Corrective Action Plans

Finding 8314 (2023-003)

Significant Deficiency 2023

PA

Internal Control / Segregation of Duties Reporting

2023-003 Education Stabilization Fund – CFDA No. 84.425 Internal Controls over Compliance: Significant Deficiency: See Finding 2023-002

View Audit 11146

Finding 8313 (2023-002)

None 2023

Conemaugh Valley School District

PA

Reporting Subrecipient Monitoring

2023-002 Education Stabilization Fund – CFDA No. 84.425 Name of contact person – Eric Miller, Business Manager Recommendation: We recommend management contact the Pennsylvania Department of Education to inquire as to how to resubmit the annual report with correct amounts. In addition, personnel ...

2023-002 Education Stabilization Fund – CFDA No. 84.425 Name of contact person – Eric Miller, Business Manager Recommendation: We recommend management contact the Pennsylvania Department of Education to inquire as to how to resubmit the annual report with correct amounts. In addition, personnel responsible for the completion of the annual report should review the instructions for the report to obtain a better understanding of the reporting requirements and should also retain the support for the determination of amounts reported. Further, management should ensure the amounts reported on the upcoming annual report for fiscal year 2022-23 accurately report the expenditures for that fiscal year. Action Taken: Management agrees with the recommendations and will contact the Pennsylvania Department of Education to inquire as to how to resubmit the annual report with correct amounts. The personnel responsible for the completion of the annual report will review the instructions for the report to obtain a better understanding of the reporting requirements and will retain the support for the determination of amounts reported. In addition, management will ensure the amounts reported for the upcoming annual report for fiscal year 2022-23 accurately report the expenditures for that fiscal year Proposed Completion Date: March 31, 2024

View Audit 11146

Finding 8312 (2023-002)

Significant Deficiency 2023

Centerstone of America, Inc.

TN

Reporting

We will implement internal controls to ensure all information included in the PRF Portal is supported by and agrees to underlying accounting records and in accordance with the terms and conditions of the PRF.

View Audit 11115

Finding 8311 (2023-001)

Significant Deficiency 2023

Centerstone of America, Inc.

TN

Questioned Costs Reporting

We will implement internal control processes to ensure all information is submitted in the PRF Portal by the specified due date.

View Audit 11115 Questioned Costs: $1

Finding 8297 (2023-001)

Significant Deficiency 2023

City of Norwalk, Connecticut

CT

Procurement, Suspension & Debarment § 200.318 § 200.326

Finding 2023-001: Procurement and Suspension and Debarment Description of Finding: The City’s procurement standards do not include the essential elements as outlined in 2 CFR sections 200.318 through 200.326. Statement of Concurrence or Nonconcurrence: The City concurs. Corrective Action: The C...

Finding 2023-001: Procurement and Suspension and Debarment Description of Finding: The City’s procurement standards do not include the essential elements as outlined in 2 CFR sections 200.318 through 200.326. Statement of Concurrence or Nonconcurrence: The City concurs. Corrective Action: The City will enhance their existing policies for procurement to be in accordance with Uniform Guidance Procurement Standards and plans to be adopted by June 30, 2024. Name of Contact Person: Henry Dachowitz, Chief Financial Officer Projected Completion Date: June 30, 2024

View Audit 11102

Finding 8296 (2023-001)

Significant Deficiency 2023

Unified School District Number 452

KS

Special Tests & Provisions

Finding 2023-001 Recommendations: The District should utilize the KSDE’s provided checklist for construction contract and not rely on a non-District individual for compliance. A board appointed individual should provide a secondary review to ensure all requirements are met for all construction cont...

Finding 2023-001 Recommendations: The District should utilize the KSDE’s provided checklist for construction contract and not rely on a non-District individual for compliance. A board appointed individual should provide a secondary review to ensure all requirements are met for all construction contracts being paid with federal funds. Action Taken: We agree with the recommendation. Our targeted implementation date is March 2024.

