Corrective Action Plans

Finding 565316 (2023-003)

Material Weakness 2023

Assabet Valley Regional Technical High School

MA

Questioned Costs Period of Performance Allowable Costs / Cost Principles

Department of Education Noncompliance and Material Weakness Related to Internal Control over Compliance of the Major Program Finding 2023-003 – Education Stabilization Fund – ESSER III AL No. 84.425U Condition: During our test of controls over compliance it was noted that there are expenditures ch...

Department of Education Noncompliance and Material Weakness Related to Internal Control over Compliance of the Major Program Finding 2023-003 – Education Stabilization Fund – ESSER III AL No. 84.425U Condition: During our test of controls over compliance it was noted that there are expenditures charged to the Education Stabilization Fund – ESSER III for services outside of the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education. Criteria: The Period of Performance for the Education Stabilization Fund – ESSER III was October 4, 2021 through September 30, 2024. Context: During our test of expenditures and review of the general ledger against the Education Stabilization Fund – ESSER III grant as it is related to compliance it was noted that the School paid in full a four year lease from 3/1/23 to 2/28/27 and charged 10/1/23 to 2/28/27 to the Education Stabilization Fund – ESSER III grant in the amount of $190,869 and thus the period from 10/1/24 to 2/28/27 would be outside the period of performance and thus would not be an allowable cost. Effect: Assabet Valley RTHS was not in compliance with the period of performance requirement as set forth by the Massachusetts Department of Elementary and Secondary Education. Questioned Costs: Questioned costs charged to the Education Stabilization Fund – ESSER III grant whose service period was beyond the grant end date of September 30, 2024 was in the amount of $135,005. Cause: Grant should have been amended Identification as a Repeat Finding: N/A Recommendation: We recommend the Assabet Valley RTHS follow procedures to ensure that expenditures charged to the grant is within the period of performance as set forth by the Massachusetts Department of Elementary and Secondary Education. Responsible for Corrective Plan: Maria Silva, Director of Business Operations Estimated Completion Date: 12/31/2024 Action Taken: The District agrees with the recommendation and will work with those writing the grants.

View Audit 359144 Questioned Costs: $1

Finding 565315 (2023-002)

Significant Deficiency 2023

Assabet Valley Regional Technical High School

MA

Questioned Costs Allowable Costs / Cost Principles

Department of Education Noncompliance and Significant Deficiency Related to Internal Control over Compliance of the Major Program Finding 2023-002 – Education Stabilization Fund – ESSER III AL No. 84.425U Condition: During our test of controls over compliance it was noted that an employee’s payroll...

Department of Education Noncompliance and Significant Deficiency Related to Internal Control over Compliance of the Major Program Finding 2023-002 – Education Stabilization Fund – ESSER III AL No. 84.425U Condition: During our test of controls over compliance it was noted that an employee’s payroll charged to the Education Stabilization Fund – ESSER III major program was for services that was not included as part of the grant application/budget. Criteria: Costs charged to the major program should meet the requirements as set forth by Uniform Guidance 2 CFR Part 200, subpart E (Cost Principles). Context: During our review of payroll charged to the major program it was noted that one of the employees charged to the grant was for work as a School Adjustment Counselor that was charged to the Instructional Staff budget of the grant, which does not support the services charged. Thus the payroll expense would be unallowable. Effect: Assabet Valley RTHS was not in compliance with the allowable costs/ cost principals requirement as set forth by the Uniform Guidance 2 CFR Part 200, subpart E (Cost Principles). Questioned Costs: $76,676.89 Cause: Grant should have been amended Identification as a Repeat Finding: 2022-001 Recommendation: We recommend the Assabet Valley RTHS follow procedures to ensure that payroll expenditures charged to the grant is allowable costs as set forth by Uniform Guidance 2 CFR Part 200, subpart E (Cost Principles) Responsible for Corrective Plan: Maria Silva, Director of Business Operations Estimated Completion Date: 12/31/2024 Action Taken: The District agrees with the recommendation and will work with those writing the grants.

View Audit 359144 Questioned Costs: $1

Finding 565301 (2023-004)

Material Weakness 2023

City of Madison

IN

Internal Control / Segregation of Duties Allowable Costs / Cost Principles Material Weakness § 200.1 § 200.303

FINDING 2023-004 Finding Subject: Coronavirus State and Local Fiscal Recovery Funds - Reporting Contact Person Responsible for Corrective Action: Mindy McGee Contact Phone Number and Email Address: 812-265-8300, mmcgee@madison-in.gov Views of Responsible Officials: We concur with the finding regardi...

