Corrective Action Plans

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Corrective Action Taken: Corrective action has been implemented by the District to establish an internal control process for recording such assets. The Business Manager ensures that items are coded correctly upon purchase and that related documentation is forwarded to the District’s fixed asset supe...
Corrective Action Taken: Corrective action has been implemented by the District to establish an internal control process for recording such assets. The Business Manager ensures that items are coded correctly upon purchase and that related documentation is forwarded to the District’s fixed asset supervisor, who then records the items to the equipment subsidiary ledger in a timely manner. Periodic reports are run by the Business Manager to verify that all required items have been entered.
Response: The District concurs with this finding. District Management understands the importance of following approved policies and ensuring any incentive pay meets the approved guidelines within such policies.
Response: The District concurs with this finding. District Management understands the importance of following approved policies and ensuring any incentive pay meets the approved guidelines within such policies.
View Audit 306717 Questioned Costs: $1
The District will follow the recommendation of Arkansas Legislative Audit and contact the Arkansas Division of Elementary and Secondary Education for guidance regarding this matter and implement proper controls over program expenditures.
The District will follow the recommendation of Arkansas Legislative Audit and contact the Arkansas Division of Elementary and Secondary Education for guidance regarding this matter and implement proper controls over program expenditures.
View Audit 306717 Questioned Costs: $1
Corrective Action Taken: Corrective action has been implemented to ensure the District maintains proper controls over program expenditures. The Director of Federal Programs reviews and approves all
Corrective Action Taken: Corrective action has been implemented to ensure the District maintains proper controls over program expenditures. The Director of Federal Programs reviews and approves all
View Audit 306717 Questioned Costs: $1
Response: The District concurs with this finding. The District will follow the recommendations set forth by Arkansas Legislative Audit and implement procedures to ensure expenditures are properly monitored and budgets are amended as necessary and consult with DESE for further guidance regarding this...
Response: The District concurs with this finding. The District will follow the recommendations set forth by Arkansas Legislative Audit and implement procedures to ensure expenditures are properly monitored and budgets are amended as necessary and consult with DESE for further guidance regarding this matter.
Corrective Action Planned/Taken: Corrective action has been taken by the District to monitor expenditures and budgets for the program. All expenditure requests from the program are first approved by the Director of Federal Programs. Any additional documentation, including justification, is then atta...
Corrective Action Planned/Taken: Corrective action has been taken by the District to monitor expenditures and budgets for the program. All expenditure requests from the program are first approved by the Director of Federal Programs. Any additional documentation, including justification, is then attached to the purchase request. Should budgets need to be adjusted in the District’s financial system, a request is made by the Director of Federal Programs to the Business Manager. The Director of Federal Programs was granted access to the District’s financial system to allow the ability to pull reports and verify the accuracy of the ledgers. A meeting will be scheduled between the Director of Federal Programs and the Business Manager to review the District’s financial ledgers and compare them to the initial submitted budgets to determine what, if any, corrections or adjustments are needed. This meeting will take place prior to the Federal Program’s year end budget submission to ensure timely and accurate closure of program expenditures.
We will make sure any future construction projects paid from federal funds properly include all applicable Davis-Bacon requirements in the bid documents and construction contracts. We will require and monitor that any future construction contractors paid from federal funds timely remit the required...
We will make sure any future construction projects paid from federal funds properly include all applicable Davis-Bacon requirements in the bid documents and construction contracts. We will require and monitor that any future construction contractors paid from federal funds timely remit the required payroll information to ensure compliance with the Uniform Guidance as related to the Davis-Bacon Act.
We will make sure any future construction projects paid from federal funds properly include all applicable Davis-Bacon requirements in the bid documents and construction contracts. We will require and monitor that any future construction contractors paid from federal funds timely remit the required...
We will make sure any future construction projects paid from federal funds properly include all applicable Davis-Bacon requirements in the bid documents and construction contracts. We will require and monitor that any future construction contractors paid from federal funds timely remit the required payroll information to ensure compliance with the Uniform Guidance as related to the Davis-Bacon Act.
