Corrective Action Plans

Finding 400758 (2023-001)

Significant Deficiency 2023

Rural Advancement Foundation International - USA

NC

Procurement, Suspension & Debarment

In October of 2023, the Managing Director of Operations and Executive Director reviewed and revised RAFI’s financial policies related to procurement. In December 2023, RAFI’s Board of Directors approved a procurement policy for the organization that reflects Uniform Guidelines standards for procurem...

In October of 2023, the Managing Director of Operations and Executive Director reviewed and revised RAFI’s financial policies related to procurement. In December 2023, RAFI’s Board of Directors approved a procurement policy for the organization that reflects Uniform Guidelines standards for procurement. This policy has been in effect since that time.

View Audit 308773

Finding 400748 (2023-001)

Significant Deficiency 2023

Botanical Research Institute of Texas, INC

TX

Allowable Costs / Cost Principles § 200.303

2023-001Activities Allowed or Unallowed, Allowable Costs/ Cost Principles – Indirect Costs 1. When posting each month-end numbers in the accounting worksheet, the Controller or Chief Financial Officer will verify that the formulas are accurate and display the correct information. This check will be ...

2023-001Activities Allowed or Unallowed, Allowable Costs/ Cost Principles – Indirect Costs 1. When posting each month-end numbers in the accounting worksheet, the Controller or Chief Financial Officer will verify that the formulas are accurate and display the correct information. This check will be completed on all the formulas used to determine not only the indirect but also the direct costs in the grant. 2. After this review and verification step has been completed, the Accounting I AR and Grants Admin will create the invoice and journal entries into the accounting system, QuickBooks. 3. The grant workbook will be locked at that time to ensure that the information is not mistakenly adjusted. 4. Before requesting the funds from the federal entity (ex. National Science Foundation) or the Subaward institution, the Accounting I AR and Grants Admin will review the worksheet and verify once more that the formulas are correct and the total requested matches the invoice in QuickBooks. Steps to correct an error(s) 1. Identification of the error and correct the formula. Example, if an error is found in the indirect cost calculation, the formula will be corrected to determine the actual costs that should have been collected. 2. A new column will be created in the accounting worksheet to track changes that are made to the original invoice. a. A new invoice will be created if funds need to be requested from the entity. b. A credit memo will be created if funds are owed. This will be applied to the following months request. c. If the invoice has not been paid by the Federal entity, a revised invoice can be created and submitted for payment.

View Audit 308772

Finding 400747 (2023-008)

Material Weakness 2023

School District U-46

IL

Questioned Costs Allowable Costs / Cost Principles Reporting

Finding 2023-008: Compliance with Federal Wage Requirements Finding: The District did not include federal wage rate requirements in construction contracts which were partially funded with federal grant funds. Additionally, the District did not require the contractors in those agreements to submit we...

Finding 2023-008: Compliance with Federal Wage Requirements Finding: The District did not include federal wage rate requirements in construction contracts which were partially funded with federal grant funds. Additionally, the District did not require the contractors in those agreements to submit weekly certified payrolls. Corrective Actions Planned: The District will update the language used for construction contracts and develop an internal process for the collection and retention of the required weekly certified payrolls. Expected Implementation Date: June 30, 2024 Contact Person: Dr. Frank Williams

View Audit 308771 Questioned Costs: $1

Finding 400730 (2023-007)

Significant Deficiency 2023

School District U-46

IL

Procurement, Suspension & Debarment School Nutrition Programs § 200.318 § 200.320

Finding 2023-007: Procurement Finding: The District did not maintain adequate records for procurement transactions in the IDEA and Child Nutrition Clusters. Corrective Actions Planned: The District will train its employees on the documentation trail needed for procurement actions and review its poli...

Finding 2023-007: Procurement Finding: The District did not maintain adequate records for procurement transactions in the IDEA and Child Nutrition Clusters. Corrective Actions Planned: The District will train its employees on the documentation trail needed for procurement actions and review its policies and procedures for any needed updates. Expected Implementation Date: June 30, 2024 Contact Person: Dr. Frank Williams

View Audit 308771

Finding 400690 (2023-009)

None 2023

School District U-46

IL

Reporting § 200.512

Finding 2023-009: Untimely Data Collection Form Submittance Finding: The District submitted its data collection form more than nine months after the end of the fiscal year 2023 audit period. Corrective Actions Planned: The District will work with its auditors to ensure timely completion of the singl...