FINDING 2023-004 Finding Subject: Coronavirus State and Local Fiscal Recovery Funds - Reporting Contact Person Responsible for Corrective Action: Mindy McGee Contact Phone Number and Email Address: 812-265-8300, mmcgee@madison-in.gov Views of Responsible Officials: We concur with the finding regarding errors in Coronavirus Fund reporting. Description of Corrective Action Plan: Historically, the city has not had a centralized position who would be responsible for grant compliance and reporting. Individual department heads were responsible for comp0lying with each awarded grant for their own area of responsibility. In spring of 2025, a new Project & Grant Manager position was created and filled by a qualified individual. The responsibilities of the position include data collection and analysis, project management, grant coordination, information management and compliance monitoring and reporting. Anticipated Completion Date: The new position referenced above has been filled and is in operation as of April 8th 2025.

View Audit 359138

Finding 565300 (2023-003)

Material Weakness 2023

City of Madison

IN

Procurement, Suspension & Debarment Subrecipient Monitoring § 200.214 § 200.303

FINDING 2023-003 Finding Subject: COVID-19 – State and Local Fiscal Recovery Funds – Suspension and Debarment Contact Person Responsible for Corrective Action: Bob G. Courtney, Mayor Contact Phone Number and Email Address: 812-265-8300/mayor@madison-in.gov Views of Responsible Officials: We concur w...

FINDING 2023-003 Finding Subject: COVID-19 – State and Local Fiscal Recovery Funds – Suspension and Debarment Contact Person Responsible for Corrective Action: Bob G. Courtney, Mayor Contact Phone Number and Email Address: 812-265-8300/mayor@madison-in.gov Views of Responsible Officials: We concur with the finding regarding the lack of policies or procedures in place related to the SLRF suspension and debarment requirements. Description of Corrective Action Plan: Historically, the city has not had a centralized position who would be responsible for grant and compliance management which created an inferior process of internal controls. A new Project & Grant Manager position was created in the Mayor’s office in April 2025. When contracts for goods or services equal or exceed the required amount, verification will be done by checking the Excluded Parties List System (EPLS), collecting a certification from that person, or adding a clause or condition to the transaction with that person. Proper education on the process is already underway. Anticipated Completion Date: The new position referenced above has been filled and is in operation as of April 8th 2025.

View Audit 359138

Finding 565234 (2023-010)

Material Weakness 2023

Cadillac Area Oasis/family Resource Center

MI

Questioned Costs Internal Control / Segregation of Duties Subrecipient Monitoring

Action to be taken – Future internal approval of all timesheets will include first approval by the immediate supervisor, reviewing total hours worked per week, grants billed, and total hours worked. There will be a second approval by an outside financial management firm when they process the payroll...

Action to be taken – Future internal approval of all timesheets will include first approval by the immediate supervisor, reviewing total hours worked per week, grants billed, and total hours worked. There will be a second approval by an outside financial management firm when they process the payroll to prevent errors in overpayments. Estimated completion date – In September 2024 the new executive director mandated her approval or that of the board treasurer for any expenses. We are in the process of onboarding with the new financial management company with the anticipated start date of October 1, 2025 (the beginning of 2026 fiscal year).With this addition to our process, payroll will be processed off site by a third party. Responsible person – Carla Filkins, Executive Director and Julie Rushing, Board Treasurer

View Audit 359118 Questioned Costs: $1

Finding 565227 (2023-009)

Material Weakness 2023

Cadillac Area Oasis/family Resource Center

MI

Internal Control / Segregation of Duties Reporting Procurement, Suspension & Debarment

Action to be taken – Immediately upon discovering the 2023 audit had not been completed, the Organization reached out to Weinlander Fitzhugh to schedule completion of the audit. As soon as the September 30, 2023 audit is complete, we have engaged with a new audit firm to begin the September 30, 2024...

Action to be taken – Immediately upon discovering the 2023 audit had not been completed, the Organization reached out to Weinlander Fitzhugh to schedule completion of the audit. As soon as the September 30, 2023 audit is complete, we have engaged with a new audit firm to begin the September 30, 2024 audit immediately. The Data Collection Forms will be submitted to the Federal Audit Clearinghouse within 30 days of the completion of each audit. Estimated completion date – The outstanding September 30, 2023 and September 30, 2024 fiscal year end audits are anticipated to both be completed by August 31, 2025. The September 30, 2025 audit will be scheduled timely after completion of the fiscal year. Responsible person – Carla Filkins, Executive Director and Julie Rushing, Board Treasurer

View Audit 359118

Finding 565226 (2023-008)

Material Weakness 2023

Cadillac Area Oasis/family Resource Center

MI

Internal Control / Segregation of Duties Subrecipient Monitoring Reporting

Action to be taken – Internal controls have been adjusted to reflect double approval of all transactions by the direct supervisor and the executive director or treasurer. This will include coding of bills, approval of all transactions and the processing of transactions. All approved transactions wil...