Recommendation: Timecards should reflect all time, or 100% effort of each employee’s total hours actually spent on work within the scope of his or her employment regardless of how many or how few hours an employee works. Effort certification must reflect actual work performed and cannot be budget dr...
Recommendation: Timecards should reflect all time, or 100% effort of each employee’s total hours actually spent on work within the scope of his or her employment regardless of how many or how few hours an employee works. Effort certification must reflect actual work performed and cannot be budget driven or assigned. A written time and effort policy and procedures should be designed and implemented to meet grantor requirements and recordkeeping requirements of the organization. Ac􀆟on Taken: A cost allocation plan has now been established and will be reviewed by our Board. Timecards for all staff, including salaried staff, are now being filled out with actual hours spent per grant versus budgeted hours and for each grant coded, there are high level comments to explain what work was accomplished for the grant. There is also now a Financial Specialist on staff that reviews timecards for accuracy in this regard. The contact person responsible for this corrective action plan is Wendi Speed, CFO, as well as the HR team that will implement the policy. The anticipated completion date is June 30, 2025.
Recommendation: Additional procedures should be designed, implemented, and documented for allowable costs to ensure documentation of review and approval of allowable costs to be charged to the federal award. The accounting system configurations should be modified to require segregation of duties for...
Recommendation: Additional procedures should be designed, implemented, and documented for allowable costs to ensure documentation of review and approval of allowable costs to be charged to the federal award. The accounting system configurations should be modified to require segregation of duties for all transactions. For journal entries, a documented review and approval should be performed by a finance committee member on a monthly basis. Ac􀆟on Taken: BGCDC has received instructions on how to configure the Accounts Payable module to incorporate the proper approval process. We are in the process of making that update. In addition, for any journal entries made the by CFO, a monthly list will go to the Finance Committee for review. The CFO tries to not make journal entries, but with limited Finance staff and a large workload, this is often inevitable. The logical approvals would come from Finance Committee. The contact person responsible for corrective action is Wendi Speed, CFO. The anticipated completion date is June 30, 2025.
Recommendation: Procedures for subrecipient monitoring to meet federal statutes, regulations, and terms and conditions of the awards should be developed and documented. Internal controls should be designed, implemented, and documented within the subrecipient monitoring procedures to ensure complianc...
Recommendation: Procedures for subrecipient monitoring to meet federal statutes, regulations, and terms and conditions of the awards should be developed and documented. Internal controls should be designed, implemented, and documented within the subrecipient monitoring procedures to ensure compliance with 2 CFR section 200.332. Subrecipient monitoring activities should be performed and documented. Ac􀆟on Taken: BGCDC is working on an updated policy and procedure manual that is conducive to Uniform Guidance. The addition of a Compliance Department will aid in adhering to the appropriate monitoring procedures regarding subawards. The contact persons responsible for this corrective action plan are Alan Branch, Sr VP of Compliance and Workforce Development, the new Compliance Director, Wendi Speed, CFO, and the entire Finance Team. The anticipated completion date is June 30, 2025.
View Audit 306700 Questioned Costs: $1
Recommendation: Internal controls over reporting should be designed, implemented, and documented to ensure compliance with 2 CFR section 200.302(b)(2), including who is responsible, what they are reviewing for, when reviews are to take place, and how documentation of the controls will be maintained....
Recommendation: Internal controls over reporting should be designed, implemented, and documented to ensure compliance with 2 CFR section 200.302(b)(2), including who is responsible, what they are reviewing for, when reviews are to take place, and how documentation of the controls will be maintained. The general ledger should be set up to properly capture and track expenses as well as budgets prepared and approved with the actual costs expected to be incurred. Reports should be reconciled to the general ledger. Budgets should be complete and include all line items and not just include all expenses under supplies. Ac􀆟on Taken: This is a project Finance team is currently working on. The new Compliance Director will manage the grant writing process. During the grant and award process, Compliance, the Program with award, and Finance will establish an appropriate budget which, in turn, will be reflected in general ledger and monitored by the team. The contact persons responsible for this corrective action plan are Alan Branch, Sr VP of Compliance and Workforce Development, the new Compliance Director, Wendi Speed, CFO, and the entire Finance Team. The anticipated completion date is June 30, 2025.