View Audit 11096

Finding 8295 (2023-001)

Significant Deficiency 2023

Unified School District Number 374

KS

Questioned Costs Reporting Matching / Level of Effort / Earmarking § 200.302 § 200.303

FINDINGS – FEDERAL AWARD PROGRAMS AUDIT U.S. Department of Education Passed Through Kansas State Department of Education Program Name: Education Stabilization Fund Cluster Federal Assistance Listing Numbers: 84.425W, 84.425U, 84.425D Finding 2023-001 Recommendations: The District should have an e...

FINDINGS – FEDERAL AWARD PROGRAMS AUDIT U.S. Department of Education Passed Through Kansas State Department of Education Program Name: Education Stabilization Fund Cluster Federal Assistance Listing Numbers: 84.425W, 84.425U, 84.425D Finding 2023-001 Recommendations: The District should have an employee compare the Board Clerk’s supporting documentation and the Education Stabilization Fund spreadsheet report before its submission to the State of Kansas for its accuracy. After the approval by the secondary review employee, the report submitted should be printed, initialed by the secondary reviewer, stapled with the information used to compile the report and combined with all financial records for the fiscal year. Action Taken: We agree with the recommendation. Our targeted implementation date is March 2024. If the Kansas State Department of Education and/or Kansas State Department of Administration has questions regarding this plan, please call Rex Richardson at 620-675-2277.

View Audit 11094 Questioned Costs: $1

Finding 8291 (2023-001)

Significant Deficiency 2023

People's Community Action Corporation

MO

Subrecipient Monitoring Eligibility Internal Control / Segregation of Duties

United Stated Department of Health and Human Services People's Community Action Corporation respectfully submits the following corrective action plan for the year ended May 31, 2023. CohnReznick LLP 350 Church Street Hartford, CT 06103 Audit Period: May 31, 2023 The findings from the May 31, 2023 ...

United Stated Department of Health and Human Services People's Community Action Corporation respectfully submits the following corrective action plan for the year ended May 31, 2023. CohnReznick LLP 350 Church Street Hartford, CT 06103 Audit Period: May 31, 2023 The findings from the May 31, 2023 schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FEDERAL AWARDS FINDINGS AND QUESTIONED COSTS SIGNIFICANT DEFICIENCY 2023.001 - Eliqibilitv Documentation Recommendation The Organization should establish a system of internal controls to ensure that all eligible clients intake forms and supporting documentation is appropriate and properly documented. Action Taken PCAC already has the appropriate policies and procedures in place through its Community Services Block Grant (CSBG) Policies and Procedures Manual. None of the client Intake Applications cited for failure to have a PCAC representative signature were completed by regular CSBG employees, but instead by employees with other duties, interns, and volunteers who assisted with acceptance of Intake Applications and data entry in times of heavy workloads for regular CSBG employees. Accordingly, PCAC leadership will take the following steps to ensure that proper procedures are followed. • Remedial training regarding the policy of requiring a PCAC representative signature on Intake Applications will be provided to all regular CSBG employees at the October 10, 2023, PCAC all-staff meeting, and individually to any of those employees who are not able to attend that meeting. • Emphasis in this remedial training will focus on the need to train non-CSBG employees, interns, and volunteers who accept Intake Applications in support of regular CSBG employees during times of heavy workloads on the requirement for a PCAC representative signature on all Intake Applications. If the Cognizant or Oversight Agency for Audit has questions regarding this plan, please call: Mark Sanford, Executive Director at 314.367.7848 x 1209.

View Audit 11088

Finding 8289 (2023-001)

Significant Deficiency 2023

Rosendale Brandon School District

WI

Internal Control / Segregation of Duties

The District agrees and intends to continue supervision and monitoring of accounting information and operations, including obtaining explanations for variances from unexpected results. The Superintendent will continue to sign off on all payroll check registers and journal entries.

View Audit 11067

Finding 8284 (2023-003)

Significant Deficiency 2023

MacOn County

NC

Reporting Program Income Internal Control / Segregation of Duties

Name of Contact Person: Darlene Asher, Transit Director Corrective Action: NCDOT Connect has an IMD calendar that has all dates of when reports are due to IMD including Program Income. The Transit Director will sync the IMD calendar to her Outlook calendar where reminders will pop up. Proposed Compl...