Finding 2023-009: Untimely Data Collection Form Submittance Finding: The District submitted its data collection form more than nine months after the end of the fiscal year 2023 audit period. Corrective Actions Planned: The District will work with its auditors to ensure timely completion of the single audit in the future. Expected Implementation Date: December 31, 2024 Contact Person: Dr. Frank Williams

View Audit 308771

Finding 400689 (2023-003)

Material Weakness 2023

Pr Health Corporation D/b/a First Care Health Center

ND

Special Tests & Provisions Material Weakness Matching / Level of Effort / Earmarking § 200.303

Finding 2023‐003 Federal Agency Name: United States Department of Agriculture Program Name: Community Facilities Loans and Grants Cluster Federal Assistance Listing #10.766 Finding Summary: There was no formal review separate from the preparer performed over reconciliations of the reserve funds for ...

Finding 2023‐003 Federal Agency Name: United States Department of Agriculture Program Name: Community Facilities Loans and Grants Cluster Federal Assistance Listing #10.766 Finding Summary: There was no formal review separate from the preparer performed over reconciliations of the reserve funds for the federal program. Responsible Individuals: Marcus Lewis, CEO, and Nina Hollingsworth, CFO Status: We will implement additional control processes to ensure the reserve fund reconciliation has a secondary review and approval that is documented. Anticipated Completion Date: 6/30/2024

View Audit 308769

Finding 400688 (2023-001)

None 2023

Family Service Association of San Antonio, Inc.

TX

Questioned Costs Allowable Costs / Cost Principles Reporting § 200.328

Finding #2023-001: Type of Finding: Questioned Cost and Other Noncompliance Responsible Person Hector P. Luevano – Controller Richard Davidson – Chief Operating Officer Implementation Date January 1, 2024 Views of responsible officials and planned corrective actions Management agrees and will more c...

Finding #2023-001: Type of Finding: Questioned Cost and Other Noncompliance Responsible Person Hector P. Luevano – Controller Richard Davidson – Chief Operating Officer Implementation Date January 1, 2024 Views of responsible officials and planned corrective actions Management agrees and will more closely monitor obligated and incurred expenditures near the end of reporting periods to ensure they are completed within 120 days after the close of the grant year. Future planned expenditures are to be tracked separately and not reported as expenditures until an expense is obligated or incurred by the program. Family Service will be elevating the responsibility of monitoring the execution of projects with their scheduled expenses to the Chief Operations Officer and Controller, to avoid future gaps between obligated and/or future planned expenditures, project completion and payments.

View Audit 308759 Questioned Costs: $1

Finding 400687 (2023-002)

Material Weakness 2023

Housing Authority of the City of Eunice

LA

Allowable Costs / Cost Principles

Recommendation: Invoice should only be paid after approval by the entity’s consultant. Client Response: The entity will work with its consultant to reach a resolution to the finding

View Audit 308754

Finding 400686 (2023-002)

Material Weakness 2023

East Central Vermont Telecommunications District

VT

Procurement, Suspension & Debarment

View of Responsible Officials and Planned Corrective Action: Beginning in October 2023, the District established a procurement policy which formalized the procurement process codified by long standing practices of the District’s operator. Planned Implementation Date of Corrective Action: Implemen...

View of Responsible Officials and Planned Corrective Action: Beginning in October 2023, the District established a procurement policy which formalized the procurement process codified by long standing practices of the District’s operator. Planned Implementation Date of Corrective Action: Implemented Person Responsible for Corrective Action: Not applicable – already in place.

View Audit 308743

Finding 400685 (2023-001)

Material Weakness 2023

East Central Vermont Telecommunications District

VT

Material Weakness Reporting Internal Control / Segregation of Duties

View of Responsible Officials and Planned Corrective Action: The financial statements were prepared and presented in accordance with GAAP. The finance team continues to review the accounting and presentation of the monthly financial statements and will review the audited drafts of the financial st...