View Audit 306700 Questioned Costs: $1
Recommendation: The organization should develop and document procurement procedures that meet state, local, and Uniform Guidance requirements. The conflict-of-interest policy should be updated to include standards of conduct for those involved in procuring and to include organizational conflicts of ...
Recommendation: The organization should develop and document procurement procedures that meet state, local, and Uniform Guidance requirements. The conflict-of-interest policy should be updated to include standards of conduct for those involved in procuring and to include organizational conflicts of interest. Internal controls should be designed, implemented, and documented within the procurement procedures to ensure compliance with 2 CFR sections 200.317 through 200.327. At a minimum, the procurement history including rationale for the method, procurement method support, contract selections and rejections, suspension and debarment, and bases for contract prices should be documented. Ac􀆟on Taken: BGCDC has already established a Uniform Guidance worthy procurement policy and is currently working on an update to the Conflict-of-Interest policy. These will go to our Finance Committee and Board soon for full approval as well as implementation. Leadership has been informed of this change and is already starting on the implementation as far as seeking out bids, documenting rationale, and making informed decisions. The contact person responsible for the corrective action is Wendi Speed, CFO. The anticipated completion date is June 30, 2025.
View Audit 306700 Questioned Costs: $1
Recommendation: Transactions should be recorded in accordance with GAAP with a review and approval for financial reporting as well as for compliance with allowability requirements. Training on cost principles per the Uniform Guidance should be provided to the finance department and program managers....
Recommendation: Transactions should be recorded in accordance with GAAP with a review and approval for financial reporting as well as for compliance with allowability requirements. Training on cost principles per the Uniform Guidance should be provided to the finance department and program managers. Ac􀆟on Taken: This transaction happened early on when the WIG grant was first awarded. Soon after, it was apparent this had been done incorrectly. The current Finance staff has attended a two-day Uniform Guidance training course and continues to read and review 2 CFR 200 regularly. If a transaction is in question, we reach out to auditors/consulting team. The corrective action planned is continual training on Uniform Guidance and the addition of a Compliance Director to our team. The contact person responsible for the corrective action is Wendi Speed, CFO. The anticipated completion date is June 30, 2025.
View Audit 306700 Questioned Costs: $1
FINDINGS - MAJOR FEDERAL AWARD PROGRAM AUDIT Department of Housing and Urban Development Finding, 2023-003: Major Program: Supportive Housing for the Elderly (Section 202 Capital Advance - Accumulated Balance), Federal Assistance Listing Number 14.157 RECOMMENDATION The auditor recommends the Re...
FINDINGS - MAJOR FEDERAL AWARD PROGRAM AUDIT Department of Housing and Urban Development Finding, 2023-003: Major Program: Supportive Housing for the Elderly (Section 202 Capital Advance - Accumulated Balance), Federal Assistance Listing Number 14.157 RECOMMENDATION The auditor recommends the Reserve for Replacement be properly funded on a monthly basis. ACTION TAKEN The Project has suffered dramatically from the results of COVID-19. During all years prior to 2022, the Reserve for Replacement has been in compliance. Although HUD did help with small COVID-19 grants, it was not sufficient to overcome the costs. Properties of 50-units and less suffered far more during COVID-19 than the larger developments due to the economies of scale. It should be noted that in addition to the Reserve for Replacement that was not funded in 2023, the property management firm was also not paid $24,523. Management received a substantial rent increase in June 2023 and plans to make all required deposits in 2024 when they will begin to see the effects of this increase.