Action to be taken – Internal controls have been adjusted to reflect double approval of all transactions by the direct supervisor and the executive director or treasurer. This will include coding of bills, approval of all transactions and the processing of transactions. All approved transactions will be handled by an offsite financial management service in the future. By eliminating the use of the credit card, this will significantly reduce the chance of not having proper supporting documentation in the future. Estimated completion date – In September 2024 the new executive director mandated her approval or that of the board treasurer for any expenses, including credit cards. In February 2025 we updated our internal controls and added an administrative assistant to provide an extra level of segregation of duties. We are in the process of onboarding with the new financial management company with the anticipated start date of October 1, 2025 (the beginning of 2026 fiscal year). Responsible person – Carla Filkins, Executive Director and Julie Rushing, Board Treasurer

View Audit 359118

Finding 565225 (2023-007)

Material Weakness 2023

Cadillac Area Oasis/family Resource Center

MI

Internal Control / Segregation of Duties Reporting Procurement, Suspension & Debarment

Action to be taken – Since becoming aware of the discrepancies between the credit card statements and transactions recorded in Quickbooks, the Organization has been entering all charges, interest and fees into the accounting software to reflect true balances on the credit cards. Going forward, all e...

Action to be taken – Since becoming aware of the discrepancies between the credit card statements and transactions recorded in Quickbooks, the Organization has been entering all charges, interest and fees into the accounting software to reflect true balances on the credit cards. Going forward, all entries related to credit cards will be recorded by an outside financial management firm. The Organization has accepted a purchase agreement for the Organization's building at 118 S Mitchell Street. The outstanding balance of the credit cards owed will be paid from the proceeds of the sale. Since becoming aware of the credit card balances, the use of Organization credit cards has been significantly restricted by management. Going forward, all credit card charges, if there are any, are only approved by the discretion of the executive director and paid on the balance immediately. Estimated completion date – Credit card balances have been reviewed and are current in their posting to our accounting software through journal entries that have been recorded. All fees and interest have also been recorded. All open credit card balances will be paid off from the proceeds on the sale of our building. This is anticipated to be completed by June 2025. Responsible person – Carla Filkins, Executive Director and Julie Rushing, Board Treasurer

View Audit 359118

Finding 565224 (2023-006)

Material Weakness 2023

Cadillac Area Oasis/family Resource Center

MI

Internal Control / Segregation of Duties Subrecipient Monitoring

Action to be taken – The Organization has updated its internal controls to reflect incorporate segregation of duties over the disbursement process and payroll processing. For payroll the updated process includes one person approving timesheets, another person processing payroll, the executive direct...

Action to be taken – The Organization has updated its internal controls to reflect incorporate segregation of duties over the disbursement process and payroll processing. For payroll the updated process includes one person approving timesheets, another person processing payroll, the executive director and board treasurer approving payroll, and lastly include a final approval of payroll. For disbursements the director of operations will open the mail and code bills for expense accounts, the executive director will approve bills for payment, the director of operations will print checks, the executive director or board treasurer will sign checks, the community response coordinator will mail checks, and the board treasurer will review bank reconciliations completed by the director of operations. All reconciliations will be reviewed by the board treasurer. Payroll processing will be performed by an outside financial management firm moving forward. Estimated completion date – In September 2024 the new executive director mandated her approval or that of the board treasurer for any expenses, including credit cards. In February 2025 we updated our internal controls and added an administrative assistant to provide an extra level of segregation of duties. Responsible person – Carla Filkins, Executive Director and Julie Rushing, Board Treasurer

View Audit 359118

Finding 565223 (2023-005)

Material Weakness 2023

Cadillac Area Oasis/family Resource Center

MI

Internal Control / Segregation of Duties Subrecipient Monitoring

Action to be taken – The Organization has adjusted its internal controls to include a final approval of payroll and withholdings by the executive director and board treasurer. The newly contracted outside financial Organization will be responsible for the processing of all payroll withholdings. The ...

Action to be taken – The Organization has adjusted its internal controls to include a final approval of payroll and withholdings by the executive director and board treasurer. The newly contracted outside financial Organization will be responsible for the processing of all payroll withholdings. The executive director and the treasurer will have online access to the accounts for oversight. Estimated completion date – In October 2024 the Executive Director began reviewing payroll and payroll withholdings during each pay period. Responsible person – Carla Filkins, Executive Director and Julie Rushing, Board Treasurer

View Audit 359118

Finding 565222 (2023-004)

Material Weakness 2023

Cadillac Area Oasis/family Resource Center

MI

Internal Control / Segregation of Duties Procurement, Suspension & Debarment Subrecipient Monitoring

Action to be taken – In September 2024 when the new executive director joined the Organization, the Organization immediately began to pay and file the payroll withholding. The late tax payments were brought to the attention of the executive director by the auditing firm during the audit. The board o...