View of Responsible Officials and Planned Corrective Action: The financial statements were prepared and presented in accordance with GAAP. The finance team continues to review the accounting and presentation of the monthly financial statements and will review the audited drafts of the financial statements for accuracy prior to finalization. Planned Implementation Date of Corrective Action: On-going. The District will continue to evaluate the cost vs. benefit of having someone in management capable of preparation of the financial statements in accordance with GAAP. Person Responsible for Corrective Action: F.X. Flinn, Board Chair

View Audit 308743

Finding 400681 (2023-001)

Significant Deficiency 2023

Bebashi - Transition to Hope

PA

Reporting

Regarding the late filing of the single audit report with the federal awarding agency, the books were closed in a timelier manner, and the audit fieldwork has started in order for the audit to be done for the year ended June 30, 2024. We have established procedures and controls to ensure all require...

Regarding the late filing of the single audit report with the federal awarding agency, the books were closed in a timelier manner, and the audit fieldwork has started in order for the audit to be done for the year ended June 30, 2024. We have established procedures and controls to ensure all required reports are filed timely.

View Audit 308741

Finding 400679 (2023-001)

Significant Deficiency 2023

Aloun Foundation Inc.

HI

Reporting § 200.512

Name of auditee: Aloun Foundation Inc. Name of audit firm: Propp Christensen Caniglia LLP Period covered by the audit: January 1, 2023 through December 31, 2023 CAP prepared by: Name: Craig Watase Position: President Telephone: (808) 735-9099 Finding 2023-001 Comments: Management agrees with...

Name of auditee: Aloun Foundation Inc. Name of audit firm: Propp Christensen Caniglia LLP Period covered by the audit: January 1, 2023 through December 31, 2023 CAP prepared by: Name: Craig Watase Position: President Telephone: (808) 735-9099 Finding 2023-001 Comments: Management agrees with the finding. Actions: Management will implement policies and procedures to ensure the financial statement audit is submitted to the Federal Audit Clearinghouse within the required timeframe. Anticipated completion date: March 31, 2024

View Audit 308734

Finding 400674 (2023-007)

Significant Deficiency 2023

San Francisco Unified School District

CA

Questioned Costs Allowable Costs / Cost Principles

2023-007 ALLOWABLE COSTS/COST PRINCIPLES - TIME AND EFFORT REPORTING (50000) • Time Certification Schedules: Implement semi-annual time certifications for employees funded by a single federal source and monthly certifications for employees funded by multiple sources.

View Audit 308733 Questioned Costs: $1

Finding 400673 (2023-003)

Significant Deficiency 2023

San Diego County Air Pollution Control District

CA

Reporting Subrecipient Monitoring § 200.328 § 200.329

Corrective Action Plan: The San Diego County Air Pollution Control District (District) agrees that a report for the Homeland Security Bio Watch Program was submitted more than 30 days after the reporting period ended as required by OMB. As corrective action to ensure reports related to Federal awar...

Corrective Action Plan: The San Diego County Air Pollution Control District (District) agrees that a report for the Homeland Security Bio Watch Program was submitted more than 30 days after the reporting period ended as required by OMB. As corrective action to ensure reports related to Federal awards are submitted timely the District has added additional resources to the grants team to ensure timely report submission. Additionally, the District is currently establishing a written procedure for the grant reporting process and once finalized, will communicate to the appropriate staff of required federal reporting standards and deadlines. Anticipated Implementation Date: June 2025

View Audit 308732

Finding 400670 (2023-002)

Material Weakness 2023

Casa De Amparo

CA

Allowable Costs / Cost Principles Reporting

Management agrees with the assessment and has implemented steps at the beginning of the fiscal year 2023-2024 to address this issue. The organization has transitioned its accounting software to QuickBooks Online to enhance efficiency and streamline processes within the accounting department. Additio...

Management agrees with the assessment and has implemented steps at the beginning of the fiscal year 2023-2024 to address this issue. The organization has transitioned its accounting software to QuickBooks Online to enhance efficiency and streamline processes within the accounting department. Additionally, a thorough review of procedures has been conducted, and measures have been implemented to mitigate the previous impact of employee turnover. These strategic initiatives are expected to rectify the identified deficiency and contribute to improved effectiveness and efficiency within the accounting department.

View Audit 308725

Finding 400669 (2023-001)

Material Weakness 2023

Casa De Amparo

CA

Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Management agrees with the assessment and has implemented steps at the beginning of the fiscal year 2023-2024 to address this issue. The organization has transitioned its accounting software to QuickBooks Online to enhance efficiency and streamline processes within the accounting department. Additio...