FINDINGS - MAJOR FEDERAL AWARD PROGRAM AUDIT Department of Housing and Urban Development Finding, 2023-002: Major Program: Supportive Housing for the Elderly (Section 202 Capital Advance - Accumulated Balance), Federal Assistance Listing Number 14.157 RECOMMENDATION The auditor recommends ensuri...
FINDINGS - MAJOR FEDERAL AWARD PROGRAM AUDIT Department of Housing and Urban Development Finding, 2023-002: Major Program: Supportive Housing for the Elderly (Section 202 Capital Advance - Accumulated Balance), Federal Assistance Listing Number 14.157 RECOMMENDATION The auditor recommends ensuring all current and new staff are trained on tenants’ 90-day EIV reports and ensuring they are generated within the required time period to verify tenant information promptly and help reduce errors in subsidy payments. ACTION TAKEN The Project will be monitoring use of the EIV system for move ins and recertifications.
FINDINGS - MAJOR FEDERAL AWARD PROGRAM AUDIT Department of Housing and Urban Development Finding, 2023-001: Major Program: Supportive Housing for the Elderly (Section 202 Capital Advance - Accumulated Balance), Federal Assistance Listing Number 14.157 RECOMMENDATION The auditor recommends ensuri...
FINDINGS - MAJOR FEDERAL AWARD PROGRAM AUDIT Department of Housing and Urban Development Finding, 2023-001: Major Program: Supportive Housing for the Elderly (Section 202 Capital Advance - Accumulated Balance), Federal Assistance Listing Number 14.157 RECOMMENDATION The auditor recommends ensuring all tenants’ paperwork is thoroughly reviewed and accurately used in the calculation of the tenant’s required monthly rent and HUD’s tenant assistance payments. ACTION TAKEN The Project will be billing the tenant for the $264 and reimbursing HUD for additional tenant assistance payments of $264 due to the Project.
Finding 2023-006: Material Weakness in Internal Control over Compliance - Special Tests and Provisions ...
Finding 2023-006: Material Weakness in Internal Control over Compliance - Special Tests and Provisions Corrective Action Plan: I. The DLR RA Management Analyst will prepare and submit all ETA Reports (Preparer). a. The Management Analyst will initially enter all data into the report and ensure its initial accuracy. b. The Management Analyst will also be responsible for addressing any warning message(s) or error message(s) that are generated by the reporting system. c. Once the data has been entered and all warning and error messages have been addressed, the Management Analyst will notify the DLR RA Senior Internal Auditor that the ETA Report is complete and ready for their review. 2. The DLR RA Senior Internal Auditor will Review and Sign Off on all ETA reports (Reviewer) a. The Senior Auditor will review the completed report to ensure its accuracy. b. If an issue is found during the review, it will be researched and corrected. c. Once the Senior Internal Auditor has verified all data elements within the report are correct, they will email the Management Analyst signing off on the data presented and give approval for the Management Analyst to submit the final report. 3. The Management Analyst submits the final report. 4. Once submitted, the Management Analyst will print the submitted copy of the final report to PDF. 5. Once in PDF form, the Management Analyst will add the following notes: a. Prepared By: [Name] b. Date and Time c. Reviewed By: [Name] d. Date and Time 6. With the "Prepared/Reviewed Note" added, it is now considered the "Finalized Report." 7. The Management Analyst will save an electronic copy of the Finalized Report along with copies of any supporting documentation and any email communications between the "Preparer" and the "Reviewer" to the QA records to be retained according to DLR Record Retention policies. 8. All RA Staff can access all finalized reports through the RA MS SharePoint site. Contact Person: Pauline Heier, Director, Reemployment Assistance Anticipated Completion Date: No anticipated completion date was listed in the separately issued audit report.
Finding 2023-005: Material Weakness in Internal Control over Compliance - Reporting ...