Action to be taken – In September 2024 when the new executive director joined the Organization, the Organization immediately began to pay and file the payroll withholding. The late tax payments were brought to the attention of the executive director by the auditing firm during the audit. The board of directors immediately contacted tax attorney Patti O’Dell. The tax attorney has been communicating with the IRS and the State of Michigan on behalf of the Organization. Patti O’Dell has since joined the Organization's board of directors. The new internal controls in place and the new arrangement of contracting with an outside financial management firm will improve oversight in the future. The Organization has accepted a purchase agreement for the Organization's building at 118 S Mitchell Street. The balance of the payroll taxes owed will be paid from the proceeds of the sale. Estimated completion date – The sale of the building and payment of the outstanding payroll tax balances are anticipated to be completed by June 2025. The Organization will pay the total amount owed along with interest and penalties as soon as the sale of the building closes. All 2024-2025 fiscal year payroll taxes are current in processing and payment. Responsible person – Carla Filkins, Executive Director and Julie Rushing, Board Treasurer

View Audit 359118

Finding 565135 (2023-004)

None 2023

The Baltimore Station, Inc.

MD

Reporting Subrecipient Monitoring

Corrective Action Plan: 1. Created a detailed shared federal financial reporting calendar that includes all relevant deadlines and submission dates 2. Developed checklists for each report to ensure all required information is gathered and reviewed before submission 3. Designated a staff member who i...

Corrective Action Plan: 1. Created a detailed shared federal financial reporting calendar that includes all relevant deadlines and submission dates 2. Developed checklists for each report to ensure all required information is gathered and reviewed before submission 3. Designated a staff member who is responsible for tracking and managing federal financial reporting deadlines and ensuring timely submissions 4. Continuously evaluate the financial reporting process and make adjustments based on lessons learned from previous submissions and audits 5. Review and update internal policies and procedures to ensure that they reflect the latest federal reporting requirements and best practices Anticipated completion date: 1. Completed 2. Completed 3. Completed 4. Ongoing 5. Ongoing

View Audit 359065

Finding 565134 (2023-003)

Material Weakness 2023

The Baltimore Station, Inc.

MD

Material Weakness Internal Control / Segregation of Duties

Corrective Action Plan: 1. Proper identification and segregation of restricted revenue: Created spreadsheet that tracks restricted revenue, expenses, and balance remaining for each fund or restriction. This helps with both internal and external reporting requirements. 2. Matching Expenditures to Res...

Corrective Action Plan: 1. Proper identification and segregation of restricted revenue: Created spreadsheet that tracks restricted revenue, expenses, and balance remaining for each fund or restriction. This helps with both internal and external reporting requirements. 2. Matching Expenditures to Restrictions: As expenditures related to restricted funds are incurred (e.g., paying for program services or project costs), ensure these expenses are recorded against the same fund or tracking code used for the revenue. This ensures that all expenditures meet the requirements of the restriction and provides proper documentation for audit purposes. 3. Continuous monitoring and analysis to ensure accurate recording in the general ledger: Restricted funding will be reviewed at monthly Development meetings to ensure that revenue and expenses are appropriately recorded and that the remaining balance matches the restrictions. 4. Regular reviews and reconciliation of restricted funds to ensure compliance with restrictions. 5. Clear reporting to stakeholders and proper disclosure in financial statements. Anticipated completion date: 1. Completed 2. Ongoing 3. Starting February 10, 2025 4. Ongoing 5. Ongoing

View Audit 359065

Finding 565133 (2023-002)

Material Weakness 2023

The Baltimore Station, Inc.

MD

Reporting Internal Control / Segregation of Duties Subrecipient Monitoring

Corrective Action Plan: 1. Standardize financial reporting procedures: • Accountant and ED will meet bi-weekly to review revenue and expenses • Accountant will meet with Donor Operations Manager monthly to confirm fund development revenue and expenses are properly allocated to the correct GL code • ...