Management agrees with the assessment and has implemented steps at the beginning of the fiscal year 2023-2024 to address this issue. The organization has transitioned its accounting software to QuickBooks Online to enhance efficiency and streamline processes within the accounting department. Additionally, a thorough review of procedures has been conducted, and measures have been implemented to mitigate the previous impact of employee turnover. These strategic initiatives are expected to rectify the identified deficiency and contribute to improved effectiveness and efficiency within the accounting department.

View Audit 308725

Finding 400659 (2023-001)

None 2023

Town of Southbridge, Massachusetts

MA

Reporting Program Income § 200.328

Finding 2023-001 Condition: As of the March 31, 2023, reporting date, the Town understated its expenditures by approximately $1,132,000 and did not report any obligations for contracted amounts not spent. Corrective Action Planned: Update the expenditures to reflect the inclusion of prior repor...

Finding 2023-001 Condition: As of the March 31, 2023, reporting date, the Town understated its expenditures by approximately $1,132,000 and did not report any obligations for contracted amounts not spent. Corrective Action Planned: Update the expenditures to reflect the inclusion of prior reported expenditures for an accurate cumulative spending. Existing obligations will also be updated accordingly. A review of all obligations will be completed to ensure all necessary contracts are in place prior to 12/31/2024. Anticipated Completion Date: Expenditure and obligation reporting corrected with submission due by 4/30/2024. Contracted obligations to be in place prior to October 31, 2024. Contact: Kristine Russell, Town Accountant

View Audit 308710

Finding 400654 (2023-002)

Significant Deficiency 2023

Town of Southbridge, Massachusetts

MA

Procurement, Suspension & Debarment Internal Control / Segregation of Duties Subrecipient Monitoring § 200.214

Finding 2023-002 Condition: Suspension and debarment compliance was not verified for six covered transactions. Corrective Action Planned: The District has incorporated the language into contracts beginning with school year 2024. The language is not in the 2023 food service contracts. Anticipa...

Finding 2023-002 Condition: Suspension and debarment compliance was not verified for six covered transactions. Corrective Action Planned: The District has incorporated the language into contracts beginning with school year 2024. The language is not in the 2023 food service contracts. Anticipated Completion Date: Completed Contact: Ellen Finelli, MS. RD., Director of Food and Nutrition

View Audit 308710

Finding 400653 (2023-002)

Significant Deficiency 2023

Forsyth County, North Carolina

NC

Questioned Costs Allowable Costs / Cost Principles Cash Management § 200.303

Finding 2023-002, Significant Deficiency – Allowable Costs Corrective Action Plan: Goal: To ensure that duplicative expenses are not drawn down in state funding. Plan: The County identified the duplicate transaction of $20,740 reported for drawdown for Project AA 362 was due to an issue with the rep...

Finding 2023-002, Significant Deficiency – Allowable Costs Corrective Action Plan: Goal: To ensure that duplicative expenses are not drawn down in state funding. Plan: The County identified the duplicate transaction of $20,740 reported for drawdown for Project AA 362 was due to an issue with the reporting mechanism. Specifically, the report used to extract project costing details included a commitment number column, which inadvertently resulted in the creation of duplicate records for each commitment associated with a single invoice. Performance Improvement Strategies: To address this issue and prevent its recurrence in the future, immediate steps have already been taken. County Finance has amended the report to exclude the commitment number parameter, thereby eliminating the possibility of duplicate records being generated. Responsible Parties: Nursing Supervisor Brooke Hamby and Assistant Health Directors Nicole Priddy & Marie Stephens Timeframes: Brooke Hamby will reach out to the Division of Public Health, Women & Children’s Health/Children & Youth section, no later than June 15, 2024, to inform them of the Audit finding of this duplicate expense and request what the process is for returning the funds.

View Audit 308707 Questioned Costs: $1

Finding 400648 (2023-001)

Significant Deficiency 2023

Forsyth County, North Carolina

NC

Subrecipient Monitoring Eligibility Significant Deficiency

Finding 2023-001, Significant Deficiency - Eligibility Corrective Action Plan: Goal: To ensure necessary Medicaid corrections are made by caseworkers in a timely manner and verified as completed by Medicaid management and/or Quality Assurance staff. Plan: The County will include a due date to th...