Finding 2023-005: Material Weakness in Internal Control over Compliance - Reporting Corrective Action Plan: I. The DLR RA Management Analyst will prepare and submit all ETA Reports (Preparer). a. The Management Analyst will initially enter all data into the report and ensure its initial accuracy. b. The Management Analyst will also be responsible for addressing any warning message(s) or error message(s) that are generated by the reporting system. c. Once the data has been entered and all warning and error messages have been addressed, the Management Analyst will notify the DLR RA Senior Internal Auditor that the ETA Report is complete and ready for their review. 2. The DLR RA Senior Internal Auditor will Review and Sign Off on all ETA reports (Reviewer) a. The Senior Auditor will review the completed report to ensure its accuracy. b. If an issue is found during the review, it will be researched and corrected. c. Once the Senior Internal Auditor has verified all data elements within the report are correct, they will email the Management Analyst signing off on the data presented and give approval for the Management Analyst to submit the final report. 3. The Management Analyst submits the final report. 4. Once submitted, the Management Analyst will print the submitted copy of the final report to PDF. 5. Once in PDF form, the Management Analyst will add the following notes: a. Prepared By: [Name] b. Date and Time c. Reviewed By: [Name] d. Date and Time 6. With the "Prepared/Reviewed Note" added, it is now considered the "Finalized Report." 7. The Management Analyst will save an electronic copy of the Finalized Report along with copies of any supporting documentation and any email communications between the "Preparer" and the "Reviewer" to the QA records to be retained according to DLR Record Retention policies. 8. All RA Staff can access all finalized reports through the RA MS SharePoint site. Contact Person: Pauline Heier, Director, Reemployment Assistance Anticipated Completion Date: No anticipated completion date was listed in the separately issued audit report.
Finding No. 2023-004: Inadequate Controls over the Payment of Claims ...
Finding No. 2023-004: Inadequate Controls over the Payment of Claims Corrective Action Plan: The claim initiation duties have been separated from the claim approval responsibilities. When a claim is initiated in FACIS, that request can only be approved by someone with permissions to review and approve claims on the case. Reviewing and approving authorizations on the FACIS system can only be issued to an individual on CPS staff who does not have claim entry responsibilities. Payment is generated only after approval is completed. During the period audited, the FACIS system did not save information about which staff member had approved the claim. This left no record to verify the name and date for claim approvals. Contact Person: Jason Simmons, Chief Financial Officer, Department of Social Services Anticipated Completion Date: In state fiscal year 2024, FACIS was updated to fully document this information for later retrieval and review, essentially the implementation of this corrective action plan prior to the completion of DLA's audit; therefore, this finding has been corrected.
Finding No. 2023-003: Inadequate Internal Controls over Federal Funding Accountability and Transparency Act (FFATA) Reporting. The following are the actions that will be taken to come into compliance with FFATA on our Public Assistance Disaster Grants: • The Assistant Finance officer will work on...
Finding No. 2023-003: Inadequate Internal Controls over Federal Funding Accountability and Transparency Act (FFATA) Reporting. The following are the actions that will be taken to come into compliance with FFATA on our Public Assistance Disaster Grants: • The Assistant Finance officer will work on getting all past due records updated for FFATA, including the FY24 records, by May 31, 2024. • Office of Emergency Management’s, Recovery Branch Chief will review project worksheets and make sure the finance office has all updated information on any increases or decreases to all project worksheets for open disasters. • By May 31, 2024, the Director of Administrative Services and Assistant Finance officer will review our current processes and procedures for FFATA reporting for the Department of Public Safety. Make updates to that process to include internal controls ensuring reporting is done timely and accurately. Contact Person: Angie Lemieux, Director of Administrative Services Anticipated Completion Date: May 31, 2024
MALS is taking the following actions to address the required reporting by LSC: A. Conduct a comprehensive review of LSC's reporting requirements to ensure a clear understanding of the obligations and deadlines associated with each report. B. Designate specific personnel responsible for the timely an...