Corrective Action Plan: 1. Standardize financial reporting procedures: • Accountant and ED will meet bi-weekly to review revenue and expenses • Accountant will meet with Donor Operations Manager monthly to confirm fund development revenue and expenses are properly allocated to the correct GL code • Accountant will send monthly financials to ED first for review • Once approved, ED will send monthly financials to Finance Committee Chair and BOD President • Finance Committee Chair will send to full board • Any questions will be addressed to the Finance Committee Chair • Budget will be reviewed at monthly leadership meetings • Regularly assess and refine, as applicable, financial reporting and closing processes to improve efficiency and accuracy 2. Finance Committee • Effective 9/2023, the finance committee was re-instituted to review financials and to implement stronger financial safeguards for TBS • Monthly meetings are held where financial performance and reports are reviewed in depth • Any anticipated risks will be reviewed • Finance Committee prepares annual budget with input from ED and BOD President 3. Board reporting • BOD members will receive monthly financial packet from Finance Committee Chair for review • Any questions will be directed to the Finance Committee Chair • Each quarterly board meeting will include a budget review highlighting projections and actuals vs budgeted • First board meeting of year will include comprehensive review of previous year Anticipated completion date: 1. Ongoing 2. Ongoing 3. Ongoing

View Audit 359065

Finding 565132 (2023-001)

Material Weakness 2023

The Baltimore Station, Inc.

MD

Internal Control / Segregation of Duties Material Weakness

Corrective Action Plan: 1. Review and update credit card and expense policies making it clear that receipts and invoices are mandatory for all purchases. Share this updated policy with all staff. 2. At the end of each month, staff members who have credit cards will submit their receipts along with t...

Corrective Action Plan: 1. Review and update credit card and expense policies making it clear that receipts and invoices are mandatory for all purchases. Share this updated policy with all staff. 2. At the end of each month, staff members who have credit cards will submit their receipts along with their credit card statement to the Administrator. The Administrator will be responsible for reviewing and ensuring that all of the receipts are in hand. If any are missing, the Administrator will work with the staff member to get a copy. If no copy is available, the staff member will write a statement explaining they are missing a receipt and what it was for. Document will be signed by the staff member and the Executive Director. 3. We will conduct quarterly reviews of expense documentation to ensure consistent compliance with policies. This will be reviewed during our quarterly Quality Improvement Program (QIP) meeting. Anticipated Completion Date: 1. Within 30 days 2. Within 30 days 3. Quarterly starting on February 10

View Audit 359065

Finding 565070 (2023-001)

None 2023

A Kornegay Senior Houses Hdfc

NY

Reporting § 200.512

January 16, 2025 Management's Planned Corrective Action Plan For the Year Ended September 30, 2023 Names of contact person(s) responsible for corrective action: Sulika Cabrera-Drinane, President and Derrick Taitt, VP. Federal Award Finding and Questioned Costs Finding Number: 2023-001 - Supportiv...

January 16, 2025 Management's Planned Corrective Action Plan For the Year Ended September 30, 2023 Names of contact person(s) responsible for corrective action: Sulika Cabrera-Drinane, President and Derrick Taitt, VP. Federal Award Finding and Questioned Costs Finding Number: 2023-001 - Supportive Housing for the Elderly (Section 202) - CFDA # 14.157 Planned Corrective Action: Management acknowledges the Data Collection Form was not submitted timely and has emplemented controls to ensure timely filings. Anticipated Completion Date: January 30, 2025

View Audit 359010

Finding 565067 (2023-005)

Significant Deficiency 2023

City of South Portland, Maine

ME

Reporting Internal Control / Segregation of Duties

Management’s Response/Corrective Action Plan: Discrepancies noted above are due to the timing of transactions posting in the accounting system where period transactions are not posted until after the data is gathered for the report or even after the reporting period, but still has an effective dat...

Management’s Response/Corrective Action Plan: Discrepancies noted above are due to the timing of transactions posting in the accounting system where period transactions are not posted until after the data is gathered for the report or even after the reporting period, but still has an effective date within the period, so it is not picked up when reports are filed. They are corrected in the following quarterly report. For TRUCK/LFVNT, the amounts were correct but just not in the period reported, and were corrected in subsequent reports. We can try to have another person duplicate the calculation of amounts for the reporting, which will depend on staffing level and time of year. The reporting site is also difficult and in order to be able to file on time, we really need to start mid-month to make sure it’s working and allow time for contacting the helpdesk to resolve any technical issues.

View Audit 358995

Finding 565063 (2023-003)

Material Weakness 2023

City of South Portland, Maine

ME

Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Management’s Response/Corrective Action Plan: The School Department has had turnover in positions that have had oversight and direct involvement in this process. In some cases, the established process was followed as constructed; however, in others, gaps in coverage are clearly exposed. The School D...