Name of Contact Person: Darlene Asher, Transit Director Corrective Action: NCDOT Connect has an IMD calendar that has all dates of when reports are due to IMD including Program Income. The Transit Director will sync the IMD calendar to her Outlook calendar where reminders will pop up. Proposed Completion Date: Immediately

View Audit 11061

Finding 8283 (2023-002)

Significant Deficiency 2023

MacOn County

NC

Eligibility Internal Control / Segregation of Duties

Name of Contact Person: Sheila Conley, IMS III Corrective Action: Macon County has updated all worksheets for all programs; we use these worksheets to verify information belonging to the client before keying the verified information into NC FAST system. We continue to have training on Medicaid Manua...

Name of Contact Person: Sheila Conley, IMS III Corrective Action: Macon County has updated all worksheets for all programs; we use these worksheets to verify information belonging to the client before keying the verified information into NC FAST system. We continue to have training on Medicaid Manual sections 2230 Financial Resources, 2260 Financial Eligibility Regulations-PLA and 2280 Community Alternatives Programs. We will also continue to second party review at least 10% of the workers cases. Proposed Completion Date: Immediately

View Audit 11061

Finding 8282 (2023-001)

Significant Deficiency 2023

MacOn County

NC

Internal Control / Segregation of Duties

Name of Contact Person: Chrissy Tompson, IMI Program Integrity Corrective Action: There will be a calculator tape ran manually for each line item on the DSS- 1473. This error was from a copy and paste for duplicate repeated line entries. A second party will also view each entry to ensure the line it...

Name of Contact Person: Chrissy Tompson, IMI Program Integrity Corrective Action: There will be a calculator tape ran manually for each line item on the DSS- 1473. This error was from a copy and paste for duplicate repeated line entries. A second party will also view each entry to ensure the line items with subtraction are correct. Proposed Completion Date: Immediately

View Audit 11061

Finding 8280 (2023-001)

Material Weakness 2023

Washington County Board of Education

MD

Procurement, Suspension & Debarment

The School system currently has a system in place to ensure contractors are not suspended or debarred for all purchases made through the competitive bidding process. Although not required to solicit bids for service contracts, the School System chooses to do so whenever possible. The contracts teste...

The School system currently has a system in place to ensure contractors are not suspended or debarred for all purchases made through the competitive bidding process. Although not required to solicit bids for service contracts, the School System chooses to do so whenever possible. The contracts tested involve service contracts that were not run though the competitive bidding process to fulfill a need beyond what could be met by then-awarded providers. The School System will update its procurement procedures to ensure that a service provider is neither suspended nor debarred prior to entering into any contract that is not subject to the competitive bidding process. The School System will ensure that all required components are included within the contract. The Supervisor of Purchasing, or his designee, will use the System for Award Management Exclusions to verify that the provider is not suspended, debarred or otherwise excluded from doing business with the government and will require an affirmation from the provider regarding non-suspension or debarment. The School System will have this in place before the June 30, 2024 audit.

View Audit 11008

Finding 8279 (2023-002)

Significant Deficiency 2023

Isothermal Planning and Development Commission

NC

HUD Housing Programs Reporting

FRC has contracted with an independent CPA to complete the electronic filing of the 2023 audited financial information to HUD, which will be done as soon as the 2022 audited financial information and 2023 unaudited financial information is accepted by HUD.

View Audit 11003

Finding 8278 (2023-001)

Significant Deficiency 2023

Peacehealth Networks

WA

Questioned Costs Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.303

As noted within the portal filing summary for the general reporting period 5, the Corporation’s consolidated cumulative lost revenues totaled $141,363,926. Through the period 5 report, $99,467,570 cumulatively, had been applied to lost revenues to date, leaving $41,896,356 in unreimbursed lost reven...