Finding 2023-001, Significant Deficiency - Eligibility Corrective Action Plan: Goal: To ensure necessary Medicaid corrections are made by caseworkers in a timely manner and verified as completed by Medicaid management and/or Quality Assurance staff. Plan: The County will include a due date to the auditing tool so that correction tasks request can be tracked and monitored for completion and accurateness. Eligibility, Internal Control and Procedural Errors will be given 5 business days to be corrected by workers. Performance Improvement Strategies: 1. Training will be given to supervisors, lead workers, and QA staff on proper usage and monitoring of due date requirements added to the audit tool. 2. Copies of reports will be stored in the shared Teams Channel for Medicaid Services. 3. Supervisor will follow up with caseworkers on 6th business days to ensure corrections have been made. 4. Every month, program managers will select 10 examples from the Medicaid Audit Finding spreadsheet to make sure supervisor have handled the error corrections made by their team. Responsible Parties: Medicaid Program Mangers Amanda Burdge, Jennifer Hurdle and Alison Westbrook Timeframes: A Medicaid Division Meeting will be held with all supervisors to discuss the expectation of monthly audits, corrections, and staying in compliance with State requirements. Also, explain the expectations of the Program Managers audit. Held no later than June 15, 2024.

View Audit 308707

Finding 400647 (2023-001)

Significant Deficiency 2023

Casa De Primavera Apts, LLC - Dba Casa De Primavera 123-11222

AZ

Questioned Costs HUD Housing Programs

Comments on the Finding and Each Recommendation: As of June 30, 2023, deposits to the reserve for replacements totaling $768 had not been made. Pursuant to Section 10 of the Regulatory Agreement, the Company shall deposit a monthly amount into the reserve for replacements account. The amount of t...

Comments on the Finding and Each Recommendation: As of June 30, 2023, deposits to the reserve for replacements totaling $768 had not been made. Pursuant to Section 10 of the Regulatory Agreement, the Company shall deposit a monthly amount into the reserve for replacements account. The amount of the monthly deposit may be increased or decreased from time to time at the written direction of HUD. Effective April 1, 2023, HUD increased the monthly deposit from $8,012 to $8,396. Management inadvertently did not increase the monthly deposit until June 2023. As a result, the Company was not in compliance with the terms of the Regulatory Agreement. The reserve for replacements was underfunded by $768 as of June 30, 2023. Action(s) taken or planned on the finding: Management concurs with the finding and recommendation and transferred $768 to the reserve for replacements on August 11, 2023. No further action is required.

View Audit 308702 Questioned Costs: $1

Finding 400643 (2023-004)

Significant Deficiency 2023

Fairbanks Community Homes 176-Hd-021

AK

HUD Housing Programs Reporting

Failure to submit REAC report Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the...

Failure to submit REAC report Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual receipts account. Proposed Completion Date: June 30, 2024

View Audit 308683

Finding 400642 (2023-003)

Significant Deficiency 2023

Fairbanks Community Homes 176-Hd-021

AK

HUD Housing Programs Cash Management

Failure to Return Residual Receipts to HUD Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual rece...

Failure to Return Residual Receipts to HUD Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual receipts account. Proposed Completion Date: June 30, 2024

View Audit 308683

Finding 400641 (2023-002)

Significant Deficiency 2023

Fairbanks Community Homes 176-Hd-021

AK

HUD Housing Programs Cash Management Reporting

Failure to deposit Surplus Cash in the Residual Receipts accounts Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual receipts account. ...

Failure to deposit Surplus Cash in the Residual Receipts accounts Name of Contact:Kendrick D. Blais, President Management's view:Management agrees with the finding. Corrective Action: Management will transfer surplus cash to the residual receipts account. Proposed Completion Date: June 30, 2024

View Audit 308683

Finding 400635 (2023-002)

Material Weakness 2023

Medical Teams International

OR

Subrecipient Monitoring Cash Management § 200.305

Medical Teams has identified the process gap that led to the delay of ths payment. A combination of system improvements and capacity building at the program and AP staff level will be implemented to ensure that review, approval, and payment processes are compliant and timely. Correction action plan ...

Medical Teams has identified the process gap that led to the delay of ths payment. A combination of system improvements and capacity building at the program and AP staff level will be implemented to ensure that review, approval, and payment processes are compliant and timely. Correction action plan will be led by the Controller, Matt Kinsella, and the Director of Global Finance, Florence Ruona. The corrective action plan has started in May and is anticipated to be completed by September 30, 2024.

View Audit 308679

Corrective Action Plans

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