion date for the corrective action: October 15, 2023

Finding 2022-02: Late Submission of Financial Statements to FAC and REAC (Significant Deficiency) Corrective Action Plan: Lack of leadership and structure within the Finance department along with the ripple effects from a previous waiver submission requirement under COVID for delayed audit submissions lead to missed deadlines for the delivery of the financial statements to REAC. To remedy this finding, RRHA’s new CFO has implemented an earlier internal deadline for Unaudited FDS submissions. RRHA’s Unaudited FDS is due November 30th. However, the new internal deadline date will be scheduled before Thanksgiving each year. We will also work with our auditors to establish an audit schedule that will allow us to submit the Audited FDS prior to the June 30th deadline. Name of Responsible Person: Precious Washington, Senior Vice President/Chief Financial Officer Expected Completion Date: September 30, 2024

Condition: The WNCAP Single Audit was not submitted to the Federal Audit Clearinghouse within the prescribed period. Corrective Action: The key position of Director of Finance was filled in October 2022, and will remain appropriately staffed going forward. The main cause for this delay was the delay of the previous Single Audit, since it extended into this fiscal year’s timeline. The Director of Finance was able to complete the SEFSA for this audit in a timely manner, and the audit progressed at a reasonable pace. Management will continue to refine internal processes for efficiency; and WNCAP is on track to submit the next Single Audit (FY 2022-23) by the standard deadline of March 31, 2024. In addition, management created a risk assessment policy and procedure to be initiated any time there is turnover in key personnel who play a role in the finance-related activities of the organization. The process includes the following steps: naming an assessor/monitor to lead the effort, who must be the staff member at the highest level of financial responsibility; creation of a monitoring plan that identifies risks, their potential impacts, the actionable steps to mitigate said impacts, and assigns actionable steps to specific staff. The assessor/monitor decides the duration of the monitoring period, and is tasked with routinely meeting with responsible staff to ensure mitigation activities are implemented, and update the monitoring plan as needed. One of the potential impacts named in the policy is “past-due submission of the Single Audit into the FAC”.

The organization has made various changes to personnel within the Finance Department as well as outsourcing of Finance Director duties to an outside CPA firm. These changes have streamlined the accounting process which will enable the year-end financial statements to be completed and forwarded to the auditor in a timely fashion. The audit for the year ended June 30, 2023 has already been scheduled and will begin during the week of October 23, 2023. This timeline will ensure that the Single Audit reporting package and data collection form can be submitted well in advance of the due date.

Plan: 1. Audit and data collection form will be filed timely starting with the year ended June 30, 2023 filings. . Name of Contact Person: Carla Licavoli, Chief Operating & Compliance Officer Target Date: Filings to be completed by the applicable deadlines starting with the June 30, 2023 submissions.

2022-004: Reporting - Timely Submission of Financial Reports – Material Weakness in Internal control over Financial Reporting and Noncompliance  The City recently hired a Finance Director and is working to fill the Controller position. Being fully staffed will assist in the timely completion of the City’s audit.  Anticipated completion: December 2023

Action taken: BRHC will work with the audit firm to ensure that the audit fieldwork is scheduled with sufficient time to allow the audit report and data collection form are filed timely in the future.