As noted within the portal filing summary for the general reporting period 5, the Corporation’s consolidated cumulative lost revenues totaled $141,363,926. Through the period 5 report, $99,467,570 cumulatively, had been applied to lost revenues to date, leaving $41,896,356 in unreimbursed lost revenues. As a result, there were sufficient qualifying lost revenues to receive and earn all PRF funds received, regardless of the reporting error identified and described in the “Finding” section above. Therefore, management believes no repayment of PRF funds received would be required. Management is implementing a process to add additional review steps prior to finalizing future reporting submissions, if required. As of the date of this letter, PeaceHealth Networks has reported on all PRF funds received and has no future portal reporting obligations. Corrective Action Plan Completion Date: October 15, 2023

View Audit 11002 Questioned Costs: $1

Finding 8277 (2023-002)

Material Weakness 2023

Paratransit, Inc.

CA

Questioned Costs Allowable Costs / Cost Principles Period of Performance § 200.308 § 200.309 § 200.403

Finding: 2023-002: Questioned Cost – Material Weakness Costs for US Department of Transportation, Mobility Management Grant 20.507 Section 5307 included a $30,000 charge for use of the Data Management System (DMS). The charge is based on a contract rate charged to outside entities that varies depend...

Finding: 2023-002: Questioned Cost – Material Weakness Costs for US Department of Transportation, Mobility Management Grant 20.507 Section 5307 included a $30,000 charge for use of the Data Management System (DMS). The charge is based on a contract rate charged to outside entities that varies depending on the number of users. Management stated the charge was to recoup costs for use of the DMS. Costs for the DMS consist of historical costs to get the system functioning, along with current personnel costs to operate the system and provide the contracted training. The historical costs occurred outside the period of performance and are thus unallowable. Personnel costs are already being charged to the grant through the allocated payroll and benefits of trainers and other personnel, and thus should not also be charged through the contract rate. In addition, if the contract rate includes a profit component this would also be unallowable to charge to the grant. Auditor Recommendation: We recommend that costs charged to federal grants be reviewed by an individual familiar with the Cost Principles for Nonprofit Organizations contained in 2 CFR, Section 200 as part of the SEFA review process. Contact Person Responsible for the Corrective Action: Lisa Cappellari, Chief Financial Officer, LisaC@paratransit.org Management Response and Corrective Action Plan: After the end of Fiscal Year 23-24 on 6/30/2024, Jody Wadley, Finance and Grants Manager, and Lisa Cappellari, Chief Financial Officer, will compile all expense to be charged to any federal grants. Tiffani Scott, Chief Executive Officer, will review the expense against the Cost Principles for Nonprofit Organizations contained in 2 CFR, Section 200 to make sure all expense is eligible.

View Audit 10984 Questioned Costs: $1

Finding 8276 (2023-001)

Material Weakness 2023

Paratransit, Inc.

CA

Reporting Material Weakness § 200.508 § 200.510

Finding: 2023-001: SEFA – Material Weakness The SEFA prepared by management included an incorrect Assistance Listing (AL) number for one grant. Federal grant AL NO. 20.513 Enhanced Mobility of Seniors and Individuals with Disabilities was incorrectly identified as AL No 20.507 Mobility Management. W...

Finding: 2023-001: SEFA – Material Weakness The SEFA prepared by management included an incorrect Assistance Listing (AL) number for one grant. Federal grant AL NO. 20.513 Enhanced Mobility of Seniors and Individuals with Disabilities was incorrectly identified as AL No 20.507 Mobility Management. While both grants are from the Federal Transit Agency, they fall under different clusters in the Office of Management and Budget’s Compliance Supplement and thus have different audit requirements. Auditor Recommendation: We recommend management verify with the grantor the AL number of the grant. This can be done by obtaining the information from grant documents, or direct communication with the grantor. We further recommend the SEFA be reviewed for accuracy by an individual not included in the SEFA preparation process. Review should be notate with initials and date. Contact Person Responsible for the Corrective Action: Lisa Cappellari, Chief Financial Officer, LisaC@paratransit.org Management Response and Corrective Action Plan: After the end of Fiscal Year 23-24 on 6/30/2024, Jody Wadley, Finance and Grants Manager, will start the preparation of the FY24 SEFA and make sure all components are correct. Lisa Cappellari, Chief Financial Officer, will review the SEFA for accuracy, checking grant documents and directly contacting the granting agency if necessary. Once each component of the SEFA is thoroughly reviewed, Lisa Cappellari will initial and date.