Management’s Response/Corrective Action Plan: The School Department has had turnover in positions that have had oversight and direct involvement in this process. In some cases, the established process was followed as constructed; however, in others, gaps in coverage are clearly exposed. The School Department agrees that the management of important documents has been inconsistent. In the future, the School Department will be assigning the management of these documents to positions where turnover is less likely to occur and a more consistent process is maintained.

View Audit 358995

Finding 565062 (2023-004)

Material Weakness 2023

City of South Portland, Maine

ME

Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Management’s Response/Corrective Action Plan: The School Department has had turnover in positions that have had oversight and direct involvement in this process. In some cases, the established process was followed as constructed; however, in others, gaps in coverage are clearly exposed. The School D...

Management’s Response/Corrective Action Plan: The School Department has had turnover in positions that have had oversight and direct involvement in this process. In some cases, the established process was followed as constructed; however, in others, gaps in coverage are clearly exposed. The School Department agrees that the management of important documents has been inconsistent. In the future, the School Department will be assigning the management of these documents to positions where turnover is less likely to occur and a more consistent process is maintained.

View Audit 358995

Finding 565034 (2023-003)

Material Weakness 2023

Human Resource Development Institute

IL

Special Tests & Provisions Material Weakness Internal Control / Segregation of Duties

Finding 2023-003 Material Weakness in Internal Control Over Special Tests and Provisions Assistance Listing Numbers 93.224 Health Center Program 93.527 Affordable Care Act (ACA) for New and Expanded Services Under the Health Center Program Federal Agency U.S. Department of Health and Human S...

Finding 2023-003 Material Weakness in Internal Control Over Special Tests and Provisions Assistance Listing Numbers 93.224 Health Center Program 93.527 Affordable Care Act (ACA) for New and Expanded Services Under the Health Center Program Federal Agency U.S. Department of Health and Human Services, Health Resources and Services Administration Passthrough Agency N/A Award Number/Year 2023 Criteria FFHC is responsible for keeping adequate supporting documentation of the calculation of patient service fees for those patients who qualify for discounted fees based on family size and household income. FFHC is also required to apply discounted fees accurately based on an approved sliding fee scale that meets federal compliance requirements. Views of Responsible Officials and Planned Corrective Actions Friend Family Health Center Inc. and Affiliates (Organization) will implement the following corrective actions for the fiscal year ending June 30, 2023, to remediate the finding and address the cause of the finding. The Organization will implement the following corrective actions for fiscal year 2023 to remediate the finding and address the cause of the finding. • The Chief Financial Officer (CFO) will be responsible for the implementation of the corrective action plan and will oversee all related finance activities. • FFHC will enforce its current policy and related internal control procedures to ensure that supporting documentation of family size and household income is maintained for all patients that receive discounted patient service fees in relation to the Health Centers Program and Affordable Care Act (ACA) for New and Expanded Services Under the Health Center Program. • FFHC will enforce its current policy and related internal control procedures to ensure that discounted patient service fees are properly calculated and charged based on the applicable approved sliding fee scale. The target date for full implementation of these corrective actions is December 30, 2025. The person responsible for the planned resources will be Raheel Shahzad, Chief Financial Officer (847) 957-6244. Our address is 340 E. 51st St., Chicago, IL 60615.

View Audit 358936

Finding 565033 (2023-002)

Significant Deficiency 2023

Human Resource Development Institute

IL

Reporting Significant Deficiency

Finding 2023-002 Material Weakness in Internal Control Over Reporting Assistance Listing Numbers 93.224 Health Center Program 93.527 Affordable Care Act (ACA) for New and Expanded Services Under the Health Center Program Federal Agency U.S. Department of Health and Human Services, Health Res...