MALS is taking the following actions to address the required reporting by LSC: A. Conduct a comprehensive review of LSC's reporting requirements to ensure a clear understanding of the obligations and deadlines associated with each report. B. Designate specific personnel responsible for the timely and accurate submission of each required report. C. Enhance internal control procedures to ensure that reports are submitted in a timely manner, with appropriate oversight and review processes in place. D. Provide ongoing training and guidance to key staff members on the importance of complying with LSC reporting requirements and the proper procedures for report submission. E. A master calendar of report submittal deadlines will be maintained by the Director of Finance and Grant Compliance to ensure reports are timely submitted in accordance with LSC requirements. The calendar will be reviewed at least monthly with each Managing Attorney and the CEO and COO to ensure timely submittals
MALS will update SOPs to ensure that time sheets are timely reviewed and approved by the relevant Managing Attorney/Supervisor in the Kemps Timekeeping Software. At a bi-weekly minimum, each Managing Attorney/Supervisor will send to the Director of Finance and Grant Compliance or the COO, an email r...
MALS will update SOPs to ensure that time sheets are timely reviewed and approved by the relevant Managing Attorney/Supervisor in the Kemps Timekeeping Software. At a bi-weekly minimum, each Managing Attorney/Supervisor will send to the Director of Finance and Grant Compliance or the COO, an email regarding the accuracy of the Kemps Timekeeping, confirming that the Managing Attorney/Supervisor has reviewed and approved the Time entered into the System.
MALS has sent an initial email to LSC for approval of revised Allocation Methodology which covers the Administrative Salaries using a 2 step method for allocating Administrative Salaries. First, using Direct Hours charged to each grant as a percentage of Total Administrative Salaries. Then, for thos...
MALS has sent an initial email to LSC for approval of revised Allocation Methodology which covers the Administrative Salaries using a 2 step method for allocating Administrative Salaries. First, using Direct Hours charged to each grant as a percentage of Total Administrative Salaries. Then, for those grants that don't cover Administrative Salaries, those will be split between LSC and TN Filing Fees based on # of Closed Cases. Time by Direct Hours charged will be done on a monthly basis. Then, for those grants that don't cover Administrative Salaries, a quarterly true-up based on # of Closed Cases will be done. In addition, in 2Q2024 MALS is redefining the role and responsibilities of the CFO position. The position will be redefined as a full-time Director of Finance and Grant Compliance with clearly articulated financial oversight and Internal Control Compliance and Reporting responsibilities and overall responsibility for grant tracking and compliance.
Project Legal Name: The Harry and Jeanette Weinberg Terrace, INC HUD Project No.: 502-EE015 Audit Firm: CohnReznick Period covered by the audit: Year end June 2023 Corrective Action Plan prepared by: Name: Shantay Hall Position: HUD Compliance Specialist Telephone Number: 571-307-6571 The following ...
Project Legal Name: The Harry and Jeanette Weinberg Terrace, INC HUD Project No.: 502-EE015 Audit Firm: CohnReznick Period covered by the audit: Year end June 2023 Corrective Action Plan prepared by: Name: Shantay Hall Position: HUD Compliance Specialist Telephone Number: 571-307-6571 The following is a recommended format to be followed by the auditee for preparing a corrective action plan: A. Current Findings on the Schedule of Findings, Questioned Costs and Recommendations 1. Finding # 2023‐002; Section 202 Supportive Housing for the Elderly, Assistance Listing 14.157 a. Recommendation: Management should establish internal controls and procedures to ensure that excess residual receipts reserve funds are remitted timely. b. Action(s) Taken or Planned on the Finding The inspection was conducted under previous management. The Franklin Johnston Group took over July 1st, 2023. When the Franklin Johnston group took over, we were unable to get in contact with HUD for months to receive Confirmation wiring instructions. HUD requires Residual receipts to be remitted and deposited no later than the termination/renewal date. The Franklin Johnston group just received confirmation wiring instructions as of January 2024. Funds of $2,794.00 are now paid as of January of 2024. The Franklin Johnston Group will ensure that moving forward all residual receipts are to be remitted and expedited in a timely matter.
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