View Audit 10984

Finding 8275 (2023-003)

Significant Deficiency 2023

Sun City Fire District

AZ

Procurement, Suspension & Debarment Allowable Costs / Cost Principles

Recommendation: We recommend the District implement changes to their procurement policies so they contain all the requirements of 2 CFR Part 200. Auditee response: Management is working on improving the documentation of their procurement policies and will ensure any updated policies are in line with...

Recommendation: We recommend the District implement changes to their procurement policies so they contain all the requirements of 2 CFR Part 200. Auditee response: Management is working on improving the documentation of their procurement policies and will ensure any updated policies are in line with the requirements of 2 CFR Part 200.

View Audit 10981

Finding 8269 (2023-004)

Significant Deficiency 2023

City of Grosse Pointe Park

MI

The City Manager and new Finance Director are draft a City Grant Policy to be adopted by the City Council, to be completed and implemented by fiscal year 6/30/24. The City Manager and new Finance Director will be drafting a new City Procurement Policy that will include the Uniform Guidance (UG) requ...

The City Manager and new Finance Director are draft a City Grant Policy to be adopted by the City Council, to be completed and implemented by fiscal year 6/30/24. The City Manager and new Finance Director will be drafting a new City Procurement Policy that will include the Uniform Guidance (UG) requirements for federal grant procurement to be adopted by the City Council, to be completed by fiscal year end 6/30/2024.

View Audit 10948

Finding 8268 (2023-001)

Significant Deficiency 2023

Regional East Texas Food Bank

TX

Questioned Costs

Planned Corrective Action: ETFB procurement policy to be reviewed and updated to include internal controls for compliance with contract costs and price guidelines as outlined in the Uniform Guidance. -Add CEO or Officer review of contract costs and price guidelines for federal contracting agreements...

Planned Corrective Action: ETFB procurement policy to be reviewed and updated to include internal controls for compliance with contract costs and price guidelines as outlined in the Uniform Guidance. -Add CEO or Officer review of contract costs and price guidelines for federal contracting agreements toensure accordance with the Uniform Guidance for General Procurement Standards. -Add obtaining and reacting to suspension and debarment certifications.

View Audit 10936 Questioned Costs: $1

Finding 8267 (2023-001)

Significant Deficiency 2023

Tennessee Wesleyan University

TN

The student aid department will prodcue a master student list each semester and will save this file in Excel format. A staff member will mark the student as having received an aware notification letter prior to the disbursement of the aid. This list will be reviewed and signed by the Associate Vice ...

The student aid department will prodcue a master student list each semester and will save this file in Excel format. A staff member will mark the student as having received an aware notification letter prior to the disbursement of the aid. This list will be reviewed and signed by the Associate Vice President of Student Financial Services.

View Audit 10934

Finding 8263 (2023-001)

Significant Deficiency 2023

Montcalm Community College

MI

Student Financial Aid Allowable Costs / Cost Principles Eligibility

2023-001 – Cost of Attendance Calculation. Auditor Description of Condition and Effect. Two students out of the 40 tested had an incorrect COA recorded in PowerFAIDS. The error was isolated to the population of students enrolled half-time at the College. The College determined that they did not pr...

2023-001 – Cost of Attendance Calculation. Auditor Description of Condition and Effect. Two students out of the 40 tested had an incorrect COA recorded in PowerFAIDS. The error was isolated to the population of students enrolled half-time at the College. The College determined that they did not properly update COA for the year. Subsequent to initial testing, the College adjusted the COA for the half-time students whose COA was not updated for the year. This condition did not result in any students being awarded an incorrect amount of Pell. As a result of this condition, the College was exposed to an increased risk that incorrect information would be used to determine students' Pell Grant award amounts. Auditor Recommendation. We recommend the College implement procedures to ensure the COA used to calculate each student's Pell Grant is updated for each academic year and reviewed by an independent official. Corrective Action. The College will evaluate and implement controls that will ensure Pell Grant Budget Cost of Attendance requirements are met. The Financial Aid Office will determine Cost of Attendance budget component amounts and School Administration will approve these amounts prior to the financial aid system and school website being updated accordingly each academic year. Responsible Party. Financial Aid Office and School Administration. Anticipated Completion Date. September 27, 2023