Finding 2023-002 Material Weakness in Internal Control Over Reporting Assistance Listing Numbers 93.224 Health Center Program 93.527 Affordable Care Act (ACA) for New and Expanded Services Under the Health Center Program Federal Agency U.S. Department of Health and Human Services, Health Resources and Services Administration Passthrough Agency N/A Award Number/Year 2023 Criteria FFHC is responsible for preparing and submitting its annual Universal Report and Federal Financial Reports in a timely manner. Views of Responsible Officials and Planned Corrective Actions Friend Family Health Center Inc. and Affiliates (Organization) will implement the following corrective actions for the fiscal year ending June 30, 2023, to remediate the finding and address the cause of the finding. The Organization will implement the following corrective actions for fiscal year 2023 to remediate the finding and address the cause of the finding. The Organization has hired staff with higher technical accounting skills than the previous staff. The following staff have been hired full-time or will be hired soon: Payroll and Benefits Specialist, Grant Accountant, Senior Staff Accountant, Accounts Payables and Receivables Specialist, and a Purchasing Specialist. • The Chief Financial Officer (CFO) will be responsible for the implementation of the corrective action plan and will oversee all related finance activities. • The Organization will document accounting policies and procedures to reflect the new month-end processes and provide training to staff on current and future policies. • The Organization has implemented a new accounting system – Sage Intacct. Additionally, we have implemented a grants project tracking module to better help with grants and contracts reporting and compliance. • All grant-related year-end audit procedures have been transitioned to the Grant Accountant who has experience with financial audits and compliance and reporting for City, State, and Federal grants. • The Organization will ensure that Finance personnel receive a minimum of twenty-five (25) hours of training annually of relevant accounting topics including updates to generally accepted accounting principles, generally accepted government accounting principles, nonprofit and governmental financial reporting, and other related accounting trainings. • The Organization will ensure that any personnel involved in financial reporting have the technical expertise to help with the preparation, review, and analysis of the Federal Financial Reports and the Universal Report. The target date for full implementation of these corrective actions is December 30, 2025. The person responsible for the planned resources will be Raheel Shahzad, Chief Financial Officer (312) 682-6110. Our address is 340 E. 51st St., Chicago, IL 60615.

View Audit 358936

Finding 565032 (2023-001)

None 2023

Human Resource Development Institute

IL

Reporting

Finding 2023-001 Noncompliance with Federal and State Reporting Requirements Assistance Listing Numbers 93.224 Health Centers Program 93.527 Affordable Care Act Grants (ACA) for New and Expanded Services Under the Health Center Program 93.526 Affordable Care Act (ACA) Grants for C...

Finding 2023-001 Noncompliance with Federal and State Reporting Requirements Assistance Listing Numbers 93.224 Health Centers Program 93.527 Affordable Care Act Grants (ACA) for New and Expanded Services Under the Health Center Program 93.526 Affordable Care Act (ACA) Grants for Capital Development in Health Centers Federal Agency U.S. Department of Health and Human Services Passthrough Agency N/A Award Number/Year 2023 Criteria Uniform Guidance requires that single audits be completed, and the reporting package submitted to the Federal Audit Clearinghouse within the earlier of thirty (30) calendar days after receipt of the auditor’s report or nine (9) months after the end of the audit period. Views of Responsible Officials and Planned Corrective Actions Friend Family Health Center Inc. and Affiliates (Organization) will implement the following corrective actions for the fiscal year ending June 30, 2023, to remediate the finding and address the cause of the finding. The Organization will implement the following corrective actions for fiscal year 2023 to remediate the finding and address the cause of the finding. The Organization has hired staff with higher technical accounting skills than the previous staff. The following staff have been hired full-time or will be hired soon: Payroll and Benefits Specialist, Grant Accountant, Senior Staff Accountant, Accounts Payables and Receivables Specialist, and a Purchasing Specialist. • The Chief Financial Officer (CFO) will be responsible for the implementation of the corrective action plan and will oversee all related finance activities. • The Organization will document accounting policies and procedures to reflect the new month-end processes and provide training to staff on current and future policies. • The Organization has implemented procedures for staff accountants to prepare balance sheet reconciliations monthly with a monthly review performed by the CFO. All balance sheet accounts are reconciled to external data for verification on a monthly basis. All revenue accounts will be reconciled to external data for verification on a monthly basis. • The Organization has implemented a new accounting system – Sage Intacct. Additionally, we have implemented a grants project tracking module to better help with grants and contracts reporting and compliance. • The Organization has implemented a month-end checklist for all monthly entries to be completed by assigned finance personnel. We are ensuring that all staff are trained adequately to handle any assigned task. All monthly entries are required to be reviewed and approved by the CFO prior to posting to the general ledger within our new accounting software. All appropriate backup documentation will be saved and stored within the accounting software. • All grant-related year-end audit procedures have been transitioned to the Grant Accountant who has experience with financial audits and compliance and reporting for City, State, and Federal grants. • The Organization will ensure that Finance personnel receive a minimum of twenty-five (25) hours of training annually of relevant accounting topics including updates to generally accepted accounting principles, generally accepted government accounting principles, nonprofit and governmental financial reporting, and other related accounting trainings. • The Organization will ensure that any personnel involved in financial reporting have the technical expertise to help with the preparation, review, and analysis of the financial statements and supplementary information. The target date for full implementation of these corrective actions is December 30, 2025. The person responsible for the planned resources will be Wendy Thompson, Chief Executive Officer (312) 682-6110. Our address is 340 E. 51st St., Chicago, IL 60615.

View Audit 358936

Finding 565024 (2023-002)

Significant Deficiency 2023

Rising for Justice, Inc.

DC

Reporting Significant Deficiency § 200.512

Schedule of Corrective Action Plan For the Year Ended December 31, 2023 Finding 2023-02: Significant Deficiency and Noncompliance Over Reporting Responsible Official’s Response and Corrective Action Plan Rising for Justice (RFJ) concurs with the findings. RFJ acknowledges the importance of adhering ...

Schedule of Corrective Action Plan For the Year Ended December 31, 2023 Finding 2023-02: Significant Deficiency and Noncompliance Over Reporting Responsible Official’s Response and Corrective Action Plan Rising for Justice (RFJ) concurs with the findings. RFJ acknowledges the importance of adhering to the Federal guidelines for the submission of the reporting package within the mandated nine-month period. This finding is a result of the carry-over of certain grant funds from FY 2023 to FY 2024, as well as a transition in the organization’s accounting team. To address this, RFJ will implement the following actions: 1.Policies and Procedures Development: RFJ will create and enforce comprehensive policies and procedures to ensure that audits are initiated and completed promptly. This will include detailed timelines and checkpoints to monitor progress throughout the audit process. In addition, RFJ will adhere to a year end closing process that reconciles all significant accounts. 2.Training for Grant Administration: RFJ will provide training for individuals responsible for administering grants within RFJ. This training will cover essential aspects of grant administration, ensuring that our team is well-equipped to manage these programs efficiently and in compliance with Federal requirements. Planned Implementation Date of Corrective Action Plan June 20, 2025 Person Responsible for Corrective Action Plan ___________________________________ Chijioke Akamigbo, Executive Director April 15, 2025

View Audit 358917

Finding 565023 (2023-001)

Significant Deficiency 2023

Rising for Justice, Inc.

DC

Procurement, Suspension & Debarment § 200.318 § 200.320

Schedule of Corrective Action Plan For the Year Ended December 31, 2023 Finding: 2023-01 Significant Deficiency and compliance over Procurement and Suspension and Debarment. Responsible Official’s Response and Corrective Action Plan Rising for Justice, Inc. (RFJ) implemented a corrective action plan...

Schedule of Corrective Action Plan For the Year Ended December 31, 2023 Finding: 2023-01 Significant Deficiency and compliance over Procurement and Suspension and Debarment. Responsible Official’s Response and Corrective Action Plan Rising for Justice, Inc. (RFJ) implemented a corrective action plan effective October 1, 2023. RFJ updated its Office Operations Manual to include a process for verifying that vendors are not debarred from doing business using federal funding, by reviewing the federal System for Award Management (SAM) at www.sam.gov. Documentation of vendor verification and procurement compliance is maintained in the vendor files and reviewed with final approval by the Executive Director. Procurement Policy Summary (Effective October 1, 2023) RFJ adopted a comprehensive Procurement Policy to ensure that all purchases and contracts are executed through an open, fair, documented, and competitive process. Key provisions include: •Applicability: The policy covers all purchases and contracts regardless of funding source or total cost,unless specifically exempted. •Allowability: Expenditures must be necessary, reasonable, allocable, and documented. •Conflict of Interest: All staff must comply with RFJ’s Conflict of Interest Policy; no personal gain fromvendor relationships is permitted. •Authorization: The Executive Director approves contracts per policy thresholds. Delegation ofauthority must be in writing. •Competition Requirements: oUnder $10,000: No formal bidding required; professional judgment applies. o$10,001–$25,000: At least two quotes required. oOver $25,000: At least three quotes and/or RFPs. •Sole Source & Emergency Purchases: Allowed with proper documentation. •Federal Debarment Check: Vendors for federal contracts over $25,000 must be verified throughwww.sam.gov. Conclusion: All the vendors listed in the auditor’s findings for FY23 were selected before the corrective action was taken in October 2023. Person Responsible for Corrective Action Plan Chijioke Akamigbo, Executive Director April 15, 2025

View Audit 358917

Finding 565018 (2023-001)

None 2023

Heartland Christian Tower, Inc.

OH

Reporting

S3800-090 Auditor's Summary of the Auditee's Comments on the Findings and Recommendations The Corporation concurs and is working to obtain the UEI in order to complete and submit the 2022 data collection form. S3800-130 Response Indicator Agree S3800-140 Completion Date N/A S3800-150 Response N/A S3...

S3800-090 Auditor's Summary of the Auditee's Comments on the Findings and Recommendations The Corporation concurs and is working to obtain the UEI in order to complete and submit the 2022 data collection form. S3800-130 Response Indicator Agree S3800-140 Completion Date N/A S3800-150 Response N/A S3800-160 Contact Person First Name Jill S3800-180 Contact Person Last Name Kolb

View Audit 358894

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