View Audit 10932

Finding 8262 (2023-001)

Significant Deficiency 2023

McCormick Commission of Public Works

SC

HUD Housing Programs

The duties will be segregated as much as possible and the Commissioners will remain involved in the financial affairs of the Commission to provide oversight and independent review functions.

View Audit 10927

Finding 8256 (2023-001)

Significant Deficiency 2023

Ohio University

OH

Subrecipient Monitoring Cash Management Reporting § 200.332

University’s Response/Corrective Action Plan: Upon becoming aware of the issue, the University issued a Stop Work Order to the identified subrecipient to cease all work on the award until such time their invoicing and documentation complies with the terms and conditions of the subrecipient agreement...

University’s Response/Corrective Action Plan: Upon becoming aware of the issue, the University issued a Stop Work Order to the identified subrecipient to cease all work on the award until such time their invoicing and documentation complies with the terms and conditions of the subrecipient agreement. Since this issue was contained to a single award and a single department the University completed these steps: 1. Performed an audit of the subrecipients on the award to ensure all were following the requirements of the subrecipient award agreement. The audit was complete on October 13, 2023. 2. The Office of Research & Sponsored Programs (ORSP) and Grants Accounting (GA) completed a subrecipient monitoring training for the department to ensure that they were familiar with the requirements of the agreement and revised their processes for appropriate monitoring of subrecipients. This training was completed on November 7, 2023. This training will be made available to all OHIO principal investigators (PI) via the subrecipient webpage on the Office of Research & Sponsored Programs website by November 30, 2023. 3. ORSP and GA worked closely to develop a new checklist that was shared with all PIs on Tuesday, October 24, 2023, that outlines the PI responsibilities for monitoring subrecipients and reviewing any invoices before payment from the subrecipient to ensure that it complies with the subrecipient agreement terms and conditions. This checklist will also be added as resource for PIs as an additional tool for subrecipient monitoring by November 30, 2023. 4. Developed a subrecipient invoice template that includes all required information to comply with the subrecipient agreement. This invoice template will be sent to all subrecipients when the purchase order is issued to the subrecipient. This practice started on October 23, 2023. 5. Responsible Parties: Heidi Whitney, Director of Grants Accounting and Susan Robb, Assistant Vice President for Research & Sponsored Programs

View Audit 10919

Finding 8255 (2023-001)

Significant Deficiency 2023

Realife Cooperative of Hibbing

MN

Reporting Internal Control / Segregation of Duties

Housing and Urban Development Realife Cooperative of Hibbing respectfully submits the following corrective action plan for the year ended October 31, 2023. Westberg Eischens, PLLP 2630 1st Street South P.O. Box 362 Willmar, MN 56201 Audit Period: October 31, 2023 The finding from the October 31, 202...

Housing and Urban Development Realife Cooperative of Hibbing respectfully submits the following corrective action plan for the year ended October 31, 2023. Westberg Eischens, PLLP 2630 1st Street South P.O. Box 362 Willmar, MN 56201 Audit Period: October 31, 2023 The finding from the October 31, 2023 schedule of findings and questioned costs and the summary schedule of prior audit findings is discussed below. The finding is numbered consistently with the number assigned in the schedules. Summary of audit results does not include findings and is not addressed. FINDINGS-FINANCIAL STATEMENT AUDIT Finding 2023-001 Recommendation: We recommend that the Cooperative continue to review the auditor prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Action Taken: The Cooperative will continue to review the auditor· prepared adjusting journal entries and financial statements with the intention of understanding and acceptance of responsibility for reporting under generally accepted accounting principles. Planned Completion Date: Not Applicable.

View Audit 10913

Corrective Action Plans

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